Lok Sabha Question No. 1190 (UNSTARRED), answered on 2018-02-09
Subject: Interest on Education Loan
Ministry: FINANCE
Asked by: ALOK SANJAR, RAHUL KASWAN

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES LOK SABHA

## UNSTARRED QUESTION NO. †1190

## TO BE ANSWERED ON THE 9 th  FEBRUARY, 2018, MAGHA 20, 1939 (SAKA) Interest on Education Loan

## †1190 SHRI ALOK SANJAR and SHRI RAHUL KASWAN:

Will the Minister of FINANCE be pleased to state:

- (a) the number and percentage of students sought and availed the education loan from various banks in the country during the last three years and the current year, bank-wise, State/UT-wise including Madhya Pradesh;
- (b) the  number  of  education  loans  sanctioned  and  disbursed  during  the  said period, bank-wise/UT-wise including Madhya Pradesh;
- (c) the  rate  of  interest  being  charged  by  the  banks  on  education  loans  in  the country;
- (d) whether the cases of charging lower rate of interest on education loans to girls as compared to boys by banks have come to notice and if so, the details thereof; and
- (e) the steps taken by the Government to remove the above disparity?

## ANSWER (MINISTER OF STATE IN THE MINISTRY OF FINANCE) (SHRI SHIV PRATAP SHUKLA)

- (a) & (b) As per the information furnished by Reserve Bank of India (RBI), the bankwise/state-wise number of education loan accounts and amount of loan disbursed by banks in the country including in the State of Madhya Pradesh for the years ending on 31 st March 2014, 31 st March, 2015, 31 st March, 2016 and 31 st March, 2017 are at Annexure I/Annexure II, respectively.
- (c) Interest being charged by the Public Sector Banks (PSBs) on education loans are given in the Annexure III.
- (d) &(e) Indian Banks' Association (IBA) has, on February 04, 2009 at the request of the  Government,  advised  its  member  banks  that  at  least  0.50%  concession  in interest rates may be provided to girl students on education loans for studies in India or abroad. Some of the banks give concession in interest rate to girl students. This is in accordance with the priority of the Government to promote female education.

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## Annexure-I to reply of Lok Sabha Unstarred Question No. 1190 for answer on 09th February, 2018 regarding interest on education loan.

## Bank-wise number of education loan accounts and amount of  loan disbursed.

(No. of Accounts in acutal and amount in Rs. crore)

