Apsrtc ccs Loan Eligibility – Learn about the eligibility criteria and the process to apply online for the APSRTC CCS (Conveyance Cum Settlement) Loan.

APSRTC employees, including permanent, temporary, and retired staff, are generally eligible for this loan. To qualify, individuals typically need a minimum service period of 10 years with APSRTC and a satisfactory conduct record.

Apsrtc ccs loan eligibility

The Andhra Pradesh State Road Transport Corporation (APSRTC) provides educational loans under its Corporation Credit Society (CCS) scheme. This loan helps students belonging to economically weaker sections to pursue higher education.

The APSRTC CCS loan offers financing for courses like engineering, medicine, MBA, MCA and others. Students who satisfy the eligibility conditions can avail loan up to Rs 10 lakhs at subsidized interest rates. The flexible repayment options coupled with minimal documentation make this loan ideal for meeting education expenses.

Eligibility Criteria

To apply for the APSRTC CCS education loan, applicants must fulfil the following eligibility criteria:

Apsrtc ccs Loan Eligibility Age Limit

The minimum age for availing this loan is 18 years while the maximum age is 34 years. The applicant should not be over 34 years of age at the time of applying for this loan. There are no exceptions to this age limit rule. Students who fall in this age bracket can apply regardless of whether they are applying after a break in studies or directly after completing school education. The age criterion is applicable for all kinds of courses covered under the CCS loan including technical, medical, management and others.

Educational Qualification

The APSRTC CCS loan can be availed by students who have secured admission in professional courses approved by regulatory bodies like AICTE, MCI, BCI etc. The eligible courses include engineering (BE/B.Tech), medicine (MBBS), MBA, MCA, BA LLB, BDS, B.Pharm and others. Apart from these, diploma programs and vocational courses offered by Polytechnics/ITIs are also covered if recognized by competent authorities.

Both full-time and part-time programs qualify for this loan. The duration of the course can range from 1 year to 5 years depending on the academic discipline and eligibility norms set by the college/university. Academic programs offered by government, private, deemed universities and institutes of national importance (IIT, IIM etc) are eligible if they have necessary approvals.

Domicile Status

The applicant must be a permanent resident of Andhra Pradesh and should have the relevant domicile certificate from a competent authority. They must have resided in the state for a minimum period as prescribed by state rules. Students whose families have been residing in AP for at least 3 generations are also eligible if they furnish the relevant residential proof documents.

Previous Loan

Students who have already availed an education loan can also apply for the APSRTC CCS loan for higher studies. For instance, someone who completed Engineering using a bank loan can apply for CCS loan for MBA. Similarly, students pursuing Medicine (MBBS) can apply for funding their PG courses like MD/MS through this loan.

However, the total financing from all loans cannot exceed Rs 10 lakhs. If a borrower has already taken Rs 8 lakhs education loan from a bank, he/she can avail only up to Rs 2 lakhs from CCS. The applicant must declare details of any existing loan while applying.

Loan Amount and Repayment

Key details regarding the loan amount and repayment terms are explained below:

Loan Amount

The maximum loan available under this scheme is Rs 10 lakhs. The sanctioned amount will cover the total cost of education including tuition fees, examination fees, hostel charges, library fees, books & stationery, computer and other expenses. Applicants should estimate their entire course expenses for the full duration before applying for the loan.

If the total costs exceed Rs 10 lakhs, the remaining has to be met by the student/family. Top-up loans can be taken from other financiers up to the actual requirement. Costs excluded from CCS loan coverage include travel, personal expenses and insurance premiums.

Interest Rate

APSRTC CCS offers loans at subsidized interest rates of 2% for girls and 4% for boys. This is significantly lower than education loan interest rates charged by banks which are usually 10-15%. The discount for female students is intended to encourage higher education among women.

The interest is charged from date of disbursal on the amount utilized by the student annually. Simple interest is levied during the study period and up to commencement of repayment. The accrued interest gets added to principal and further interest is charged on that amount during repayment phase.

