Student loans and how, PHEROZE L. VINCENT finds out
DOCUMENTS NEEDED
Education records- Banks prefer students with 70 to 80 per cent marks. Carry your mark sheets along.
Proof of admission- Bring your admission letter, course details and duration, details of the university (should be accredited, preferably by a government agency). Admission should be on merit.
Identity- Banks insist on checking your passport, PAN card and proof of age.
ADDITIONAL REQUIREMENTS
Some banks insist that the guarantor be less than 65 years old. They also need proof of her/ his residence.
If you are giving collateral, then it has to be assessed by the bank's accredited assessor, the documents be verified by the bank's lawyer and a non-encumbrance certificate acquired from the sub registrar.
You may be asked to take a life insurance policy.
Banks insist that borrowers be account holders in the bank, living in its vicinity. This is only a guideline and not a reason for denying a loan.
Mahalingam has been hammering me for 15 long years. We met when he came from Tiruchirapalli to make shoes here in Coimbatore. Back then, working out of his shanty in Kamarajapuram, we could produce a dozen pairs a day. Even with a rudimentary anvil like me we could make a profit of 35 per cent.
But after our customers went away to the big footwear outlets, we had to shut shop seven years back. We now work, out of a room in Ramanathapuram, for a local businessman. We have a few direct customers but now we mainly supply shoes to the dealers. Mahalingam and his friend Velu often have to wait long before they get paid. After our boss gets his cut, we make a meagre five per cent profit. No wonder none of their kids want to become cobblers...
