Education Loan — for study in India or abroad
Tuition, living costs, travel and more. Repayment starts after your course, and under the old tax regime the interest you pay is deductible.
- India & abroad
- Moratorium during course
- Section 80E tax benefit
Starting rates
at 9 lenders
- Axis Bankfrom 13.7% p.a.
- IDFC First Bankfrom 9.5% p.a.
- ICICI Bankfrom 9% p.a.
- Saraswat Bankfrom 8.2% p.a.
- Tata Capitalfrom 9.5% p.a.
- Auxilofrom 15.1% p.a.
- Yes Bankfrom 10.85% p.a.
- Avanse Financial Servicesfrom 10% p.a.
- Propelldfrom 11% p.a.
What is an education loan?
An education loan pays for a degree or diploma in India or abroad, with a parent or guardian usually joining as co-applicant. You start repaying after the course ends, plus a grace period of 6–12 months.
Loans above a lender-specific limit need collateral, such as property or a fixed deposit. Below it, the co-applicant's income and the student's admission are what the lender judges.
At a glance
- Loan amount
- Up to ₹1–1.5 crore for study abroad
- Interest rate
- 8.2%–18% p.a.
- Tenure
- Up to 10–15 years after the course
- Moratorium
- Course + 6–12 months
- Collateral
- Not needed up to a lender's limit
- Tax benefit
- Interest deductible for 8 years (Sec 80E)
Compare education loan interest rates
Published rates from banks and NBFCs. Your rate depends on the course, the college, collateral and the co-applicant's income.
- Lowest starting rate
- 8.2%p.a.
- Lenders listed
- 9
- Largest amount
- ₹3 crore
- Axis BankPrivate bankStarting from13.7% p.a.
- Rate range
- 13.7%–15.2% p.a.
- Max amount
- ₹1.5 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Up to 2% of
- IDFC First BankPrivate bankStarting from9.5% p.a.
- Rate range
- 9.5%–9.5% p.a.
- Max amount
- ₹2 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Up to 1.5% of
- ICICI BankPrivate bankStarting from9% p.a.
- Rate range
- 9%–13.75% p.a.
- Max amount
- ₹3 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Up to 2% of
- Saraswat BankPrivate bankLowest rateStarting from8.2% p.a.
- Rate range
- 8.2%–15.6% p.a.
- Max amount
- ₹1.5 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Upto 2% of
- Tata CapitalNBFCStarting from9.5% p.a.
- Rate range
- 9.5%–18% p.a.
- Max amount
- ₹2 crore
- Max tenure
- 13 years
- Rate type
- fixed
- Processing fee
- Up to 2% + applicable taxes
- AuxiloNBFCStarting from15.1% p.a.
- Rate range
- 15.1%–15.1% p.a.
- Max amount
- ₹1 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Upto 2% of
- Yes BankPrivate bankStarting from10.85% p.a.
- Rate range
- 10.85%–13% p.a.
- Max amount
- ₹1.5 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Up to 2%
- Avanse Financial ServicesNBFCStarting from10% p.a.
- Rate range
- 10%–16.5% p.a.
- Max amount
- ₹1.2 crore
- Max tenure
- 12 months
- Rate type
- fixed
- Processing fee
- Upto 2% of
- PropelldNBFCStarting from11% p.a.
- Rate range
- 11%–14.5% p.a.
- Max amount
- ₹1 crore
- Max tenure
- 15 years
- Rate type
- fixed
- Processing fee
- Upto 2% of
Last verified 19 Sep 2026. These are the lenders' published rates and fees, and they can change without notice. Your rate depends on your credit score, income and employer, and the lender makes the final decision.
Education loan EMI calculator
Your EMI depends on the amount, the rate and the tenure. Change any of them to see the monthly payment and the total interest.
Your loan
Your monthly EMI
₹20 lakh · 10 years · 10% p.a.
- Principal₹20,00,000
- Interest₹11,71,618
- Total amount payable
- ₹31,71,618
We'll carry ₹20 lakh over 10 years into the form.
Example: For a loan of ₹20,00,000 at 10% p.a. for 10 years, the EMI is ₹26,430 and the total amount payable is ₹31,71,618 (interest ₹11,71,618), excluding processing fee and taxes.
How your balance comes down
Early payments are mostly interest. The principal falls faster in the later years.
