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Education Loan in India - A Review

International Journal of Banking, Risk and Insurance

Volume 7 Issue 1

Published: 2019
Author(s) Name: Sandeep M. Khanwalker | Author(s) Affiliation: Professor, School of Management, IMS Unison University, Dehradun, Uttarakhand, India.
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Abstract

Education is one of the primary area which the Govt. of India identified as a Priority sector segment for Banks to finance. Accordingly, Education loan scheme was formulated and propagated and Public sector, private sector Banks and other Financial Institutions made concentrated financing in this category in the last decade. However, it has been observed that in the recent past there is a surge in Non-performing loans of this segment (education loan) granted by the Banks / FIs. The present paper analyses reasons of high default and suggests some steps for Banks & FIs to obviate such slippages.

Keywords: Education Loan, Irregular loan, Non-Performing Loans, Indian Banks Association (IBA)

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