IDBI Bank Education Loan

IDBI Bank Education Loan

IDBI Bank Ltd. has inherited a rich legacy from its predecessor entity - Industrial Development Bank of India (IDBI) – which was an apex Development Financial Institution (DFI) since 1964. Further, LIC of India has acquired majority shares of the bank which makes direct and indirect shareholding of Government of India in IDBI Bank is over 97%.

IDBI Bank has a network over 1900 branches & around 3500 ATMs PAN India. Today, IDBI Bank is operating as a full service universal bank that serves the customers from all segments, committed to understanding our Customer’s needs and aims at consistently delivering relevant financial solutions and excellent customer service.

Highlights of IDBI Bank Education Loan

IDBI Bank Offers ‘i-learn’ Education loan to aspirant students opting for higher studies in India and Abroad and covers multiple courses that would facilitate them to address their every need. Some of the highlights of ‘i-learn’ Education loan are furnished below:

  • Fast Processing.
  • Easy repayment Terms & Maximum Repayment tenure
  • Higher loan amount
  • Attractive Interest Rates
  • Interest Rate Concession of 1% if interest is serviced during moratorium period, Concession for Girl child / Existing customer/ SC/ ST/ Minority / physically handicapped
  • Loan for a wide range of courses including MCA/ MBA/ MS/ CIMA/ CPA-USA/ Professional/ technical/ Aeronautical/ pilot/shipping/Post Graduate Degree from reputed University Abroad
  • Nil Processing Fees
  • Nil Part Payment/Pre-closure charges
  • Instant World Currency Card
  • Additional/Top up loan for increase in Course Fee/Rupee Depreciation/another course
  • Expenses covered - Course Fee/Boarding/Lodging/Travel/ Books/Equipment’s/Laptop/Exchange Programme/ Project Work/Instruments/Insurance
  • Balance transfer facility
  • Tax benefits (under Sec 80E)

More Details

Sanction /Loan processing

Ease & comfort in loan processing at any Branch that is nearest to the student/co-applicant or educational institution. Quick loan sanction at Branch level

Loan Amoun:

Need based finance:

Country of studies/ course Loan Amount* (Rs)
Courses offered by Foreign Institutes in: USA, UK, Canada, Australia, European Union, Singapore, Japan, Hong Kong and New Zealand. Ra.75 lakhs
Courses offered by universities in other countries Ra.30 lakhs
Aeronautical, Pilot training, Shipping courses etc recognized by regulatory bodies abroad Ra.30 lakhs

* Higher loan amount can be sanctioned on case to case basis

Top up loan

Top up loans are allowed for

  • Increase of Course fee
  • Rupee depreciation
  • Another course curriculum
Expenses covered
  • Fee payable to the University/ Hostel-reasonable lodging & Boarding.
  • Expense for purchase of Books, Equipment, Uniforms
  • Expense for Travel expenses, Insurance premium, GIC for Canada
  • Service Tax & Cess if applicable
  • Reimbursement of fee paid.
  • For countries where tuition fee is waived: Expenses mentioned in admission letter, reasonable lodging & boarding charges, travel expense, insurance premium are covered.
Loan tenure

Up to 15 years post moratorium period

Margin & Security
Loan amount Margin Minimum Security
Up to Rs. 4 Lakh Nil No security
> Rs. 4 lakh – Rs. 7.5 Lakh 15% Suitable third-party guarantee
Above Rs. 7.5 Lakh 20% Collateral security- various options available
Security for SBI education loan

Zero Processing charges

Charges on part payment

Zero charges on pat payment

Repayment Tenure
  • Collateral in the name of student/ parent/ guardian/ Co-applicant(s)
  • Liquid Collateral : Having fixed returns/ surrender value & with security
  • Options : Fixed Deposit with IDBI Bank LIC policy NSC / KVP Govt. securities/ Public Sector Bonds etc.
  • Immoveable property Open/vacant plot are also eligible for collateral security.
Rate of interest
  • Floating Rate of interest linked to RLLR i.e Repo Linked Lending Rate
  • Simple interest is charged during moratorium period
  • Servicing of interest during moratorium is optional for student
Loan amount Floating Rate Present Effective Interest Rate*
Upto Rs. 7.50 lak RLLR + 1.50% 10.65%
Above Rs. 7.50 lakh RLLR + 2.00% 11.25%

* Present RLLR @ 9.15%

Interest Concession
  • Borrower willing to service interest during moratorium and have sufficient income proof thereof – 1% remission of interest
  • Girl applicant -0.50%
  • Applicant from SC/ST/Minority community -0.25%
  • Existing customer of Bank or child of existing customer of Bank – 0.25%
  • Physically challenged applicants-0.25%