Education Loan Lowest Interest Rates 2023

The most important dream of all parents is that their children get a quality education so that they can lead a bright and successful life. Parents are finding it very difficult to self-finance their children's education due to the increasing cost of higher education. For example, for engineering courses, the fees is around Rs 5-10 lakh, for any medical course at a private college, the fees is appox. in the range of Rs. 40 lakh and Rs. 50 lakh and for professional courses like MBA etc, fees could be around Rs 4-5 lakh. Here comes into picture the importance of Education Loan to cover these education expenses.

BankInterest RateTenureMax. Loan AmountEligible Courses
Axis BankPlease contact bank branchContact Bank Brancha) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Hdfc BankPlease contact bank branchContact Bank Brancha) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Punjab National Bank8.45% to 10.95%In 15 years after the Holiday | Moratorium PeriodNeed based Finance subject to repaying capacity of the parents/students
Andhra Bank8.70% to 10.65%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 20 Lakhs.
b) For studies abroad, maximum Rs. 50 Lakhs
Allahabad Bank8.95% to 10.60%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 20 Lakhs.
b) For studies abroad, maximum Rs. 50 Lakhs
Studies in India (Indicative list): Approved courses recognized by UGC/ Govt. / AICTE/ AIBMS/ ICMR etc. Studies abroad: For job oriented professional/ technical courses offered by reputed universities.
Bank Of Baroda9.35% to 10.85%In 5 to 7 years after the Holiday | Moratorium PeriodMaximum Rs. 20 LakhsGraduate|Post Graduate | Doctorate | Job Oriented Professional | Technical Courses offered by reputed Universities overseas. Regular Degree| Diploma courses like Aeronautical, pilot training, shipping etc. The Institute should be recognized by the competent local aviation | shipping authority and Director General of Civil Aviation|shipping in India.
Idbi Bank9.45% to 10.45%In 10 to 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 15 Lakhs.
b) For studies abroad, maximum Rs. 25 Lakhs.
Vijaya Bank9.45% to 10.65%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
Oriental Bank Of Commerce9.70% to 12.70%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 25 Lakhs.
b) For studies abroad, maximum Rs. 25 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
Central Bank Of India9.90% to 10.40%In 10 to 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
Canara Bank9.95% to 10.45%In 10 to 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
For studies in India: Graduation, post graduation, including technical/professional courses with employment potentials conducted by colleges/universities approved by UGC/Government, AICTE/Department of Electronics/IMC, autonomous institutions like IIM, IIT, etc.
For studies abroad: Job oriented technical/professional courses-(graduation/post graduation)
Dena Bank10.20%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 15 Lakhs.
b) For studies abroad, maximum Rs. 25 Lakhs.
Study in India:
Graduation courses, Post-Graduation courses, Masters & PhD, Professional courses.
Study Abroad:
Graduation : For job oriented professional / technical courses offered by reputed universities
Post Graduation : MCA, MBA, MS etc.
Courses conducted by CIMA-London, CPA in USA etc.
Jammu And Kashmir Bank 10.20% to 10.95%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Bank Of India10.20% to 11%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Bank Of Maharashtra10.25% to 10.75%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Punjab And Sind Bank10.25% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
Corporation Bank10.25% to 11.10%Contact Bank Branch
Syndicate Bank10.25% to 11.50%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
Indian Overseas Bank10.25% to 11.55%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 30 Lakhs.
b) For studies abroad, maximum Rs. 40 Lakhs.
Graduation|Post graduation|Diploma|Computer education in any recognized State|Central Government|University, professional courses including Engineering, Medical, Agriculture, Veterinary, Law, Dental, Management, courses like ICWA, CA, CFA, etc., courses conducted by IIM, IISC, XLRI, NIFT etc, courses offered in India by reputed foreign universities|Evening courses of approved institutes, regular degree| diploma courses like Aeronautical , Pilot training , shipping etc approved by Director General of Civil Aviation| shipping if the course is pursued in India. Incase the course is pursued abroad, the institute should be recognized by the competent local aviation| shipping authority. For studies abroad, loans will be made available only for Graduation and Post Graduation Courses offered by Reputed Universities and not for diplomas
Uco Bank10.60% to 11%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
Federal Bank10.65% to 14%Contact Bank Brancha) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Karnataka Bank 10.85% to 12.95%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Graduate Courses Post Graduate Courses Professional Courses Courses conducted by IIM, IIT, XLRI, NIFT Courses offered in India by reputed foreign universities; Evening Courses of approved Institutes. Other Courses leading to Diploma | Degree conducted by Colleges | Universities approved by UGC | GOVT. | AICTE |AIBMS | ICMR; Courses offered by National Institutes and other reputed private Institutions.
United Bank Of India10.95% to 11.00%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of India10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
Bharatiya Mahila Bank 10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of Mysore10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of Hyderabad10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of Patiala10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of Travancore10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
State Bank Of Bikaner And Jaipur10% to 10.75%In 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.
The Nainital Bank 11.25% to 12.25%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Kotak Mahindra Bank 11.5% to 24%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Union Bank Of India11.50% to 12.25% In 10 to 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
South Indian Bank11.60% - 12.60%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Dhanalakshmi Bank11.68% to 15.65%Duration of the course plus 6 months or getting a job, whichever is earliera) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Laxmi Vilas Bank11.70% to 12.80%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Icici Bank 11%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Indusind Bank11% to 30.50%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Karur Vysya Bank12.10% to 12.60%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Indian Bank12.25%In 10 to 15 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
Studies in India:
Diploma|Graduation/Post-graduation courses in various disciplines.
Computer certificate courses of reputed institutes accredited to The Department of Electronics.
Studies Abroad:
Job-oriented professional|technical courses offered by reputed universities.
MCA, MBA, MS etc.
Courses conducted by CIMA - London, CPA in USA etc.
Tamilnad Mercantile Bank 13.30% to 13.80%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
City Union Bank 14.25%Contact Bank Brancha) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs
Catholic Syrian Bank 14.50%In 5 to 7 years after the Holiday | Moratorium Perioda) For studies in India, maximum Rs. 10 Lakhs.
b) For studies abroad, maximum Rs. 20 Lakhs.
For studies in India:
  1. Approved courses leading to graduate|post graduate degree and P G diplomas conducted by recognized colleges|universities recognized by UGC|Govt.| AICTE| AIBMS| ICMR etc.
  2. Courses like I.C.W.A., C.A., C.F.A., etc.
  3. Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NIDetc.
  4. Approved courses offered in India by reputed foreign universities.
  5. Regular Degree|Diploma courses like Aeronautical, pilot training, shipping, degree|diploma in nursing or any other discipline.approved by Director General of Civil Aviation|Shipping|Indian Nursing Council or any other regulatory body as the case may be, if the course is pursued in India.
  6. Approved by Head Office and included in approved educational institutions list.
For studies abroad:
  1. Graduation: For job-oriented professional|technical courses offered by reputed universities. (Diploma|Certification courses are not permissible)
  2. Post Graduation: Courses like MCA, MBA, MS etc.
  3. Courses conducted by CIMA-London, CPA in USA etc.
  4. Degree | Diploma: Courses like Aeronautical, Pilot training, and Shipping etc. provided these are recognized by competent regulatory bodies in India| abroad for the purpose of employment in India and abroad.

