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The search for student loans India apply has never been higher. Mainly because the prices for courses inside and outside India continue to rise. After all, it is not easy to deal with tuition, not to mention all the day-to-day costs,
The interesting thing about student loans India apply is that the step-by-step process to get credit is very simple and dynamic. And here you will know exactly how to follow it so as not to make mistakes.
After all, when it comes to student loans India apply, we are not only talking about the bureaucracy to get the money, but also about dreams, about future careers. So if you want to know how to get this loan the right way, being sure that you got a good deal, keep reading.
What is a student loan?
At first, student loans in India follow a well-defined logic.
First, public banks tend to offer lower interest rates. Private banks and NBFCs (Non-Banking Financial Companies) offer faster processes and high limits, but interest rates rise substantially.
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The application process requires basic documents such as:
- Admission letter;
- academic record;
- Proof of income of the parents or the student himself;
- Identity documents.
And here comes the first tip. Never wait until the last minute. Some banks take up to two months to release the amount, especially when the course is abroad.
Top Student Loan Options in India
Below, I present the 10 best student loan options, based on amounts, rates, terms, and history of the institutions.
Each of them has its own peculiarities, and the goal is to show you the complete picture so that you can choose clearly.
1. State Bank of India (SBI)
The State Bank of India (SBI) is the biggest reference when it comes to student loans India apply.
It finances up to ₹7.5 lakh without collateral. Amounts above that require collateral and can be as high as ₹1.5 crore.
Now, when it comes to studying abroad, the Global Ed-Vantage program is the most suitable as it covers large amounts with stable conditions.
Interest rates are 11.15% up to ₹7.5 lakh and 10.15% above, which is competitive against other private banks.
The payment term is up to 15 years, with a grace period during the course and 3 to 6 extra months, until it is positioned in the market.
2. Punjab National Bank (Student Loans India Apply)
PNB Udaan is one of the most complete programs for those who want to study in India or abroad. It funds up to ₹1 crore, covering virtually 100% of the educational expenses.
The standard interest rate is 11.25%, but it can drop to 10.50% when the collateral covers the entire loan amount.
The payment term is up to 15 years, with a moratorium equal to the duration of the course plus 1 year.
3. Bank of Baroda (BoB)
Bank of Baroda (BoB) stands out for the Baroda Scholar, a program that funds up to ₹1.5 crore for undergraduate and postgraduate courses, both in India and abroad.
Interest rates are between 8.85% and 11.35%.
Attention! In amounts up to ₹7.5 lakh, there is no collateral requirement, but above that collateral is required.
The payment will work as follows: for the entire duration of the course + 1 year, and the payment term reaches 15 years.
4. Canara Bank (Student Loans India Apply)
Canara Bank follows the IBA model, funding up to ₹7.5 lakh without collateral and reaching ₹1.5 crore for international courses.
The rates range from 8.75% to 11.60%, being one of the lowest ranges in the Indian market.
The moratorium, that is, time without paying the credit is the duration of the course + 1 year, guaranteeing time for insertion in the market. The payment term reaches 15 years, which reduces the weight of the installments.
5. ICICI Bank
ICICI Bank, India’s largest private bank, funds up to ₹1 crore for courses in and out of the country.
In this case, rates range from 10.25% to 13.50%, which puts it above public banks, but still competitive against specialized NBFCs. The deadline
6. Axis Bank
Axis Bank offers different student credit lines.
Firstly, overseas, it funds up to ₹1 crore without collateral; within India, up to ₹75 lakh.
Also, it has the GRE score-based program, which releases up to ₹50 lakh.
- The rates vary according to the range, being: 15.20% up to ₹4 lakh;
- 14.70% of ₹4–7.5 lakh;
- 13.70% above ₹7.5 lakh.
The total term varies between 5 and 15 years, with a moratorium during the course.
7. HDFC Credila (Student Loans India Apply)
HDFC Credila is the first Indian institution created solely to fund education.
At first, it grants up to ₹75 lakh without collateral and ₹1.5 crore with collateral.
Its rates range from 10.15% to 12.50%, competitive within the private sector.
The maximum payment term is 10 years, with a moratorium of 6 to 12 months after the course.
8. Avanse Financial Services
Avanse, an NBFC regulated by the RBI, does not impose a cap. The price starts at ₹1 lakh and can reach any level, depending on the course and profile.
Its rates vary between 11.5% and 15.5%. The moratorium is 6 months after the course or 3 months after the start of work, with a total term of up to 10 years to pay off the debt.
9. IDBI Bank
IDBI Bank finances up to ₹75 lakh for courses abroad, and up to ₹40 lakh at elite Indian institutions.
For general courses in India, the limit ranges between ₹25–30 lakh. Rates range from 8.55% to 11.15%, competitive against private banks.
In addition, the moratorium covers the duration of the course + 1 year, and the total term can reach 15 years.
Pay attention to the margin requirement that works as follows:
- 0% up to ₹4 lakh;
- 15% between ₹4–7.5 lakh;
- 20% above that.
It is certainly a balanced option for those who need high financing with a relatively low rate. However, it is willing to offer collateral on larger loans. Its focus is stability, not speed.
10. Union Bank of India (Student Loans India Apply)
Union Bank of India (UBI) finances up to ₹40 lakh without collateral and up to ₹150 lakh with collateral, covering one of the largest ranges among public banks.
Rates start at 8.75% and the repayment term reaches 15 years.
The difference is the absence of a penalty for prepayment, allowing you to pay early without extra costs.
Conclusion
Student loans are, at the same time, a way out to make a dream come true, but to acquire the option, you need to have responsibility.
Public banks offer lighter conditions. However, they ask for patience with bureaucracy. Private banks and NBFCs, on the other hand, provide speed and flexibility, but charge higher interest rates.
Now it’s up to you! Shop around the options, calculate the impact of Section 80E on your tax, and be realistic about your ability to pay.
Maybe what you are looking for is not a loan to pay for all of college, but money to pay off some or even a monthly fee. Is this your case? So, consider the bad credit India personal loans that are best suited for this situation.