New Delhi: Just about six months after getting into the education loan business, HDFC has decided to step up its efforts to increase its market share in the segment. HDFC Bank has contacted several educational institutions for a tie-up in providing loans to their students.
Giving special emphasis to institutes offering vocational training, Pralay Mondal, HDFC Bank country head for retail said, “We have already entered into agreements with some 15 such vocational and software training institutes for offering loans to students.”
HDFC Bank offers education loans up to Rs. 10 lakhs for study in India and Rs.20 lakhs for courses in foreign universities and institutes. The good thing with HDFC Bank education loans is the interest rate they charge. “We charge an interest rate which is below our prime lending rate,” Mr Mondal said. The bank presently has a prime lending rate (PLR) of 15 percent.
Other features of HDFC Education Loans are listed below:
- The repayment of the education loan will start 1 year after course completion or 6 months after obtaining employment (whichever is earlier).
- Loan available up-to tenure of 7 years including moratorium period.
- Tax Benefits available under Section 80E of the IT Act
- Hassle free loans and speedy approvals and convenient doorstep service.
- Education loans from HDFC Bank are available for other course related expenses also!
- The Loans disbursed directly to the educational institution.
- Education loans are released as per fee schedules of institutes.
- Exclusive Telegraphic Transfer facility available for courses abroad.
- Education loans are available for short duration job oriented courses also.