Education and Career Forum

Hello everyone, I have a Life Insurance policy. I want to apply for an Education Loan from Punjab & Sind Bank. I am interested to study BTech with the help of an Education Loan. So, I would like to know that this bank avail an education loan with LIC policy as a collateral security?

Collateral security is a secondary thing for education loan and it is mostly needed in case of big amount loan. If you have a guarantor with a decent income to support your education loan, there will be no need of collateral security.

LIC policy must have a maturity value to be considered as collateral. Policies like term insurance plans of LIC doesn't have any maturity value and it will not be considered as collateral.

Yes, LIC Policy is acceptable against Collateral Security under Punjab & Sind Bank Education Loan Scheme for BTech aspirant. These documents are accepted for collateral security under Punjab & Sind Bank Education Loan Scheme:
Documents related to land/ building/ government security/ public sector bonds/ units of UTI, NSC, Life insurance policy/ bank deposits/ shares or debentures. The value of the security must be equal to the education loan amount.