Education Loan for Studying Abroad
Fund your overseas education with the right loan option.
Financing is one of the biggest hurdles in a study abroad plan — but with the right lender and loan structure, most students can fund their entire course without depleting family savings. Here's a breakdown of your loan options and what lenders look for.
Types of Education Loans
Secured Loans (Public/Private Banks)
Backed by property, fixed deposit or other collateral. Lower interest rates, higher loan amounts, longer processing time.
Unsecured Loans (NBFCs & New-age Lenders)
No collateral required. Faster approval and disbursal, but typically higher interest rates and lower maximum amounts.
Government Scheme Loans
Subsidised interest rates for eligible students under schemes like the Central Sector Interest Subsidy — check eligibility criteria based on family income.
International Lenders
Some destination-country lenders offer loans directly to international students, sometimes without a co-applicant, though usually at higher rates.
What Lenders Typically Require
Compare Lenders & Interest Rates
For a full comparison of banks, NBFCs and government schemes with current interest rates, tenure and collateral-free options, see our detailed education loan guide.
Compare Education Loan ProvidersEducation Loan FAQs
Secured or unsecured — which education loan should I choose for studying abroad?
Secured loans (backed by property or fixed deposits) from public sector banks usually offer lower interest rates and higher loan amounts, but take longer to process. Unsecured loans from NBFCs and new-age lenders are faster and don't need collateral, but carry higher interest rates — a good fit if you need quick disbursal or don't have collateral to offer.
How much of my study abroad cost can an education loan cover?
Most lenders cover 80-100% of the total cost — tuition, living expenses, travel, laptop and study material — depending on the lender, loan type, and whether you have collateral or a co-applicant with strong income.
Do I need a co-applicant for a study abroad education loan?
Most Indian lenders require a co-applicant (usually a parent or guardian) with a stable income, especially for secured and government-scheme loans. Some NBFCs and international lenders offer loans without a co-applicant, typically at higher interest rates.
Is there a moratorium period on education loans?
Yes — most education loans offer a moratorium covering your course duration plus 6-12 months after completion, during which you're not required to repay the principal (interest may still accrue, depending on the lender).