How do I apply for a loan to study abroad?Which Indian banks offer the best rates?

Preeti Singh

Senior Consultant

Not a much-complicated process is required in terms of seeking a loan to study in India abroad; good options are available through some banks. Firstly, estimate the required sum considering both tuition fees and living charges. All these Indian banks, SBI, Axis Bank, and HDFC, to name a few, provide education loans, especially for students who plan to study abroad. In turn, the applicant needs to present certain documents: the admission letter, the structure of payment, an ID proof, and his records of achievements. However, even if the loan amount exceeds a certain limit, most banks will demand collateral as well, which can be property or fixed deposits.

SBI is often known for its "Global Ed-Vantage" scheme that offers interest rates as low as around 10%. HDFC Credila offers education loans, and there are only education loans; the terms are flexible. Both banks offer a moratorium period, and you only begin paying after the completion of your studies. It's always sensible to compare all the terms and fees offered by the bank along with the moratorium period of each because small differences can be very significant in the long run.