- Outstanding principal
- Interest paid so far
Year-wise repayment schedule
| Year | Principal paid | Interest paid | Closing balance |
|---|---|---|---|
| 1 | ₹1,22,684 | ₹1,94,478 | ₹18,77,316 |
| 2 | ₹1,35,530 | ₹1,81,632 | ₹17,41,786 |
| 3 | ₹1,49,722 | ₹1,67,439 | ₹15,92,064 |
| 4 | ₹1,65,400 | ₹1,51,762 | ₹14,26,664 |
| 5 | ₹1,82,719 | ₹1,34,442 | ₹12,43,945 |
| 6 | ₹2,01,853 | ₹1,15,310 | ₹10,42,092 |
| 7 | ₹2,22,989 | ₹94,172 | ₹8,19,103 |
| 8 | ₹2,46,339 | ₹70,823 | ₹5,72,764 |
| 9 | ₹2,72,134 | ₹45,028 | ₹3,00,630 |
| 10 | ₹3,00,630 | ₹16,532 | ₹0 |
Monthly EMI ₹26,430. Total interest ₹11,71,618. Total payable ₹31,71,618.
Education loan eligibility
Each lender sets its own rules. These are the usual minimums, so check them before you apply.
Salaried applicants
- Indian citizen with confirmed admission to a recognised course
- A parent, guardian or spouse as co-applicant
- Co-applicant with a steady salary and a credit score of 700+
- Collateral for loans above the lender's unsecured limit
Documents for an education loan
Keep these ready before you apply. Complete documents are the quickest way to a decision.
Tick off what you already have.
What does an education loan cover?
- Tuition and exam fees
- Hostel and living costs
- Travel for study abroad
- Books, equipment and a laptop
- Caution deposits and building funds
- Health insurance for the student
How to apply for an education loan
You fill in one short form. An advisor does the comparing and stays with you until the money is in your account.
- 1
Tell us once
Share what you need and a few details about your income. Takes about two minutes.
- 2
We compare
We check your profile against the eligibility rules of our partner banks and NBFCs and shortlist the ones likely to say yes, at the best rate.
- 3
You choose
We walk you through the shortlisted offers: rate, fees, EMI, and the fine print. No pressure to pick any of them.
- 4
We stay till disbursal
Your advisor collects documents, coordinates with the bank and keeps you updated until the loan is disbursed.
What decides your education loan rate
- The college and course
- Lenders keep lists of premier institutions and charge less for them.
- Collateral
- A secured loan can be 1–3 points cheaper than an unsecured one.
- Co-applicant's income and score
- The co-applicant carries the credit risk while the student is studying.
- Loan amount
- Public banks price in slabs (up to ₹4 lakh, ₹4–7.5 lakh, above ₹7.5 lakh).
- Gender
- Several public banks offer women students a small concession.
How to get a lower rate
- 1Apply once your admission is confirmed; an offer letter opens more lenders.
- 2Offer collateral if the family has it. It lowers the rate on large loans.
- 3Pay the interest during the moratorium if you can, so it doesn't add to the loan.
- 4Compare public banks for India and NBFCs for abroad; each is stronger in its own lane.
- 5Choose a co-applicant with the strongest income and credit score.
What does it cost to study abroad?
A year abroad typically costs ₹8 lakh in Germany to ₹55 lakh in the US, tuition and living together. Pick a country to see its range.
Studying in USA
₹30–55 lakh a year
Two-year master's in STEM are the most common course we see.
Typical yearly totals for a master's student, tuition and living together. Your university's fee schedule is what the lender will use.
Types of education loans
- Study abroad loan
- Study in India loan
- Secured education loan
- Unsecured education loan
- Loans for premier institutes
- Vocational and skill course loans
- Executive education loan
We are here to answer
all your questions
Not below the lender's unsecured limit, which varies widely. Above it, property, a fixed deposit or insurance policies can be pledged.
A parent, guardian, spouse or sibling, usually one living in India with a steady income.
Tuition, hostel and living costs, travel, books, a laptop and insurance, as listed on the institution's cost estimate.
Some NBFCs give a provisional sanction before admission. It helps you show funds for a visa, and turns final once you're admitted.
Interest builds up during the course. Paying it as you go keeps the loan from growing; some lenders give a small discount for it.
Under the old tax regime, all the interest you repay is deductible, with no cap, for up to 8 years from when repayment starts.
Yes. Many students refinance after they start earning, often to a cheaper lender in India or abroad.
Yes. Most lenders issue a sanction letter, and for abroad loans can disburse to the university before you fly.
Ready to see which education loan offers you qualify for?
Takes two minutes. No impact on your credit score.