#1
27th May 2015, 12:25 AM
 Unregistered Guest Posts: n/a

# How SBI will calculate the Margin against Education Loan of Rs. 14 Lacs if the total educational expenses is Rs. 20 Lacs?

Sir,
I would like to know how much margin would be taken by SBI for a Rs. 14 Lacs Educational Loan if my full expenditure for the course is Rs. 20 Lacs? How is it calculated ?

#2
28th May 2015, 10:25 AM
 harishydv Senior Member+ Join Date: Jan 2015 Posts: 744
Re: How SBI will calculate the Margin against Education Loan of Rs. 14 Lacs if the total educational expenses is Rs. 20 Lacs?

The loan will be sanctioned for extending financial assistance to deserving/meritorious students to pursue their higher Education in India of Aboard. State Bank of India will calculate the margin against Education Loan above the Rs. 4 Lakhs. The margin will be calculated on the basis place of Education. The Margin calculation is given below.

* For loan up to 4 Lakhs there is no Margin

* For loan above 4 Lakhs margin is based on place of Education.
>> If studies in India the margin is 5% of Loan.
>> It studies in abroad the margin is 15% of loan.

The margin calculation is same for both 14 lakhs and for 20 lakhs.

#3
28th May 2015, 12:29 PM
 SudeepKumarSaha Senior Member+++++ Join Date: Dec 2013 Location: India Posts: 8,583
Re: How SBI will calculate the Margin against Education Loan of Rs. 14 Lacs if the total educational expenses is Rs. 20 Lacs?

The margin is fixed by the bank from before. For example, for loan above 4.5 lakhs and upto 7.5 lakhs the margin is 15 percentage. Similarly for loan of 14 lakhs, the margin will be 25%. Thus whenever, SBI will disburse any loan installment for your study expense, you need to have 25% of the disbursed amount in your account or pay the bank 25% of the disbursed amount. SBI will not look into your total expenditure, for SBI, only the amount of education loan sanctioned matters. So you need to pay 25 percent of the 14 lakhs.

#4
28th May 2015, 02:53 PM
 virus Activated Member+ Join Date: May 2015 Posts: 81
Re: How SBI will calculate the Margin against Education Loan of Rs. 14 Lacs if the total educational expenses is Rs. 20 Lacs?

Quote:
 Originally Posted by Unregistered Sir, I would like to know how much margin would be taken by SBI for a Rs. 14 Lacs Educational Loan if my full expenditure for the course is Rs. 20 Lacs? How is it calculated ?

For the 14 Lac of the Educational loan the margin could be set to 7 Lac to 8 Lac. Also, it depends on the Loan amount you are getting sanctioned and the Bank from where your Loan amount is Sanctioned. Since, the Loan margin depends on various factor such as, Bank type, interest Rate, Loan Sanctioning facility and many more. So, overall you have to pay 50 k extra of the Actual loan which is sanctioned to you.
#5
28th May 2015, 08:21 PM
 GreekScholar Senior Member+++++ Join Date: Oct 2014 Posts: 2,807
Re: How SBI will calculate the Margin against Education Loan of Rs. 14 Lacs if the total educational expenses is Rs. 20 Lacs?

Yes, SBI will calculate margin for all education loans, which are above 4 lakhs. The margin amount will be as follows.
For study in India - 5%
For study in Aboard - 15%
So, as a student who is taking a amount of 14 lakhs, your margin amount will be as follows.
If you study in India - 70,000
If you study in Aboard - 2,10,000
Do you have any question? or have anything to say?