Karnataka Bank Education Loan: Application, Eligibility, Interest Rate, Documents & Much More.

Karnataka Bank Education Loan

The Karnataka Bank a leading ‘A’ Class Scheduled Commercial Bank in India, was incorporated on February 18th, 1924 at Mangaluru, a coastal town of Dakshina Kannada district in Karnataka State. The bank took shape in the aftermath of patriotic zeal that engulfed the nation during the freedom movement of 20th Century India. Over the years the Bank grew with the merger of Sringeri Sharada Bank Ltd., Chitradurga Bank Ltd. and Bank of Karnataka. If you want Education Loan to pursue higher studies from Abroad or India, You are at the right place to collect every aspect of information related to Education Loan in India.

Karnataka Bank Logo

Read this full post on Karnataka Bank Education Loan for information Like Eligibility, How to apply, Interest Rates, Documents Needed, Different aspects of Education Loan, Interest Rates, Return Policy, General Instructions etc. Throughout the article, we will share information regarding Karnataka Bank Educational Loan it’s Process to Apply and full detailed Information.

Karnataka Bank Education Loan

The major aim of the bank is to ensure anywhere and any time banking for the customer with the latest state-of-the-art technology. The Bank is very serious about its Education Loan Facility and by developing an effective customer-centric relationship it promises to emerge as a world-class education Loan provider. Before we share further, let us first have a brief review of the Bank.

Brief Review

Profile Description
Name of Bank  Karnataka Bank
Founded on 1924
Headquarter Mangaluru, Karnataka, India
Type of Bank  Private Bank
Number of Employees 8,220 (2018)
CEO Name Shri Mahabaleshwara M. S
Maximum Loan Amount  Rs 20.0 Lakhs
Timeline for Loan Disposal Maximum 15 Working days
Annual Revenue 5,185.40 crore (US$720 million) (2017)
Processing Fees No Processing Fee will be charged
Other Subsidiaries
  • Karnataka Bank Ltd., Hyderabad
  • Karnataka Bank Ltd., Asset Management Arm
Category  Education Loan in India

Types of Student Loan

S.no. Schemes Description
1. KBL Vidya Nidhi under this scheme, Students can avail loan for professional/technical/other courses, in India or abroad. Amount of loan is Maximum of ₹10 lakh for study in India and ₹20 lakh in abroad.
2. Skill Loan Scheme Any individual who has secured admission in a course run by Industrial Training Institutes (ITIs), Polytechnics or in a school recognized by Central or State education Boards or in a college affiliated to recognized university, training partners affiliated to National Skill Development Corporation (NSDC)/Sector Skill Councils, State Skill Mission, State Skill Corporation.
Loan amount from Rs 5,000/- to 150,000/- for studies in India.

How to Apply


  • Visit official Web Site of Karnataka Bank (Click Here)
  • Find the Educational Loan Section (Apply Now Button)
  • Fill online Application Form.


  • Visit the nearest branch of Karnataka Bank to get offline Education Loan form.
  • You may also download the form from official web handle.
  • Submit the Application Form to Nearest Branch along with document needed.


  • The applicant should be an Indian national.
  • Applicant must have secured admission in a recognized educational institution.
  • The student should have secured admission to a Recognized/Affiliated and Reputed School/High School / Junior School / College (including).

Documents Needed

  • Mark sheet of last qualifying examination for school and graduate studies in India
  • Academic Records: 10th Result, 12th Result, Graduation result-semester Wise (if Possible) Entrance Exam Result through which admission is being taken
  • Proof of admission: Offer Letter or Admission Letter from the Institution.
  • Schedule of expenses for the course
  • Identity proof (applicant, co-borrower)
  • Residence proof
  • Passport size photographs

Expenses Considered

  • Tuition and course fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, Uniforms, Equipment and other instruments.
  • Travel Expenses
  • Any other reasonable expenditure found necessary for completion of the course could be considered on merit.
  • Purchase of Computer.
  • Expenses like Project Work, Study Tour and Thesis, which are necessary for completion of course.

