A Check List to Remember
(say, six months to one year after completion of study period), by which time one gets into employment when demanded by the university/institute), but remember to check that you pay interest only for the amount availed (and not on the entire amount sanctioned). bank) till completion of course of study. Thereafter, the entire interest amount will be added to the principal amount availed and EMI will then be fixed for repayment during the remaining period of the loan. In the latter scenario, compound interest will be applicable on the entire loan amount.
This is done on a regular basis so that the bank can track your performance from time to time.
action on the loan – else one may end up paying overdue interest on the loan availed. on any change of address along with proof, so that any important communication from the bank can be received by you without delay/added cost. collateral property, cost for obtaining non-encumbrance certificate on the property mortgaged, and renewal of insurance policy, if any, of self/sureties. loan amount) and for this the annual premium payable is very nominal. Wherever or not this is not done by the bank, It is advisable to take a personal accident cover policy (amount of cover equal to the loan amount availed) to cover the life of the student/surety) to ensure that the loan burden does not fall upon the family.