B.tech from Germany is one of the most preferred courses and a lot of international students choose this country every year for studying engineering courses. However, studying in Germany is a bit costly and not affordable for every student on their own. Hence, an education loan for B.tech from Germany is one of the best options to fulfil the dream of studying in Germany.
A lot of banks and NBFCs in India provide education loans for Germany at affordable interest rates with flexible repayment periods. To know all the major features and eligibility for education loan for B.tech from Germany, continue reading further.
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Why Should You Take Education Loan for B.tech from Germany?
Taking an education loan for a B.Tech from Germany can be a strategic investment due to the country’s reputation for offering high-quality education, especially in the field of engineering and technology. The universities in Germany are renowned for their engineering and technology course. Most of the programs are offered in English which makes it accessible to international students. With an education loan to study in Germany, you can cover tuition fees, living expenses, and other related costs so that you can focus on your studies without financial stress. The banks in India also provide cover for Germany Blocked Accounts which is mandatory to be opened for international students.
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Top Banks Providing Education Loan for B.tech from Germany
Since Germany is one of the best countries for studying engineering and technology and the job prospects are very good, the banks approve the loan easily. Some banks also offer education loan to study in Germany without collateral. The major banks providing education loans for B.tech from Germany are SBI, Canara Bank, IOB, Saraswat Bank etc. Let’s check the major features and interest rates of top banks providing education loans for Germany below:
| Banks | Major Features |
| Saraswat Bank Education Loan | -Up to INR 1.5 crores to study abroad -Interest rates starting from 9 to 10% p.a. -No collateral required up to INR 5 lakh |
| YES Bank Education Loan | -Interest rates starting from 12 – 14% -Processing fee is only 2% of the net loan amount -INR 1.5 crore loan to study abroad |
| State Bank of India (SBI) | Loans provided under various SBI Education Loan Scheme -0.50% concession in interest for female students -0.50% concession for students availing of SBI Rinn Raksha |
| Union Bank Education Loan | -Interest rate starting from Starting from 9.20% -Up to INR 40 lakh loan to study abroad without collateral -Tangible collateral security of the minimum value of 50% of the total loan amount for loans above INR 40 lakh |
| Canara Bank Education Loan | -Interest rate starting from 11.15% onwards -Loans also offered to NRI Students holding valid Indian passports -Zero processing fee |
Top NBFCs Providing Education Loan for B.tech from Germany
NBFCs are also a good option to get an education loan to study in Germany. You can get loans of bigger amounts without collateral. Some of the top NBFCs in India offering education loans to study abroad are Avanse Financial Services, InCred, Prodigy Finance etc. Check the major features of NBFCs providing education loans for B.tech from Germany below:
| NBFCs for Education Loan | Major Features |
| Avanse Financial Services | -Loan from INR 10 lakhs to INR 75 lakhs -Loan sanctions within 72 hours -Loan tenure up to 15 years |
| InCred Education Loans | -Education loans of up to INR 60 lakhs -Interest rates starting from 11 to 18% p.a -Processing fee of 1-2% of the total loan amount |
| Prodigy Finance | -Interest rates starting from 10.50% -Repayment period from 7-20 years -Provides secured as well as unsecured loans |
| Tata Capital | -Loan amount of up to Up to INR 2 crore -No collateral is required for loans up to INR 75 lakh -Margin money of 5-15% (based on creditworthiness) |
| Aditya Birla Capital Education Loan | -Maximum loan amount up to INR 50 lakh -Interest rate starting from 10.55%No collateral required |
Eligibility Criteria for Education Loan for B.Tech in Germany
Eligibility criteria for education loans are determined by the banks or financial institutions. The students and the co-applicant must fulfil all the eligibility criteria in order to qualify for the loan. Check some of the essential eligibility criteria for an education loan for B.tech from Germany below:
- Proof of admission to a recognised German university or institution for a B.Tech program.
- A strong academic background, and good scores in previous examinations, particularly in relevant subjects.
- The student must be an Indian citizen
- The applicant should be within the age bracket of 18-35 years.
- A co-applicant, such as a parent or guardian, with a stable income and a good credit history is required.
- Depending on the loan amount, collateral such as property, fixed deposits, or other financial assets will be required (usually for loan amounts above INR 7.5 lakh
- Proof of the co-applicants ability to repay the loan
- The loan must be for a full-time B.Tech course. Part-time or correspondence courses may not be eligible.
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Documents Required
Some of the major documents required for an education loan for B.tech from Germany include financial documents, KYC and academic documents etc. The documents are used by the bank to verify the details provided by the student. Check the list of the documents required below:
- Aadhaar Card, PAN card or driving license of the applicant and co-applicant
- Proof of admission and visa approval letter
- Scorecards of previous examinations i.e. higher secondary exam, senior secondary exam, undergraduate exam (if applicable) etc
- Last 6 months’ salary slips and bank statements
- ITR for the last 2 years
This are some of the most important details on education loans for B.Tech in Germany. Check some of the FAQs based on the same below:
FAQs
To be eligible for an education loan, students need to be Indian citizens, have secured admission to a recognised German university, and have a co-applicant with a steady income.
The loan amount varies by lender but generally ranges from INR 20 lakhs to INR 1.5 crore. The exact amount depends on factors such as the university, course expenses, and the borrower’s and co-applicant’s financial profiles.
Education loans usually cover tuition fees, accommodation, travel expenses, study materials, health insurance, and other related costs. Some lenders might also include expenses for project work or study tours.
The repayment period typically starts 6-12 months after course completion and can extend up to 10-15 years. This duration may vary depending on the lender’s terms and the loan amount.
Yes, under Section 80E of the Income Tax Act, the interest paid on an education loan is deductible from taxable income. This benefit is available for a maximum of 8 years or until the interest is fully repaid, whichever is earlier.
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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