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Loan Disbursed
2 Billion+
30
Years of Trust
₹2 Billion+
Loan Amount Disbursed
30
Trusted Partners
200,000+
students placed abroad!
Did you know as per the new Union Budget TCS (Tax Collection at Source) for foreign remittances or transfers has increased from 5 to 20 per cent? For students and parents, this news means that TCS on self-funding is going to be at least 10 times more expensive than taking an education loan for abroad studies!
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Apply to 3-4 banks for rate comparison
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Get approval within 12-24 days
Enjoy a hassle-free disbursement process
Established in 2014, MPOWER Financing has been on a mission to dismantle the financial obstacles obstructing international education. Operating out of Washington, DC, the company specializes in providing education loans tailored for higher studies in the United States and Canada. With a decade-long commitment to the study abroad sector, MPOWER Financing has honed its expertise.
Distinguishing itself with a fully digital loan application process, MPOWER offers unparalleled convenience to its users. The company boasts a robust network of over 400 educational institutions for which it can offer financial support. Notably, MPOWER stands as the exclusive partner in our consortium that maintains a steadfast interest rate, irrespective of prevailing conditions, offering an additional advantage to borrowers.
Important Aspects | Detail |
---|---|
Loan Amount | Up to 100,000 USD |
Interest Rate* | 12% - 14% |
Interest Rate Type | Floating |
Minimum Income | Not Required |
Repayment | Simple Interest during the course & during 6 Month grace period, EMI afterwards |
Processing Fees | Up to 5%, added to loan amount |
Other Charges | No Charges |
Margin Money | 0 |
Loan Tenure | Up to 15 years |
Processing Time | Up to 7 days |
Prepayment Penalty | No Penalty |
*The Final Rate of Interest may vary based on the student’s profile.
Founded in 2007, Prodigy Finance stands as a UK-based financial institution that has redefined the landscape of education loans while upholding an unwavering commitment to exceptional service standards. The ethos underpinning Prodigy Finance is grounded in the belief that financial constraints should never obstruct the pursuit of education. Over the course of the past 16 years, Prodigy Finance has diligently aided students in realizing their academic aspirations. Leveraging an individual's academic profile, they facilitate study abroad education loans devoid of the need for collateral or a co-applicant.
Important Aspects | Detail |
---|---|
Loan Amount | Up to 100,000 USD |
Interest Rate* | 12% - 14% |
Interest Rate Type | Floating |
Minimum Income | Not Required |
Repayment | Simple Interest during the course & during 6 Month grace period, EMI afterwards |
Processing Fees | Up to 5%, added to loan amount |
Other Charges | No Charges |
Margin Money | 0 |
Loan Tenure | Up to 15 years |
Processing Time | Up to 7 days |
Prepayment Penalty | No Penalty |
*The Final Rate of Interest may vary based on the student’s profile.
Nomad Credit helps students planning to study abroad search for potential student loan options. Get access to multiple lending partners with low-interest rates and potential flexible repayment terms - possibly even without a cosigner or collateral! Simply sign up and start your student loan search today.
Eligibility Requirements for Education Loans
It is crucial to check the eligibility criteria before you apply for an education loan. The eligibility requirements vary for each type of education loan.
However, the following requirements need to be fulfilled to apply for any education loan:
Established in 1977 primarily for housing loans, HDFC Credila transitioned into a specialised NBFC (Non-Banking Financial Company) for education loans in 2006, subsequently becoming the oldest NBFC in India to cater to educational financing. Key highlights of HDFC Credila include:
Country | Maximum loan amount by HDFC Credila |
---|---|
Australia | STEM courses: INR 20 - 30 Lakhs Non-STEM courses: INR 25 Lakhs |
Canada | STEM courses: INR 30 - 40 Lakhs Non-STEM courses: INR 20 - 25 Lakhs |
Germany | STEM courses: INR 20 - 30 Lakhs Non-STEM courses: INR 25 Lakhs |
Ireland | STEM courses: INR 20 - 30 Lakhs Non-STEM courses: INR 25 Lakhs |
New Zealand | STEM courses: INR 20 - 30 Lakhs Non-STEM courses: INR 25 Lakhs |
UK | STEM courses: INR 20 - 30 Lakhs Non-STEM courses: INR 25 Lakhs |
US | STEM courses: INR 60-75 Lakhs* Non-STEM courses: INR 40 Lakhs |
*The Final Rate of Interest may vary based on the student’s profile.
