IDFC Education Loan to Study Abroad: Know It All Here

idfc education loan

IDFC First Bank is the only bank in India that provides 28 essential services on savings accounts and charges zero fees. For example, ATM withdrawals and cash deposits The bank is also popular for providing IDFC education loan services for students to study in India and abroad. Students can choose to study from among 3200 universities around the world.

Keep reading to learn about the IDFC education loan interest rate, documents list, eligibility criteria and more.

Overview of IDFC Education Loan

Students who avail of IDFC First Bank education loans are entitled to various benefits. The bank provides education loans up to INR 1.5 crores. Collateral-free education loans up to INR 50 lakhs are also offered. Students can avail 100% financial assistance with flexible loan tenure of up to 15 years.

The bank offers hassle-free IDFC education loan financing at the doorstep with customised solutions as per individual students’ needs. Students can avail of income tax rebates on education loans under Section 80E of the Income Tax Act.

Features of education loanEducation loan details
Maximum loan amount (with collateral)INR 1.5 Cr
Maximum loan amount (without collateral)INR 50 lakh
Processing fees1.0% onwards + GST
Processing time taken2-7 Working Days
Margin money100% funding
Repayment Period15 Years
Repayment holidayStudy period + 12 months
Prepayment chargesNIL

Why choose the IDFC education loan to study abroad?

Education loans cover a lot of expenses for students. For example, tuition fees, living expenses, book expenses, and laptop expenses, among others. Below are the reasons a student should choose the IDFC education loan to study abroad.

  • IDFC First Bank offers 100% financing for education
  • Students can get income tax benefits under section 80E
  • Offers flexible repayment opinions and customized solutions
  • Education loans up to INR 1 cr are available with collateral
  • Collateral-free education loans up to INR 75 lakh is available
  • Loans can be sanctioned even before the confirmation of admission
  • Moreover, the option of ‘doorstep loan fulfilment’ is provided

Eligibility Criteria of IDFC Education Loan

Every bank has eligibility requirements that a student must meet to get an education loan to study abroad. For example, the student must be a citizen of India. The eligibility criteria for IDFC education loan are as follows:

  • Must be an Indian citizen or an NRI
  • Must be at least 18 years of age at the time of loan commencement
  • Must have received admission from a recognised educational institution abroad 
  • In case the admission is not secured by a student loan, it can still be sanctioned. However, it will depend on the country, course, and the university the student has applied for

Documents Required

Below is the list of documents required by the student, and the co-applicant, for securing an IDFC First Bank education loan. Aside from this, students need to present the collateral documents. That is, property documents or FD documents 

Documents required by the student Documents required by the co-applicant
ID proofIdentity proof
Residential proofResidential proof
Passport sized photographIncome-related documents
Admission proofPassport size photographs
Fee structure document
Visa copy
Salary slips of experienced candidates
Academic documents

Expenses Covered under the IDFC Education Loan

Education loans cover various expenses like tuition fees, accommodation fees, examination fees, travel expenses, insurance, and other related study-abroad expenses. Here is a list of expenses covered under the IDFC education loan. The expenses can be divided into college-related expenses and additional expenses.

College Expenses Additional expenses 
Tuition fees, and other fees payable by the institute Travelling expenses 
Examination fees/laboratory/library feesDesktop/laptop expenses
Books expense/uniform /equipment chargesOverseas insurance 
Living expenses of the studentHealthcare insurance 

Countries Covered Under the IDFC Education Loan

IDFC education loans can be taken by students to study in several countries. The bank will disburse loans to applicants who meet the eligibility criteria. Some of the prominent countries covered by the IDFC bank are as follows. Students can apply for IDFC  education loans in these countries.

  • United Kingdom
  • United States of America
  • Germany
  • Ireland
  • Singapore

IDFC Bank Loan Repayment

Education loans taken by students need to be repaid to the bank. Often banks provide a grace period/ moratorium period where the student does not have to pay the principal amount. However, this varies depending on the bank. The loan repayment policies of IDFC Bank are as follows.

  • Individuals who have taken the education loan need to pay it back. The repayment period is 15 years for both Indian and abroad courses
  • The repayment period usually starts 1 year after the completion of a 6-month course or employment. (based on whatever comes first)
  • The interest repayment period will start immediately after the disbursement of the 1st loan instalment 
  • Students need to pay only simple interest while studying. 
  • However, during the moratorium period, no repayment is required by the student 

Also Read: Check out our blog on RBI Guidelines for Education Loan and learn about guidelines related to the maximum loan amount, collateral requirements, interest rates and others.

How to apply for the IDFC Bank education loan?

The online application process for the IDFC bank education loan is as follows. Interested students can also visit the nearest IDFC bank, provide documents, and apply for an education loan.

  • Visit the official website of the IDFC First bank
  • Select the option ‘ education loan’ on the homepage
  • Choose the loan- education loan for higher education and click on Apply now
  • Fill out the application form and upload the  necessary documents
  • Review the application and submit the form
  • Wait for the bank to process the application
  • The bank will send a confirmation when  the application is accepted 
  • Applicants might need to visit the bank branch for other requirements. For example, signing the loan agreement and supplying more paperwork if needed.

FAQs

Can I take an IDFC Bank education loan to study abroad?

Yes, aspiring students can take education loans from IDFC Bank to study abroad. The bank provides education loans of up to INR 1.5 crores.

What is the full bank name of IDFC?

The full name of the IDFC bank is Infrastructure Development Finance Company.

What is the education loan interest rate in IDFC Bank?

The IDFC education loan interest rate starts from 9% onwards.

How much salary is required for an education loan?

To be considered as an education loan co-applicant an individual needs to earn a minimum salary of INR 30,000. However, in some cases, lenders do consider individuals with low income as co-applicants.

Do I need to pay collateral to get an IDFC education loan?

IDFC First Bank provides collateral-free education loans up to INR 50 lakhs at competitive interest rates.

The IDFC education loan is available for students to study abroad. The maximum amount of loan granted without collateral is INR 50 lakh and without collateral is INR 1cr. The loan processing time taken is between 2-7 days and the repayment period is up to 12 years.

To know more about the loan application process, 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. 

Related Blogs
Canadian Government Scholarship for Indian Government
Best International Scholarship to Study in the USA
How Education Loan Insurance Eases Financial Stress
About Blessy George

Blessy George is a seasoned finance specialist who specialises in school financing. With over two years of experience, Blessy has polished her abilities in negotiating the complexities of the education loan procedure and has become an expert at problem-solving in this arena. Her extensive knowledge of financial systems and lending practices, together with her rigorous attention to detail, has earned her the trust of students and parents seeking educational financial help. Blessy's passion for empowering individuals through education drives her dedication to developing customised solutions and ensuring that aspiring students can attain their academic goals.

Leave a Comment

3 Best Student Bank Accounts to Open when Studying Abroad ICICI Bank Education Loan to Study Abroad Baroda Yoddha Education Loan to Study Abroad Top 5 Benefits of SBI Zero Balance Account for Students Eligibility Criteria for Aditya Birla Capital Education Loan to Study Abroad Auxilo Education Loan for Army Brats: Loan Details and Interest Rates Steps Involved In Canara Bank Education Loan Processing Time IBDI Education Loan Documents Required Checklist Education Loan Interest Rate Comparisons: Banks vs. NBFCs Indian Army Education Loan to Study Abroad: Know It All Here
×

Send Money Abroad in <15 mins

×

Request a callback

×

Get an education loan at the lowest interest rate

×

Thank you! Your call request has been submitted

Our team will connect with your shortly

aero Confused which education loan is the best for you?