Students enrolled with an approved Educational Institute and desirous of availing the education loan can make an application, with the earning parent / guardian being the co-applicant to the loan.

Currently, new entrants and existing students of only select leading national educational institutions are eligible to apply for education loans. Please check with your nearest HDFC Office for the list of approved institutions.

Loans are given to students who are citizens of India. The student should have a consistently good academic record, and admission to an approved Educational Institute for pursuing a recognized course.

Loans can be availed upto a maximum of 90% of the total cost as determined by HDFC. The costs would generally cover expenses incurred towards the course fee, library charges, hostel and mess charges, cost of books and equipment.

HDFC lends upto a maximum of Rs. 2,00,000 on an Education Loan. The repayment period of the loan is determined on the merits of each case but would not exceed 5 years. The Rate of Interest (with Security) is 12.00% p.a and without security is 13.00% p.a.

The repayment can be accelerated on completion of the course, considering the earning capacity of the student. HDFC's main concern is to help individuals comfortably repay the borrowed amount.

Interest Rates are calculated on a monthly rest basis.

You repay the loan in Equated Monthly Instalments (EMIs) comprising principal and interest. EMIs commence three months after the completion of the course.

Pending commencement of EMI, you pay simple interest on the portion of the loan disbursed. This is payable every month from the date of each disbursement upto the date of commencement of EMI. This interest is called pre-EMI interest.

Prepayment of the loan in full or parts is possible. In the event where the student plans to leave the country for any reason, the loan would generally be required to be repaid in full, however, the same would be considered on a case-to-case basis depending on the merits of each case and on such terms as may be required

The security for the loan would normally comprise personal guarantees and such other security acceptable to HDFC.

The loan application forms are available at your nearest HDFC Office.

The completed application form, together with all supporting documents, needs to be submitted through your Educational Institute. HDFC will make all such inquiries as are necessary or call the applicant for a discussion.

The loan would be disbursed in suitable instalments on compliance of necessary formalities such as providing personal guarantees, execution of loan documents etc. Further, disbursement of the loan would also be subject to review of progress reports from the concerned Education Institute.

Please contact your local HDFC Office for the required documentation.

In case you have further queries check our FAQ section or get in touch with us.