Education Loan

A bank provides an education loan to cover the costs of pursuing higher education, which is paid back over a period of time with interest. It is a popular way for students to finance their education when they cannot pay for it upfront.

Features

Loan amounts	1 million to 100 million MMK
Period of the facility	Up to 3 years
Repayment Method	Monthly EMI System
Repayment Holiday for Principal	Maximum 6 months
Minimum Monthly Income	500,000 MMK
Age of the borrower	Minimum 5 years/Maxi. 60 years (when loan is fully paid)

Loan Eligibility

Loan is eligible only to deserving students.
The bank will cover up to 80% of the total study cost. The applicant is responsible for raising the remaining 20% of the total study cost.

Eligible Borrowers

A student who wants to continue their education with Diploma, Bachelor or Master’s in external private schools and Universities.
Those who want to study as boarders in private schools.
Those who still want to study in international schools in Myanmar.
Those who want to study in overseas.

Personal Guarantee

Student along with father or mother as joint borrower.
If father and / or mother is no longer alive, the closet blood relative and the person who made the recommendation should be joint borrowers.

Collateral Security

1 Mn MMK – 10Mn MMK (Nil)
Above 10Mn MMK (Must have collateral security of land, house, gold, a car owner’s book, and a fixed deposit.)

Fees & Charges

Interest rates	10.00% to 14.5%
Service Charges	1% on loan amount
Early Repayment	3.00% on prepaid amount (if paid during the first 2 years of loan period) 2.00% on prepaid amount (if paid during the third year of loan period) 1.00% on prepaid amount (if paid after 3 years of loan period)

Requirement Documents

Completed application form
Passport photo + copy of NRC
Copy of Household Census
Original Testimonial Letter from Ward Administration Office

Salary Employee

Salary Slip (minimum 6 months)
Employment Confirmation Letter
Bank Statement (minimum 6 months)

Self Employed

Business or Company Registration Documents
Income/ Financial Statement (Operating Account)
Tax Receipts