I took an education loan in 2009 to pursue higher studies. I have been paying interest since then. Can I claim the interest back according to the current scheme of interest rebate offered for the educational loan?
The regulation for subsidy on education loan is in force from 2009-2010. This is applicable only to those students whose parental income from all sources is less than Rs 4.5 lakh per annum. Full interest subsidy will be provided to such students during the course period. The subsidy is not applicable for loan taken prior to April 1, 2009. If you have taken the loan after April 1, 2009, you can go ahead and approach your bank for the same.

Certification for parental income will have to be done by a competent authority at the local level. Your bank can guide you on the formalities to be completed along with the details of the competent authority that can certify your parental income. Note that though Canara Bank is the nodal agency for subsidy on education loan, the application is to be submitted through the bank branch from where you have availed the loan.

I have parked Rs 1 lakh in a fixed deposit of a private bank. Can I get a credit card on the basis of my fixed deposit account?
Yes. You can definitely get a secured credit card against your term deposit, if you have a term deposit in the same bank that provides the secured card. These are 100 per cent guaranteed credit cards against their term deposit in the bank. These cards offer credit limit up to 80 per cent of the term deposit amount.

Some of the banks that issue such cards are ICICI Bank, Axis Bank, Kotak Mahindra Bank and SBI.

I am 25-year-old and earn Rs 3 lakh per annum. What is the ideal health insurance cover for me?
The sum assured can be decided based on the number of family members you need to cover under the policy and their age.

You also need to estimate the cost that you expect on the treatment in case of hospitalisation and the amount of premium that you are willing to pay.

While calculating the cost of hospitalisation, you should keep in mind the city you are staying in, the hospital that you would like to opt for the treatment and various other factors. Given the rise in the medical costs, it is essential to have a cover of at least Rs 3 lakh for each family member, who are dependent on you for their health related expenditure.

I contribute Rs 70,000 a year in a PPF account. Can my spouse, who is a home maker, open a PPF account despite having no income of her own? If yes, what is the procedure?

Yes, your wife can open a PPF account. The procedure remains the same as it was in your case. Since you are contributing Rs 70,000 to your PPF account, you can increase it to Rs 1,00,000. You can also contribute an additional amount of Rs 1,00,000 to your wife’s PPF account. However the deduction under Section 80C will be allowed to a total of Rs 1,00,000 only.

(Harsh Roongta is the CEO of Apnapaisa.com. You can send in your queries to
movingmoney@deccanmail.com)