Education Loan for Students: BOI Loan Programme at DBU
August 18, 2026 2026-08-18 6:21Education Loan for Students: BOI Loan Programme at DBU
Education Loan for Students: BOI Loan Programme at DBU
Higher education is an important step towards building a strong career. However, tuition fees, hostel fees, books, equipment, and other education expenses can be a financial concern for students and their families. An education loan for students can provide financial support to eligible students who want to pursue higher education.
At Desh Bhagat University, we understand the importance of making higher education accessible. We provide education loan assistance to help students explore suitable bank loan options for their studies.
One option available for eligible students is the Bank of India Education Loan, also known as the BOI Star Education Loan for studies in India. The programme provides need-based financial assistance for eligible students pursuing approved courses in recognized institutions. The information in this article is based on the education loan details provided in the Bank of India material shared with us.
What is an Education Loan for Students?
An education loan is financial assistance provided by a bank to help eligible students meet the cost of higher education.
Under the Bank of India Star Education Loan for studies in India, the loan provides need-based finance to meet education expenses, subject to the earning potential of the student after completing the course.
Depending on the applicable terms, the loan can support expenses such as:
- College, school and hostel fees
- Books
- Equipment and instruments
- Computer or laptop
- Other education-related expenses
- Life insurance premium for the student or co-borrower, where applicable
These expenses are specifically listed in the Bank of India education loan information shared with us.
What is the Education Loan Programme?
The Education Loan Programme is designed to provide financial support to eligible students who want to pursue approved higher education courses.
The Bank of India Star Education Loan covers several categories of courses, including:
| Course Category | Covered |
| Graduate Courses | Yes |
| Postgraduate Courses | Yes |
| Diploma Courses | Yes |
| PhD Courses | Yes |
| Professional Courses | Yes |
| Technical Courses | Yes |
| Evening Courses | Yes |
| Part-time Courses | Yes |
The course must be approved or recognized by the designated academic authority or regulatory body for the relevant stream of study in India.
Bank of India Education Loan for Students
The Bank of India Education Loan is a financial support option for eligible students pursuing studies in India.
The shared Bank of India material lists eligibility requirements, loan features, expenses covered, margin, repayment, and documentation requirements. Students should review the current terms with Bank of India before applying because loan conditions may be subject to applicable terms and conditions.
Who Can Apply?
According to the provided Bank of India information, eligible students should meet the applicable nationality, admission and academic requirements.
The material states that students should be Indian Nationals, NRI, PIO or OCI and should have secured admission in a recognized institution for an approved course through an entrance test or merit-based selection process after completing HSC (10+2) or an equivalent qualification.
For admissions where selection is based on qualifying examination marks, the provided information mentions:
- General category: Minimum 60%
- SC/ST/OBC category: Minimum 50%
- Credit score: -1 or above 675
Eligibility should always be confirmed against the latest applicable Bank of India scheme conditions.
Education Loan Assistance at Desh Bhagat University
At Desh Bhagat University, we understand that arranging funds for higher education can be an important part of the admission process.
Our education loan assistance helps students understand the available process and explore suitable bank financing options. Students can use the relevant admission and academic documents to proceed with their loan application.
The final approval of an education loan is made by the concerned bank based on its eligibility criteria, assessment, documentation, and applicable terms.
What Expenses Are Covered Under the Education Loan Programme?
The Bank of India material shared with us lists several education-related expenses that may be covered.
College, School and Hostel Fees
The loan can cover fees payable to the college, school or hostel, subject to the applicable loan terms.
Books and Study Equipment
The loan may cover the purchase of books, equipment and instruments required for the course.
Computer or Laptop
The purchase of a computer or laptop is also listed as a covered expense.
Other Education Expenses
Other expenses related to education may also be considered according to the applicable terms.
Life Insurance Premium
The provided material also lists the life insurance premium for life cover of the student or co-borrower for the total tenure of the loan as an eligible expense.
Bank of India Education Loan: Loan Amount and Security
The Bank of India information states that the loan is provided on a need-based basis.
For loans up to ₹7.50 lakh, the provided presentation states that collateral-free coverage is available under CGFSEL, subject to the applicable guidelines and conditions. For loans above ₹7.50 lakh, tangible collateral security of suitable value is required, with the shared material specifying a minimum of 100% of the loan amount.
The listed forms of security may include:
- Land or building
- Government securities
- Sector bonds
- Units of UTI
- NSC
- KVP
- Life insurance policy based on surrender value
- Bank deposits
Students and co-borrowers should confirm the latest security requirements directly with Bank of India before applying.
Who is the Co-Borrower?
The joint borrower normally includes the student’s:
- Parent
- Spouse
- Guardian
For a married student, the joint borrower can be the spouse, parent or parent-in-law, according to the information provided by Bank of India.
Bank of India Education Loan Interest and Concessions
The Bank of India presentation shared with us lists the following interest information:
| Loan Amount | Interest Rate |
| Up to ₹7.50 lakh | 9.80% |
| Above ₹7.50 lakh | 9.60% |
The same presentation lists certain concessions, subject to applicable terms and conditions:
- 0.50% concession for girl students
- 0.50% concession for professional courses, such as Engineering, Medical and Management
- 1% concession for serving interest during the moratorium period
As interest rates and bank policies can change, students should confirm the current applicable rate with Bank of India before making a financial decision.
Education Loan Margin
The provided Bank of India information lists the following margin requirements:
| Loan Amount | Margin |
| Up to ₹4 lakh | Nil |
| Above ₹4 lakh | 5% |
These figures are based on the material supplied for this article and are subject to the applicable terms and conditions.
Education Loan Repayment Period
The Bank of India Education Loan material states:
- Moratorium period: Course period + 1 year
- Repayment period: Up to 15 years
- No prepayment penalty
The detailed presentation also states that there are no hidden charges and no prepayment penalty.
