Education Loan for Study Abroad

18 Nov 2025, Tuesday

Most lenders offer between 30 lakh and 3 crore, depending on your course, country, and loan type.

The Usual Range

An MBA in the US may need 50–60 lakh, while a STEM degree in Germany could fit within 25–30 lakh.

Course Costs Differ

Co-applicant income, collateral, and academic record decide your approved amount and loan terms.

What Lenders Check

Even a 0.5% rate difference can save lakhs over time. Compare before you lock in your loan.

Compare Interest Rates

Public banks are cheaper but slower. Private lenders are faster, though they may charge more.

Public vs Private Banks

Most loans pause EMIs until your course ends plus 6–12 months, giving time to find a job.

Understand Moratorium

Some lenders charge prepayment or processing fees. Always ask before you sign the paperwork.

Fees and Prepayment

Passport, offer letter, transcripts, and Form 16. A complete file speeds up your approval.

Keep Your Docs Ready

Interest paid on an education loan is tax-deductible for up to 8 years under Section 80E.

Tax Benefit on Loans

Claiming the tax benefit can lower your real borrowing cost and lighten your repayment load.

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