Education Loan

Education Loan Eligibility Criteria 2024

Education Loan Eligibility Criteria 2024

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Discover the key factors that determine education loan eligibility 2024 and increase your chances of securing an abroad education loan.

Gurbani Kaur Suri
Updated on:  06 Mar 2024  | Reviewed By: 
| 12.9K | 7  min read

Higher education abroad has now become a gateway to success and career advancement. However, the rising costs of education can often pose a financial barrier for many aspiring students. This is where education loans for abroad studies come into play, providing a lifeline of financial support. To secure an education loan, it is essential to understand the eligibility criteria set by lenders. Before you apply for an education loan, it's important to understand the educational loan eligibility that lenders use to evaluate loan applications.

Check your education loan eligibility from the comfort of your home.


What is Education Loan?

An education loan is a specialized type of loan designed to support students in funding their educational pursuits. It covers expenses such as tuition fees, books, living costs, and other necessary educational charges. Educational loan eligibility is a crucial aspect of determining who can access these loans. It typically involves eligibility criteria such as the applicant's age, academic performance, the course and institution selected, and the financial stability of the co-applicant or guarantor. 

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Abroad Education Loan Eligibility Overview

Factor Educational Loan Eligibility




18 - 35 years


Residential / Commercial property. 


Scored at least 50% in HSC


Should receive the offer letter

Co-applicant Income

Stable co-applicant income




Education Loan Eligibility Criteria for Abroad Studies

To get an education loan for studying abroad, applicants have to fulfill some student loan criteria and track education loan requirements. Whether you can get a loan or not depends on things like how well you did in school, what you want to study, and where you want to study. This is what we call study loan eligibility. Also, both you and your co-applicant need to have a good track record of managing money. This is part of what's known as student loan eligibility. It's like a way for the bank or loan place to make sure you're a good bet for getting and paying back the loan for your studies in another country.

  • list items To meet the education loan eligibility in India, the applicant must be an Indian citizen and should be between the ages of 18 and 35. 
  • list items A critical aspect of student loan requirements is your academic performance. Candidates should have scored at least 50% in their previous qualifications. This criterion underscores the importance banks place on your academic dedication and potential.
  • list items Candidates who apply for an education loan with collateral should fulfill the following criteria- The collateral value should be at least 90% of the loan amount required.  The applicant must have documents, such as the Registered sale deed, chain documents (evidencing the ownership history of the property for 30 years), property tax receipt, and occupancy proof. 
  • list items The collateral value should be at least 90% of the loan amount required. 
  • list items The applicant must have documents, such as the Registered sale deed, chain documents (evidencing the ownership history of the property for 30 years), property tax receipt, and occupancy proof. 
  • list items A pivotal factor in education loan eligibility is the CIBIL score. For both applicants and co-applicants (usually a parent or guardian), a CIBIL score of no less than 700 is required. This score reflects your creditworthiness and is a key determinant of your loan approval chances.  

To streamline your preparation, consider using an education loan eligibility calculator. This tool helps you understand how much loan you might be eligible for based on your qualifications, the cost of your intended program, and other financial parameters.

Meeting the education loan eligibility involves a comprehensive evaluation of your academic credentials, financial stability, and the merit of your chosen educational program. Ensuring you meet these 'student loan requirements' will significantly enhance your prospects of securing an education loan for your studies abroad.


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Effective Tips to Increase Your Education Loan Approval Chances

There are several factors that can enhance your study loan eligibility. These include:

  • list items Maintaining a consistent and impressive academic record throughout your educational journey reflects your dedication and ability to excel, and can positively impact your eligibility for an education loan.
  • list items Securing admission to renowned or top-tier institutes or universities enhances your credibility as a student and increases your loan approval chances.
  • list items Having a strong financial background, either through your parents, guardians, or a co-borrower, assures lenders that you have the means to repay the loan.
  • list items Demonstrating good potential for future employment and income generation after completing your education can improve your eligibility

Education loan eligibility is influenced by a range of factors, including academic qualifications, course of study, financial stability, collateral availability, and creditworthiness. By understanding these criteria, aspiring students can navigate the loan application process with confidence and increase their chances of securing financial support for higher education. The education loan eligibility criteria are case-specific. To help you gauge your chances for an education loan accurately, GyanDhan has introduced the loan eligibility tool that carefully evaluates your profile and then suggests the amount and lenders you are eligible for.

