Education Loans for MBBS: Banks, Eligibility, Process & Documentation

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Medical education in India can be expensive, but it doesn’t have to be a barrier. Many banks offer education loans tailored for MBBS students, with attractive interest rates, flexible repayment options, and streamlined application processes. So, if you are stuck with managing huge MBBS fees and other educational expenses, why not take an education loan?

This helps you take a step forward and make your dream career a reality. A majority of banks like SBI, HDFC, BOB, IDBI, and many others have now started to offer exclusive education loans through which candidates can freely take part in any course of their choice like MBBS, MD and other medical courses. Read out the given blog to find out more.

Education Loans for MBBS Students

If you are wondering ‘Can I get an education loan for MBBS?’. The answer is Yes. You can definitely avail of an education loan for your MBBS studies. Several banks and financial institutions offer specialized education loans tailored for medical aspirants, especially Union Bank of India’s UNION MEDICOS scheme and ICICI Bank education loan for MBBS scheme. They provide loans of up to INR 2 crores that cover tuition fees, hostel expenses, and other related costs.

  • Most MBBS education loans offer a moratorium period, allowing you to start repaying after completing your course and securing a job.
  • Banks and NBFCs provide attractive interest rates, often with concessional rates for women students.
  • Loans of up to several crores are available to cover the comprehensive costs of medical education.
  • While some lenders require collateral, many offer collateral-free loans for specific loan amounts.
  • Online applications and minimal documentation make the process convenient.

Top Banks for MBBS Education Loan

Graduate-level and post-graduate medical education in India can be expensive. In India, loans for medical school have an annual interest rate of 6.50% and a 15-year maximum repayment period. One of the best methods to pay for your further education in the medical sector in India is with an education loan because many banks provide a moratorium period, need little in the way of proof, and have an easy online application procedure.

Public Sector BanksPrivate Sector BanksNBFCs
SBI HDFC BankAuxilo
Union Bank of IndiaICICI BankHDFC Credila
Canara BankAxis BankAvanse


The famous HDFC bank offers education loans to MBBS students based on their needs. To help more and more students with their dream of becoming a doctor, HDFC Bank education loans to study abroad without collateral are offered up to INR 75 lakhs. The bank does not require any collateral for loans up to 7.5 lakh but for the loans above this amount, there are many collateral options like KVP policy, NSC, HDFC fixed deposit, etc. 

Students will get 15 years as the maximum period in which they can repay the entire loan amount. The bank also offers special interest rates for a bunch of top-listed academic institutions. Some of the complementary features that you will get from HDFC Bank are flexible repayment options, doorstep service, a wide range of collateral options, etc.

Maximum Loan AmountWith Collateral- Need-based financing
Without Collateral- Up to INR 45 lakhs
Interest RatesStarting from 9.50% p.a
Repayment Period14 years including the moratorium period
Processing Fees1% of the total loan amount or INR 1000 (whichever is higher)

State Bank of India

One of the most popular banks in the nation, SBI, offers MBBS education loan variants for students willing to pursue MBBS or MD under various loan schemes like the SBI Student Loan Scheme and SBI Ed-vantage Scheme.

SBI education loans for MBBS are provided up to INR 1.5 crores. There is no necessity for collateral security or third-party guarantee. A period of 10 years can be termed as the tenure in which candidates must complete the entire repayment. This loan can be utilised to bear the expenses related to examination fees, laboratory charges, cost of equipment and books, etc. 

Candidates must note that only the students who have secured admission in any of the top 105 institutions listed by SBI, can avail of a loan up to INR 1.5 crores. In this scheme, no processing fee will be charged to the candidates. 

Quantum of FinanceFor abroad – Up to INR 1.5 crore
Interest RateFor abroad – 8.8% (Men); 8.3% (Women)
Processing FeesINR 10,000 + taxes on loans above 20 lakhs
Loan Tenure15 years 

Bank of Baroda

The education loan for MBBS can be applied through a government portal – Vidya Lakshmi Education Loan Bank of Baroda aside from visiting the bank branch or applying online. Bank of Baroda’s interest rates are also low, affordable and competitive which makes it a great choice to secure education loans for MBBS.

