Indian Bank Education Loan: Application, Eligibility, Interest Rate, Documents & Much More

The Indian Bank is an Indian state-owned financial services company established in 1907 and headquartered in Chennai, India. It is one of the top-performing public sector banks in India. It has 20,924 employees, 2851 branches with 2857 ATMs and 693 cash deposit machines. If you want Education Loan to pursue higher studies from Abroad or India, You are at the right place to collect every aspect of information related to Education Loan in India.

Read this full post on Indian Bank Education Loan for information Like Eligibility, How to apply, Interest Rates, Documents Needed, Different aspects of Education Loan, Interest Rates, Return Policy, General Instructions etc. Throughout the article, we will share information regarding Indian Bank Educational Loan it’s Process to Apply and full detailed Information.

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Indian Bank Education Loan

The major aim of the bank is to ensure anywhere and any time banking for the customer with the latest state-of-the-art technology. The Bank is very serious about its Education Loan Facility and by developing an effective customer-centric relationship it promises to emerge as a world-class education Loan provider. Before we share further, let us first have a brief review of the Bank.

Brief Review

Name of Bank Indian Bank
Founded on15 August 1907
HeadquarterChennai, India
Type of Bank National Bank
Number of Employees20,924 (2018)
CEO NamePadmaja Chunduru
Maximum Loan Amount  Rs 30.0 Lacs
(Rs 30.0 Lacs For ISB Only)
Timeline for Loan DisposalMaximum 15 Working days
Annual Revenue21,689.67 crore (US$3.0 billion) (2018)
Processing FeesNo Processing Fee will be charged
Other SubsidiariesIndbank Merchant Banking SVC Ind Bank Housing IndianBank Singapore Pallavan Grameena Bank
Category Education Loan in India

Types of Indian Bank Student Loan
1.IB Educational Loan PrimeIndian bank provides convenient educational loans for meritorious/deserving students to acquire knowledge and skills in the field of their interest. loan amount of Rs 30.0 Lacs (Rs 30.0 Lacs For ISB Only)
2.IB Skill LoanIndian bank provides convenient educational loans for meritorious/deserving students to acquire knowledge and skills in the field of their interest.
loan amount of  Rs. 5000/- to Rs. 1.50 Lacs
3.Revised IBA Model Educational Loan Scheme Under this Scheme, Bank provides convenient educational loans for meritorious/deserving students to acquire knowledge and skill in the field of their interest.

How to Apply



  • Visit the nearest branch of Indian Bank to get offline Education Loan form.
  • You may also download the form from official web handle.
  • Submit the Application Form to Nearest Branch along with document needed.


  • The applicant should be an Indian National.
  • Applicant must have secured admission in a government recognized educational institution.

Documents Needed

  • Identity Proof of Applicant and Joint Borrower.
  • Proof of Residence.
  • Mark sheet of last qualifying examination for school and graduate studies in India
  • Academic Records: 10th Result, 12th Result, Graduation result-semester Wise (if Possible) Entrance Exam Result through which admission is being taken
  • Proof of admission: Offer Letter or Admission Letter from the Institution.
  • Schedule of expenses for the course
  • Community Certificate.
  • Parent’s or a Guardian’s Co-obligation is required
  • LIC policy /Share certificates / Units of UTI / Valuation certificate and a legal opinion from the bank in case of land or buildings
  • Passport and VISA-Copies of both are required
  • Passport size photographs

Expenses Considered

  • Tuition and course fee
  • Examination, library and laboratory fees
  • Caution deposit
  • Cost of books, Uniforms, Equipment and other instruments.
  • Travel Expenses

Return Policy

  • Repayment of an Indian Bank education loan can be initiated either after the completion of the course or a year after the applicant has got a job.
  • Loan amounts up to Rs 7.50 lakhs have to be repaid within a period of 10 years and loans availed above Rs 7.50 lakhs can be repaid within 15 years.

