UCO Education Loan

About the UCO Education Loan

The UCO Education Loan is available to Indian students who have secured admission in recognised courses at approved Indian or international institutions. Whether you’re pursuing an undergraduate, postgraduate, or professional course, this education loan offers financial assistance for tuition, books, travel, accommodation, and more. The Uco Education loan also supports structured child education allowance planning. 

UCO Education Loan - Rates of Interest

The UCO Bank Education Loan interest rates are based on the bank’s prevailing lending rates and may vary based on the loan amount and institution category.

• Up to ₹7.5 lakh: UCO Float Rate + 2.00% (currently 10.80% p.a.)

• Above ₹7.5 lakh: UCO Float Rate + 2.40% (currently 11.20% p.a.)

Note: The rates are updated per UCO Bank’s latest terms as of 25 June 2025. These may change based on RBI Repo Rate movements or bank lending policy updates.

Features of the UCO Education Loan

Here’s what makes the UCO Education Loan a practical option for students:

• Flexible Repayment: The total repayment tenure can go up to 15 years, offering manageable EMIs post-moratorium.

• Moratorium Benefit: Repayment begins after a grace period that includes the entire course duration plus 1 year after course completion, for all courses.

• No Prepayment Charges: You can repay early without any penalties.

• Insurance Coverage: Group Life Insurance Cover is available to protect the loan liability in case of the borrower’s accidental or natural death.

• Supports Financial Planning: Helps families align with a long-term child investment plan and objective.

• Processing Fee: No processing fee is charged under the UCO Education Loan scheme.

Investment

Secure

Secure your child’s future with or without you

Start Investing

₹10,000/Month

& Get

₹1 Crore^*

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Eligibility for UCO Education Loan

To apply under the UCO Education Loan scheme, applicants must meet the following criteria:

• Citizenship: Must be an Indian citizen

• Eligible Courses in India: Graduate, Postgraduate, PhD, and PG Diploma courses in approved fields like Engineering, Medical, Management, Law, etc., including CA, CFA, ICWA, and DoE-accredited computer courses.

• Eligible Courses Abroad: Job-oriented UG and PG programs like MBA, MCA, MS, and courses by reputed bodies such as CIMA (London) and CPA (USA).

• Age Limit: Up to 28 years for graduation and 30 years for postgraduate (general category); relaxed by 2 years for SC/ST.

Documents Required for UCO Education Loan

Here are the typical documents you’ll need to submit for the UCO Education Loan:

• Academic Proof: Mark sheets of Class 10, 12, and qualifying exams

• Admission Letter: Official confirmation from the institution

• Fee Structure: Detailed course fee and expenditure estimate

• Identity & Address Proof: PAN, Aadhaar, Passport (for abroad studies)

• Income Documents: Salary slips or IT returns of the co-applicant

• Travel Documents: Passport and VISA for international education

Most Important Terms and Conditions

These are some of the key terms you should be aware of under the UCO Education Loan scheme:

• Single Use Only: The loan is available once per level of study. New loans must be applied for separately if pursuing further education.

• Margin Requirement: No margin for loans up to ₹4 lakh. For loans above ₹4 lakh, the margin is 5% for studies in India and 15% for studies abroad.

• Security Requirements: For loans up to ₹7.5 lakh, only parent co-obligation is required with no collateral or third-party guarantee, and the loan must be covered under CGFSEL. For loans above ₹7.5 lakh, parent co-obligation and tangible collateral equal to the full loan amount are mandatory.