To get education loan, you have to prove that you don't need it!(no 'pun' intended).Public sector bank have lower interest rates compared to private sector banks. But it is a real 'nightmare' to section a loan at public sector bank. Nobody will explain all 'huge' paperwork formalities beforehand or the 'hidden' expences. There are no readymade brochures of procedures. All depends on 'mood' of local branch manager where you are applying. For loan of 20lac education loan sanctioning at nationalised bank I had to shell out Rs.20K as procedure cost.(still disbursment of loan is far away.) There are so many intricate formalities involved that you will decide that nexttime you will not take a loan. Banks are only interested in bigger 'corporate funding' and not interested in smaller things like 'education'. So go for loan application if you are ready to endure 'tough' ordeal. Private sector bank has less hassles but compensate it by charging more. hitesh Vyas