Avanse Financial Services operates as a Non-banking Financial Company (NBFC) dedicated to facilitating educational aspirations. Their portfolio comprises education loans tailored for students embarking on higher studies, whether in India or overseas. The company distinguishes itself through the provision of personalized loan solutions, designed to accommodate a diverse spectrum of courses and universities. Their primary objective revolves around streamlining and simplifying the loan application process, ensuring it unfolds seamlessly and without complications.
For students pursuing education abroad, Avanse Financial Services extends comprehensive coverage, encompassing more than 2,000 universities and colleges, as well as an expansive selection of over 27,000 pre-approved courses spanning across 50+ countries. They offer a versatile array of financial solutions, including pre-visa disbursement loans, pre-admission loans, bridge loans, fast-track loans, and score-based advantages. These offerings are meticulously crafted to eliminate financial obstacles, allowing applicants to focus on their educational journey and propel their careers to new heights without financial constraints.
Important Aspects | Description |
---|---|
Loan Amount | Up to INR 75 Lakh |
Interest Rate* | 12.5 - 13.5% |
Processing time | 7-25 days |
Margin money | nil |
Moratorium period | Course duration + 1-year |
Repayment tenure | 15 years |
*The Final Rate of Interest may vary based on the student’s profile.
InCred is a fast-growing NBFC that, since its establishment in 2017, has sanctioned 500 million USD worth of education loans. InCred education loans cover 25+ countries and 600+ courses. Generally, InCred loans are better suited for students with work experience in their field of study.
Features | In-cred |
---|---|
Maximum loan amount | INR 20 - 80 Lakhs |
Interest Rate* | 11.65% - 13.5% |
Moratorium period | Course duration + 1 year |
Repayment during the moratorium period | Simple Interest/ Partial Simple Interest |
Processing fee | 0.5% - 1% of the loan amount + GST |
Loan tenure | 12 - 15 years |
Minimum co-applicant income (negotiable for secured education loans) | INR 20,000 - 40,000 |
Credit life insurance premium | 1.25% - 1.5% of the loan amount |
*The Final Interest rate may vary based on the student’s profile.
Established in 2017, Auxilo Finserve Pvt. Ltd. is an NBFC. Auxilo assesses students based on more than 15 parameters and offers customised education loan options for countries like the US, UK, Canada, Australia, France, Germany, New Zealand, and Ireland. Auxilo offers customised loan options based on the requirements. They also provide various benefits such as pre-approved loans, flexible repayment options, and doorstep service.
Features | Auxilo |
---|---|
Loan amount | Up to INR 65 Lakh |
Rate of interest | 11.25 - 14% |
Processing fee | 0.5 - 2% |
Repayment tenure | 10-12 years |
Repayment during course | Partial/simple interest/EMI |
*The Final Interest rate may vary based on the student’s profile.
Tata Capital Limited is a financial and investment service provider in India. Based in Mumbai, it has more than 100 branches across the country. The firm offers consumer loans, wealth management, commercial finance, and infrastructure finance, among other services.
Founded in 1993, Axis Bank stands as a prominent player in the private sector banking arena, boasting an extensive network of 5,625 branches spanning the various states and Union Territories of India. Axis Bank's education loans serve as a gateway to higher education, commencing from a base amount of INR 50,000. These loans cater to eligible applicants, with or without the need for collateral security, offering attractive interest rates.
Key highlights of Axis Bank's education loans include:
Type of Loans | Maximum loan amount by HDFC Credila |
---|---|
Secured Education Loan | 75 Lakhs* |
Unsecured Education Loan | INR 50 Lakhs for Prime A-listed institutions INR 40 Lakhs for Prime B-listed institutions. |
*The Final Rate of Interest may vary based on the student’s profile.
Established in 1994, ICICI Bank has emerged as a prominent player in India's private-sector banking sphere. Recognizing the formidable financial challenges associated with pursuing higher education, particularly in light of the escalating costs, ICICI Bank is committed to ensuring that financial constraints do not impede your educational aspirations.
Through a strategic partnership, ICICI Bank has joined forces with a dedicated platform to provide invaluable financial support to aspiring students embarking on their journey of higher education abroad. ICICI Bank empathizes with your career ambitions and stands ready to offer essential student loans, facilitating your path to higher education. The process of securing an Education Loan through ICICI Bank is designed to be straightforward and hassle-free.
To cater to diverse educational needs, ICICI Bank has categorized premier educational institutions into different tiers, denoted as A1, A2, A3, and A4. Their offerings include collateral-free loans with generous limits of up to Rs.50 lakh, opportunities for tax savings on interest payments under section 80(E), flexible tenure and repayment alternatives, and competitive interest rates.