It aims to assist the merit students willing to pursue MBBS studies. Only the native residents of India can apply for this loan at the Bank of Baroda. Charges like tuition fees, cost of books and equipment, examination fees, caution deposits, etc. can be covered under this loan. 

Owing to the hardships that female students face in securing admission to higher studies, the bank offers a relaxation of 0.5% in its interest rate only to female candidates. Apart from this, a 1% concession in the interest rate will be offered to the students who secure seats in leading Institutions like AIIMS and AFMC.

Quantum of FinanceFor abroad – Upto INR 80 lakhs
Interest RateFor abroad – 7.75% (Men); 8.25% (Women)
Processing FeesINR 10,000 + GST
Loan Tenure15 years 
Moratorium Period Course period + 6 months
Margin MoneyAbove INR 4 lakhs – 10%

Also Read: Compare the education loan interest rates of different lenders and avail study abroad education loans at the lowest interest rates in 2024.

Bank of India

The students who have secured a seat in the MBBS course either through merit-based selection for entrance exams, can avail of MBBS student loan for better fluidity of funds. Just as the aforementioned loans, this one also covers all the types of expenses that one may bear during the course of study. 

The maximum amount for a loan is INR 150 lakh which can be repaid as per the selected amount of time period. For the loans that are below or equal to INR 4 Lakh, there is no security or margin required from the candidates. Students can apply for a loan by visiting the nearest BOI branch or online and be relaxed as the BOI Education Loan Disbursement Process is hassle-free.

Quantum of FinanceFor abroad – INR 150 lakhs
Interest RateUp to 7.5 lakhs- 1 year RBLR + 1.70%
Above 7.5 lakhs- 1 year RBLR + 2.50%
Processing FeesFor abroad – INR 5000
Loan Tenure15 years 
Moratorium Period Course Duration
Margin Money10- 15%


The students who have managed to secure loans under the management quota can avail the IDBI education loan for MBBS provided that they have decent marks above the cut-off levels. The maximum amount for the loan offered by IDBI is up to INR 70 lakh whereas for loans that are up to INR 4 Lakh there is no security or collateral required.

The candidates who have been selected as potential students in paramount institutions can avail of 100% financing to cover tuition fees and other related expenses like charges for books, and laboratory charges. Students who have managed to secure admission to leading universities of India and female candidates can avail of relaxation in the interest rate of the loan. The IDBI education loan processing time takes around 15-20 days after the submission of the form.

Quantum of FinanceUp to INR 70 lakhs 
Interest RatesSanction amount up to Rs.10 lakhs: 11.00% (BR+1%) Floating
Sanction amount above Rs. 10 lakhs: 12.00% (BR+2%) Floating
Repayment Period15 years
Moratorium PeriodCourse Duration + 1 year 
MarginUp to INR 4 lakhs- NILINR 4 lakhs to INR 7.5 lakhs- 15%Above INR 7.5 lakhs- 20%

Eligibility for MBBS Education Loans

To be eligible for an MBBS education loan from most banks, you’ll need to be a citizen of India and must have secured admission to a program after completing high school. The usual eligibility requirements for student loans from various banks are shown below:

  • Citizenship of India
  • Obtained admission upon completion of 10+2 through a merit-based selection procedure or entrance exam
  • Attained a Higher Secondary Certificate (HSC) or graduation grade point average of at least 50%
  •  The loan is specifically for MBBS programs in recognized Indian institutions and universities abroad
  • Depending on the loan amount, collateral might be needed

How to Apply for MBBS Education Loans

Both online and offline methods are available in India for applying for student loans. You can follow the steps given below to apply for MBBS education loans with some of the best banks to study abroad.

Online Application Steps

  • Apply for an educational loan via the bank’s official website.
  • Visit the section for student loans and complete the online form there with the required information.
  • After receiving your application, a bank representative will get in touch with you to complete the process.
  • It could be necessary for you to present supporting papers in person or online at your neighbourhood branch.

