Saraswat Bank


"As one of the largest co-operative banks in India, Saraswat Bank has a network of 267 branches around the country and is widely popular for its affordable credit schemes and attractive interest rates. For students intending to pursue their higher education in India or abroad, Saraswat Bank offers a comprehensive education loan scheme with flexible repayment options, interest rate subsidies and higher loan amounts including special discounts for women. The Saraswat Bank education loan also offers a unique feature wherein borrowers can invest in Saraswat Bank shares when they avail their loans."

Loan Interest Rates:

"For IBA approved courses, Saraswat Bank sanctions loans amounting up to Rs 20 lakhs at a floating interest rate of 14.50% per annum and a fixed interest rate of 14% per annum. Female applicants are eligible to get a concession of 0.50% on the interest rate and students applying to premier institutions like IIMs, IITs, XLRI or ISB get an additional discount of 0.25%."

Loan Eligibility:

Courses Eligible For Loan:
"Saraswat Bank education loans can be procured by individuals who have secured admission for Undergraduate or Postgraduate courses in any institution approved by IBA."
Documents Required:
  • Duly filled-in application form
  • Photo ID and Proof of Residence of the applicant and guarantors
  • Admission Letter
  • Detailed estimate of the course fees and other expenses
  • Fee receipt or any proof of payment
  • Passport and Visa Photocopies (for overseas education)
  • Income Proofs
    • Salaried Employees -Last three months' pay slips/ Last three years IT returns with details of personal assets and liabilities.
    • Self-employed Businessmen -Last two years P/L statements and IT returns copies/ Balance sheet/ Bank statement for the last 6 months.

Candidate Education Loan Eligibility:
"Saraswat Bank education loans can be procured by individuals who have secured admission for Undergraduate or Postgraduate courses in any institution approved by IBA."
Processing Fees:
"Saraswat Bank does not levy any processing charges on education loans taken to finance education in India. A processing fee of 0.5% of the loan amount will be charged on education loans taken for studies abroad."

Expenses Covered under Education Loan:

Loan Repayment:

"The moratorium period includes the entire tenure of the course plus a period of six months or 3 years to repay a loan. Applicants can repay a Saraswat Bank education loan with a tenure extending up to 12 years inclusive of the moratorium period."

Security Required:

  • Two guarantors are required for education loans taken up to Rs. 2 lakhs.
  • Loans above Rs. 5 lakhs and up to Rs. 5 lakhs require hypothecation of household articles, along with two guarantors.
  • For any loan amount above Rs. 5 lakhs, borrowers can pledge any security accepted by the bank or make an equitable mortgage of their properties.


1.As an existing education loan borrower with Saraswat Bank can I view my loan statements online?
Ans. Yes, borrowers can create a login on the Saraswat Bank web portal and view all details related to their education loan online.

2.Does the interest rate subsidy apply on all disciplines of UG and PG courses?
Ans. Yes, irrespective of the discipline of study, the interest subsidy applies on education loan applications.

3.Are additional student expenses like hostel fees, travel, books and equipment fees covered by a Saraswat Bank education loan?
Ans. Yes, the Saraswati education loan covers all additional student expenses along with the tuition fees.

4.How many guarantors are required as security while availing a Saraswat Bank education loan?
Ans. The bank requires at least two guarantors as security for a Saraswat Bank education loan.

5.Does Saraswat Bank have a cap on the interest rate discounts for education loans?
Ans. Yes, the total discounts on the education loan interest rates will not exceed 0.50%.