IDBI loan balance transfer is one of the best options for international students in case the education loan interest rate on existing loans increases. Education loans offer significant support, but with time, high interest rates on loans make it costlier. Students should look for ways to reduce their financial burden. That’s where IDBI Loan Balance Transfer can become helpful in reducing the interest rate. Let’s understand how IDBI loan balance transfer works, its benefits, and why it’s a wise option for students planning to pursue their education abroad.
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IDBI Loan Balance Transfer: Major Features
The IDBI Education Loan Balance Transfer offers students aspiring to study abroad a chance to lower their financial burden with low interest rates. The bank offers flexible repayment tenures including a moratorium period covering the course duration and up to 12 months post-study. Check more details below:
| Feature | Details |
| Interest Rate | Starts as low as 8.65% per annum (subject to change based on market conditions). |
| Loan Amount | Up to INR 1.5 crore for overseas studies. |
| Repayment Tenure | Up to 15 years (including moratorium period). |
| Moratorium Period | Course duration + 6 to 12 months post-completion (varies based on the loan agreement). |
| Processing Fee | 0.5% to 1% of the loan amount or a nominal fixed fee, depending on the loan amount. |
| Collateral Requirement | Mandatory for loans above INR 7.5 lakhs; can include property, fixed deposits, or other assets. |
| Prepayment Charges | Nil for individual borrowers (subject to terms and conditions). |
| Eligibility | Indian students with confirmed admission to recognised institutions abroad. |
| Forex Support | Assistance with forex transactions for tuition fees and other educational expenses abroad. |
| Special Benefits | Insurance cover, doorstep service for documentation, and pre-admission sanction facilities. |
Also Read: Check here all the details about RBI Guidelines on Education Loans
Why Should You Choose IDBI Loan Balance Transfer?
IDBI Bank is renowned for offering education loans at competitive interest rates, often lower than other lenders. Transferring your loan to IDBI can significantly reduce your monthly EMI burden and total loan cost. Check some major benefits of IDBI loan balance transfer below:
- With flexible repayment tenures, IDBI ensures students have enough time to repay their loans post-completion, especially during the moratorium period.
- IDBI understands the unique financial challenges of studying abroad and provides benefits like forex support, pre-admission loan approvals, and more.
- The loan balance transfer process with IDBI is straightforward and time-efficient. Minimal paperwork and quick approvals make it hassle-free for students.
IDBI Education Loan Balance Transfer: Eligibility Criteria
The eligibility criteria for IDBI loan balance transfer is similar to a usual education loan. However, there are some specific requirements that the bank has outlined for education loan transfer or refinance. Check the essential eligibility criteria below:
- The student must be above 18 years of age.
- The refinance of the loan must be a first-time application and the loan must not have been transferred in the past.
- The payment of EMI must have been regular in the books of the existing lender. Any missed payments or NPA accounts will not be considered.
- The CIBIL score of the candidate must be good.
Also Read: Check here all the major details on Canara Bank Education Loan Repayment
How to Apply for IDBI Loan Refinance?
Applying for IDBI loan refinance is a straightforward process designed to ease your financial burden. You can apply for education loan refinancing by visiting the branch or on the official website of the bank. Check the steps to apply for IDBI loan refinance below:
- Visit the official website of IDBI Bank and go to the personal banking section.
- Fill out the loan application form and submit the necessary documents, such as your existing loan statement, ID proof, address proof, and co-applicant details.
- Upon verification, IDBI approves the refinance and pays off your existing loan balance, transferring the account seamlessly.
What is an Education Loan Balance Transfer?
An education loan balance transfer is a financial facility where an existing education loan is transferred from one bank or lender to another, typically for better terms such as lower interest rates or extended repayment tenures. IDBI Bank, known for its competitive interest rates and student-friendly policies, offers a seamless loan balance transfer option.
How Does IDBI Loan Balance Transfer Work?
The IDBI Loan Balance Transfer process is simple and efficient. The borrowers check eligibility based on their existing loan details. Then compare IDBI’s lower interest rates and repayment terms to calculate potential savings. Check the details of the IDBI loan balance transfer below:
- Ensure your existing loan meets IDBI Bank’s eligibility criteria for balance transfer. The payment of EMI shall be regular in the books of the existing lender.
- Compare the interest rate and EMI of your current loan with IDBI’s offer. Use an online loan balance transfer calculator to see potential savings. You can also do it by using Fly Finance EMI Calculator.
- Submit all the required documents like the existing loan statement, identity proof, admission letter from the overseas university, and financial co-applicant details are needed.
- Once approved, IDBI will clear the outstanding amount with your current lender, and your loan will now be serviced by IDBI Bank.
Studying abroad is a life-changing decision, and so is managing your finances wisely. With the IDBI Loan Balance Transfer, international students can ease their financial burden and focus on their education and aspirations.
FAQs
It allows you to transfer your existing education loan from another lender to IDBI Bank for better interest rates, flexible tenures, and additional benefits.
Indian students with a confirmed admission to recognized institutions abroad, a good credit score, and a steady repayment record can apply.
IDBI allows balance transfers for loan amounts up to INR 1.5 crore for studying abroad.
The interest rates start from 8.65% per annum, making it one of the most competitive rates in the market.
Yes, IDBI charges a nominal processing fee, typically ranging from 0.5% to 1% of the loan amount, depending on the case.
Collateral is mandatory for loan amounts exceeding INR 7.5 lakhs and can include assets like property, fixed deposits, or insurance policies.
Yes, IDBI does not charge prepayment penalties for individual borrowers, making it easy to repay early if possible.
You need your existing loan statement, admission letter, ID and address proof, income proof of co-applicant, and collateral documents (if applicable).
The process is swift and usually takes a few days, provided all required documents are submitted on time.
You can enjoy reduced interest rates, lower EMIs, extended repayment tenure, forex support, and other student-focused benefits.
To know more about education loans, the best bank accounts for students, forex and banking experience for global students or international money transfers, reach out to our experts at 1800572126 to help ease your study abroad experience.
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