Return Policy

  • In case of Karnataka Bank Education loan, repayment will start after the completion of course period +1year or moratorium period.
  • Repayment will commence 6 months after completion of Course and can be made till Maximum of 15 years.
  • Repayment should be made in 2 to 7 Years for Skill loan Scheme

EMI Calculator

EMI Calculator is used for calculating the periodic payment amount due on a loan. For calculating EMI one must input data like Amount, Interest Rate, tenure, Processing Fee etc.

  • If you want to calculate EMI for Karnataka Bank Educational LoanClick Here


  •  Up to Rs. 7.5 Lacs
    • Co-obligation of parents
    • No security
  •  Above Rs. 4 lacs and up to Rs.7.50 Lacs
    •Collateral in the form of a suitable third party guarantee.)
  • Above Rs. 7.5 Lacs
    •Collateral security of suitable value /suitable third party guarantee along with the assignment of future income of the student for payment of instalments.
  • Nil (Skill loan scheme)

Contact Details

Head office  Karnataka Bank Ltd Regional Office, P.B.No.746, Kodialbail
Mangaluru, Karnataka, India – 575 003
Official website karnatakabank.com
Apply for Loan  Click Here
Contact Number 1800 425 1444

Karnataka Bank Student Loans FAQs

We hope that the information furnished above will guide you to get the best educational loan for your studies. In case of any doubt regarding the loan procedure and other related terms, read our FAQ’s session.

Q1. Who can be my co-borrowers?

Ans. Your parents/guardian can be a co-borrower as well as the spouse in case of a married applicant. The co-borrower should have a steady source of income and a good credit history in order to improve the applicant’s chances of a successful loan application.

Q2. How long does it take to process Educational Loan?

Ans. Generally, the time taken for the education loan to process is somewhat between 7-10 working days. Often, the whole process can be easily completed within 3 to 5  Working days, once the student fulfils all documentation.

Q3. What all expenses will be covered by education loans?

Ans. Apart from the tuition fees, other aspects of expenses such as hostel charges, equipment purchases and other course-related expenses may also be covered by the education loan.

Q4. What are the courses for which an education loan can be availed?

Ans. An education loan can be availed for all courses recognized by the UGC in case of India and all regular courses abroad. Each lender has its own list of educational institutions and courses that they would provide a loan for whether overseas or within India.

Q5. Can a student avail another loan for further studies?

Ans. Yes, this is possible. You can borrow a loan for a bachelor’s degree followed by one for master’s without repaying the first loan. This loan can be taken as a top-up loan against the already existing loan; however, it is subject to the lending bank’s discretion and the internal rules and regulations of the lender.

Q6. Do education loans have any Income Tax benefits?

Ans. Loan borrowers can avail tax benefits on interest paid on education loan under Sec 80E of the Income Tax Act. This benefit is available over and above the Rs. 150,000 deduction allowed under Section 80C. Tax benefits can be availed once the borrower starts paying the interest on the education loan. Further, the deduction is available until the borrower pays off the full interest amount on the loan or for a maximum period of 8 years, whichever is earlier.

Q7. Why do banks require an insurance policy?

Ans. Banks usually prefer that students avail a life insurance policy equivalent to, or more than, the loan amount. The policy acts as a security feature and forms a part of the collateral. In case of the untimely demise of the borrower, the bank recovers the outstanding loan amount from the student’s life insurance policy and the remaining amount, if any, is paid out to the beneficiary of the policy.

Q8. Is any incentive available for a girl student applying for education loan?

Ans. Banks generally provide a 0.5% concession on the applicable education loan interest rate to girl students pursuing higher education in India and abroad.

Q9. Are there any special privileges for students of SC/ST category who avail education loans?

Ans. Yes, eligibility criteria and loan margins on education loan are relaxed for Scheduled Caste/Scheduled Tribe students availing education loans in India. The eligibility criteria are lowered from first/second class to pass class for SC/ST category students seeking education loan for graduate and postgraduate studies, while, margin money is sometimes lowered than the regular percentage or nil.

Q10. Where can I avail on a Karnataka Bank education loan?
Ans. The loan is available from all branches in metro/urban areas as well as those having personal banking divisions.

Best of Luck..!!

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