Is a guarantor necessary when applying for a Union Bank Education Loan?

Yes, the bank mandates that the parent or guardian of the student applicant must act as co-borrower for the loan.

How soon can I expect approval for my Union Bank education loan?

Upon submission of the required documents to the bank, the loan is typically sanctioned within approximately 7 days.

Do I need to open a Union Bank account to apply for an education loan?

No, it is not obligatory for an applicant to open an account to apply for the Union Bank Education Loan.

Are specific minimum marks required to qualify for a Union Bank education loan?

Yes, the student must attain the minimum marks specified below in the qualifying exam.

Union Bank of India Education Loan

Investing in your child's education is one of the most important decisions. It plays a crucial role in paving the way for a brighter future for your child. As education costs continue to rise, accessing financial assistance becomes increasingly important. Union Bank of India, a leading bank in India, understands this need and offers education loans to support students in their academic endeavours.

Investing in your child's future:A wise decision & a loving choice

Benefits of Investing In Child Plan

Waiver of Premium Benefit

Future Premiums are paid by the insurer upon death of policyholder

Flexible Payout Options

Your premiums help your child achieve their dreams through lump sum or regular payouts

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Tax Benefits^

You get tax benefits under Section 80(C) and no tax on returns under Section 10 (10D)

Investment Flexibility

It offers the flexibility to invest at regular intervals or as a one-time contribution

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Nothing Is More Important Than Securing Your Child's Future

Invest ₹10k/month your child will get ₹1 Cr^# Tax-Free* on Maturity

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We are rated^~

7.7 Crore

Registered Consumer

Insurance Partners

4.2 Crore

Policies Sold

Disclaimer: #The investment risk in the portfolio is borne by the policyholder. Life insurance is available in this product. The maturity amount of Rs 1 Cr. is for a 30 year old healthy individual investing Rs 10,000/- per month for 30 years, with assumed rates of returns @ 8% p.a. that is not guaranteed and is not the upper or lower limits as the value of your policy depends on a number of factors including future investment performance. In Unit Linked Insurance Plans, the investment risk in the investment portfolio is borne by the policyholder and the returns are not guaranteed. Maturity Value: ₹1,05,02,174 @ CAGR 8%; ₹50,45,591 @ CAGR 4%. *Tax benefits and savings are subject to changes in tax laws. All plans listed here are of insurance companies’ funds.

Union Bank Education Loan Schemes and Interest Rates

Schemes	Course name	Interest Rates (p.a.)
Union Education	Under CGFSEL	11.30% p.a. (Up to Rs.7.5 lakh)
Union Education	Not Under CGFSEL	10.90% p.a. to 12.55% p.a. (No maximum limit. Need-based financing for NRI students: Up to Rs.30 lakh)
Union Education	Premier Abroad	9.30% p.a. to 9.55% (Up to Rs.40 lakh) 10.80% p.a. (Above Rs.40 lakh)
Union Education	Special scheme for premier medical institutes	10.30% p.a. (Up to Rs.40 lakh) 9.30% to 10.05% (Up to Rs.200 lakh)
Union Education Loan for ISB Students	Post Graduate Program in Management- PGPM	8.20% p.a.
Union Education Loan for ISB Students	Post Graduate Program in Management- PG-PRO	8.20% p.a.
Union Education Loan for ISB Students	Post Graduate Program in Management- PGPMAX	8.50% p.a.
Union Education - Special Education Loan Scheme	Tier-I Premier Management & Technical Institutes	9.30% p.a.
Union Education - Special Education Loan Scheme	Tier-II Premier Management & Technical Institutes	11.05% p.a. for male students. 10.55% p.a. for female students/minority/SC/ST
Union Education Skill Development	Skill Development Loan without deviation to be covered under CGFSSD	10.80% p.a.
Union Education Skill Development	Skill Development Loan with deviation if any & not covered under CGFSSD	12.05% p.a. for female students/minority/SC/ST 12.55% p.a. for male students.

What are the Various Union Bank Education Loan Schemes for Students?

Union Education Loan: Empowering Aspirations

Interest Rate: 10.65% p.a. to 12.30% p.a.

Processing Fee: Nil (for Indian students)

Collateral:

Loans up to Rs.4 lakh: No collateral

Loans up to Rs.7.5 lakh: Third-party guarantee

Loans above Rs.7.5 lakh: Tangible collateral

Loan Tenure: 15 years after the moratorium period

Eligibility: Indian national
Union Special Education Loan Scheme

Interest Rate: 9.05% p.a. to 10.80% p.a.

