THE KERALA STATE CO-OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK LTD(KSCARDB)

Comprehensive Rural Development Through Credit

ARF(NFS) - Education Loan Scheme

  • Purpose

    • Higher Studies in India.

      • Any recognized Course in School/College/University, Institute Approved by the Central Government/State Govt./AICTE.

      • Courses conducted by IIM, IIT etc.

      • Post graduation Courses and Doctorate

      • Job oriented course such as Fashion Designing, Hotel Management, Diploma/Degree in Foreign Trade etc. conducted by premier institutions

    • Studies Abroad

      • Job oriented Professional/technical courses offered by reputed Universities

      • Other higher Education Course.

  • Beneficiaries

    Indian National secured admission to the Course.

  • Loan Amount

    • For studies in India - Rs. 5 lakhs. (Maximum)

    • For studies abroad - Rs. 10 lakhs. ( -do- )

  • Quantum of Finance:

    • Initial expenses like Admission Fee, entrance fee, caution Deposit, Security Deposit, Building Fund, Refundable Deposits, Study Equipments, expenses like tuition fee, Exam. Fee, special fee, hostel and mess fee, cost of books, Uniform, study tour expenses for entire duration of the course, project work, cost of Air Ticket for studies Abroad.

    • Wherever receipts are received, Deposits/Donations etc. paid to reputed institutions, trusts can be considered.

  • Margin

    15% including share to be taken.

  • Type of Loan

    Term Loan

  • Mode of Repayment:

    • The loan repayment should begin within one year after completion of study course or within 6 months when the student secures employment.

    • Periodical interest to be collected on a half yearly basis

    • Principal at the end of the course in equal monthly/ Quarterly/ Half yearly/ Yearly instalments

    • Maximum loan period - 10 years (Course time plus repayment period

    • For Course completion 5 year and for repayment of loan 5 years)

    • Minimum 5 years (Course time plus repayment)

  • Interest

    The rate of interest will be as fixed by KSCARDB on considering the refinance rate under NFS by NABARD Please see the interest rate table for the prevailing rates under NFS.

  • Security

    • Upto Rs. 50,000/- Personal guarantee can be considered of two persons with Basic Pay of Rs. 5,000/- having remaining service covering loan period and certificate under Sec. 37 of KCS Act be obtained

    • In all other cases landed property valuing 150% of the loan amount.

  • Co-obligancy:

    Parent/Guardian is mandatory in all cases. Guardian can be father, mother, brother or sister.

  • Documents to be produced

    Apart from documents related to security property as required in normal cases, the following documents are required.

    • Admission letter

    • Certificate of last qualifying Examination

    • Testimonials of the student from teacher/ Professor.