Many banks are offering education loans to students who aspire to study abroad. Education loan is a great option to fulfill your career and comes with advantages like tax breaks, ease in payments.
Different banks offer different amounts while you take an education loan depending on the course and university.
Here are some of the best banks which offer education loan to study abroad.
SBI Student Loan Scheme
Students availing education loan for more than Rs 4 lakhs will be required to make a deposit of Rs 5000/. This will act as margin amount.
The loan repayment period is up to 12 years after Course Period + 12 months of repayment holiday.
The state bank will not charge processing or upfront charges on Education loans.
Maximum loan amount for studies abroad will be Rs 30 lacs per student. Interest rates for loans up to Rs 4 lakhs will be 3.65 per cent above Base Rate, which is currently 13.35% p.a.
Between 4 lac to 7.50 lakhs will be 3.90 per cent above Base Rate, currently 13.60% p.a.
Above Rs.7.50 lacs will be 1.90% above Base Rate, currently 11.60% p.a.
Education Loans for Students securing admission in IITs, IIMs, NITs, AIIMS and other reputed institutions will differ between 9.95 to 11.45 per cent depending on the institutions.
Axis Education Loan
Axis Bank's Education Loan aims to provide the much needed financial support to deserving students for pursuing studies in India and abroad.
The quantum of finance under the scheme is capped at Rs 20 lakhs for studies abroad, which would cover tuition fees, hostel charges (if any), a cost of books, etc. The minimum amount of education loan would be Rs 50,000.
No margin for education loans up to Rs 4 lacs. For loans above Rs 4 lacs, 5% margin for studies within India and 15% for higher studies overseas.
Upto Rs. 4 lacs will be base rate + 7.00%. Loans greater than Rs. 4 lakhs and up to Rs. 7.5 lakhs will be base rate plus 8 per cent. Loans greater than 7.5 lakhs will base rate plus 6 per cent.
Credila Education loan
This offers customised service based on the course being pursued and the accompanying cost. Maximum amount Rs 20 lakhs. In select cases over 20 lakhs also available. Credila has a tie up with HDFC bank.
Credila funds 100% of the expenses. No margin money required. Lending rate Lending Rate is around 12.35%.
Punjab National bank
The Education Loan Scheme PNB Saraswati aims at providing financial support to meritorious students for pursuing higher education in India and abroad. The maximum loan amount is Rs 20 lakhs.
There is no margin for amount 4 Lakhs. Above 4 lakhs, it will be 5 per cent in India and 15% for abroad education.