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

TMB Education loan
TMB Education loan

The Tamilnadu Mercantile Bank is a private bank with its headquarters located in Thoothukudi, Tamil Nadu. The bank provides financial products and services through its 437 branches which also provides the facility of Tamilnadu Mercantile Bank Educational Loan. If you want Educational Loan to complete your education or pursue higher studies from Abroad, You are at the right place to collect every aspect of information related to Educational Loan in India.

TMB Logo

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


Tamilnadu Mercantile 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  Tamilnadu Mercantile Bank (TMB)
Founded on 11 May 1921
Headquarter Thoothukudi, Tamil Nadu
Type of Bank  Private Bank
Number of Employees NA
CEO Name H.S. Upendra Kamath
Maximum Loan Amount  Rs 20 Lakh
Timeline for Loan Disposal Maximum 15 Working days
Annual Revenue 3,811.47 crore (US$ 530 million) (2017)
Processing Fees
  • For studies in India: No Processing Fee.
  • For studies aboard: Processing Fee will be 1.00% of the limit sanctioned
Other Subsidiaries
  • Tamilnad Mercantile Bank, Asset Management Arm
Category  Education Loan in India

Types of Tamilnadu Mercantile Bank Student Loan

S.no. Scheme Description
1. Skill Development Loan Scheme TMB Skill Loan Scheme aims at providing a loan facility to individuals. who intend to take up skill development courses as per the Skilling Loan Eligibility Criteria. One can avail a loan amount from Rs 5000 to Rs 1.5 lac
2. Short-term study loan This scheme is for pursuing Short-term studies in technical and professional courses both in India and Abroad. One can avail a loan Maximum of Rs. 25,000 or 3 Months Gross Salary of the Parent whichever is lower.

How to Apply

Online

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

Offline

  • Visit the nearest branch of  Tamilnadu Mercantile 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.

Eligibility

  • The applicant should be an Indian National.
  • Applicant must have secured admission in a recognized educational institution in India or Abroad through Entrance Test / Merit Based Selection process after completion of HSC (10 plus 2 or equivalent). In case of some of the postgraduate courses or research programmes, the criteria are based on employability and reputation of the institution concerned.

Documents Needed

  • Copies of highest educational qualification (degree/post-graduation, etc.)
  • Completed loan application form.
  • Proof of admission: Offer Letter or Admission Letter from the Institution.
  • Schedule of expenses for the course.
  • Documents for proof of age (Date of birth Certificate).
  • Copies of the letter confirming scholarship, etc.
  • ID and Address proof.
  • Passport size photographs
  • Proof of Income of Parents or Guardians.
  • Statement of Bank account for the last six months of borrower
  • Details of collateral security marked by a Government approved valuer (if applicable).
  • A brief statement of assets and liabilities of the borrower.
  • Passport/Visa copy, airfare cost as established in documents (for studies abroad).

Expenses Considered

  • Tuition, course fee and hostel fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, Uniforms, Equipment and other instruments.
  • Travel Expenses

Return Policy

  • In the case of Tamilnadu Mercantile Bank Education loan, repayment will start after the completion of course period and moratorium period. Repayment will commence 6 months after completion of Course.
  • Repayment up to Maximum of 15 years

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 Tamilnadu Mercantile Bank Education LoanClick Here

Security

  •  Up to Rs. 7.50 Lacs:
    • Co-obligation of parents
    • No security
  •  Above Rs. 7.50 Lacs:
    •Co-obligation of parents together with tangible collateral security (need not necessarily be belonging to the joint borrowers) along with the assignment of future income of the student for payment of instalments.

Contact Details

Head office  57, V.E. Road, Tuticorin, Tamilnadu, India. Zip: 628 002.
Phone: +91 (461) 232 1382 / 232 1929 / 232 1932.
Official website www.tmb.in
Apply for Loan  Click Here
Contact Number 180 0425 0426

TMB 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 Tamilnadu Mercantile 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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