Important Aspects | Detail |
---|---|
Loan Amount |
A1 - 50 Lakhs INR
A2 - 40 Lakhs INR A3 - 15 Lakhs INR A4 - On an immediate EMI basis |
Interest Rate* | A1 - 10.85%
A2 - 11.70% A3 - 12.25% A4 - 12.50% |
Interest Rate Type | Floating Interest Rates |
Minimum Income (Co-Applicant) | 50,000 INR (without obligations) |
Repayment | Need to pay S.I. only during course + 6 months grace period |
Processing Fees | 0.5% - 1% of the loan amount + GST |
Other Charges | Nil |
Margin Money | A1 - 0
A2 - 5% A3 - 15% A4 - 15% |
Loan Tenure | Up to 10 years |
Processing Time | 5 - 7 days after document submission |
Prepayment Penalty | No Penalty |
Tax Benefit | Yes |
*The Final Rate of Interest may vary based on the student’s profile.
Established in 2015, IDFC Bank has been dedicated to overcoming financial barriers hindering various economic endeavours. IDFC Bank has also made significant strides in the education financing sector. Understanding the importance of education in shaping the future, the bank offers tailored student study loans to facilitate higher education aspirations.
IDFC Bank, apart in this domain, is its flexible and student-friendly loan terms. The bank recognises students and their families' unique challenges in funding education and strives to ease this burden through competitive interest rates, convenient repayment options, and transparent loan terms.
The application process for IDFC Bank's student study loans is streamlined and user-friendly, reflecting the bank's commitment to embracing digital solutions.
Important Aspects | Detail |
---|---|
Amount | 1Lakhs to 2Crores INR |
Interest Rate* | 8% - 15% |
Interest Rate Type | Floating |
Eligibility | 18+ Indian National (Includes NRI) |
Processing Fees | Up to 1.5%* of the Loan Amount or as per any special scheme run by the bank |
Stamping Charges | As per actual |
Cancellation charges | 1%* of the loan amount + interest accrued from date of disbursal till receipt of cancellation request Cancellation request to be received within 30 days or 1st EMI presentation date, post which cancellation will be treated as foreclosure |
Loan Tenure | Up to 15 years |
*The Final Rate of Interest may vary based on the student’s profile.
YES BANK, a leading private sector bank headquartered in Mumbai, serves students, retail customers, MSMEs, and corporate clients across India. With a robust network of 1,198 branches spanning 300 districts, YES BANK is backed by major shareholders including the State Bank of India, Carlyle, and Advent International. Renowned for its sustainability efforts, YES BANK boasts an impressive ESG Score of 74 on the S&P Global Corporate Sustainability Assessment. Key benefits include doorstep service, preferential interest rates for girl children, and flexible loan repayment terms extending up to 15 years post-course completion, ensuring comprehensive support for all banking needs.
Founded in 1919 as a limited company, Union Bank of India (UBI) underwent nationalization in 1969. UBI has since been dedicated to delivering a diverse array of banking and financial services, encompassing personal banking, corporate banking, international banking, and educational financing for pursuits within India and overseas. A significant milestone occurred in 2020 when Union Bank of India merged with Andhra Bank and Corporation Bank, solidifying its position as the fifth-largest public sector bank in India.
Union Bank of India extends a variety of loan options, spanning both secured and unsecured categories. Additionally, UBI categorizes courses and universities, aligning its loan offerings accordingly to provide tailored support for aspiring students.
Important Aspects | Details |
---|---|
Loan | Secured loan - Up to INR 1.5 cr (This amount can be increased depending on the student’s profile) Unsecured loan - INR 40 Lakh |
UBI Education Loan Interest Rate* | Secured loans - 10-10.5% Unsecured loans - 9.8% |
Processing Fee | INR 5000 (Refundable if disbursement within 3 months of sanction) |
Margin Money | Secured loans - 10% (Listed universities) Secured loans - 15% (Non - listed universities) Unsecured loans - 15% |
Moratorium Period | Course duration + 12 months |
Repayment tenure | 15 years |
*The Final Rate of Interest may vary based on the student’s profile.
Established in 1955, the State Bank of India (SBI) commands a preeminent position as India's largest public sector bank, boasting the highest assets, deposits, branch network, customer base, and workforce in the industry. SBI extends its support to eligible students aspiring to further their education, whether within the bounds of India or on international shores.
One noteworthy offering is the Global Ed-Vantage education loan scheme, tailored to provide secured education financing for Indian students with ambitions to pursue higher education abroad. This initiative empowers students to secure substantial loans, with funding potential reaching up to INR 1.5 Crores to facilitate their overseas education endeavours. To avail themselves of this opportunity, students are required to provide collateral valued at no less than 90% of the total loan amount as security.
