ICICI Bank today announced the launch of a facility that empowers customers to get
instant sanction letter for education loans upto Rs. 1 crore to finance higher studies for
themselves or their children, siblings and grand-children in accredited colleges and universities
across the world. Called ‘Insta Education Loan’, this first-of-its-kind facility enables lakhs of preapproved customers to take education loans in a fully digital process against their fixed deposits
with the Bank. They can furnish the sanction letter to the educational institute to confirm their
admission.
The ‘Insta Education Loan’ facility significantly improves customer convenience as they can
now generate the sanction letter themselves in just a few clicks using the Bank’s internet
banking platform. Typically, it takes a few working days for a customer to get the sanction letter
of an education loan. Also, it does away with the need of having to visit a bank branch and
submitting a whole lot of documents.
Speaking about the new facility, Mr. Sudipta Roy, Head – Unsecured Assets, ICICI
Bank, said, “As part of our constant endeavour to fulfil the dreams of lakhs of aspiring
students, we are pleased to introduce instant approval of sanction letter for education loans
against fixed deposits held with the Bank. Students can now complete the application process
of colleges/universities without worrying for their financial requirements. They along with their
parents can avail this facility with digital convenience and without any hassle of paper work.
This facility will brings down the turnaround time for getting the sanction letter from days to a
few minutes. We believe that this facility surely brings in exceptional convenience to customers
as they can avail finance for higher studies without breaking their fixed deposit/ savings.”
Below are some of the salient features of ‘Insta Education Loan’:
Instant sanction: Customers get the sanction letter instantly through email, without
visiting a branch
Flexibility: Customers can apply for loans upto 90% of their fixed deposits with the Bank
for their children, siblings, grand-children or themselves.
Wide range of loan amount: For students seeking admission in international institutes,
the loan amount ranges between Rs. 10 lakh and Rs. 1 crore. The amount varies between
Rs. 10 lakh and Rs. 50 lakh for student seeking admission in domestic institutes.
Easy to apply: Customers can choose the loan amount and tenure of repayment up to 10
years through internet banking platform of the Bank with just a few clicks.
Tax benefits: Full interest payment on the amount of ‘Insta Education Loan’ up to 8 years
is allowed as deduction from annual taxable income, as per the Section 80E of Income Tax
Act, 1961.
Customers can avail the sanction in a few simple steps below:
- Log in: Customers can log in to the Bank’s internet banking platform and check the preapproved offer
- Enter loan details: They need to enter details like loan amount, repayment tenure, name
of college / university and cost of study. The calculator automatically displays the details of
the Equated Monthly Instalment (EMI). - Enter student details: They are required to enter details of the student like name, date of
birth and relation with student. Further, they need to check final offer, agree to terms &
conditions and authenticate via a One Time Password (OTP) received on their registered
mobile number. Thereafter, on payment of processing fee, a sanction letter is generated
instantly. - Receive sanction letter: The provisional sanction letter is sent to the registered email ID
along with details of the designated relationship manager.
For the final disbursement of the loan, customers are required to get in touch with the
relationship manager mentioned in the email of sanction letter. Post collecting required
documents like admission letter, financial documents and signatures, the Bank will disburse the
loan amount to the educational institution. Customers can also visit the nearest ICICI Bank
branch for submission of the documents.
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