| 1 |
What are the eligibility criteria for availing an Indian School Finance Company Loan?
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- Government Recognition
- Minimum three years of school operation
- School fees per month in the Rs.250-600 range
- Minimum number of 400 students per school
- Three years of 80% or higher Standard 10th pass rate
- Fees currently sufficient to cover operating costs
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| 2 |
What are the minimum loan amounts?
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ISFC loans start from Rs 5 Lacs. |
| 3 |
What are the loan tenure options?
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The loan tenure options range from 12 – 60 months. |
| 4 |
What is the ISFC lending rate?
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The rate of interest is a function of the tenor, size of the loan and the type of security being offered. Our Relationship Managers will be happy to explain to you in person the rate of interest applicable to you. |
| 5 |
Are there any additional charges?
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Yes, there is a process fee of 2%, bounce charges of Rs 500/-, penal charges as applicable and service tax as applicable. Professional fees for legal scrutiny and technical verification of security being offered has to be paid at actuals. |
| 6 |
What documents do I need to submit to avail a loan? |
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ISFC will review the following documents. If complete, the loan approval will take between seven to 10 working days. |
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- Duly filled in Application Form with photograph
- A "Project Report"that explains the proposed project, estimated costs and loan requirement
- School financials including details of number of students in each class, fees being charged, expenses, etc
- Bank Statements for past 6 months
- Relevant documents pertaining to the security being offered
- Any records of prior loans
- Quotations/Estimates from vendors pertaining to the project being undertaken
- Photo ID and signature proof
- Address proof of school and school owner
- Copy of the recognition certificate for the school
- Documents pertaining to the society/trust that runs the school
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| 7 |
How much time will it take for my loan to be approved?
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The average loan processing time 10 days. |
| 8 |
Do I have to provide any security, collateral or guarantors? |
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Yes. Collateral that covers the value of the loan and/or a guarantor are required to avail a loan. |
| 9 |
How do I repay the loan? |
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Loans can be repaid by Post-Dated Cheques (PDC) or Electronic Clearing System (ECS). |
| 10 |
Can I prepay my loan? |
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After 12 months, loans can be pre-closed. |
