Most of the leading Banks and Financial Institutions have structured special loan schemes to assist parents to provide overseas University education to their children without having to sacrifice / cut down their day to day living comforts and privileges. An overseas University degree is the best gift parents can give their child. It is also the best investment a parent can make on behalf of their child. University private education and overseas education is expensive but the returns are high.
American Education Centre Ltd (AEC) is working closely with the Banks shown below to make education loan easily available to the students who join ANC. Given below are the benefits of the scheme:
- All courses of American Education Centre are covered for grant of loan. Loans for study at ANC. Top up / extended loans will be granted to cover overseas University expenses (cost of all fees. Tuition fees, facility fees etc)
- Speedy disposal of loan application. ANC Financial Aid office will personally attend to your loan application for speedy processing.
- Loans applied through ANC Financial Aid Office will be processed through connected Banks shown below. The repayments can be made at any Branch of the Bank convenient to the applicants. The Manager of Financial Aid Office will follow-up and speed up the process.
- Education Loans are being sanctioned for a stretched long term period of 5 - 7 years (Several Banks grants grace period on a case by case basis) Repayment period beyond the study period to permit students to earn and pay after earning their qualification.
- Admission letter of AEC giving details/cost breakdown of fees, (Letter confirming scholarship, if any.)
- Attested copies of documents for proof of age/date of birth and proof of residential address.
- Copy of NIC / Passport
- Proof of income / latest income of applicant – student /parents/co-sponsors, and of guarantors. (if any required).
- Most recent 6months salary slip, issued by the company
- Letter from employer confirming the employee's particulars - as per the application specimen
- Statements of bank account/s to which the salary was remitted during the last 3 months
- Service if below 5 years, service letter from previous employer to cover the period, salary slips for 6 months, Credit card statements / Bank account statements
- For self employed / businessmen:-
- Copy of Business registration.
- Audited Financial Statement for last 2 years
- Tax returns
- Bank statements
- Details of collateral security along with valuation certificate of a Government approved valuer (if required by the Bank you select)
- Promissory note / Duly completed loan application form issued by Bank
- For overseas study loans- Copy of University offer letter, Passport/Visa, cost of air fare (documentary detail)
Bank Branch to be contacted and security requirements for a loan:
- Honkong & Shanghai Banking Corporation HSBC – Head Office- Repayment capability
- Seylan Bank – Region VII & SME Colombo 1 - Collateral and Repayment capability
- Hatton National Bank (HNB) Head Office – Collateral / Guarantors and Repayment capability
- Sampath Bank Head office at Nawam Mw - Collateral and Repayment capability
- NDB Bank Head office at Nawam Mw - Collateral and Repayment capability
- Commercial Bank – Reed Av branch, Duplication Rd branch - Collateral / Guarantors and Repayment capability
- Nations Trust Bank (NTB) Head office Nawam Mawatha - Repayment capability
- Nations Trust Bank – American Express Card Centre – Amex Extended Settlement Plan
- Sanasa Development Bank Ltd Head office - Collateral / Guarantors and Repayment capability
- Bank of Ceylon Head Office – Collateral / Guarantors and Repayment capability
- Education Investment Centre of The Finance Co. De Vos Av. Col 4 – Collateral / Guarantors and Repayment capability
If you are a student, your parents / sponsor must co-sign and needs to be
- Below 50 years of age
- Employed in an established company / Audited personal business
- Confirmed in current employment / proof of proprietorship or share holder in business
- Earning a net remuneration ( net salary + fixed allowances) / monthly income of LKR40,000, (after deductions)
- Employed on contract – The period of contract should cover the period of the loan and documents to authenticate.
If you are a employed student,
- Between 18 and 55 years of age
- Employed in an established company
- Confirmed in current employment
- Earning a net remuneration ( net salary + fixed allowances) of LKR30,000
Who is the borrower ?
Students are advised to use a co-signer on their student loans. A person having strong ties to the student. Parents, Relative etc. It is on the financial status of the co-signer and his repayment capability a loan may be granted. For security assurance Banks may request for a property pledge, but with all the assets to pledge if the student and the co-signer do not posses repayment capability, the loan will be denied. Having no-cosigner or a co-signer with bad credit (CRIB)is the top reason applications are also denied. It is very important that the student do a feasibility study and plan his budget before he forward his loan application.
Parents are the first preference to co-sign for their student's loan, if the student does not have established credit facility. If Parents are not eligible due to lack of repayment capability a close relative or a sponsor acceptable to the Bank may co-sign for the student’s loan application
Loan Disbursement
Student loans are considered on the type of course student enrolls and the repayment capability of co-signer. Sri Lanka’s Central Bank directives stipulate that a loan can be granted in proportion of 50% of the income of the borrower. E. g. An Rs. 100,000/= income earner can borrow an amount, the installment of which should fall below Rs. 50,000/= and it also fixes the minimum income at Rs.30,000 per month.
American Express Credit Card offers ANC student a very comprehensive Extended Settlement Plan. The total cost of the annual Tuition can be paid with the American Express Card and repay in Extended Settlement Plan within 12 months. A handling fee of 9% will be charged for the service. Interest free.
Money management loans
Loan consolidation is under consideration of the leading Banks. You may enjoy the facility soon.
Loan Consolidation merges your loans granted for your education at ANC with the loan you require for your education abroad into a single loan policy thus increases the duration of the loan, as a result reduces your monthly installment payments. By consolidating your private student loans into one easy-to-manage loan with a lower monthly payment, you gain the freedom to better manage your monthly budget, and invest more of your current earnings for the future.