| Banks                                 | 2013-14    | 2013-14          | 2014-15    | 2014-15          | 2015-16    | 2015-16          | 2016-17    | 2016-17          |
|---------------------------------------|------------|------------------|------------|------------------|------------|------------------|------------|------------------|
| Banks                                 | No. of A/c | Amount Disbursed | No. of A/c | Amount Disbursed | No. of A/c | Amount Disbursed | No. of A/c | Amount Disbursed |
| State Bank of Bikaner & Jaipur        | 10775      | 85.55            | 7998       | 63.03            | 7333       | 77.64            | 4263       | 69.50            |
| State Bank of Hyderabad               | 5658       | 158.97           | 5312       | 177.96           | 5186       | 183.57           | 3578       | 125.39           |
| State Bank of India                   | 92814      | 1015.07          | 85646      | 1245.76          | 79264      | 3249.00          | 62461      | 1376.77          |
| State Bank of Mysore                  | 13222      | 87.86            | 9989       | 134.47           | 8571       | 136.23           | 7303       | 131.62           |
| State Bank of Patiala                 | 2903       | 73.47            | 2398       | 72.74            | 2096       | 69.60            | 1433       | 53.05            |
| State Bank of Travancore              | 49151      | 269.99           | 23055      | 219.56           | 25663      | 129.33           | 5427       | 41.94            |
| Allahabad Bank                        | 15817      | 188.75           | 14963      | 198.06           | 13871      | 146.37           | 18403      | 225.60           |
| Andhra Bank                           | 21601      | 350.40           | 26954      | 583.30           | 31170      | 872.01           | 23353      | 585.53           |
| Bank of Baroda                        | 13669      | 350.67           | 10519      | 241.37           | 17744      | 233.49           | 23601      | 192.48           |
| Bank of India                         | 53145      | 543.88           | 49428      | 582.05           | 44221      | 485.28           | 37899      | 449.50           |
| Bank of Maharashtra                   | 13472      | 169.94           | 8280       | 96.76            | 11717      | 196.33           | 10763      | 214.37           |
| BHARATIYA MAHILA BANK LTD.            | 0          | 0.00             | 164        | 3.01             | 166        | 3.16             | 74         | 1.84             |
| Canara Bank                           | 9005       | 136.67           | 110672     | 1078.93          | 113623     | 1330.51          | 109571     | 1903.06          |
| Central Bank of India                 | 40114      | 325.05           | 50496      | 559.40           | 44082      | 656.84           | 38904      | 513.62           |
| Corporation Bank                      | 43756      | 437.99           | 32426      | 338.99           | 8659       | 223.39           | 29264      | 874.59           |
| Dena Bank                             | 10582      | 134.26           | 3185       | 139.20           | 2652       | 101.33           | 1643       | 82.58            |
| IDBI Bank Ltd.                        | 5670       | 116.05           | 5499       | 113.14           | 10803      | 299.48           | 10534      | 281.25           |
| Indian Bank                           | 73352      | 437.42           | 50339      | 350.23           | 34130      | 292.18           | 27641      | 407.53           |
| Indian Overseas Bank                  | 25600      | 609.10           | 25497      | 617.79           | 16184      | 579.02           | 10613      | 373.28           |
| Oriental Bank of                      |            |                  |            |                  |            |                  |            |                  |
| Commerce                              | 23171      | 246.00           | 13317      | 246.76           | 18089      | 530.17           | 10804      | 245.99           |
| Punjab and Sind Bank                  | 1324       | 89.87            | 1357       | 53.85            | 1503       | 116.75           | 1146       | 99.30            |
| Punjab National Bank                  | 54916      | 641.85           | 45565      | 616.43           | 43092      | 701.31           | 42939      | 915.65           |
| Syndicate Bank                        | 17055      | 316.70           | 15951      | 297.78           | 39088      | 663.91           | 37787      | 568.32           |
| UCO Bank                              | 22521      | 261.15           | 20344      | 246.68           | 16462      | 245.74           | 15172      | 318.22           |
| Union Bank of India                   | 37832      | 444.11           | 36991      | 553.14           | 57338      | 548.22           | 31306      | 548.99           |
| United Bank of India                  | 7236       | 103.58           | 5958       | 88.18            | 7044       | 89.74            | 7569       | 104.63           |
| Vijaya Bank                           | 16602      | 198.22           | 19382      | 271.89           | 25085      | 434.78           | 26278      | 471.31           |
| Axis Bank                             | 8129       | 32.48            | 8491       | 66.82            | 11802      | 173.95           | 14949      | 451.17           |
| Bandhan Bank                          | 0          | 0.00             | 0          | 0.00             | 21410      | 22.15            | 20905      | 21.94            |
| Catholic Syrian Bank                  | 2473       | 69.81            | 3912       | 109.42           | 495        | 15.14            | 426        | 10.92            |
| City Union Bank                       | 4303       | 30.11            | 4208       | 36.80            | 2653       | 36.31            | 2746       | 29.83            |
| Development Credit Bank               | 350        | 3.34             | 204        | 4.79             | 336        | 7.04             | 186        | 5.07             |
| Dhanlaxmi Bank                        | 2423       | 21.99            | 2631       | 27.51            | 2071       | 26.16            | 1048       | 10.27            |
| Federal Bank                          | 16208      | 144.57           | 15774      | 152.28           | 13523      | 139.11           | 10128      | 116.95           |
| HDFC Bank                             | 1115       | 11.13            | 2611       | 47.23            | 3227       | 40.77            | 5353       | 69.31            |
| ICICI Bank                            | 1326       | 12.17            | 700        | 9.78             | 525        | 8.07             | 885        | 25.57            |
| IDFC Bank                             | 0          | 0.00             | 0          | 0.00             | 0          | 0.00             | 2          | 0.18             |
| Indusind Bank                         | 25         | 0.15             | 8          | 0.06             | 5          | 0.02             | 12         | 0.09             |
| ING Vysya Bank                        | 134        | 3.69             | 4          | 0.61             | 0          | 0.00             | 0          | 0.00             |
| Jammu & Kashmir Bank                  | 1932       | 70.12            | 2442       |                  | 2026       | 31.33            | 1561       | 18.42            |
| Karnataka Bank                        | 3045       | 37.13            | 3073       | 37.34 41.46      | 3173       | 72.19            | 3117       | 81.44            |
| Karur Vysya Bank                      | 1570       | 30.07            | 1456       | 31.37            | 4077       | 68.67            | 3159       | 63.08            |
| Kotak Mahindra Bank                   | 329        | 3.38             | 1175       | 12.79            | 77         | 0.82             | 1298       | 24.25            |
| Lakshmi Vilas Bank                    | 2814       | 48.84            | 2420       | 49.76            | 1477       | 30.86            | 1000       | 19.25            |
| Nainital Bank                         | 87         | 2.12             | 336        | 8.57             | 299        | 8.35             | 74         | 2.17             |
| Ratnakar Bank                         | 2020 19265 | 2.90 258.65      | 6436 10754 | 12.28 134.02     | 24350      | 33.37 84.49      | 7215 3382  | 18.36 49.10      |
| South Indian Bank Tamilnad Mercantile |            |                  |            |                  | 6059       |                  |            |                  |
| Bank                                  | 4987       | 35.67            | 4325       | 34.16            | 3858       | 41.67            | 3110       | 34.27            |
|                                       | 0          |                  | 2          | 0.04             | 0          | 0.00             | 1          | 0.10             |
| Yes Bank TOTAL                        | 753498     | 0.00 8610.87     | 752647     | 10007.534        | 786279     | 13435.8624       | 680286     | 12227.62354      |

Source: RBI

## Annexure-II to reply of Lok Sabha Unstarred Question No. 1190 for answer on 09th February, 2018 regarding interest on education loan.