This can help students and families plan repayment after the course and the applicable moratorium period.
Documents Required for an Education Loan for Students
| Document Required | Student | Co-Applicant |
|---|---|---|
| PAN & Aadhaar | ✓ | ✓ |
| Proof of Address | ✓ | ✓ |
| Income Proof (ITR / Form 16 / Salary Slip) | — | ✓ |
| Academic Records (Class 10, Class 12, Graduation, if applicable) | ✓ | — |
| Admission Proof / Qualifying Examination Result | ✓ | — |
| Schedule of Study Expenses | ✓ | — |
| Passport-Size Photographs | ✓ | ✓ |
| One-Year Bank Statement | — | ✓ |
| Vidya Lakshmi Portal Reference Number | ✓ | — |
| Vidya Lakshmi Portal Application | ✓ | — |
| Collateral Security Details & Documents, if applicable | — | ✓ |
Note: The exact documents required may vary depending on the loan application and applicable Bank of India requirements. Students should confirm the latest document requirements before submitting their education loan for students application.
How to Apply for the Education Loan Programme?
Students can follow the steps below to apply for an education loan for students. The process is based on the Bank of India education loan information provided in the shared document.
| Step | Education Loan Application Process | What Students Need to Do |
|---|---|---|
| 1 | Choose Your Course | Select an eligible Graduate, PG, Diploma, PhD, Professional, Technical, Evening or Part-time course. |
| 2 | Secure Admission | Get admission to a recognized institution for an approved course through the applicable entrance or merit-based selection process. |
| 3 | Check Loan Eligibility | Check the applicable eligibility criteria, loan amount, margin, security requirements, and other loan conditions. |
| 4 | Prepare Documents | Keep PAN, Aadhaar, academic records, admission proof, fee details, photographs and required co-applicant documents ready. |
| 5 | Apply Through Vidya Lakshmi Portal | Apply online through the Vidya Lakshmi Portal, as specified in the Bank of India education loan information. |
| 6 | Complete Bank Verification | Submit the required documents and complete the verification and other formalities requested by the bank. |
| 7 | Loan Approval & Disbursement | After approval, the loan is disbursed in stages according to the requirement or demand, directly to the institution or vendors where possible. |
Important Point
The Bank of India information states that students should apply online through the Vidya Lakshmi Portal. It also states that loan disbursement is made in stages according to the requirement or demand, directly to the institution or vendors for books, equipment and instruments to the extent possible.
Note: Loan approval and disbursement are subject to the bank’s applicable eligibility criteria, verification, documentation and terms.
Why Choose Bank of India Education Loan?
The provided Bank of India presentation highlights several features:
- No documentation charges
- No hidden charges
- No prepayment penalty
- NIL processing charges
- Minimum turnaround time (TAT)
These features are listed in the shared presentation and remain subject to the applicable terms and conditions.
Important Conditions for Students
Students should also understand their responsibilities after receiving an education loan.
The provided Bank of India information states that students should produce the previous term or semester mark list before receiving the next instalment. Students and parents should also provide the latest mailing address if it changes.
Students or parents should inform the branch about important changes such as:
- Change of course
- Completion of studies
- Termination of studies
- Fee refund from the institution
- Successful placement
- Obtaining a job
- Change of job
Keeping the bank informed helps maintain proper loan records.
Benefits of an Education Loan for Students
An education loan for students can help eligible students manage the cost of higher education without paying all education expenses immediately from personal funds.
Some key benefits of the programme described in the provided material include:
- Support for different types of higher education courses
- Coverage of several education-related expenses
- Need-based financing
- Collateral-free coverage up to ₹7.50 lakh under CGFSEL, subject to applicable conditions
- Long repayment period of up to 15 years
- No prepayment penalty
- Specific concessions listed for eligible students and courses
Students should compare their financial requirements with the latest bank terms before selecting a loan option.
Conclusion
An education loan for students can provide important financial support for eligible students who want to pursue higher education. The Bank of India Education Loan offers need-based financing for various approved courses and can cover several education-related expenses according to the applicable terms.
The Bank of India Education Loan Programme includes options for Graduate, PG, Diploma, PhD, Professional, Technical, Evening and Part-time courses. It also provides defined provisions related to margin, security, repayment and eligible expenses.
At Desh Bhagat University, we support students in understanding the education loan assistance process and exploring suitable financing options. Students should review the latest Bank of India terms and complete the required application and documentation process before applying.
Note: Interest rates, eligibility criteria, loan terms, security requirements, and other conditions may change. Students should confirm the latest details with Bank of India before making a financial decision.
Frequently Asked Questions
An education loan for students is financial assistance provided by a bank to eligible students for approved education-related expenses.
The Bank of India Education Loan, presented as the BOI Star Education Loan for Studies in India, is designed to provide need-based finance to eligible students pursuing approved courses in India.
The provided Bank of India information includes Graduate, Postgraduate, Diploma, PhD, Professional, Technical, Evening and Part-time courses, subject to the applicable recognition and approval requirements.
The provided material describes the loan as need-based finance rather than giving one fixed loan amount for every student. The applicable amount depends on the student’s requirements and other loan conditions.
The provided Bank of India information states that loans up to ₹7.50 lakh can be covered under CGFSEL subject to applicable guidelines, while loans above ₹7.50 lakh require tangible collateral security of suitable value according to the stated terms.
The provided information states that the repayment period can be up to 15 years, with a moratorium of the course period plus one year.
Yes. The Bank of India material specifically lists the purchase of a computer or laptop among the covered expenses, subject to applicable loan conditions.
The provided Bank of India information states that students should apply online through the Vidya Lakshmi Portal.
