IDBI Education Loan for Studying in India

About IDBI Education Loan for Studying in India

IDBI’s education loan is available to students who have secured admission in recognised indian institutions for professional or technical courses. This education loan covers tuition fees, hostel expenses, books, equipment, and other academic-related costs.

The scheme is also useful for parents building a child investment plan, as it allows structured educational financing with flexible repayment options. Plus, tax savings on the interest paid, claimed under Section 80E of the Income Tax, can help ease the overall financial burden.

IDBI Education Loan for Studying in India - Interest Rates

Interest rates are linked to IDBI Bank’s base rate and may vary slightly based on the loan amount and applicant profile. Below is a general range:

• For loans up to ₹7.5 lakhs: 10.45%

• For loans above ₹7.5 lakhs: 10.70%

Note: The rates are updated per IDBI Bank’s latest terms as of 18 June 2025. These may change based on RBI Repo Rate movements or bank lending policy updates.

Features of IDBI Education Loan for Studying in India

IDBI Education Loan offers several features to assist families, including those starting a child investment plan:

• No Collateral (Up to ₹4 Lakhs): No collateral needed for loans up to ₹4 lakhs (only co-obligation). Loans between ₹4–7.5 lakhs need a third-party guarantee, while amounts above ₹7.5 lakhs require collateral security.

• Repayment Flexibility: Includes a moratorium period (course duration + 1 year). Full repayment tenure may extend up to 15 years.

• Subsidy Schemes: Eligible students can get an interest subsidy under the Central Scheme by submitting the required documents and meeting the conditions.

• Reimbursement: Expenses from the same academic year can be reimbursed within 6 months; extensions depend on the bank’s discretion.

• Child Education Allowance: Supports parents in managing overall child education expenses effectively through child education allowance benefits

Investment

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Secure your child’s future with or without you

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₹10,000/Month

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₹1 Crore^*

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Eligibility for IDBI Education Loan for Studying in India

To be eligible for the IDBI education loan, applicants must meet the following criteria:

• Nationality Eligibility: Applicant should be an Indian national, including NRIs and PIO/OCI candidates.

• Admission Requirement: Must have secured admission in a recognised Indian institution through an entrance exam or merit after completing 10+2.

• Course Eligibility: Must be enrolled in a professional or technical course approved by a recognised institution.

Documents Required for IDBI Education Loan for Studying in India

Keep these documents handy for IDBI education loan for studying in India:

1. For the Student Applicant:

   • Age, Identity, and Address Proof (as per KYC norms), PAN Card, and Aadhaar are mandatory for subsidy.

   • Mark sheets from Class 10 onwards, including the latest qualifying and entrance exam results.

   • Admission Proof Offer/Admission Letter from the institution.

   • Course Fee Structure official estimate of tuition and other academic costs.

   • Passport-size photographs.

   • Details of any existing or previous loans from banks/lenders.

2. For the Co-Applicant/Guarantor:

   • KYC Documents, Identity, Address, and Signature Proof.

   • PAN Card and passport-size photographs.

   • Income Proof, salary slips, ITR, or business proof based on the profile.

   • Details of any existing or previous loans.

   • Income Certificate from the Competent Authority (mandatory for claiming subsidy).

Most Important Terms and Conditions

Here are the key terms and features of the IDBI Education Loan that every student and parent should know before applying:

• Eligible Courses: IDBI Education Loan covers graduate, postgraduate, and professional courses in India approved by UGC, AICTE, ICMR, and includes programs like CA, CFA, pilot training, and courses from IITs/IIMs.

• Loan Margin: IDBI Education Loan requires no margin for amounts up to ₹4 lakhs, while a 5% margin applies for higher loan amounts.

• Repayment Tenure: IDBI Education Loan offers a moratorium of the course duration plus 1 year, with a repayment period of up to 15 years afterwards.

• Co-Applicant: This co-applicant shares repayment responsibility and helps improve the chances of loan approval.