HDFC Education Loan Interest Rate for Abroad 2025

Education loans help candidates fulfill their dreams and get top-tier education from the world's top universities. HDFC is a private bank offering customized education loans for students aspiring to study abroad, with a deep understanding of their requirements. Here are some key benefits of getting an education loan from HDFC.

• Affordable Interest Rates: HDFC ensures students don't face heavy financial burdens and hence offers competitive interest rates on education loans.

• No Collateral Requirement for Loans Up to ₹45 Lakh: students do not need to provide any collateral up to certain amounts on selected institutes, making it easier for young borrowers to secure funding.

• Flexible Repayment Terms: HDFC offers flexible loan repayment options, including a moratorium period before the EMI payments begin. 

• Tax Benefits: Under Section 80E of the Income Tax Act, the interest paid on education loans is eligible for tax deductions, making it financially more attractive.

• Quick Disbursement: Once the loan is approved, HDFC ensures timely disbursement of funds directly to the educational institution, ensuring students don’t face any financial delays.

HDFC provides flexible and competitive interest rates for its education loan products. Below is a table outlining the interest rates based on different loan amounts.

HDFC education loan interest rate for abroad is comparatively low compared to many other financial institutions. Availability of an education loan from HDFC bank is a simple process, but a candidate may need to fulfill the following criteria in order to be eligible for the desired loan amount. Here are the eligibility criteria that you need to fulfill.

• The candidate must be an Indian citizen.
• Co-applicant must be an Indian citizen.
• Ability to pledge collateral in certain situations.
• Co-applicant must be a bank account holder in any Indian Bank.
• Need to submit the confirmation letter from the abroad institute.

HDFC education loan covers a wide range of expenses right from your tuition fees to travel fares. It is important to verify with your lender about the expenses that are covered under your education loan, as many lenders don't cover accommodation and travel expenses. Here is the list of all expenses covered under your HDFC education loan for study abroad.

• Tuition fees.
• Accommodation.
• Travelling expenses.
• Examination fees.
• Library fees.
• Books/Laptop/Uniforms.

One of the key advantages of an HDFC Education Loan is the tax benefit available under Section 80E of the Income Tax Act. The interest paid on the loan is eligible for tax deductions, making it a more financially viable option for students.

• Eligible Deductions: The entire interest paid on the education loan can be claimed as a deduction, which helps in reducing taxable income.

• Deduction Period: You can claim the deduction for up to 8 years or until the loan is repaid, whichever is earlier. This deduction is available only on the interest component and not on the principal repayment.

Note: Loan Calculator

Candidates can avail of low HDFC education loan interest rate for abroad by applying for an education loan at the nearest branch. The process to apply offline is straightforward as you can visit the branch, fill in the application form and submit the required documents for approval, bank officials will guide you throughout in case you need any help. Here is the step-by-step process of how to apply for an HDFC Education loan online.

1. Eligibility Check: Verify that you meet the eligibility criteria before applying.

2. Application Form: Fill out the application form either online or at a branch.

3. Document Submission: Submit necessary documents such as identity proof, academic records, admission letter, and co-applicants financial details.

4. Loan Assessment: HDFC will assess the application, and once approved, the loan will be disbursed.

5. Loan Disbursement: The approved loan amount will be disbursed directly to the educational institution.

Education loans often involve huge amounts of money and it is advised to take care of the huge interest rate burdens. Here are some tips to save your money and get low interest rates on your loan amount.

1. Apply with a Co-Applicant: A co-applicant with a good credit history can help reduce the interest rate.

2. Choose a Shorter Loan Tenure: Opting for a shorter tenure may attract a lower interest rate.

3. Maintain a Strong Credit Score: A higher credit score can help you negotiate better terms and lower rates.

4. Select Floating Rate: Floating interest rates are often lower than fixed rates, particularly in a stable market.

HDFC Education Loan offers an excellent opportunity for students to pursue their academic dreams without the worry of financial constraints. With its competitive interest rates, flexible repayment options, and tax benefits, HDFC is one of the top choices for financing education. By understanding the loan’s features, eligibility, and repayment terms, students can make an informed decision and start their academic journey with financial confidence.

1. What is the HDFC Education Loan Interest Rate for Abroad?

HDFC education loan interest rate for abroad is the percentage of interest rate charged by HDFC on your loan amount and it starts from 10% depending on your loan amount and type of loan.

2. How to Get a 0% Interest Rate for an Education Loan in HDFC?

HDFC lends education loans abroad with at least a 10% interest rate and it is not possible to get 0% interest rate on education loans.

3. Is an Education Loan Good?

Education loans to finance your studies are a great way to build your career in case of financial liabilities.

4. What if We Don't Pay an Education Loan ROI HDFC?

If you don't pay an education loan, banks may issue notices against you and might start legal proceedings in case there is no response from you.

5. Can I Get an Education Loan Without Collateral?

Yes, financial institutions lend education loans Without Collateral. However, interest rates for these loans are higher compared to secured loans.