How to get Education Loan 2024: Eligibility, Interest, Apply

Education Loan: In our country, a huge percentage of people is still suffering to have some quality education despite having a lot of talent and brilliant minds. It’s just that they don’t possess the fortune. That’s why education loan is so important. It has helped a lot of poor as well as middle-class people of our country. Education is one of the most important things is one’s life and this is like a fundamental right that must be provided to them at any cost. It is the very beginning of someone’s success and it also helps our country in minimizing the effects of poverty.

Interest rate	6.75 % to 15.20 %, varies from bank to bank
Processing fee	1 % of loan amount or 10,000 rupees + tax
Features	Interest rate of loans is very less. A long term loan is provided. Other features like part payment, health cover, etc.
Eligibility criteria	Must be an Indian to have an education loan. An academic record must be good.
Application process (Online/Offline)	The application process is both online and offline. Fill the application form and add the required documents.
Documents Required	Two passport-size photographs. I’d proof and address proof. Proof of admission into the institution for which you are taking the loan.

Education loans had helped million from the time it was introduced for the first time. The best part about this loan is that it doesn’t ask for a very high-interest rate and once you become able, then you can repay the loan. It also provides a lot of different features like study insurance cover, part payment, and health cover, and many more. The tenure for the loan repayment is also very long and tax rebates and low interest also help a lot.

The loan amount is also very huge, which is 50 lakhs for domestic students to 1 crore for international students. Your travel expenses is also covered under the education loan. It also provides you a laptop for your studies.

Interest Rate	6.75% onwards
Minimum Tenure (excluding grace period)	5 years
Moratorium Period (after course completion)	1 years
Minimum Loan amount	₹ 50,000
Maximum Loan without collateral	₹ Need Based
Maximum Tenure	15 years

Eligibility criteria

There are certain criteria’s on which the education loan relies, so check these carefully:

• The student must be an Indian otherwise an education loan can’t be sanctioned.
•  A proof for secured admission form the university or college should be with the student.
• Student must have the12th pass for an undergraduate or an graduated one for postgraduate.
• The courses must be defined for which you are selected. Your college or university must provide the details about your degree/diploma, courses offered by IIM, UG degree or PG degree from a recognized university, and others.
• You need to have more than 60% marks to be considered as a meritorious student and then only your loan will be sanctioned.

Compare Top Education Loan Offers 2024

Name of Bank	Interest Rate (p.a.)	Processing Fees
SBI	8.15% p.a. to 11.75% p.a.	Up to Rs.10,000No charged required for loan amount below Rs.20 lakhLoan amount above Rs.20 lakh: Rs.10,000 (plus taxes)
Central Bank of India	8.10% p.a. to 10.60% p.a.	Nil for studies in India 1% of loan amount for studies abroad (Max: Rs. 15,000)
PNB	9.20% p.a. onwards	Nil for studies in India 1% of loan amount for studies abroad (Max: Rs. 10,000)
Canara Bank	9.25% p.a. onwards	0.50% of the loan amount up to Rs.10,000 (for collateral security coverage of 100% and above)0.50% of the loan amount up to Rs. 20,000 (for collateral security coverage of less than 100%)
IDFC FIRST Bank	10% p.a. to 15% p.a.	Up to 1.5% of the loan amount
IDBI Bank	8.50% p.a. onwards	Nil for studies in India 1% of the loan amount (Maximum: Rs.5,000) for studies abroad
Bank of Baroda	8.15% p.a. onwards	No processing for charges up to Rs.7.50 lakh1% of loan amount up to Rs.10,000 for charges above Rs. 7.50 lakh
Bank of India	11.05% p.a. to 11.85% p.a.	No processing fee for studies in India
ICICI Bank	9.85% p.a. onwards	Up to 2% + GST
Bank of Maharashtra	9.45% p.a. onwards	Contact the bank
Axis Bank	13.70% p.a. to 15.20% p.a.	2.00% of the loan plus GST
HDFC Bank	9.50% p.a.	Nil for studies in India 1% for studies abroad
Kotak Mahindra Bank	Up to 16% p.a.	Nil
Federal Bank	12.55% onwards	Contact the bank
Tamilnad Mercantile bank	11.75% p.a. to 13.00% p.a.	1% of the sanctioned loan amount above Rs. 7.50 lakh for studies abroad

Education Loan Application process

The application process for an education loan is very simple. You can avail the education loan without any trouble only if they possess the required documents and if you are eligible for it. You must have more than 60% marks and you should also carry your call letter or proof of admission from the university or college. You must not be a foreigner if you want to avail the benefits of an education loan. Though Non Residential Indians can now take education loan in India.

Now we will discuss the application process in steps:

• Step I – first of all, the process is both online and offline, so you don’t have to worry even a bit.
• Step II – either you can reach directly to the bank or to the lender or you can visit the official website to know the details
• Step III – after getting the application form, you need to fill it with utmost care. In case of online, you can easily download the application form and can fill it.
• Step IV – later, you have to add your mark sheet, your admission proof, and other relevant documents.
• Step V – you also have to give an interview with the officials. They will check whether you are eligible or not.
• Step VI – this step includes documentation and validation of all the details which you had provided in the earlier steps.
• Step VII – your loan will be approved in this step and in few days of time, the loan will be disbursed is well.

Documents Required

You need to have a lot of documents if you want an education loan. These documents will proof your background and your qualifications till now. We have discussed about all the documents you need, in points:

• You need to carry a two passport size photograph or scanned image of your photograph.
• You need to have a photo identity proof.
• A residence proof is also very compulsory.
• Your academic record over the course of time and your current status.
• College call letter or admission proof form the University.
• Income proof of your guardian, who is playing the role of co-applicant.
• Bank statement of the last 8 months is also needed of co-applicant.
• You need provide all the relevant details about collateral and immovable property.

