Banks support education costs with student loans | Image credit: Pixabay
Education loans in India: Education loans provided by banks help students pursuing higher education cover a range of educational expenses, including tuition fees, textbooks, and overseas study costs. Here's a breakdown of the interest rates offered by the top 10 banks in India on education loan:
SBI's Global Ed-Vantage scheme provides loans of up to Rs 1.50 crore for foreign studies at an interest rate of 11.15 per cent. For the SBI Scholar Loan scheme, rates range from 8.55 per cent to 10.05 per cent.
HDFC Bank offers education loans for both domestic and international studies, with a maximum limit of Rs 50 lakh. The interest rates range from 9.55 per cent to 13.25 per cent, and the repayment period extends up to 14 years.
Axis Bank provides education loans starting from Rs 50,000, with varying interest rates. For loans up to Rs 4 lakh, the interest rate is 15.20 per cent. It decreases to 14.70 per cent for loans between Rs 4 lakh and Rs 7.5 lakh, and further drops to 13.70 per cent for loans above Rs 7.5 lakh.
Union Bank of India stands out by not charging any processing fees for education loans to Indian students. The interest rates range from up to 12.55 per cent for domestic courses and up to 10.80 per cent for international courses, depending on the loan amount.
IDBI Bank offers education loans up to Rs 20 lakh for domestic studies and Rs 30 lakh for foreign education. Interest rates vary between 10.60 per cent and 11.10 per cent, with a repayment term of 15 years.
PNB offers education loans with no upper limit, dependent on the borrower's repayment capacity. Interest rates go up to 12 per cent for schemes like PNB Saraswati and PNB Udaan.
ICICI Bank stands as one of the prominent lenders, offering loans up to Rs 2 crore for foreign studies and up to Rs 1 crore for domestic studies. Interest rates at ICICI range from 9.50 per cent to 15.85 per cent.
South Indian Bank caters to those pursuing full-time UG/PG/PhD and diploma courses abroad with loans up to Rs 1.5 crore and interest rates between 12.90 per cent and 13.65 per cent.
Canara Bank's education loans are need-based and can go up to Rs 40 lakh for premier institutions. Interest rates range from 9.25 per cent to 11.35 per cent for various schemes.
Bank of Baroda offers loans up to Rs 4 lakh for school studies and up to Rs 1.5 crore for other education loans, with interest rates between 11.05 per cent and 11.15 per cent.