Important Aspects | Description |
---|---|
Loan Amount | INR 7.5 Lakh - INR 1.5 Cr |
Interest Rate* | 11.15% (Floating) (0.5% concession for female applicants) |
Processing fees | INR 10,000 + GST (Non-refundable) |
Margin money | INR 7.5 Lakh-INR 20 Lakh - 15% INR 20 Lakh - 10% |
Property evaluation charges | Approximately INR 7,500 (Note - property evaluation charges are subject to change, they may vary depending on one’s location and property) |
Moratorium period | Course duration + 6 months |
Repayment tenure | 15 years |
*The Final Rate of Interest may vary based on the student’s profile.
We explore, compare and negotiate loan options from NBFCs to public and private banks to make sure you get the best interest rate.
More than anything, our loan experts care about your college deadlines! And ensure that your education loan is sanctioned well in advance!
Our experts take care of the entire documentation & application process and will keep you posted with everything.
With us, you can get pre-approvals on your education loan for abroad studies based on your standardised test scores (for the US).
We are partners with prestigious NBFCs and private banks that take care of that too! Collateral or Non-Collateral, you are studying abroad!
Our experts will connect you directly to the banks and will be right by you throughout the entire process.
Your education loan can cover both full and part of the total costs, you can choose the loan that best fits your needs. The loan amount you are eligible to receive also depends on a lot of factors like your academic history, your parent/co-applicant’s credit history, the university you’re applying to, etc.
But in general, the expenses that an education loan for abroad studies covers are discussed below:
Yes, as per Section 80E of the Income Tax Act of India, the applicant can claim tax deductions for a total period of 7 consecutive years or till the interest amount of your education loan is completely paid off.
All scheduled Indian banks and gazetted financial institutions are eligible to offer tax deductions to the applicant who has taken a loan for themself, spouse, children, or a student for whom the individual is a legal guardian.
Ideally, you should start your research for the right education loan way before you start your college application. Check with your shortlisted loan providers for their eligibility requirements and loan terms. By the time you start your college application process, you should have already selected a financial institution with which you’ve discussed terms. Since your loan cannot be disbursed before receiving a Confirmation of Enrollment (CoE) letter from the university, make sure to be ready with other aspects of your loan application.
The asset pledged against your loan is called Collateral. It can be a house, shop, fixed deposit, etc. Generally, you don’t need collateral for a loan amount of 7.5 lakhs for government banks and up to 60 lakhs for private banks, but beyond that, every financial institution has a different set of terms for collateral.
What is the process of applying for an education loan?
For starters, you must duly fill out your loan application form, followed by a personal discussion with your loan provider/lender. In the next step, the applicant must provide all the supporting documents required by the bank in order to be eligible for a loan. The bank now takes the time to verify and check all aspects of your loan application, after which it decides to either approve or deny the loan. Based on that decision, the loan amount is disbursed.
What is a Moratorium?
Your bank or NBFC offers you sometime after the completion of your course post, which you are required to start paying towards your outstanding loan. This duration is known as the moratorium period. The standard moratorium period stretches from 6 months to a year.
It is always advised to learn well in advance about the flexibility of the moratorium period that your loan offers. Along with the charges for extension of moratorium due to unprecedented circumstances such as unavailability of jobs or a global pandemic for example.
What is margin money?
The percentage of the total cost that the borrower contributes but the loan doesn’t cover is called margin money. Foreign education loans can cover both full or part of your education's total cost. Likewise, your margin money depends on the type of loan you go for and the loan that best fits your needs.
What are the documents required for an education loan for abroad studies?
Every financial institution has its own set of requirements for sanctioning education loans. Although there are standard requirements that most banks/NBFCs will ask for before sanctioning education loans, these are:
What if you can pay the loan well before your term?
There’s certainly no sense in dragging to accumulate interest if you can pay the loan before your term ends. So, it is important to check the prepayment terms of your education loan for abroad, especially if you are taking a foreign education loan from a government bank. Most private banking institutions allow for the closure of education loans after 6 months of disbursement without any penalty/charges.
Can you apply for an education loan for abroad studies even before admission is confirmed?
Yes, you can get your education loan pre-approved by banks/NBFCs even before admission confirmation. It is always advised to do so since universities generally give you a smaller window between confirmation and the deadline for fee payment. A pre-approved education loan also acts as a strong proof of funds that works in favour of your student application.
What are the terms of repayment of an education loan for abroad studies?
You can pay your education loan for abroad studies in simple and flexible Equated Monthly Instalments or EMIs throughout the loan tenure.
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