Banks open wallets as IIM aspirants fret over fee hikes

The recent fee hike at IIMs has not only created a stir in the academia, but also raised concerns among IIM aspirants and their parents. Although the hike has generated mixed reactions from students, thousands of MBA aspirants at the threshold of joining IIMs are worried about arranging finances. Many banks have agreed to raise the bar of their educational loan offerings, to correspond with the higher fees. “SBI offers two educational loan options; general and scholar. Scholar loan is meant for institutes like IIM, MICA and NID, which are usually up to Rs 10 lakh for an entire course. We shall be ready to offer more loans this year since the fee has been hiked and at competitive rates. SBI is planning to raise the loan amount to Rs 20 lakh approximately. Under the bank’s scheme, 95% of the fee amount can be availed as a loan. Dena Bank, too, has similar schemes for students. Private banks do not want to be left behind either.