Education and Career Forum

Hello friends, can anyone of you please let me know about the details of education loan scheme of Tamilnad Mercantile Bank? I have heard about Short Term Study Loan Scheme but don’t know much more about this. Kindly tell me about this scheme.

Tamilnad Mercantile Bank (TMB) offers Short Term Study Loan Scheme to students who wish to pursue short-term courses or vocational training programs. Here are the key details of the scheme:

• Eligibility: Students who have secured admission in a short-term course or vocational training program offered by a recognized institute or organization in India are eligible to apply for the loan.
  
• Loan amount: The maximum loan amount that can be availed under this scheme is Rs. 1 lakh.
  
• Margin: The margin requirement for this loan scheme is 10%, which means that the applicant will have to bear 10% of the total cost of the course.
  
• Repayment: The loan repayment period is up to 12 months, and it starts after the completion of the course.
  
• Interest rate: The interest rate charged on the loan is subject to change and is based on the prevailing market rates.
  
• Collateral: Collateral is not required for this loan scheme.
  
• Processing fee: TMB charges a processing fee of 1% of the loan amount or Rs. 1,000, whichever is higher.

To apply for this loan scheme, you can visit the nearest TMB branch and submit the application along with the necessary documents, which include admission letter, identity proof, address proof, income proof, and bank statements. The bank will verify the documents and your eligibility, and if approved, the loan amount will be disbursed to the educational institution directly.

It is advisable to visit the TMB website or contact the nearest branch to get updated and accurate information about the Short Term Study Loan Scheme as the terms and conditions may be subject to change.