## State-wise number of education loan accounts and amount of loan disbursed.

(No. of Accounts in acutal and amount in Rs. crore)

| States               | 2013-14    | 2013-14          | 2014-15     | 2014-15           | 2015-16     | 2015-16          | 2016-17     | 2016-17               |
|----------------------|------------|------------------|-------------|-------------------|-------------|------------------|-------------|-----------------------|
| States               | No. of A/c | Amount Disbursed | No. of A/c  | Amount Disbursed  | No. of A/c  | Amount Disbursed | No. of A/c  | Amount Disbursed      |
| Andamans             | 78         | 1.4513           | 82          | 1.930725          | 93          | 2.708977         | 89          | 2.187029              |
| Andhra Pradesh       | 45111      | 921.914714       | 50097       | 1392.648          | 41948       | 1285.554         | 38616       | 1032.20942            |
| Arunachal Pradesh    | 99         | 1.3159           | 139         | 2.792             | 123         | 3.026752         | 105         | 1.367654              |
| Assam                | 3462       | 42.9524707       | 3542        | 44.80841          | 5925        | 73.08571         | 4296        | 58.978115             |
| Bihar                | 25076      | 256.27934        | 27399       | 306.201           | 24842       | 282.6894         | 21180       | 266.47598             |
| Chandigarh           | 1581       | 38.1255576       | 1456        | 49.81158          | 1405        | 74.01072         | 1606        | 64.300215             |
| Chattisgarh          | 4362       | 47.8135877       | 5484        | 65.57574          | 6010        | 89.76701         | 5813        | 86.437006             |
| Dadra & Nagar Haveli | 73         | 0.9851           | 62          | 1.1042            | 49          | 0.944241         | 32          | 1.202181              |
| Daman & Diu          | 63         | 0.8529           | 61          | 1.454391          | 71          | 1.788863         | 80          | 2.16923               |
| Delhi                | 9598       | 199.683425       | 9826        | 257.1035          | 12182       | 388.6259         | 12901       | 514.568798            |
| Goa                  | 926        | 15.865221        | 848         | 18.82782          | 937         | 27.5784          | 1422        | 25.09674              |
| Gujarat              | 15953      | 218.478243       | 12809       | 308.7696          | 14888       | 344.8899         | 14400       | 359.225528            |
| Haryana              | 11278      | 174.508343       | 9014        | 196.7668          | 9978        | 298.2017         | 9062        | 261.650954            |
| Himachal Pradesh     | 4819       | 56.8875778       | 4601        | 56.36994          | 4364        | 69.25167         | 4204        | 61.802997             |
| Jammu & Kashmir      | 2603       | 78.594967        | 3156        | 42.98517          | 2733        | 49.89445         | 2135        | 29.148686             |
| Jharkhand            | 11659      | 124.778287       | 10988       | 138.551           | 11418       | 180.4612         | 10390       | 156.139069            |
| Karnataka            | 61634      | 811.064894       | 69386       | 1038.745          | 76964       | 1448.126         | 82800       | 1768.15994            |
| Kerala               | 119492     | 1047.40877       | 109882      | 1195.762          | 108719      | 1171.979         | 79050       | 1035.83628            |
| Lakshadweep          | 7          | 0.0782           | 15          | 0.3152            | 11          | 0.1727           | 9           | 0.1342                |
| Madhya Pradesh       | 23335      | 230.088149       | 22111       | 248.1182          | 23631       | 695.3396         | 23243       | 322.821638            |
| Maharashtra          | 63291      | 895.065455       | 62549       | 963.4341          | 88547       | 1561.062         | 64830       | 1301.80685            |
| Manipur              | 222        | 4.2631           | 331         | 5.10746           | 249         | 6.112834         | 221         | 4.733218              |
| Meghalaya            | 191        | 3.0125           | 391         | 6.926108          | 451         | 8.869988         | 488         | 10.367089             |
| Mizoram              | 161        | 2.3862           | 171         | 2.039137          | 155         | 3.921594         | 80          | 1.253967              |
| Nagaland             | 77         | 1.3307           | 111         | 2.211094          | 87          | 1.795567         | 73          | 1.351327              |
| Orissa               | 12683      | 137.057446       | 13435       | 155.9907          | 13196       | 206.5901         | 13795       | 196.265046            |
| Puducherry           | 4026       | 31.784286        | 3310        | 29.46984          | 2499        | 31.68003         | 1989        | 31.349751             |
| Punjab               | 11030      | 261.445189       | 9221        | 253.9777          | 10578       | 377.7446         | 9956        | 387.385556            |
| Rajasthan            | 21062      | 206.924746       | 18119       | 210.0409          | 18726       | 354.6098         | 15137       | 268.476892            |
| Sikkim               | 94         | 1.5176           | 150         | 2.512666          | 481         | 4.395121         | 293         | 3.087759              |
| Tamil Nadu           | 238874     | 2050.45732       | 247652      | 2222.508          | 194767      | 2056.001         | 156242      | 1832.2422             |
| Telangana Tripura    |            |                  |             |                   |             | 31.90989         | 9417        | 20.271865             |
|                      |            |                  | 1232        |                   | 14851       |                  |             |                       |
| Uttar Pradesh        |            | 0                |             | 0                 | 28982       | 1170.334         | 24438       | 887.280596            |
|                      | 1016       | 10.7384          |             | 12.36202          |             |                  |             |                       |
| Uttarakhand          | 9868       | 130.15913        | 9230        | 134.4009          | 10440       | 178.6699         | 5348        | 104.240027            |
|                      | 31882      | 408.411205       | 28817 16970 | 411.7514 226.1623 | 31804 24175 | 594.955 359.1141 | 36556 29990 | 586.798491 540.801253 |
| West Bengal          | 17812      | 197.192132       |             |                   |             |                  |             |                       |
| TOTAL                | 753498     | 8610.872355      | 752647      | 10007.534         | 786279      | 13435.862        | 680286      | 12227.62354           |

