The primary objective of KBL Vidyanidhi is to provide financial support to aspiring students of Indian nationality for a variety of courses and degrees. Loans are available to both major (representing themselves) and minor students (represented by parents/guardians). The loan also covers a wide range of expenses and charges incurred by the student during his course at nominal interest charges and fees.

Rate of Interest

  • 1.The interest charges incurred on education loan differs on the basis of merit, gender of the applicant and the loan amount. The breakdown has been provided below for reference.
  • 2. 1.Normal Student
  • 3. 2.Meritorious Student
  • 4. 3.Normal Girl Student
  • 5. 4.Meritorious Girl Student
  • 6. Akin to its public sector counterparts, Karnataka bank follows the nomenclature of base rate linked system of computing the applicable interest rate on education loans. Therefore, there are two components, Base rate + Fixed Rate (Scheme).
  • 7. The applicable rates and fees are subject to periodic change based on market conditions and decision of the bank.

Eligibility for Educational Loan


Any student, representing himself / herself if major, or a minor student represented by parent or guardian, of Indian nationality, who has secured admission to a professional / technical / other course, in India or abroad.


About the Bank


Karnataka Bank is a major banking institution based in the coastal city of Mangaluru in Karnataka, India. The Reserve Bank of India has designated Karnataka Bank as an A1+-class scheduled commercial bank. The bank now has a national presence with a network of 700 branches and above 1100 ATM's across 21 states and two Union territories. It has over 6084 employees and 6.7 million customers, including farmers and artisans in villages and small towns throughout the country. Its shares are entirely privately owned by some 1,29,862 shareholders.


FAQ Loan


1.Is the loan contract executed only in the student's name?

No. The loan documents will be executed by both the student and parent/guardian as joint borrowers. All the borrowers are equally responsible for repayment of loan.

2.Are minors eligible to apply for a study loan from Karnataka Bank?

Yes. Minors aspiring for further studies can apply for a loan from the bank with legal representation from parent(s)/guardian.

3.Should the student?s margin be paid upfront?

The student?s margin share can be paid on a year-to-year footing on pro rata basis when the bank disburses the loan amount based on the requirement.