1. Build your Credit Score
2. Reduce your Current Borrowing / EMI Costs
Kotak Mahindra Finance Ltd opened its doors to the public in 1985. Down the years, it has proven itself to be one of the trusted names in the banking sector and amongst its customers. Here are some of its biggest milestones. In 1996, the bank got a large chunk of share stake from Ford Credit Kotak Mahindra Ltd. for the financing of Ford Vehicles. In 2003, the institution became the very first non-banking finance company from India to become a commercial bank. In 2014, the bank launched a couple of innovative solutions for digital and social media, namely Jifi and KayPay.
Amongst its many services and facilities, the bank offers education loans as well. Kotak Mahindra Bank understands that good education is essential for a successful career, and that everyone should have equal rights to education. Because of this, the education loans of the bank prove helpful for meritorious students who wish to pursue higher education either in Indian or abroad.
Here are its details.
Upto Rs.10 lakhs for studying in India
Upto Rs.20 lakhs for studying abroad
Fast approval
Minimal documents required
Type |
Details |
Age Eligibility |
|
Student Eligibility |
|
Eligible Courses |
In India:
Abroad:
|
Charge Specifics |
Charges |
Loan Processing Charges |
Upto 2% of the entire loan amount plus GST, along with other applicable fees |
Interest Rate |
11.5% to 24% |
Stamping Charges |
According to the state’s stamp act |
Credit Appraisal Charges |
Upto 5% of the total loan amount, but never exceeding Rs. 7500 (including GST) |
Overdue Interest |
3% of the overdue amount (compounded on a monthly basis but remains unpaid till the actual payment date) |
Dishonour Charges |
Rs. 750.00 per instance |
Collection Charges |
30% including GST and other charges Overdue charges) |
Swap Charges (Replacement of PDCs) |
Till Rs. 500 per swap/instance plus GST, along with any other applicable statutory charges |
Duplicate Issue of NOC |
Rs. 500 plus GST per instance, along with any other applicable statutory levies |
No Due Certificate |
Rs. 500 per instance plus GST and any other applicable statutory levies |
Prepayment Interest / Foreclosure Charges |
The lock-in period is 1 year. After this period, there is a 5% charge on foreclosure fees plus GST on any principal amount outstanding. |
Charges for Furnishing a Copy of the Credit Information Report (CIBIL) to the Applicant. |
Rs. 50 per instance plus GST and any other applicable statutory levies |
Party |
Documents Needed |
Applicant |
Application form, 2 photos, ID proof, residence proof, signature verification from the bank, admission letter, details of the course along with the payable fee structure, mark sheet and certificate |
Co-Applicant |
Application form, 2 photos, ID proof, residence proof, signature verification from the bank, Form 16 or latest payslip or 2 years’ ITR, proof of ownership, proof of relationship |
Guarantor |
Application form, 2 photos, ID proof, residence proof, signature verification from the bank, Form 16 or latest payslip or 2 years’ ITR, proof of ownership, proof of relationship |
Please find the updated list here.
One needs to provide either collateral security or assign a guarantor for the loan, who can be parents or guardians.
How much interest is charged during the moratorium period?
Simple interest is charged during the moratorium period. After this period is over, the actual interest mentioned in the loan document shall be charged.
Is it possible to take an education loan without a co-borrower?
Having a co-borrower is a requirement rather than an option. The loan needs to be taken in joint-collaboration with parents or guardians.
Is it possible to get an education loan from the bank for studying abroad?
Yes it is. The bank offers loans of up to Rs. 20 lakhs for studying abroad, and it includes all expenses.
Kotak Mahindra Stated to Make Innovation the Driver for Its Transformation
Sanjay Gupta, Kotak Mahindra’s Senior Executive Vice President for Information Technology, says that the bank is currently on its way to make technological innovation the main driver for the bank’s transformation. The bank is currently modernizing its technology, processes, and infrastructure so as to serve its customers better and to streamline its process. Kotak Mahindra Bank is currently in the process of developing compelling, data-driven UX.