Repayment Period

Borrowers get a moratorium period till the completion of the course or getting employment. This period typically includes the normal duration of the academic program along with a 6 month grace period after finishing the course.

After this, the repayment period is 5-7 years depending on loan amount. For loans below Rs 7.5 lakhs, the tenure is 5 years. For loans above Rs 7.5 lakhs, the repayment period is 7 years. EMIs have to be paid on a monthly or quarterly basis once repayment period starts.

Required Documents

The documents needed for APSRTC CCS loan application are:

• Identity Proof – PAN Card, Aadhaar Card, Driving License, Passport etc. These establish the applicant’s identity.
• Address Proof – Voter ID Card, Ration Card, Electricity/Water Bill, Rent Agreement etc. Documents must show permanent and temporary address.
• Family Income Proof – IT Returns, Form 16, Salary Slips, Audited Accounts, Rent Receipt etc. Relevant proofs of parent/guardian’s income have to be furnished.
• College Admission Letter – Original letter from the institute confirming provisional admission of the applicant. This should clearly mention course details, duration and fees.
• Fee Structure Details – Break-up of tuition fees, hostel fees, examination fees and other heads as per institute norms. Authenticated fee structure has to be attached.
• Course Duration Certificate – Certificate from the college specifying the total duration of the academic program in number of months/years.
• Domicile Certificate – Proof certifying that the applicant has domicile status of Andhra Pradesh state. Caste certificates can also serve as domicile proof.
• Marksheets & Certificates – 10th, 12th and Graduation marksheets and passing certificates must be attached to ascertain educational qualification status.
• Bank Statement – Latest bank account statement of the applicant/parent/guardian for verifying continuity and assessing savings pattern.

Apsrtc ccs loan Application PDF

Apsrtc ccs loan Eligibility PDF Download

Application Process

The step-by-step process to apply for this education loan is:

Online Application

Visit the official APSRTC CCS website and fill the education loan application form online by providing personal, academic and financial details. All relevant fields marked mandatory must be filled along with contact information.

Document Upload

After submitting the application, upload scanned copies of identity proof, income proof, domicile certificate and other documents as per the stipulated list. The uploads must be clear and legible for verification purposes.

Physical Submission

Take print-outs of the completed application form and signed document annexures. Submit these printouts along with original copies of the documents at the nearest CCS branch. Obtain acknowledgement receipt for records.

Preliminary Scrutiny

The CCS will conduct initial scrutiny of the application regarding completeness, supporting documents, applicant eligibility and loan amount requested. Queries if any are raised at this stage.

Field Investigation

CCS officers may conduct a field verification at the applicant’s residence or college to validate details furnished in the application. The investigation aims to assess financial need and capability to repay.

Credit Appraisal

The CCS will undertake a thorough credit appraisal including employment, income, savings, family background, credit history, existing loans and other factors. This appraisal evaluates loan repayment feasibility.

Loan Approval

Once the verification processes are completed satisfactorily, the loan application will be approved by the sanctioning authority. The sanction letter specifying loan amount, interest rate, repayment schedule and terms is then issued to the applicant.

Benefits of Availing CCS Loan

Some major benefits offered by APSRTC CCS education loan are:

Low Interest Rate

The 2% interest rate for girls and 4% for boys is among the lowest offered by any financial institution in India. This results in lower EMIs and smaller interest outgo for students. For instance, on a loan of Rs 5 lakhs repaid over 5 years, the total interest paid in a CCS loan will be around Rs 50,000. This is almost 5 times lower compared to other loans.

Long Repayment Period

Most banks and NBFCs allow repayment periods of just 3-5 years post completion of course. But CCS offers more flexible 5-7 year repayment schedules depending on loan amount. The long tenure results in lower EMIs and makes repayment easier for borrowers.

No Collateral or Third-Party Guarantee

The CCS loan does not require any collateral security or third party guarantee. Only the parent/guardian standing as joint borrower is needed. This provision is extremely beneficial for students from weaker financial backgrounds.

