Education and Career Forum

Hello sir, I want to apply for an education loan in HDFC to study degree course. Please tell me procedure to apply for it against Securities? Terms and conditions required for it?

To apply for an education loan against securities in HDFC, you can follow these steps:

• Visit the HDFC Bank website www.hdfcbank.com and navigate to the education loan section.
  
• Find the option for "Education Loan Against Securities" and click on it.
  
• Check the eligibility criteria for the loan, such as the age limit, type of securities accepted, and minimum amount of securities required.
  
• Gather all the necessary documents, such as proof of identity, proof of address, income proof, and details of the securities you want to pledge.
  
• Submit the loan application form along with the necessary documents at the nearest HDFC Bank branch.

The terms and conditions for education loan against securities may vary from bank to bank. In HDFC, the following terms and conditions apply:

• You can pledge securities such as shares, mutual fund units, bonds, and other debt instruments.
  
• The loan amount can be up to 75% of the value of the pledged securities.
  
• The loan tenure can be up to 10 years.
  
• The interest rate will be based on the prevailing market rates for the type of securities you pledge.
  
• You will have to maintain a minimum margin (difference between the value of securities and loan amount) throughout the loan tenure.
  
• In case of a default, the bank has the right to liquidate the pledged securities to recover the loan amount.

It is advisable to thoroughly understand the terms and conditions before applying for an education loan against securities.