GyanDhan is an education financing platform that assists students in obtaining funds for higher education within India and abroad. Our team of dedicated counselors thoroughly evaluates your profile and provides personalized recommendations for the most suitable lenders to meet your specific loan requirements. We take care of the entire process, ensuring a smooth and hassle-free education loan journey for you. To start your education loan journey, you check your loan eligibility and leave the rest to us.

Check Your Education Loan Eligibility


Frequently Asked Questions

Who is eligible for education loan?

To be eligible for an education loan applicants have to be an Indian citizen and have to secure admission to recognized institutions. Typically, the application process requires the support of a co-applicant, such as a parent or guardian.

What are the requirements for education loan?

The requirements for education loan include proof of admission to a recognized educational institution, academic records, valid identity and residence proofs, and financial documents like bank statements and income proof.

What is the minimum percentage required for education loan?

The minimum percentage required for education loan varies by lender, but generally, a good academic record is expected, a minimum of 50% in previous academic endeavors.

What is the education loan eligibility criteria in India?

The education loan eligibility criteria in India includes -

  • list items Indian citizenship.
  • list items Admission to a recognized institution.
  • list items Age requirements, usually between 18 and 35.
  • list items A co-applicant with a stable income.
  • list items Good academic record.
  • list items Collateral may be required for higher loan amounts.

Can I get an education loan without property?

Yes, you can get an education loan without property, such loans are termed as unsecured loans.

Can a student without parents get an education loan?

Yes, a student whose parents are deceased, can get an education loan from public, private, NBFCs, and international lenders. In such a case, the co-applicant can be the legal guardian of the applicant.

Can I get education loan if I have backlogs? 

Yes, it's possible to secure an education loan even if you have backlogs in your academic records. However, approval will depend on the lender’s criteria, the strength of your overall application, and other compensatory factors such as the reputation of the institution you wish to attend and your future income potential. Having a co-signer with a good credit history can also improve your chances.

Can I get education loan with 50 percentage?

Obtaining an education loan with a 50 percent academic record is feasible, but it might limit your options. Lenders typically look for evidence of academic proficiency as an indicator of potential career success, which influences your repayment capacity. You might need to provide additional assurances or opt for a loan with a higher interest rate or that requires collateral.

Can I get loan without form 16?

Yes, you can still get an education loan without Form 16, especially if you or your co-signer have other means of demonstrating income stability. Lenders may accept alternative documents such as salary slips, bank statements, or income tax returns in lieu of Form 16. Each lender has specific requirements, so it's best to check what other documentation can be used to establish income proof.

Can I get education loan if I have personal loan?

Having an existing personal loan does not automatically prevent you from getting an education loan, but it may affect your eligibility and the loan amount you can borrow. Lenders will consider your total debt-to-income ratio to ensure you can manage additional loan repayments. Keeping your existing debt low can help make your case stronger when applying for an education loan.

What is the maximum loan amount you can get to study abroad?

From public and private banks students can get upto INR 1.5 cr, however, from NBFCs students can secure up to INR 80 - 90 Lakh of abroad education loans.

Which is the best bank for students to get an education loan?

If a student can pledge collateral, then public banks should be a student's first choice as they offer competitive rates of interest and longer repayment tenures. In the case of unsecured loans, students can target private banks and NBFCs.

How can I check my education loan eligibility?

To check your abroad education loan eligibility, you can visit GyanDhan’s website and check your loan eligibility in just two minutes. If you are eligible, you will receive a callback in just 24 hours.

Check Your Education Loan Eligibility


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