Education and Career Forum

Dear all I am Bharath, I completed My Master of Science (2011) with education loan after I joined Ph.D same field (2011-2016), I want to extend education loan repayment time till at least 2015 , Do you know any possibility extent my repayment time and without interest?....

thanking you

Going for MS and then PhD is really appreciable. In this money oriented world, everybody is running after jobs right after they complete any professional course. This has become the common trend of modern youth. As a result the demand of professional courses which give quick employment opportunities is increasing rapidly day after day. As a consequence the research and the teaching field is getting a setback. In this circumstances, it is really pleasing to see a candidate going for MS and then PhD course.

Coming to your query, there are various norms of education loan. One such norm is you need to start repaying the loan either after six months from which your study period ends or when you get a job ,whichever happens earlier. So according to that you cannot extend the repayment period. Interest is accounted from the first day onwards after you take the loan and will be accounted till the end of six months after your study period or till you get job (whichever is earlier) as simple interest and then after it will be compound interest.

However, you can submit an application to the bank requesting to bear with you since you want to do Phd and then after you want to repay the loan. In this circumstances, the bank will account as simple interest on the loan amount for MS till six months after the completion of MS and then on it will account the interest as compound interest. It will get all the details regarding your Phd and then will allow you to repay it after your Phd but the interest will be accounted as compound interest after six months from completion of your MS degree course.

If your course fee is between Rs 4 lakh to Rs 7.5 lakh, you need a guarantor who promises to pay the amount in case you fail to pay back the loan. In such cases where principal amount is high, government has allowed some relaxation to the students. There are a lot of help for the under developed segment of the society from the Government of India. Recently, it has launched a scheme to provide full interest subsidy during the period of course and one year or six months after getting job.