Compare Student Loan Interest Rate 2024

Name	Loan Amount	Interest Rate
Axis Bank	Up to Rs. 4 Lakhs	15.20%
Axis Bank	Loans greater than Rs. 4 Lakhs and upto Rs. 7.5 Lakhs	14.70%
Axis Bank	Loans greater than Rs. 7.5 Lakhs	13.70%
Bank of Baroda	For all loan types and amounts	8.50% onwards
Canara Bank	For Vidhya Turant Loan Scheme	6.60%
Canara Bank	Up to Rs. 4 Lakhs	10.40%
Canara Bank	Rs. 4 Lakhs to Rs. 7.50 Lakhs	10.40%
Canara Bank	Loans above Rs. 7.50 lakhs	10.20%
Canara Bank		9.90%
HDFC Bank	Minimum APR	9.00%
HDFC Bank	Maximum APR	13.86%
HDFC Bank	Average APR	11.57%
Kotak Mahindra Bank	For all loan types and amounts	11.5% to 24%
Punjab National Bank	PNB Kaushal	8.55% onwards
Punjab National Bank	PNB Saraswati/Udaan	10.30% onwards
Punjab National Bank	PNB Pratibha (for admission to IITs , IIMs and XLRI Jamshedpur)	8.45% onwards
Punjab National Bank	PNB Pratibha (for admission to other colleges)	8.55% onwards
Punjab National Bank	PNB Honhaar	10.45%
State Bank of India	Up to Rs. 7.5 Lakhs	10.25%
State Bank of India	Above Rs. 7.5 Lakhs	10.50%
Avanse	For all loan types and amounts	10% to 16.50%
Credila	For all loan types and amounts	11.85% onwards
Allahabad Bank	As per applicant’s profile	9.20% onwards
Andhra Bank	As per applicant’s profile	10.80% onwards
Axis Bank	50,000 to 15 lakh	12% onwards
Bajaj Finserv	Up to 25 lakh	12.99% onwards
Bank of Baroda	50,000 to 10 lakh	10.50% onwards
Bank of India	Up to 10 lakh	9.35% onwards
Bank of Maharashtra	Up to 10 lakh	9.70% onwards
CASHe	9,000 to 3 lakh	33% to 36%
Central Bank	Up to 20 lakh	8.45% onwards
Citibank	10,000 to 30 lakh	9.99% onwards
Early Salary	8,000 to 2 lakh	24% onwards
Federal Bank	Up to 25 lakh	11.49% onwards
Fullerton India	Up to 25 lakhs	11.99% onwards
HDFC Bank	50,000 to 40 lakh	10.75% onwards
Home Credit	Up to 2.4 lakh	24% onwards
HSBC Bank	Up to 30 lakh	10.50% onwards
ICICI Bank	50,000-20 lakhs	11.25% onwards
IDBI Bank	25,000-5 lakhs	12% onwards
IDFC First	1 lakh-40 lakhs	10.75% onwards
Indiabulls	Rs. 1000 to Rs. 15 lakh	13.99% onwards
Indian Bank	As per applicant’s profile	9.20% onwards
Indian Overseas Bank	Up to 15 lakh	10.30% onwards
IndusInd Bank	50,000-15 lakhs	11% onwards
Kotak Mahindra Bank	50,000-20 lakh	10.75 onwards
Kreditbee	1000 to 2 lakh	1.02% p.m. onwards
Moneytap	Rs. 3000 to Rs. 5 lakh	1.25% p.m. onwards
Moneyview	Rs. 10,000 to Rs. 5 lakh	1.33% p.m. onwards
Muthoot Finance	Rs. 50,000 onwards	Varies based on applicant profile
Punjab National Bank	25,000 to 15 lakh	8.95% onwards
RBL Bank	1 lakh to 20 lakh	14% onwards
Standard Chartered Bank	1 lakh-50 lakhs	11.00% onwards
State Bank of India	Up to 20 lakhs	9.60% onwards
TATA Capital	75,000 to 25 lakh	10.99% onwards
UCO Bank	Up to 10 lakh	8.45% onwards
Union Bank of India	Up to 15 lakh	8.90% onwards
Yes Bank	1 lakh to 40 lakh	10.75% onwards
SBI		9.25% onwards
HDFC Bank		9.35% onwards
ICICI Bank		9.55% onwards
Axis Bank		9.50% onwards
IDBI Bank		9.95% onwards
Punjab National Bank		9.25% onwards
Bank of India		9.25% onwards
Syndicate Bank		10.1% onwards
CitiBank		8.80% onwards
Syndicate Bank		11.50% onwards
HDFC Ltd.		9.50% onwards
State Bank of India		9.60% onwards
Kotak Mahindra Bank		9.60% onwards
ICICI Bank		9.80% onwards
IDBI Bank		10.10% onwards
Bajaj Finserv		10.10% onwards
PNB Housing Finance Ltd.		10.25% onwards
Tata Capital		10.50% onwards
LIC Housing Finance Ltd.		11.30% onwards
Axis Bank		11.35% onwards
PaySense		18% to 36% p.a.
Rupeelend		30% for 30 days
CASHe		1.75% onwards for 15-day loan
CASHe		3.25% onwards for 30-day loan
CASHe		2.75% onwards (monthly) for 90-day loan
CASHe		2.50% per month for 180-day loan
Money View		1.33% – 2% p.m.
Credy		1% – 1.5% p.m.
EarlySalary		2.5% p.m.
LazyPay		15% – 32% p.a.
mPokket		Based on lender’s terms
MoneyinMinutes		0.1% – 0.7% per day
QuickCredit		1% per day
FlexSalary		Up to 3% per month

Frequently asked questions