Banks extort money from students applying for educational loans
Good education is a stepping stone to a successful career. With higher studies as an option toward a great career, many aspiring students seek the help of banks to help them achieve it. Banks provide financial support to deserving students who wish to pursue higher education.
Lately established banks across the country meant to ease student’s financial woes are now streaming away from their main objective. Many students on our site posted their complaints about having to pay bribes to get a loan. The unrelenting demands from the bank managers leave no choice for students aiming for higher education.
We conducted a poll asking our readers if they had paid a bribe to get an education loan sanctioned. About 52% of the readers who voted on our poll admitted to having paid a bribe. The rest 48% said they had met officials who did not demand any.
A Bangalore respondent writes in how he had to struggle his way to get admission into a law college. On approaching a local bank the respondent who belongs to a weaker section of society was asked to pay Rs 3,000 from his loan money which was sanctioned for books and stationery items.
Another student form Lakhisarai, Bihar who got through an MBA course in France, had to shell out Rs 50,000 to get the required loan sanctioned form the bank manager. Left with no option the respondent paid up the amount.
Another respondent from Erode reported how bank officials demanded Rs 10,000 without which the loan process wouldn’t be furthered. Adamant to stand up against this corrupt practice, the respondent instead mortgaged his father’s land to fund his studies.
It is unfortunate that such corrupt practices even by bank institutions demoralize many ambitious students in the country.