Education Loans

Education Loans — Interest • EMI

Rates snapshot, EMI math, government subvention, and how to apply (2025–26).

Updated: 15 Aug 2025
SBI — Scholar/Student Loans

Starts from 7.50% p.a.*

Premier-institute “Scholar” scheme from 7.50%; regular education loans start around 10.10% p.a.+

SBI Scholar All SBI Edu Loans

*As per SBI pages (w.e.f. Jun 15, 2025). Final rate depends on program/institute & credit score.

Canara Bank

“Vidya Turant” ~ 7.10% p.a.

Fast-track scheme for select top institutes; zero processing; high quantum possible.

Vidya Turant IBA Model Loan
HDFC Bank

Starts from 10.50% p.a.

Indian/overseas studies; processing fee nil up to ₹7.5L (slab-wise thereafter).

Rates & Fees
Credila (NBFC)

Unsecured from 11.25% p.a.

Flexible products for India/abroad; risk-based pricing.

Credila — Official
Floating rates & RLLR

Repo-linked loans

Public banks price education loans off RLLR/MCLR. Example: Canara RLLR is 8.25% (w.e.f. 12-Jul-2025).

Check RLLR

Rates shown are “start from” figures and can vary by institute category, loan size, collateral, and credit profile. Always confirm on the bank’s page before applying.

Plan your EMI

PM-Vidyalaxmi (NEW)

3% Interest Subvention • Credit Guarantee

  • Family income ≤ ₹8 lakh: 3% subvention on loans up to ₹10 lakh during moratorium (course + 1 year).
  • Family income ≤ ₹4.5 lakh: full interest subvention during moratorium for technical/professional courses (PM-USP CSIS).
  • Credit Guarantee: For loans up to ₹7.5 lakh, 75% guarantee under CGFSEL (collateral-free as per IBA model).
  • Tenure: up to 15 years (excluding moratorium).
PM-Vidyalaxmi Portal Guidelines (PDF)

Selections for subvention are limited (up to 1 lakh beneficiaries/year). Check portal for eligibility and QHEI list.

Moratorium Basics

When do EMIs start?

  • Most banks: EMIs start after course period + 1 year or 6 months after job, whichever earlier.
  • Interest often accrues during moratorium (simple interest)—you can prepay interest to keep EMIs lower.
  • Public banks have been asked to process education loans within ~15 days to speed up approvals.
Example bank policy Policy update

Model Education Loan (IBA) — key points

  • No margin up to ₹4 lakh; collateral-free up to ₹7.5 lakh (with CGFSEL coverage where applicable).
  • Moratorium = course duration + 1 year; repayment up to 15 years (post-moratorium).
DoFS Annual Report 2024-25

Apply — the official route

  1. Register at PM-Vidyalaxmi → fill Common Education Loan Application; apply to suitable bank schemes.
  2. Track status inside the portal; disbursals are handled by the bank.
  3. For legacy info and FAQs, see Vidya Lakshmi (will redirect/guidance shown).
PM-Vidyalaxmi Vidya Lakshmi (Info)

Portal warns against any payment/QR requests; applications are free. Check dashboard & official SMS only.

Document Checklist

  • Offer/Admission letter, fee structure, course duration
  • KYC (Aadhaar/PAN), recent photos
  • Academic records (10/12/Grad transcripts)
  • Income proof (ITR/Form-16/salary), castes/ EWS/ PwD if applicable
  • Collateral papers (if needed) & co-applicant KYC
  • Subvention claim: apply on PM-Vidyalaxmi after first disbursal