Education Loan Fees And Charges

  • Multiple Offers
  • Pan India
  • Rate Starts @ 9.33%


Lenders for processing of loan and during the loan tenure levy certain fees and charges to student loan. The charges can be bifurcated as pre & post loan charges.

Pre-Loan charges are applicable and to be paid by applicant for processing of loan. The charges will be processing fees, application fee, administration fee. Agreement and stamp paper fees and others. Not all lenders levy all of these charges. Post loan charges will be during tenure of loan like foreclosure fee, part-payment fees, late-payment and cheque bounce penalty, physical statement fee and others. Any amount charged by lender attracts 18% GST and which is to be paid by borrower.

The charges associated with education loan varies with lenders as per their credit guidelines. Students and applicants should be aware of the applicable charges and terms and conditions. None of the below charges be hidden to borrower -

Processing Fees

  • The fees to be paid at time of loan application

Pre-Payment Charges

  • Levied if part-payment is done during the loan tenure

For-closure Fees

  • Applicable if student pay-off loan in full, before the tenure

Late payment or Overdue charges

  • Levied if EMI not paid as per scheduled date

Cheque Bounce or EMI Bounce

  • If the cheque or standing instruction is dishonoured


  • As applicable on all fees and charges

Legal and technical fees

  • For collateral property valuation and verifications

Custodian fee

  • For securing original post loan closures

There are other charges which are specific and at discretion of banks like Application Fee, Administration fee, Repayment mode changes charges, Rate conversion or rate switching fees, CERSAI registry charges, mortgage creation cost, loan recovery charges and others if any.