As a potential education loan applicant, this story could be a ray of hope for you. As loan applicants we all may know so many reasons of why we could be denied any loan, for any purpose, whatsoever. But do you know that a public-sector bank (specifically) can’t deny you a study loan. According to a newspaper article I read the other day, a student can call the Finance Minister or the officials of the department.
If your bank says that you can’t get a loan because of the place of your residence or your age, call the Ministry. They can’t insist on the institute being within the limits of the branch.
Same is the case if the bank tells you that your loan guarantor’s residence has to be the same as yours.
All this is good news for you if you want to pursue higher studies, even if you are, say, 45 years old (not an age when typically one takes up an educational endeavor). This is true for study in any institute in India. There just one pre-condition. If your institute is not approved by a statutory body such as UGC, AICTE, the central government or a state government, you will not be so lucky.
November 19th, 2008 at 2:05 pm
This is good news!! But it is a task to call the Finance Minister or the officials of the department. They give a dam to such issues… so ultimately you don’t end up getting a loan.
November 19th, 2008 at 6:22 pm
Very important piece of information shared, it will help people realize know the obligations of banks.
November 19th, 2008 at 6:34 pm
If people read this article they can go ahead for their child`s education planning. As the private banks rates are not affordable and the PSU banks deny to give it.
So by reading this piece it will help an individual to get loans from the PSU banks and fulfill their dream of child`s education.
November 19th, 2008 at 6:43 pm
Its good to read that the finance ministry will entertain the complaints.
But are you sure that a person would find a solution from them.
November 19th, 2008 at 6:45 pm
This thing applies only for education in India what if someone needs loan for foreign university?
Can you please help me or guide me on this lines. It will really be very helpful.
Thanks.
November 19th, 2008 at 6:49 pm
I hope banks know this as most of the PSU bank employees don’t know there duties and rules.
I think this guideline should be made very clear to all PSU Bank employees.
This kind of information should be published in a media where it can reach to the population who is actually in need of such loans.
November 19th, 2008 at 8:58 pm
The experience have been really bad with the nationalised banks for the loans. They never bother to release payments when required.
November 20th, 2008 at 12:23 am
Hmmm… Now this motivates me to study further!!
December 17th, 2008 at 5:58 pm
It’s feast reading your write-ups…your write-ups are through and through informative….i appreciate your sense of knowledge and the way you deliver the same. Great going!!!