Education Loan EMI Calculator
Compare with other banks - Education Loan
| Bank | Interest Rate (%) | Source |
|---|---|---|
| State Bank of India | 9.65 - 10.65 | View Details |
| Bank of Baroda | 7.60 - 9.45 | View Details |
| HDFC Bank | 8.55 - 11.25 | View Details |
| ICICI Bank | 8.65 - 11.50 | View Details |
| Bank of India | 8.55 - 10.60 | - |
| Canara Bank | 8.35 - 10.45 | - |
| Axis Bank | 8.60 - 11.35 | View Details |
| Central Bank of India | 8.65 - 10.70 | - |
Education Loan EMI Calculator
An Education Loan EMI Calculator helps you estimate your monthly education loan payments and plan your educational expenses effectively. It calculates your equated monthly installment (EMI) based on the loan amount, interest rate, and loan tenure you enter.
How Education Loan EMI Calculator Works
- Enter the amount you wish to borrow for your education expenses
- Input the interest rate offered by the bank or financial institution
- Select the loan tenure in years (typically 5-15 years)
- Get an instant calculation of your monthly EMI and total interest
Factors Affecting Education Loan EMI
- Credit Score: Higher score can help you secure better interest rates and loan approval
- Income: Co-applicant income determines loan eligibility and EMI capacity
- Course Type: Professional courses may get better rates than general courses
- Loan Term: Longer term means lower EMI but more total interest
- Interest Rate: Fixed or floating rates affect your EMI amount
- Collateral: Secured loans typically offer lower interest rates
Education Loan EMI Examples
Example 1: ₹10 Lakh Engineering Course
For a ₹10 lakh education loan at 9.5% interest for 10 years, your monthly EMI would be approximately ₹12,934. The total interest paid would be ₹5,52,080.
Example 2: ₹15 Lakh Medical Course
For a ₹15 lakh education loan at 8.5% interest for 12 years, your monthly EMI would be approximately ₹15,321. The total interest paid would be ₹7,06,012.
Types of Education Loans
Undergraduate Courses
Loans for bachelor's degree programs including engineering, medicine, commerce, and arts. Typically covers tuition fees, hostel charges, and other educational expenses.
Postgraduate Courses
Loans for master's degree programs, MBA, and other professional courses. Higher loan amounts available with competitive interest rates.
Study Abroad Loans
Special loans for studying overseas with higher loan limits. Covers tuition fees, living expenses, travel costs, and other study-related expenses.
Vocational & Skill Development
Loans for diploma courses, certification programs, and skill development courses. Shorter tenure with flexible repayment options.
Frequently Asked Questions
What is the maximum amount I can borrow for education loan?
For studies in India, most banks offer up to ₹10-20 lakhs without collateral and higher amounts with collateral. For overseas education, the limit can go up to ₹1.5 crores depending on the course and institution.
When do I need to start repaying my education loan?
Most education loans have a moratorium period during the course duration plus 6 months to 1 year after course completion. EMI repayment typically starts after you get a job or the moratorium period ends.
What documents are required for education loan application?
Common documents include admission letter, fee structure, identity proof, address proof, income proof of co-applicant, academic records, and collateral documents (if applicable).
Can I get tax benefits on education loan interest?
Yes, under Section 80E of the Income Tax Act, you can claim deduction for the entire interest paid on education loan for up to 8 years. There is no upper limit on the deduction amount.
What happens if I cannot repay my education loan EMI?
If you face difficulty in repayment, contact your lender immediately. Most banks offer restructuring options, extended moratorium, or reduced EMI plans based on your financial situation.
Do I need a co-applicant for education loan?
Yes, most banks require a co-applicant (usually parent or guardian) for education loans. The co-applicant's income and credit history are considered for loan approval and interest rate determination.
Tips for Education Loan Planning
- Compare interest rates and terms from multiple banks and NBFCs before applying
- Consider the total cost of education including living expenses, not just tuition fees
- Maintain a good credit score for better interest rates and loan approval
- Explore scholarship opportunities to reduce the loan amount required
- Understand the moratorium period and plan your career accordingly
- Keep all educational and financial documents ready for quick loan processing