Top Education Loans Providers in India for Study Abroad

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Piyush
Piyush Kohli
Study Abroad Expert
Updated on Feb 18, 2021 12:00 IST

Top Education Loans Providers in India for Study Abroad

1. HDFC Bank 

HDFC Bank offers education loans with preferential interest rates for reputed universities. 

Maximum loan amount - Up to Rs. 20 lakhs 

Processing fees - Up to 1.5% of the loan amount 

HDFC education loans can be availed before the student has secured an admission at the university. Borrowers enjoy flexible security collateral. Co-borrowers can be living in a different city than the borrower, but they can only be relatives of the borrower. 

2. State Bank of India 

SBI finances international higher education for job-oriented professional and technical graduate as well as postgraduate degree courses. Some examples of these courses are MBA, MCA, MS, diploma courses at reputed universities etc. The loan offered by SBI covers tuition fees, exam fee, lab fee, library fee, caution deposit, books and equipment cost, travel expenses etc.  

Maximum loan amount - Rs. 30 lakhs 

Collateral security required - For loans above Rs. 7.5 lakhs  

Loan margin - 15% for SBI education loan borrowers 

Interest rate - Up to 2% on the current base rate of SBI 

Repayment tenure – 1 year to 15 years 

SBI offers a moratorium period where the entire interest can be repaid so that when the actual loan repayment tenure starts the monthly installment can be just the principal amount.  The borrower has to submit college admission letter, completed loan application form, course costs, co-applicant details and other KYC documents to the bank.

Apply for Education Loan through Shiksha

Shiksha has partnered with India’s topmost and trusted loan providers who will assist you in getting an education loan. Find out more!

3. Axis Bank 

Students can seek loans for technical, professional courses, or career-oriented courses. The whole process of getting an education loan with Axis bank is hassle-free. The loan covers hostel fee, tuition fee, book cost etc.  

Maximum loan amount - Rs. 20 lakhs  

Minimum loan amount - Rs. 50,000 

Interest rate - Ranges from 16.5% to 17.5% with special rates for women  

Loan margin - Not required for a loan below Rs. 4 lakhs. For loans above Rs. 4 lakhs15% has to be brought in by the borrower 

Processing fee - None 

Education loans require a parent or guardian to act as a co-applicant, with third party guarantee or collateral security, if applicable. Axis Bank might also consider LIC policy for 100% of the loan amount but it depends from case to case.

 

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4. Punjab National Bank 

PNB Udaan is a special education loan scheme for Indian students planning to study abroad. The loan is available for students who have got admission for graduate or post-graduate courses varying from diplomas, job-oriented professional or technical courses, CIMA/CPA courses etc. The PNB loan covers university fee, travel expense, exam fee, lab fee, library fee, book/equipment fee, and other related expenses.  

Maximum loan amount - PNB sanctions loans according to the requirement of the borrower,  

Loan margin - 15% for loans above Rs. 4 lakhs. For loan amount below Rs. 4 lakhs, the loan margin is not required. Assistantship and scholarships can be added to the loan margin. PNB offers the base rate as the  

Interest rate - Base rate for pursuing the education at the top 200 universities across the world  

Moratorium period - Up to a year with no prepayment charges levied by the bank 

Processing fees - 1% 

The tenure options available for PNB education loan borrowers is up to 15 years

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5. Bank of Baroda 

Under the Baroda Scholar scheme, admission secured for professional and technical courses at reputed foreign universities are sanctioned for education loan.  

Maximum loan amount - Up to Rs. 20 lakhs 

Loan margin requirement - 15% 

Repayment tenure - Loans taken up to Rs. 7.5 lakhs can be repaid within 10 years and loans above Rs. 7.5 lakhs can be repaid within 15 years 

Borrowers can get a holiday or moratorium period of six months to one year after getting employment. Security is not required for loans below the amount of Rs. 4 lakhs. Third party guarantee is required for loans between Rs. 4 lakhs and Rs. 7.5 lakhs and a tangible collateral security is required for loans above Rs. 7.5 lakhs. 

6. Canara Bank 

 The Canara Bank education loan covers university fee, travel costs, exam fee, lab fee, library fee, book/equipment fee, and other related expenses. Education loan has to be taken with a co-borrower and 100% collateral security is required for loans above Rs. 7.5 lakhs. 

Maximum loan amount  Upto Rs. 20 Lakhs 

Loan margin - 15% for loans taken above Rs. 4 lakhs 

Repayment tenure - Can be up to 10 years for loans below Rs. 7.5 lakhs and up to 15 years for loans above Rs. 7.5 lakhs.  

Security - Not required for loans below Rs. 4 lakhs. Third party guarantee has to be given for loans from Rs. 4 lakhs to Rs. 7.5 lakhs.  

7. IDBI Bank 

The IDBI education loan covers university fee, travel, exam fee, lab fee, library fee, the cost of computers, book/equipment fee and other related expenses. IDBI Bank sanctions loan amount according to the requirement of the borrower, with no security on loans below Rs. 4 lakhs.  

Maximum loan amount - Up to Rs. 20 lakhs 

Repayment tenure - Up to 10 years for loans below Rs. 7.5 lakhs and up to 15 years for loans more than Rs. 7.5 lakhs 

Third party guarantee is required for loans between Rs. 4 lakhs and Rs. 7.5 lakhs. Education loan has to be taken along with a co-borrower. 100% collateral security is required for loans more than Rs. 7.5 lakhs. 

8. Avanse Financial Services 

Avanse offers various kinds of loans like pre-visa disbursement loan, fast-track loan, pre-admission loan, and certificate of availability of funds. Borrowers have to submit their KYC documents, course fee, collateral documents, income documents etc. when they avail an Avanse education loan.  

Minimum loan amount - Rs. 1, 00,000 with the  

Maximum loan limit - Customized according to the borrower’s requirement 

loan tenure can be taken between 12 months to up to 120 months 

Avanse education loan covers tuition fee, travel cost, living expense, books /equipment fee and other related expenses.

 

Get in touch with India’s top-rated loan providers and apply for an education loan through Shiksha Study Abroad

 

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About the Author
Piyush Kohli
Study Abroad Expert

With a plethora of knowledge of the education domain, Piyush Kohli has been involved with study abroad for over 5 years and counting. He comes with prior experience on the complexities of the study abroad applicatio... Read Full Bio

Comments

(12)

I

Iram vahora

12/06/20

Hello, can you just tell me banks gives education loan on home value ya depend on course fees.

Reply to Iram vahora

06/06/19

Hi there,My loan is rejected by Credila due to My Co-borrowers Credit score is Low,Without collateral Loan.
Is they any way please suggest me.

Reply to

16/04/19

any one gone to sweden with loan can an one guide

Reply to

27/03/19

If education loan for undergraduate course in abroad is not sanctioned by bank then is there a private instruction who give loan on same rate of interest as bank?

Reply to

Hi Neha, you may check out Credila by HFDC.

18/02/19

Please help me to solve my problem

Reply to

Check with banks for alternatives, you have only check with one bank. Check private financial institutions like Credila. Also you should check with the college for financial aid options and/or student loans.

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