TMB - Super Education Loan

About the TMB - Super Education Loan

The TMB - Super Education Loan is designed for students who want to attend school in India or abroad to get professional training or improve their skills. This education loan gives you full financial help whether you want to take undergraduate, graduate, diploma, or specialised certification courses. With low interest rates and flexible repayment terms, it fits your academic path and job goals, giving you the financial support you need to study without any problems.

TMB - Super Education Loan - Rates of Interest

When someone takes out a TMB - Super Education Loan, the interest rate is determined by their credit score and the bank's normal rate.

• RLLR (Base Rate): 9.50%

• Effective Interest Rate (Floating): 12.00% to 12.50%

Note: Rates reflect TMB terms as of 19 June 2025 and may change with RBI or regulatory revisions.

Features of TMB - Super Education Loan

TMB - Super Education Loan provides financial help to Indian and international higher education students.

• Tax Advantages: Interest paid on the Tamilnad Merchant Bank education loan may qualify for deduction under Section 80E  of the Income Tax Act (subject to current tax rules).

• Flexible Repayment: Repayment begins after the moratorium through EMIs via internet banking, standing instructions, mobile banking, or post-dated cheques.

• Study-Funding Support: Covers a wide range of child education plan expenses, including tuition, hostel, exam fees, library/lab charges, books, equipment, uniforms, project costs, caution deposits, and travel or airfare for overseas studies.

• Quick Processing: No processing fees for Indian studies, but a 1% fee for abroad education over ₹7.5 lakh. Offline and online applications via TMB's website or branch require minimal paperwork.

• Margin Requirements: 0 % margin for loans up to ₹4 lakh; 5 % for domestic study above ₹4 lakh; 15 % for abroad study beyond ₹4 lakh

Investment

Secure

Secure your child’s future with or without you

Start Investing

₹10,000/Month

& Get

₹1 Crore^*

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*Standard T & C Apply

Eligibility of the TMB - Super Education Loan

To apply for the TMB Education Loan, the following conditions must be met:

1. Nationality:

   Applicant must be an Indian citizen.

2. Course Admission:

   Must have secured admission to a PG course at reputed institutions such as:

   • IIM, IIT, IISC, XLRI, NIFT, IIIT, ISB, NIT

   • Indian Institute of Space Science and Technology

   • Recognised medical colleges

   • Well-ranked foreign universities

3. Academic Performance: 

   Must have secured first class in the previous qualifying public exam (minimum 60%, or 75% as per institution norms).

4. Age Criteria (Preferable):

   • Below 25 years for undergraduate studies

   • Below 30 years for postgraduate studies

5. Co-applicant Requirement:

   • Parents must apply if the student is under 18.

   • For others, parents or guardians must co-sign the loan.

6. Repayment Capacity:

   Parents or guardians must show sufficient income based on loan amount and security offered.

7. Margin Requirement:

   • 10% for studies in India

   • 20% for studies abroad

Documents Required for TMB - Super Education Loan

Ensure you have the following documents ready when applying for the TMB Education Loan:

• Photocopies of National ID cards (Aadhaar, PAN, Passport) of the student and co-applicant

• Photocopies of permanent address proof of the student, parent, and sponsor

• Recent passport-sized photographs as per KYC

• Photocopies of relevant mark sheets and academic certificates

• Admission/relevant institution paper confirming the student’s seat

• Income proof of all the parties involved (student, parent, sponsor)

• The fee structure or detailed cost breakup of the course

• As per the loan amount and the bank's requirements, collateral or a guarantor may be needed.

Most Important Terms and Conditions

Applicants should review the following financial terms and conditions before applying:

• Interest Payment: Interest is payable monthly from the date of disbursement.

• Quantum of Finance: TMB Education Loan amount varies based on course and need - up to ₹10 lakhs for studies in India and up to ₹20 lakhs abroad.

• Repayment Tenure: The repayment is done over 5 to 7 years, with a maximum extension of 2 years for valid delays.

• Child Investment Support: This is not applicable under child investment plans; it is specifically designed for higher education financing.

• Penal Interest: An Additional 2 % per annum on repayment defaults.

• Security Requirement: Collateral must cover 125% of the loan amount and can include:

  • Land or building

  • Government securities

  • Gold, shares, mutual fund units

  • Fixed deposits in the name of the student or parent