Students from various disciplines can now take their first step on the path to success and fuel their dreams for professional or technical education in India or abroad with financial assistance in the form of Education Loan offered by banks so that nothing can hinder their progress.

Education Loan provides financial aid to deserving and meritorious students to pursue higher studies in India and abroad. It helps students to pay their tuition fees, examination, library, books, laboratory and hostel while studying. It also covers travel expenses for studying abroad, study tours, project work, refundable deposit, etc.

Almost all banks in India offer education loans on attractive interest rate and easy repayment options and hence there is a huge demand for loans to cover education expenses.

Lesser Known Facts about Education Loan

  • Parents can claim tax benefits under Section 80E of the Income Tax Act. They can claim deduction towards interest paid on the loan and not on the principal repayment. The main point to know is that there is no maximum cap on such tax benefit which means one can claim entire interest amount paid from his/ her taxable income. The deduction can be claimed for 8 years.
  • Banks charge simple interest on education loan during course period which results into lower EMIs in future.
  • Sanctioned Loan amount is directly disbursed to the college or university where the student will be studying as per given fee structure.
  • Repaying education loan without any delay or default, helps building good credit score for the student being it is the first loan in his/ her life.
  • There is no prepayment penalty in education loan which means that if you close your loan before its maturity, you will not be levied any penalty or charges.

Benefits of Education Loan

  1. Provides financial assistance to fulfil the dream of higher education of deserving and meritorious students.
  2. Loans for a variety of courses are available on attractive rates of interest.
  3. Female students are often offered discounts or lower interest rates when it comes to education loans.
  4. Government sponsors subsidy schemes to help students from the economically backward sections of society avail the benefits of education loan.
  5. Education loans below Rs.4 lakh usually are offered by banks without any security or guarantor.
  6. The interest paid on the education loan can be claimed as deduction without any upper limit under Section 80E of the Income Tax Act of India, 1961.