Education Loan: Many Indian students want to study abroad to receive a high-quality education. The best means to pay for the cost of studying abroad are generally considered to be education loans, whether in India or elsewhere in the world. Given the rising number of outbound students, several banks offer low-interest education loans for studies overseas. If you’re looking for one for yourself, you can discover a detailed blog with a list of the top education loans in India here.
List of Education Loans
|Name of Bank||Interest Rate for Indian Universities||Interest Rate for Study Abroad|
|Bank of Baroda||7.70%||8.35%|
|Bank of India||9.05%||9.05%|
|Central Bank of India||8.50%||8.50%|
|Indian Overseas Bank||10.65%||10.65%|
|Panjab National Bank||7.05%||8.80%|
|State Bank of India||7.00%||8.80%|
|Union Bank of India||8.40%||8.05%|
Should you take an Education Loan?
Education Loan Eligibility Criteria
> Indian citizens
> Non-Indian Residents (NRIs)
> Overseas Citizens of India (OCI)
> Persons of Indian Origin (PIOs)
> Students born to Indian parents abroad and wish to study in India
> Undergraduate programs
> Postgraduate programs
> Doctoral courses and PhDs
> Certificate courses of 6 months or longer duration
> Job-oriented courses
> Technical/diploma/professional courses
> Recognized institutions and government colleges
> Private institutes aided by government
> Professional institutions
> International colleges and universities
> Collateral-free loans up to Rs.7.5 lakh from leading lenders
> Collateral-free loans up to Rs.40 lakh for select courses/institutions from select lenders
Acceptable collateral: Residential or commercial property or plot, fixed deposits, insurance
Loan amount: Up to Rs.1 crore
Document Required for Education Loan
> Admission letter from the educational institution
> Marksheets (previous education – school/college)
> Age proof
> ID proof
> Address proof
> Signature proof
> Salary slips
> Recent bank account statements
> ITR with the income computation
> Audited balance sheet
> Recent bank statements
> Proof of turnover (service tax return/sales receipt)
> Completed application form with signature
> Latest passport-size photographs
> Appropriate Visa for studies abroad
How to Apply for Education Loan Online or Offline
Education Loan can be applied in 2 ways. One is Online and the other is offline.
Step 1: The simplest and most practical method of applying is this one. There are two ways to submit an online application. The first is a simple online application form that you fill out, attach the required paperwork, and submit.
Step 2: The second scenario is where you apply by submitting all the necessary information, and the lender contacts you to go through the loan’s terms before moving forward with the application.
Step 1: Visit a Branch: You can apply for a loan in person by going to your local branch with the required paperwork, speaking with a representative about the terms of the loan, filling out the application, and submitting it.
Step 2: Call the Lender: If you’re interested, you may either call the lender or ask for a callback. After that, you can discuss the loan’s terms and submit an application.