Offline Application Steps

To apply for a student loan in person, visit your nearby bank and complete an application. Obtain the application form, complete it with the required details, and send it along with the required paperwork. The bank will get in touch with you to complete the process after your application has been completed.

Also Read: Check out the FAQs on the Restructuring 2.0 Scheme of RBI that provides benefits to the borrowers affected by the COVID-19 pandemic.

Documents Required for MBBS Education Loans

Education loans are sanctioned to a candidate only after the submission of a long list of documents. Consequently, candidates need to get the list of documents required for an education loan right! Considering the importance of documents required for an education loan, we have compiled all that is necessary to apply for the same, have a look:  

You will need the following documents to prove your identity and belonging next to a particular city in the country-

KYC Documents

  • PAN card 
  • Aadhar Card
  • Driving License 

Address Proof

  • Aadhar Card 
  • Current House lease agreement 
  • Valid passport 
  • Valid water/electricity/ LPG bill
  • Voter’s ID card 

To apply for an education loan, you will need the following education-related documents- 

Post-Academic Records

  • Class 10th marksheet
  • Class 12th marksheet 
  • 3rd /4th-year marksheet of graduation
  • Diploma/ certificate of marks 
  • Special education certificate 
  • Certificate of scholarships or awards

Current Education

  • Records of fee breakup
  • Placement records of university/ college/ institution 
  • Conditional letter, letter of admission, permanent admission letter as proof of admission 

Foreign Education

  • CAS letter for UK education applicants 
  • I-20 form for those who have studied in the USA 
  • Scorecard of exams like IELTS/ GMAT/ TOEFL/ GRE, etc
  • Entry permit 
  • Exchange visitors form of a particular country or student exchange form 

The documents required for an education loan in terms of financial aspects are- 

For Self Employed/ Business/ Pensioners

  • Proof of turnover ( Services Tax/ GST return statement of business/ Latest Sales Tax) 
  • Income Tax returns approved as well as verified by a CA at least 24 months 
  • For Self Employed: Proof of Qualification (Not mandatory for all the banks) 
  • For Pensioners: Proof of retirement along with pension certificate

For Employed/ Government or Non-government Service/ Salaried

  • Form 16 ITR returns for at least 2 years
  • Salary slips provided by the employer for the last 2 months
  • From current and previous year employer, salary computation statement 

General Documents

  • Academic fees demand letter
  • Bank statement/ Bank passbook copy

Generally, applicants are asked to submit the below-mentioned documents for the collateral category- 

Loan Against Deposits

  • Original RD/ FD Receipts 
  • Interest Statement of FD/ RD 

Loan Against Immovable Asset (Property/House/ Land)

  • Current property tax statement along with maintenance bill/ tax 
  • Chain of sale deed/ property deed
  • NOC from society/ builder
  • Allotment letter by Municipal Corporation or any other Government authority

Loan Against Securities/ Shares and Debentures

  • PAN card copy
  • De-Mat account statement 

Also Read: Check out the list of documents required for unsecured education loans to study abroad. Keep them ready for a quicker processing time.


Can a MBBS student get education loan?

Yes, a MBBS student is eligible for education loan in India.

Can I get an MBBS education loan from SBI?

Yes. SBI offers MBBS education loan variants for students willing to pursue MBBS or MD under various loan schemes.SBI education loans for MBBS are provided up to INR 1.5 crores. 

Can I get education loan for MBBS in private college?

Yes, if you have a decent NEET score and a good profile then you can get an education loan.

Is original documents required for education loan?

Certificate of completion for a three- or four-year degree (if applicable) Certificate of graduation, a record of grades, or diploma. Past scholarship and award records, etc. Specialized education, professional training, or a certificate of completion for a course.

Is education loan free of interest?

No, it is not possible to obtain a bank education loan with a 0% interest rate. To obtain an interest-free education loan, you can, however, apply for a number of scholarships or look into government assistance programmes.

What are some top banks for MBBS education loan to study abroad?

Some of the best banks that provide MBBS education loan to study abroad are SBI, HDFC Bank, Bank of India, Bank of Baroda, and IDBI Bank. They offer 100% financing to cover the tuition fees, accommodation expenses, and other study abroad related expenses.

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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