NEWS & ADVICE : EDUCATION LOANS
The rising NPAs in education loans
By Neelima Shankar
Mar 11, 2014
Print    Email    RSS   

According to the industry evaluation it has been noticed that the gross NPAs in educational loan have increased in past few months. Indian Bank reports showed that 5% of the educational loan of the bank accounts for bad loans. The glooming economy of the country has made it harder for the students to find the job, and therefore they are not able to pay the loan payments on time.

Similarly the Indian Overseas bank accounts for the 8% of its educational loans as it bad loans. As per the salary offered to the students they are finding the interest rates charged on the educational loan 12-13% is higher. Chairman of the corporation bank stated that the Bad educational loan is more than double in the third quarter of this year as compared to the last year.

However it has been reported that it seems the situation will improve by the end of this financial year, since the government has promised to pay interest component on loans taken prior to 2009 by a section of borrowers.


(Comments Posted : 0) Post Your Comments
Show All Comments
COMPARE QUICKLY
 Select a product:
 

CALCULATE QUICKLY
 Select a product:
 

EDITORS' PICKS
Carnival of Indian Personal Finance Blogs #1
Collateral and co-applicant requirements...
Carnival of Indian Personal Finance Blogs #3
Claim tax deduction on education loan
The best education loan from banks in...


ROPAR: CaℒL Giℛℒ In Kurali 09855660911...
Why Pitampura Tutors (Ph:- 9911742311) & Private...
kala jadu in hindi 9636854282

NEWS THIS WEEK
Banks to look forward to hire students from IIT/IIM Feb 18, 2015
Union Bank of India hiring for the post of specialist officers Feb 16, 2015
Canara bank launched scholarship Scheme Feb 13, 2015
AXIS bank started ‘My idea of progress’ Campaign Feb 12, 2015
RBI inviting applications for the guard post Feb 11, 2015
News Archive