Educational Loans .:: Development Credit Bank ::.

Terms and Conditions – Educational Loan

Purpose Educational Loans for providing financial support to deserving/ meritorious students for pursuing higher education in India and abroad.
Loan type 
Amortizing Term Loans in equal installments post moratorium period
Courses eligible
b) Studies Abroad
Courses conducted by CIMA – London, CPA – USA, etc.,
Courses in Universities which take admissions through TOEFL,GMAT,GRE,SAT exams
Only one course at a time will be financed
Loan Amount 
Studies abroad
Minimum – Rs. 1,00,000
Maximum – Rs. 15,00,000
Expenses Considered
Tuition and other fees
Maintenance costs, books & equipments, uniform, etc.
Caution fund/ building fund/ refundable deposit
Travel expenses/passage money for studies abroad for the first time only Any other expense required to complete the course – like study tours, project work, thesis, etc.

Tenor 

Maximum 5 years after commencement of repayment for studies in India and 3 years for studies abroad

Moratorium period 

The holiday period enjoyed by the borrower towards repayment of the loan. Moratorium period shall not exceed course duration + 6 months

Collateral can be in the form of: 

Land/ building/,govt. securities/Public Sector Bonds/ Units of NSC, KVP, LIC policy, shares/ debentures, bank deposit in the name of student/ parent/ guardian or any other third party for 100% of the loan.

In case the loan is given for purchase of computer the same to be hypothecated to the Bank
Applicant/Co-applicant

Student 

Parent/guardian of the student borrower

Disbursement 

Disbursement of the loan will be made in stages as per the demand directly to the college/institution. Student should furnish to the bank after every semester, suitable evidence of his satisfactory progress in the course of his studies. Satisfactory performance will be a pre-requisite for availability of finance for the subsequent years.
Bank will have the option to discontinue disbursement of sanctioned loan or recall it at any time if the progress of the student is not satisfactory.

Mode of repayment 
Post Dated cheques
Standing Instructions, if the customer has bank account with DCB

For more details : Click here