No Processing Fee

Many lenders charge a one-time processing fee on sanctioned loan amount which could run upto thousands. CCS does not levy any processing or documentation charges which help save costs.

Insurance Coverage

The CCS loan comes with a built-in insurance plan that covers risk of death or permanent disability of borrower. This absolves the legal heirs from repayment liability in adverse situations.

Advantages Over Other Loans

The APSRTC CCS loan has some noteworthy advantages compared to education loans offered by banks and NBFCs:

Simple Eligibility

CCS loans are available for most professional courses including engineering, medicine, MBA etc offered by approved institutes if basic domicile criteria is met. There is no minimum marks criteria. This makes eligibility easier compared to banks.

Lower Interest Rates

The maximum 4% interest charged by CCS is substantially lower than the 10-15% charged by banks and NBFCs. Some banks levy rates based on credit score which could be even higher. The low rate reduces interest burden.

Minimum Documentation

Only basic documents like ID/address proof, income evidence and academic credentials are required. Many lenders require complex property and income documents which may be difficult for students.

No Prepayment Charges

CCS allows foreclosure or prepayment of loan anytime without penal charges. Most banks impose heavy penalties for pre-closure during first 2-3 years. This helps save costs if repaying early.

Dedicated Education Focus

CCS provides loans exclusively for education purposes. So they have greater expertise in evaluating course suitability and student eligibility. Moreover, field verification also ensures merit-based approval.

Application Tips

Some useful tips for applying to APSRTC CCS education loan:

Thorough Research

Before applying, research extensively about the loan scheme, eligibility norms, required documents, interest rate, repayment and other terms. This helps avoid surprises later.

Plan Finances

Estimate your total course expenses and make a funding plan indicating how much can be self-funded and the loan required. This gives clarity on the amount to be applied for.

Collect Documents

Start collecting relevant documents like ID/address proofs, academic scorecards, fee structure well in advance. This helps initiate the application quickly upon securing admission.

Apply Early

Finalize your college and course and apply for the loan as soon as admission is confirmed. This gives enough time for processing and disbursal of funds before commencement.

Follow-up

Stay in regular contact with CCS officers handling your loan application to get status updates and respond to queries promptly. Follow-up ensures faster approval.

Loan Disbursal & Sanction Conditions

Some key aspects related to disbursal and conditions attached to CCS loan sanctions:

Agreement Signing

Before disbursal, the joint loan agreement has to be signed between CCS, student borrower and parent/guardian. This agreement contains the detailed loan terms and has legal validity.

Academic Progress

The loan sanction is subject to the borrower maintaining acceptable academic performance consistently. Poor grades or extended periods of academic probation can lead to sanction cancellation.

Updates to CCS

Students must furnish regular annual progress reports, marksheets and other information sought by CCS for monitoring academic progress and loan utilization. Non-compliance can be deemed as default.

Moratorium Interest

Interest accrued during study period and moratorium has to be paid immediately after getting employment. This is over and above the EMIs applicable. Default can lead to enhanced interest rate penalty.

Changes to Course

Major changes to course like dropping out, changing college/programme or taking extended breaks require prior approval from CCS. Else, loan sanction may be cancelled and amount disbursed recalled immediately.

Loan Repayment

Salient aspects concerning repayment of APSRTC CCS education loan:

EMI Commencement

The repayment through EMIs commences after completion of course once the moratorium period ends. For employed students, it starts 6 months after finishing course. For unemployed students, the moratorium can be extended up to 1 year.

EMI Amount

Monthly instalments are calculated based on loan amount, interest rate, tenure and accrued interest. The EMI payable may vary from Rs 5000 to Rs 15,000 per month approximately depending on above factors.

Penalty on Defaults

Any delayed payments or EMI defaults attract a penal interest over and above the normal rate applicable. This penal rate is 2% higher than regular interest. Repayment history also gets affected.

