Education Loan to Study in UK

Banks Offering Education Loan for Studies in the UK

Bank of Baroda 

It offers the Baroda Scholar loan to Indian students who wish to continue their education abroad. In order to enrol in graduate, postgraduate, career-oriented, doctoral, or technical programs at respectable international universities, students may apply for this loan. Loans up to Rs. 150 lakh may be available to borrowers, based on the kind of institution. For loans under Rs. 7.5 lakh, the maximum term is 120 months plus the moratorium period; for loans over Rs. 7.5 lakh, the maximum term is 180 months plus the moratorium period. Collateral is only needed when the loan amount is more than Rs. 7.5 lakhs. 

Punjab National Bank

This bank offers an education loan known as PNB Udaan for study abroad. Indians may apply for the loan to pursue graduate or postgraduate studies, or to attend courses provided by CPA in the United States, CIMA in London, etc. Any course work linked to a degree or diploma may be credited against the loan amount. The program determines the loan amount based on the requirements of the borrower. The margin is 15% for loans over Rs. 4 lakh. Tangible security is only needed if the loan amount exceeds Rs. 7.5 lakhs. The maximum period for this loan is 15 years. One year after the course ends, the repayment period starts.

Canara Bank 

This bank provides an education loan for study abroad through the IBA Model Education Loan Scheme. Under this program, education in India is an additional financing option. The funds can be used to study overseas in preparation for your final or post-final exams. A cushion of fifteen percent is provided for international schooling costs. The loan must be returned within a maximum of 15 years, beginning after the course ends plus one year. Collateral is needed for loans beyond Rs. 7.5 lakhs.

Bank of India

provides Indians with an alluring education loan program called Star Education Loan to assist them in pursuing courses both domestically and internationally. One may take out a loan to study abroad for graduation or post-graduate coursework. With this program, borrowers can pursue courses like MS, MBA, MCA, and so on.The program provides loans for overseas study up to Rs. 20 lakhs. If the loan amount exceeds Rs. 4 lakhs, there is a 15% margin on loans taken out for overseas study. Physical security is only needed if the loan balance exceeds Rs. 7.5 lakhs.

Central Bank of India 

This bank offers an education loan called Cent Vidyarthi to help Indians in pursuing higher education in India and abroad. In case 100% collateral security is provided, there is no upper limit to the amount of loan that may be provided.The rate of interest for male students is 9% and the rate of interest for female students is 8.50%.The tenure for loan of up to Rs.7.5 lakh is a maximum of 10 years and the tenure for loan of more than Rs.7.5 lakh is a maximum of 15 years. The scheme offers life insurance protection to the borrowers.

HDFC Bank 

This bank offers loans to individuals who wish to study abroad. It offers up to Rs.45 lakh as loan, which covers various expenses such as exam fee, library fee, cost of books and equipment, travel expenses, insurance, etc. The scheme has flexible loan terms and competitive interest rates. Borrowers can enjoy tax benefits under Section 80(E) of the Income Tax Act.  

State Bank of India

 Under the designations SBI Student Loan Scheme and SBI Global ED-VANTAGE Scheme, SBI provides two student loans to help Indian students who want to pursue higher education in the UK. A student may apply for the SBI Student Loan Scheme after being accepted into a program. Under the SBI Global ED-VANTAGE Scheme, the bank offers loans up to Rs. 20 lakhs, while under the SBI Student Loan Scheme, it offers loans up to Rs. 1.5 crore. The loan's repayment period is 15 years. 

Documents Required to Apply for an Education Loan to Study in the UK

1. Duly filled application form
2. Identity proof
3. Address proof
4. Income proof
5. Passport size photographs
6. School and university marksheet
7. Copy of your scholarship letter
8. Admission letter
9. List of other expenses
10. Foreign exchange permit copy
11. The co-borrower will have to submit a brief statement of their assets and liabilities
12. Other financial supporting documents

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