Source: RBI

## Annexure-III to reply of Lok Sabha Unstarred Question No. 1190 for answer on 09th February, 2018 regarding interest on education loan.

|    | Name of the Bank      | Int. Rate (in %)   | Int. Rate (in %)              | Int. Rate (in %)          |
|----|-----------------------|--------------------|-------------------------------|---------------------------|
|    |                       | Upto ₹ 4 lac       | Above ₹ 4 lac &upto ₹ 7.5 lac | Above ₹ 7.5 lac           |
|    |                       | %                  | %                             | %                         |
|    |                       | 33                 | 34                            | 35                        |
| 1  | Allahabad Bank        | Ω 8.80 - 1045      | Ω 8.80 - 1045                 | Ω 8.80 - 1045             |
| 2  | Andhra Bank           | 10.40              | 10.40                         | 10.10                     |
| 3  | Bank of Baroda        | 12.15              | 12.15                         | 11.40                     |
| 4  | Bank of India         | 10.10              | 10.10                         | 10.90                     |
| 5  | Bank of Maharashtra   | 10.70              | 10.70                         | 9.95                      |
| 6  | Canara Bank           | 10.30              | 10.30                         | 9.80                      |
| 7  | Central Bank of India | 10.30              | 10.30                         | 10.30                     |
| 8  | Corporation Bank      | 10.65              | 10.65                         | 11.00                     |
| 9  | Dena Bank             | 8.55 - 9.80        | 8.55 - 9.80                   | 8.55 - 9.80               |
| 10 | IDBI Bank             | 9.40               | 9.40                          | 9.40                      |
| 11 | Indian Bank           | ȼ 8.35 - 11.40     | ȼ 8.35 - 11.40                | ȼ 8.35 - 11.40            |
| 12 | Indian Overseas Bank  | 10.55              | 10.55                         | 11.55                     |
| 13 | OBC                   | 10.40              | 10.15 -10.40                  | 10.15                     |
| 14 | Punjab & Sind Bank    | 10.45              | 10.45                         | 9.95                      |
| 15 | Punjab National Bank  | ₤10.15             | 10.15                         | 10.75                     |
| 16 | Syndicate Bank        | 10.10              | 10.35                         | 11.35                     |
| 17 | UCO Bank              | 10.45              | 10.45                         | 10.85                     |
| 18 | Union Bank of India   | ʓ 10.20            | 10.20                         | Male-10.20%, Female-9.70% |
| 19 | United Bank of India  | ∂ µ 10.95          | ∂ µ 10.95                     | ∂ µ 10.90                 |
| 20 | Vijaya Bank           | ¥ 10.65            | ¥ 10.65                       | ¥ 10.50                   |
| 21 | State Bank of India   | 10.00              | 10.00                         | 10.75                     |

Ω  0.5% interest concession for girl students ʓ For loans covered under CGFSEL(Credit Guarantee Fund Scheme for Education Loan) Source: IBA