7-4-287, Navajeevan Nagar, Ferozguda, secundrabad - 500011.
Education Loans
Education Loans
we understand that pursuing higher education can be an expensive affair. We also believe that every student deserves the opportunity to achieve their dreams, regardless of their financial situation. That’s why we’ve partnered with some of the leading banks in India to provide education loans that are designed to help students finance their education with ease.
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Pre Admission Sanction
Pre Admission Sanction
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Low interest rates
Low interest rates
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Max Loan Repayment Tenure
Max Loan Repayment Tenure
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Tax benefit
Tax benefit
Features and Benefits
Moratorium Period
Co-borrower Option
Tax Benefits
Multiple Courses
No Guarantor / Collateral
No Hidden Charges
Educational Loan Eligibility and Documents
Read on to know the criteria required to apply for our Educational Loan.
Eligibility Criteria
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Age : - Most lenders have a minimum and maximum age requirement for loan applicants. Typically, you need to be of legal age (18 or older) to apply for a loan.
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Course/Program Eligibility: - Education loans are often tied to specific educational programs or courses. Lenders may have a list of eligible institutions and programs that qualify for loans.
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Admission Offer: - Many lenders require proof of admission to an eligible educational institution before approving a loan application.
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Academic Performance: - Some lenders might consider your academic performance as part of the eligibility criteria. This could include factors like your high school or previous education grades.
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Co-borrower or Guarantor: - If you have limited credit history or income, some lenders might require a co-borrower or guarantor (usually a parent or guardian) who will share the responsibility of repaying the loan if you are unable to do so.
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Credit History: Student's as well as their co-borrower/guarantor's credit history and credit score can play a significant role in determining your eligibility for an education loan. A good credit history can improve your chances of approval and may lead to more favorable loan terms.
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Income/Financial Ability: - Some lenders may consider your ability to repay the loan based on your income or your co-borrower's income.
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Loan Amount: - The loan amount you're requesting in relation to the cost of the program might affect your eligibility. Lenders may have specific limits on the loan amount they are willing to offer.
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Collateral or Security: - In some cases, lenders might require collateral or security against the loan, especially for larger loan amounts. This could be in the form of property, investments, or other valuable assets.
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Documentation: – You will likely need to provide various documents as part of your loan application, such as proof of identity, proof of admission, income documents, and more.
Documents Required to Apply
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Student-Applicant
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Co-applicant/Guarantor
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Income Proof for Salaried Co-applicant/ Guarantor
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Income Proof for Self-employed Co-applicant/ Guarantor
Fees and Charges for Educational Loan
The fees and charges of educational loans usually vary from lender to lender and from case to case. The below table gives you a clear idea of the charges related to educational loans.
Particulars
Charges
Loan Processing Fees
0.5% to 2% of Loan Amount
Loan Cancellation
0
Stamp Duty Charges
150/- to 300/-
Legal Fees
As per actuals
Penal Charges
Usually @ 2% per month; 24% p.a.
EMI / Cheque Bounce Charges
-Around Rs 590 per bounce
We always help
They frequently asked
questions
? What is an education loan?
An education loan is a type of loan designed to help students and their families finance the cost of higher education. This loan covers expenses such as tuition fees, books, accommodation, and other related costs. The loan amount is typically disbursed directly to the educational institution. Students can repay the loan after completing their education, often with a grace period. Education loans can be offered by banks, financial institutions, and government schemes, and they may have different terms and conditions depending on the lender.
? Who is eligible for an education loan?
To be eligible for an education loan, applicants typically need to be within a certain age range, have a good academic record, be enrolled in a recognized educational institution for an eligible course, and have a co-applicant, often a parent or guardian. Financial stability and creditworthiness are also important factors, and the course and institution should be recognized by relevant authorities. Each lender may have specific eligibility criteria, so it's advisable to check with them for details.
? What is a moratorium period?
A moratorium period for an education loan is a specified period during which the borrower is not required to make any repayment towards the principal amount but only the interest portion of the loan. This period usually starts from the disbursement of the loan and ends after the completion of the course or a few months after the student secures employment, whichever is earlier. The purpose of the moratorium period is to provide students with a grace period to focus on their education and secure a job before they start repaying the loan.
? When does repayment start after the moratorium period?
Repayment of an education loan typically starts after the moratorium period ends. The exact timing can vary depending on the lender and the terms of the loan agreement. In most cases, repayment begins either immediately after the moratorium period ends or after a specified grace period, such as six months to a year. It's important to check the terms of your loan agreement to understand when exactly you are required to start repaying the loan.
? What are the repayment options?
In education loans, repayment options typically include Equated Monthly Installments (EMIs) after a moratorium period, step-up or step-down EMIs based on expected income changes, interest-only payments during the moratorium period, and bullet repayment where the entire principal and interest are paid at the end. Borrowers can choose the option that best fits their financial situation and repayment capacity.
? Can I prepay my education loan?
Yes, you can typically prepay your education loan either in part or in full. Prepayment allows you to pay off the loan before the end of the loan tenure. Some lenders may charge a prepayment penalty or fee for early repayment, so it's advisable to check with your lender regarding their prepayment policies.