EMI Calculator

EMI Calculator is used for calculating the periodic payment amount due on a loan. For calculating EMI one must input data like Amount, Interest Rate, tenure, Processing Fee etc.

  • If you want to calculate EMI for Indian Bank Educational LoanClick Here


  •  Up to Rs. 4 Lacs
    • The bank does not require applicants to submit any form of security and the parents co-obligation would suffice.
  •  Above Rs. 4 lacs and up to Rs.7.50 Lacs
    •Co-obligation of parents together with collateral security
    in the form of suitable third party guarantee. The bank
    may, at its discretion, in exceptional cases, waive third
    party guarantee if satisfied with the net-worth/means of
    parent/s who would be executing the documents as
    “joint borrower”.
  • Above Rs. 7.50 lacs
    •Require the co-obligation of parents or guardian along with the collateral security of suitable value, assuring the future income of the student for repayment of the loan.

Contact Details

Head office Indian Bank, Corporate Office,254-260, Avvai Shanmugham Salai Chennai -600014
Apply for Loan Click Here
Contact Number044-28134126, 1800-4250-0000

Indian Bank Student Loan FAQs

We hope that the information furnished above will guide you to get the best educational loan for your studies. In case of any doubt regarding the loan procedure and other related terms, read our FAQ’s session.

Q1. Who can be my co-borrowers?

Ans. Your parents/guardian can be a co-borrower as well as the spouse in case of a married applicant. The co-borrower should have a steady source of income and a good credit history in order to improve the applicant’s chances of a successful loan application.

Q2. How long does it take to process Educational Loan?

Ans. Generally, the time taken for the education loan to process is somewhat between 7-10 working days. Often, the whole process can be easily completed within 3 to 5  Working days, once the student fulfils all documentation.

Q3. What all expenses will be covered by education loans?

Ans. Apart from the tuition fees, other aspects of expenses such as hostel charges, equipment purchases and other course-related expenses may also be covered by the education loan.

Q4. What are the courses for which an education loan can be availed?

Ans. An education loan can be availed for all courses recognized by the UGC in case of India and all regular courses abroad. Each lender has its own list of educational institutions and courses that they would provide a loan for whether overseas or within India.

Q5. Can a student avail another loan for further studies?

Ans. Yes, this is possible. You can borrow a loan for a bachelor’s degree followed by one for master’s without repaying the first loan. This loan can be taken as a top-up loan against the already existing loan; however, it is subject to the lending bank’s discretion and the internal rules and regulations of the lender.

Q6. Do education loans have any Income Tax benefits?

Ans. Loan borrowers can avail tax benefits on interest paid on education loan under Sec 80E of the Income Tax Act. This benefit is available over and above the Rs. 150,000 deduction allowed under Section 80C. Tax benefits can be availed once the borrower starts paying the interest on the education loan. Further, the deduction is available until the borrower pays off the full interest amount on the loan or for a maximum period of 8 years, whichever is earlier.

Q7. Why do banks require an insurance policy?

Ans. Banks usually prefer that students avail a life insurance policy equivalent to, or more than, the loan amount. The policy acts as a security feature and forms a part of the collateral. In case of the untimely demise of the borrower, the bank recovers the outstanding loan amount from the student’s life insurance policy and the remaining amount, if any, is paid out to the beneficiary of the policy.

Q8. Is any incentive available for a girl student applying for education loan?

Ans. Banks generally provide a 0.5% concession on the applicable education loan interest rate to girl students pursuing higher education in India and abroad.

Q9. Are there any special privileges for students of SC/ST category who avail education loans?

Ans. Yes, eligibility criteria and loan margins on education loan are relaxed for Scheduled Caste/Scheduled Tribe students availing education loans in India. The eligibility criteria are lowered from first/second class to pass class for SC/ST category students seeking education loan for graduate and postgraduate studies, while, margin money is sometimes lowered than the regular percentage or nil.

Q10. Where can I avail on an Indian Bank education loan?

Ans. The loan is available from all branches in metro/urban areas as well as those having personal banking divisions.

Best of Luck!!

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