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Education Loan

Invest in education

Fund higher studies in India or abroad with structured repayment and a moratorium during the course period.

Check Eligibility Calculate EMI Talk to an Expert

What is Education Loan?

An education loan finances tuition and related costs for higher studies in India or abroad. Many lenders offer a moratorium (repayment holiday) during the course plus a grace period after. A co-applicant (usually a parent) is typically required, and secured loans for top institutes carry lower rates.

Who it may suit

  • Students pursuing higher education in India or abroad
  • Families planning ahead for tuition and living costs
  • Those wanting repayment to start after the course

Documents you'll typically need

  • KYC of student & co-applicant
  • Admission / offer letter
  • Fee structure from the institution
  • Co-applicant income proof & bank statements

Common reasons for delay or rejection

  • Course or institution not recognised by the lender
  • Weak co-applicant profile or credit history
  • Incomplete admission or income documents
Current Market Rates

Indicative interest rates

Approximate current market ranges as of June 2026. Your actual rate depends on your profile and is decided by the respective bank or NBFC.

Starting from
7.00%
per annum*
Typical market range
7% – 15% p.a.

Public sector banks offer the lowest rates for domestic and secured loans — Central Bank of India from ~7%, Union Bank ~7.10%, Bank of India ~7.50%, SBI ~8.15%. NBFCs (e.g. HDFC Credila) and unsecured or abroad loans typically range from ~9.5% to 15%. Many PSU banks give a ~0.5% concession to girl students.

*Indicative current market rates as of June 2026, compiled from publicly available sources. Shah Communication is a financial consultancy — the final interest rate, eligibility and terms are decided solely by the respective bank or NBFC based on your profile.
Good to Know

Charges & eligibility

Actual rates, processing fees and charges vary by lender and are confirmed at the time of application.

📉

Interest Rate

Depends on your credit profile, income and the lender. We help you compare suitable options.

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Processing Fee

A one-time fee charged by the lender to process your application.

✅

Eligibility

Based on income, existing EMIs (FOIR), credit score, age and employment type.

Loan Products

Types of Education Loans

Pick the product that matches where and what you plan to study.

🇮🇳
Studies in India

For undergraduate, postgraduate and professional courses within India.

✈️
Abroad Studies

For higher education in foreign universities.

🔓
Without Collateral

Loans up to a certain limit based on institute and student profile.

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With Collateral

Higher loan amounts secured against property or fixed deposits.

Why Education Loan

Benefits of taking an Education Loan

  • Financial support for quality education without immediate burden.
  • Lower interest rates compared to personal loans.
  • Moratorium period during study and initial employment.
  • Tax benefits under Section 80E of the Income Tax Act.
  • Flexible repayment tenure — up to 15 years.
Compare Lenders

Education Loan interest rates in India

Interest rates vary depending on the lender, course, institution and whether collateral is provided. Final terms are decided by each bank based on your profile.

Bank / LenderInterest Rate (p.a.)Maximum Loan AmountRepayment Tenure
SBI
8.15%* – 11.15%*Up to ₹1.5 CrUp to 15 years
Bank of Baroda
8.15%* – 11.00%*Up to ₹1.5 CrUp to 15 years
Punjab National Bank
8.55%* – 11.25%*Up to ₹1 CrUp to 15 years
HDFC Bank
9.50%* – 13.00%*Up to ₹75 LakhUp to 15 years
ICICI Bank
9.75%* – 13.50%*Up to ₹1 CrUp to 12 years
Axis Bank
9.90%* – 13.70%*Up to ₹75 LakhUp to 15 years
*Rates, amounts and tenures are indicative and vary by lender, course, institution and applicant profile. Logos are trademarks of their respective owners, shown for identification only.
Am I Eligible

Eligibility criteria for Education Loan

  • Applicant must be an Indian citizen.
  • Confirmed admission to a recognized institution in India or abroad.
  • Age generally between 18 and 35 years.
  • Co-applicant (parent/guardian) with stable income.
  • Good academic background and credit profile of co-applicant.
Keep Ready

Documents required for Education Loan

🎓 Student Documents
  • Filled education loan application form
  • Student KYC documents
  • Admission letter from college/university
  • Academic records and mark sheets
👨‍👩‍👦 Co-applicant Documents
  • Co-applicant KYC documents
  • Income proof of co-applicant
  • Bank statements (last 6 months)
  • Collateral documents (if applicable)
What Matters

Factors affecting Education Loan interest rate

  • 🏛️
    Institute ranking: Premier institutes get lower rates.
  • 💰
    Loan amount: Higher amounts may have higher rates.
  • 🏠
    Collateral: Secured loans attract lower interest.
  • 📊
    Credit profile: Co-applicant's credit score matters.
  • 🌍
    Course & country: Professional courses and certain countries get better terms.
Step by Step

How to apply for an Education Loan?

  1. Compare education loan interest rates across banks.
  2. Check loan eligibility and EMI affordability.
  3. Submit online or branch application.
  4. Upload documents and complete verification.
  5. Approval and disbursal as per the academic schedule.
Digital education loan platforms make the process faster, transparent and student-friendly.
FAQ

Education Loan questions

Do I need a co-applicant?
Usually yes — a parent or guardian as co-applicant is typically required.
When does repayment start?
Many loans offer a moratorium during the course plus a grace period after.
Do girl students get a concession?
Yes — most public sector banks offer around a 0.5% concession for female students. Section 80E also gives tax benefit on interest.
Does Shah Communication approve it?
No — the lender decides approval, rate and terms.
Ready When You Are

Let's find the right option for you

Check your indicative eligibility, compare suitable options and get expert guidance at every step.

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