Early Repayment

Borrowers have the option to prepay the loan and foreclose before end of tenure. Lumpsum payments using surplus funds helps reduce overall interest outgo and tenure. No penalty or charges applicable for this facility.

Online Repayment

EMIs can be paid digitally via options like net-banking, payment gateways, ECS debit mandate. This obviates the need to visit bank/branch for repayment. Payment receipts are issued online.

Tax Benefit

The interest paid on the CCS education loan qualifies for income tax benefits under Section 80E up to Rs 1 lakh annually. This deduction can be claimed by the parent/guardian or student paying the interest.

Takeover Facility

CCS loans can be transferred or taken over by other lenders like banks. This may be preferred if the bank is offering lower interest rate. However, terms of original agreement remain unchanged.

Apsrtc ccs enquiry phone number

• This office handles various aspects of APSRTC, including CCS matters.
• You can contact them on the following phone numbers:
  • 0866 2524233 (Vice Chairman & Managing Director)
  • 0866 2522111 (General Manager – Personnel)

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Risks & Challenges

While the APSRTC CCS loan has numerous benefits, there are some inherent risks and challenges:

Limited Loan Amount

The maximum loan quantum is capped at Rs 10 lakhs which may prove insufficient for certain courses like aviation, architecture or overseas studies whose costs could run into Rs 15-20 lakhs. For higher amounts, only top-up loans are possible.

Limited Branches

CCS has relatively fewer branches concentrated mainly in district headquarters. This could create accessibility issues for students staying in remote areas who may incur additional travel expenses.

Delays in Approval

The processing time taken for CCS loan approval is usually 4-6 weeks owing to detailed verification and appraisal involved. Students have to make alternate interim arrangements. Banks provide quicker in-principle sanctions.

Inflexible Repayment Options

The CCS loan offers fixed repayment tenure options of only 5 or 7 years. There is lack of flexibility in tweaking tenure as per individual repayment capability like banks provide through longer tenures like 10-15 years.

Limited Courses

Though most mainstream programs are covered, CCS loan eligibility does not include short-term diploma courses below 1 year duration or unconventional courses which banks may finance. Scope is limited compared to banks.

Eligibility for Various Courses

Following are indicative CCS loan eligibility and maximum amount available for some popular courses:

• Engineering (B.Tech/B.E) – All engineering disciplines approved by AICTE eligible. Maximum loan up to Rs 10 lakhs for 4 year program covering tuition, hostel and other fees.
• MBBS – Eligibility for MBBS/BDS and allied medical programs approved by MCI. Up to Rs 10 lakhs sanctioned for 5.5 year MBBS program including internship period.
• MBA – Full-time MBA and PGDM courses approved by AICTE eligible. Financing of Rs 8-10 lakhs based on total 2 year course fees.
• MCA – MCA degree recognized by UGC/AICTE approved for loan of Rs 4-6 lakhs range depending on eligibility and college fees.
• M.Tech – Eligible for all M.Tech specializations like Computer Science, Civil, Mechanical etc. Up to Rs 8 lakhs loan amount sanctioned for 2 year course.
• LLB – Financing of Rs 4-6 lakhs available for 5 year integrated LLB programs approved by BCI. 3 year LLB not eligible.
• CA/CS – Loan facility up to Rs 3 lakhs for Inter CA and CS programs. Does not cover articleship/training period.
• BBA/BMS/BAF – Loans up to Rs 4 lakhs for reputed BBA/BMS and other business diplomas certified by UGC/AICTE.

Apsrtc ccs Loan Eligibility Conclusion

Apsrtc ccs Loan Eligibility – The APSRTC CCS education loan provides affordable financing to students from vulnerable sections for pursuing higher education. The reasonable eligibility criteria coupled with minimal interest rates and charges make this loan ideal for meeting the rising costs of professional courses. Students domiciled in Andhra Pradesh and seeking admission in approved institutes can avail this loan by following a simple documentation process. The CCS loan allows deserving and needy students to access better career opportunities through higher education.

Apsrtc ccs Loan Eligibility FAQ