Student Loan Scheme

Revised Policy – Student Study Loan/ Revolving Fund

Bahria University (All Campuses except Medical & Dental College)

Preamble

The Student Study Loan (SSL) is designed to help the students of Bahria University (new intake) to pay their university tuition. The Study Loan is the money that students borrow to cover the costs associated with their studies. It is different from other types of loans due to zero interest rate. Students of all degree programs are eligible to apply for this loan except Medical & Dental, however, preference will be given to the students of undergraduate program.

The University’s Student Study Loan will provide financial support to a student     (new intake) whose academic progress is being or may be impeded by the lack of financial resources.

Financial Impact

  • For FY 2015-16, an amount of Rs. 06.00 million has been allocated for Student Study Loan/ Revolving Fund. It may be revised in next year depending upon fiscal space.
  • Once the student starts repaying the loan, further disbursement of loan can be made from that repayment. It will be a revolving fund and maximum students are expected to be benefited from this scheme.

Eligibility Criteria

Eligibility criteria for student study loan is as under:

  • Student Study Loan will be offered to those needy students of Bahria University who secured admission in any academic program at Bahria University (except Medical & Dental) and are unable to pay full Fee & other charges in one go. However, preference will be given to the students of undergraduate programs of Bahria University.
  • The student after securing admission and getting fee voucher will be eligible to apply for Student Study Loan.
  • All Students (only new intake) who successfully secured admission at Bahria University and issued the 1st semester Fee Voucher can apply for Student Study Loan.

    Loan approvals and limits

  • All loans will be processed through Central Scholarship Committee with recommendations of respective DG Campuses. Final approval will be accorded by the Rector Bahria University.
  • Students (only 1st semester) can request for loan against the total 1st semester fee. The application form for Student Study Loan is attached at Annex ‘A’.

Loan conditions

  • Successful applicants for a loan must sign a Loan Agreement, including a repayment schedule. Copy of Student Agreement is attached at Annex ‘B’.
  • The repayment schedule must be so structured as to allow full loan repayment prior the students is permitted to graduate.
  • Loan will be drawn in favor of Bahria University and not in favor of students.

Guarantors

  • Parents / guardians are to be joint borrower (s) (irrespective of their means and age of student).
  • Co-obligation of spouse in case of married students. The Guarantor Bond is attached at Annex ‘B’.

Security Clause

Following parameters will be adhered in awarding the Student Study Loan:

  • No security deposit by the applicant (student). A bond will be signed between the applicant (student), his Guarantor and Bahria University mentioning the repayment schedule as well.
  • The final transcript and degree will not be issued prior clearance of all payable loans by the students. Account office of respective campus is to confirm clearance or otherwise of loan payable by the students.
  • Parents / guardians to be joint borrower (s) (irrespective of their means and age of student).
  • Co-obligation of spouse in case of married student.

Failure to comply with loan repayment

When a student will fail to payback the Study Loan, his/her final transcript and     degree  will not be issued till he/she clears all loan payments.

  Confidentiality

Documentation for all loans (whether approved or not) will be retained on an individual student file for each student, and is subject to the University’s Privacy Policy.

  • SOPs for Student Study Loan
  •  Application Request

The eligible students after securing admission and getting fee voucher are eligible to apply for Student Study Loan.

  • The students are to apply for student study loan to their respective Head of the CU on prescribed application form along with supporting documents.

Documents Required

  • Letter of admission/ Fee Voucher of Bahria University
  • Completely filled Application Form of SSL
  • 02 passport size photographs
  • CNIC copy of the student and the Parent/ Guardian
  • Utility Bills (electricity bill/phone bill/sui gas bill)
  • Student/Co-borrower/ Guarantor’s bank account statement for last 6 months
  • Copy of last degree transcript
  • Copy of Domicile

Selection Process

  • Campuses are to initially scrutinize all the received applications and short list the candidates considering their need. Head of CUs are to forward the application(s) (SSL) duly approved by respective DGs with their comments/recommendations to Central Scholarship Committee within 5 to 7 working days after the date of issuance of fee voucher.
  • The Central Scholarship Committee after processing the applications (SSL) is to recommend the applicants within 3 to 5 working days for final approval of Honorable Rector. In case there is any delay then applicants is to be allowed to attend classes subject to conditional admission till the time final approval is accorded by the Honorable Rector.

 Loan Payment

The loan payment will be drawn in favor of respective CUs of Bahria University and not the student.

Agreement with Student & Guarantor

Once the final approval is granted, an agreement will be signed between the student, his/her Guarantor and the University. Copy of agreement is attached at Annex ‘B’.

 Repayment Schedule

For repayment of Student Study Loan following are to be ensured:

  • The repayment of 100 % loan may be ensured before the student completes his/her degree requirement and final degree may be issued once the student clears his/her study loan.
  • Repayment is to begin from very next month of borrowing and has to pay back before leaving the University, regardless of whether or not he/she has completed the degree program.
  • Student after availing SSL will be advised to apply for any internal/ external Scholarship at BU. The amount approved under Scholarship will not be paid to the student but will be adjusted against the loan amount.
  • The Student shall payback the differential amount (loan amount – FAS Scholarship awarded) in installments to relevant Accounts Section/Department of their Campus or otherwise his/her FAS amount of following semester will be adjusted accordingly. Director Campuses will forward the receipt report along with original cheques/ cash payment to the Director Finance for deposit of the received amount to revolving fund account keeping in loop the DSA Office for updating and maintaining the record

Amendment Powers

Rector Bahria University has the full powers to amend/ abandon any one or all terms and conditions of the Students Study Loan Policy and Student Agreement if required, under extreme compassionate grounds.