In the competitive world of higher education, securing the necessary funding for studying abroad can be a daunting task. But not anymore as IDFC First Bank stands out by offering an exclusive education loan scheme designed specifically to meet the needs of students planning to pursue their education overseas. One of the best parts of this scheme is that it offers unsecured loan amounts based on the Ranking of the University or Institution and as per the GMAT, GRE, and SAT scores of the applicant. Known for its customer-centric approach and quick loan disbursals, IDFC First Bank provides one of the most comprehensive and flexible loan options in the market.
So, if you are planning to take an education loan and want to know more about this unique loan product, then this article is definitely for you. Let’s discuss the specifics of the IDFC First Bank Study Abroad Loan, its benefits, eligibility criteria, and the application process ahead.
IDFC First Bank’s education loan for studying abroad offers numerous advantages, making it a preferred choice for many students. Here are some of the top benefits.
High Loan Amounts: The max loan amount for secured loans with full collateral is up to 1 Crore. For unsecured loans, students can avail of up to INR 75 lakhs, significantly reducing the financial burden without the need for collateral.
Wide Range of Countries & Courses Covered: The loan covers a broad spectrum of study destinations including the USA, UK, Australia, Canada, New Zealand, Ireland, Germany, Switzerland, France, Singapore, etc. For courses, it covers Undergraduate to Postgraduate Programs, including specialized courses in various study fields.
Standardized Exam Scores-Based Loans: Based on the SAT, GRE or GMAT scores, the bank provides substantial unsecured loan amounts.
Competitive Interest Rates: IDFC First Bank provides competitive and attractive education loan interest rates that start at 11%. Thus, making overseas education financing more affordable.
Tax Benefits: Under Section 80E of the Income Tax Act, applicants or their co-applicants can avail of tax benefits on the interest paid on the education loan.
Quick Disbursal: The loan disbursal process is streamlined, and your application is processed within 7-20 days, ensuring that funds are available promptly for tuition fees and other educational expenses.
Flexible Repayment Options: The bank offers flexible repayment tenures of up to 12 years, allowing students to choose a repayment plan that best fits their financial situation post-graduation.
No Prepayment Penalty: Borrowers have the flexibility to prepay the loan without incurring any penalties or foreclosure amount, providing an opportunity to save on interest costs.
Now that we have read the top benefits, you surely might want to know more about its loan offerings and that is what lies ahead.
IDFC First Bank offers different categories of education loans to cater to the varied needs of students. Check the details of these categories below.
| Category | Platinum Plus | Platinum | Titanium | Gold | Bronze |
| Maximum Loan Amount | Up to 75 Lakhs INR | Up to 62 Lakhs INR for USA & 41 Lakhs INR for Other countries. | Up to 49 Lakhs INR for USA & 35 Lakhs INR for Other countries. | Up to 31 Lakhs INR for USA & 29 Lakhs INR for Other countries. | Up to 25 Lakhs INR for USA & 23 Lakhs INR for Other countries. |
Simple Interest | Paying Partial Interest is Mandatory. | Paying Partial Interest is Mandatory. | Paying Partial Interest is Mandatory. | Simple Interest or Direct EMI can be Paid. | Simple Interest or Direct EMI can be Paid. |
To know more about these categories and the list of Institutions for each of these categories, you can connect to team Élan and find out the required details.
Applicants must meet the following eligibility criteria to ensure a successful loan application process.
Nationality: The applicant must be an Indian Citizen (Including NRI)
Admission: The applicant should have secured admission to a Recognized University Abroad for a Graduate or Postgraduate Program. In some cases, Pre-Admission Loans are also provided.
Strong Academic Background: A Consistent Academic Record is Essential.
Co-applicant: A Co-applicant (Parent, Grandparents, Immediate Family, or Spouse) with a stable income is required.
Credit Score: A Good Credit Score of the Co-applicant enhances the chances of loan approval. Anything above 700 is good for overseas education loan applications at IDFC First Bank.
Maintaining Minimum Balance: Applicants are required to maintain a minimum balance of 25000 INR in their savings account for 6 months with good transaction history.
Income Tax Return & Business Registration Proof: For Platinum and Titanium category universities, Income tax returns are not required but applicants will have to show the business registration proof.
Applying for an overseas education loan with IDFC First Bank involves a few straightforward steps. We have explained them in brief below and the process is mostly the same for education loan without collateral as well as for with collateral.
Fill out the loan application form available on the bank’s website or at the nearest branch.
Provide necessary documents, including admission proof, academic records, identity proof, and income proof of the co-applicant. Pay the processing fees and apply.
The bank evaluates the application based on eligibility criteria and creditworthiness. If approved, the loan sanction letter will be issued.
Read the details of the loan amount, interest rate, and repayment terms and sign the loan agreement.
The sanctioned loan amount is disbursed directly to the higher education Institution as per the requirements.
If you want to skip these steps, then you can reach out to our team of expert loan advisors at Élan Overseas Education Loans. They will do the loan application for you.
Wrapping up this article, IDFC First Bank’s education loan for studying abroad is a strong financial assistance for students to achieve their academic aspirations without financial constraints. With high loan amounts, competitive interest rates, and flexible repayment options, IDFC First Bank stands as a reliable partner in your educational journey.
For more detailed information on this education loan scheme and personalized guidance, reach out to us at Élan Overseas Education Loans. Our experts will provide comprehensive support to help you process your loan application smoothly and secure the best financial solution for your study abroad plans.
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