Skill Loan by HDFC Bank

Students registered for ASAP courses can now avail of skill loans for course fees ranging from INR 30,000 onwards from the nearest HDFC Bank branch.

HDFC Bank is offering education loans for courses offered by Additional Skill Acquisition Programme (ASAP) Kerala. The minimum loan amount offered is Rs. 30,000.

Click here to download PDF

Eligibility

  • Individuals who have secured admission and received the provisional admit letter.
  • The candidates who’ve completed their 12th grade or graduates from any stream.
  • There is no age restriction; individuals who meet all the criteria and other parameters as per the Banks Education Loan policy are eligible.
  • Co-applicant is mandatory, to be the parent(s)/guardian of the student borrower / in case of married person, co-obligator can be either spouse or the parent(s)/parents-in-law.)
  • Aadhaar (UID) is accepted for Know Your Customer (KYC) norms in addition to other identity and address proof as determined by the Bank.

Skill loan process:

Step 1: Receive the provisional admission form from ASAP

Step 2: Students should apply in the Vidya Lakshmi Portal, or they can directly approach the corresponding branch. Click here for detailed steps.

Note: A few branches will undertake this registration from the branch itself; students need to contact their desired branch to verify if they will undertake the application process. 

Step 3: Along with the downloaded form (Vidya Lakshmi Portal), signed by the parent and the student, all necessary documents must be submitted at the bank. Click here for the document checklist.

Note:

  • Compulsory Savings Account with HDFC Bank.
  • After submitting all the requisite details to the bank, it may take at least 4-5 days for the bank to process the details if the student is eligible for the loan.
  • If the candidate does not possess a PAN card, they should apply for the same prior to the above-mentioned procedures. For this, students need an Aadhaar card with their Date of Birth mentioned in the same. This can be verified from an Akshaya Centre using their E-Aadhaar card. If the Date of Birth is not mentioned, students should get it updated in the Aadhaar card using their SSLC copy from an Akshaya centre. 

Margin & Interest rate

  • Margin 5% and ROI Min: 10.25% – Max: 12.25% 
  • Once the repayment schedule commences, interest accrued during the moratorium period will be capitalised, and interest will be charged on a compounding basis, thereafter, as applicable to other education loans.
  • Interest rates are as prevalent as per Reserve Bank of India (RBI) norms.

Note

  • Students can choose to pay the interest during the duration of the course and through the moratorium period after submitting an undertaking at the bank from their parents/ guardians.

There is no processing fee

Banks will NOT charge any processing fee for skill loans.

No collaterals

There is no collateral required to avail a loan of amount < Rs. 7.5 lakh.

Moratorium

The moratorium period will be extended to the loans sanctioned under this scheme, as below:

  • Courses of duration up to 1 year:   Up to 6 months from the completion of the course
  • Courses of duration above 1 year: 12 months from the completion of the course

Branches will have the flexibility to fix the structure of repayment – flat Equated Monthly Instalments (EMI), tube payments or moratorium period, as deemed fit for various sectors and student categories.

Repayment

The loan will have a tenure as follows:

  • Courses of duration up to 1 year: In 2 to 5 years
  • Courses of duration above 1 year: In 3 to 7 years

Pre-closure

The borrower can close the loan at any time during the repayment period without any pre-closure penalty.

Insurance

Loan insured by Credit Protect from HDFC Life and the Insurance amount will be a part of loan amount. 

DISCLAIMER

Please note that the bank reserves the right to refuse loan requests that do not adhere to its terms and conditions.