Processing Fees: None

Collateral: None

Loan Tenure: 15 years after the moratorium period

Eligibility: Indian nationals who have secured admission to premier educational institutions in India
Union Special Scheme for Tier II Management and Technical Institutes

Interest Rate: 10.30% p.a. to 10.80% p.a.

Processing Fees: None

Collateral:

Loans up to Rs.7.5 lakh: No collateral

Loans above Rs.7.5 lakh: Tangible collateral

Loan Tenure: 15 years after the moratorium period

Eligibility: Indian nationals who have secured admission in tier II management and technical educational institutions in the country

How to Apply for Union Bank Education Loan Online/Offline

Union Bank provides convenient options for applying for an education loan, both online and offline. Follow these steps to apply:

Offline Application:
- Visit the nearest Union Bank branch or Union Loan Point (ULP).
- Collect and fill out the application form.
- Submit the form along with the required documents to the bank representative.
Online Application:
- Visit the official Union Bank website.
- Request a callback by providing your contact details.
- Prepare digital copies of necessary documents.
- Receive a call from the bank representative.
- Follow their guidance, submit documents online, and complete the application.

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Invest ₹10K/Month YOU GET ₹1 Crores^* For Your Child View Plans

Invest ₹8K/Month YOU GET ₹80 Lakhs^* For Your Child View Plans

Invest ₹5K/Month YOU GET ₹50 Lakhs^* For Your Child View Plans

Standard T&C Apply *

What are the Documents Required to Apply for the Loan at Union Bank of India?

To apply for the Union Bank of India Education Loan, the following documents are required:

PAN Card
Proof of outgoings (If any)
Admission documents, admission letter, and admit card
Proof of address - Electricity bill, Telephone bill, Ration card, or other valid proof.
Proof of identity - Passport, PAN Card, Employee Identity card, or any other valid proof
Schedule of expenses, including the fee structure and living expenses
LIC Policies (If any)
Mark sheets for Class X or equivalent onwards.
Bank statement for the last 12 months
Any other document asked for in the application form
Loan repayment statement (If any)
3 photographs
Proof of Income:
- Salaried Individuals - Last year's Income Tax Returns, Form-16/letter from the employer, salary slips for the last 6 months
- Agriculturists - Income Certificate from the concerned revenue officer (Tahsildar) or/and proof of landholding
- Business Owners - Income Tax Returns for the last 3 years, Profit & Loss Balance Sheet

What are the Minimum Marks Required to be Eligible for an Education Loan?

For studies abroad:

Category	Minimum marks
OBC	50%
SC\ST	50%
General	60%

For studies in India:

Category	Minimum Marks
OBC	55%
SC\ST	50%
General	60%

FAQ's

Is a guarantor necessary when applying for a Union Bank Education Loan?

Yes, the bank mandates that the parent or guardian of the student applicant must act as co-borrower for the loan.
How soon can I expect approval for my Union Bank education loan?

Upon submission of the required documents to the bank, the loan is typically sanctioned within approximately 7 days.
Do I need to open a Union Bank account to apply for an education loan?

No, it is not obligatory for an applicant to open an account to apply for the Union Bank Education Loan.
Are specific minimum marks required to qualify for a Union Bank education loan?

Yes, the student must attain the minimum marks specified below in the qualifying exam.

†Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. The sorting is based on past 10 years’ fund performance (Fund Data Source: Value Research). For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
*All savings are provided by the insurer as per the IRDAI approved insurance plan.
^The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
#The investment risk in the portfolio is borne by the policyholder. Life insurance is available in this product. The maturity amount of Rs 1 Cr. is for a 30 year old healthy individual investing Rs 10,000/- per month for 30 years, with assumed rates of returns @ 8% p.a. that is not guaranteed and is not the upper or lower limits as the value of your policy depends on a number of factors including future investment performance. In Unit Linked Insurance Plans, the investment risk in the investment portfolio is borne by the policyholder and the returns are not guaranteed. Maturity Value: ₹1,05,02,174 @ CARG 8%; ₹50,45,591 @ CAGR 4%
+Returns Since Inception of LIC Growth Fund
¶Long-term capital gains (LTCG) tax (12.5%) is exempted on annual premiums up to 2.5 lacs.
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^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.