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Indian Overseas Bank

Indian Overseas Bank Education Loan

  • 100% Collateral-free Funding
  • Competitive & Fixed Interest Rates
  • Minimal Documentation
  • Hassle-free Process

Free Education Loan Assistance from Top Education Loan Lenders in India.

Interest Rate Starting From 11.55%

Loan Amount Upto 1.5 Crore

Process Fees 10,000 + Gst

How the Indian Overseas Bank Education Loan Abroad Works

Simple 6 Step Process to obtain an Education Loan

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You must be an Indian citizen with confirmed admission to a recognised foreign university.
The maximum loan amount for overseas studies is Rs. 3 Crore.
For loans above ₹7.5 lakhs, tangible collateral like property, FDs, or LIC policies, etc., is required.
Repayment starts after a moratorium period (course duration + 1 year).
Interest rates: RLLR + 0.40% (SP)+ 1.25% (RP) = 11.55%
Interest during the study period is simple interest, and you can choose to pay it during studies or later.

Indian Overseas Bank Education Loan for Abroad Studies

The Indian Overseas Bank education loan is a reliable option for Indian students looking to study abroad. With loan amounts going up to Rs. 3 Crore, low interest rates for girl students, and a generous repayment timeline of up to 15 years, IOB student loans for study abroad are designed to support your entire education journey. Even better, Spoctree helps you compare and apply without the confusion of dealing with multiple banks.

Features of Getting an Unsecured Indian Overseas Bank Education Loan Abroad

  • Concession for Girl Students: 0.50% interest rate discount.
  • EMI Flexibility: Repayment tenure ranges from 5 to 15 years.
  • Simple Repayment Modes: Choose between Standing Instructions (SI), ECS, or Post-Dated Cheques (PDCs).
  • Covers All Costs: Tuition fees, airfare, hostel fees, books, and exam charges are all included.
  • Grace Period: You get time to find a job after completing your course before EMIs start.

Benefits of Getting Indian Overseas Bank Education Loan Abroad from Spoctree

  • Compare easily: Check IOB loan options alongside offers from other public and private lenders on one screen.
  • 100% Finance Possible: Based on your academic profile and admission, Spoctree helps you access full funding options.
  • Quick Eligibility Check: No need to visit multiple branches. Just check online.
  • Spocbot Support: Got doubts? Ask questions anytime via Spocbot—your AI-powered loan guide.
  • Advisor Help: Need a human touch? Our local loan advisors are just a call away.

Eligibility for Unsecured Indian Overseas Bank Education Loan Abroad

  • The applicant must be an Indian citizen and should have secured admission to a recognised foreign university through merit or an entrance exam.
  • The student should not be in any form of paid employment at the time of application.
  • For unsecured loans, only a co-obligation from parents or guardians is needed.
  • The loan is available for graduation and post-graduation programs abroad.
  • Minimum academic performance (like 60% marks in qualifying exams) may be required in states without a common entrance test.

Interest Rate of Indian Overseas Bank Education Loan for Studies in India and Abroad

Loan type Interest Rate (p.a.)
Upto ₹7.5 lakhs 10.40%
Above ₹7.5 lakhs 11.40%
A-Rated Institutions (NIRF 1–20) 8.60% – 8.75%
B-Rated Institutions (NIRF 21–50) 9.00%
Girl Student Concession 0.50% (additional rebate)
Timely Interest Payment Rebate (During Moratorium) 1.00%

EMI Payment Methods for Indian Overseas Bank Education Loan Abroad

  • Standing Instructions (SI): Best for existing IOB account holders. EMI auto-debits monthly from your account.
  • Electronic Clearing Service (ECS): For non-IOB accounts. EMI is auto-debited every month.
  • Post-Dated Cheques (PDCs): You can submit cheques if ECS or SI is not available in your area. Requires timely submission of new cheques.
  • Recommended Option: Use SI or ECS for a smoother, error-free repayment experience.

How to Apply for an Indian Overseas Bank Abroad Education Loan?

  • Step 1: Visit your nearest IOB branch or the official portal.
  • Step 2: Enquire about eligible IOB study loan schemes and check your suitability.
  • Step 3: Fill out the education loan application form online or offline.
  • Step 4: Submit the required documents—admission letter, ID proof, income documents, etc.
  • Step 5: The bank reviews your application and communicates approval via SMS/email.
Tip: You can also apply faster via Spoctree and get matched with multiple lender options.
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Frequently Asked Question

Indian citizens who have secured admission in recognised institutions in India or abroad through merit or entrance exams are eligible. The applicant must not be employed and should meet the bank’s academic and financial requirements.
There is no single "best" bank, as it depends on your needs. However, public banks like Indian Overseas Bank, with low-interest rates and no hidden charges, are preferred by many students. Spoctree helps you compare and choose the best option easily.
Any Indian student who has confirmed admission in a recognised foreign university for graduation or post-graduation, with a co-applicant and acceptable academic background, can apply for an overseas education loan.
Yes, Indian Overseas Bank offers up to Rs. 3 Crore for overseas education. For a ₹15 lakh loan, you may need to provide collateral and a co-applicant based on the loan amount and university.
Yes, the interest rate ranges from 8.60% to 12.50% p.a., depending on the loan amount, institution rating, and borrower profile. Girl students and timely interest payments during the moratorium can earn you extra rebates.
Absolutely. If you’ve secured admission to a recognised foreign university and have a co-borrower, you’re eligible for an IOB education loan for studying abroad.
No, IOB does not charge any processing fee for education loans, making it a cost-effective option for students and families.
Yes, you can reduce interest by paying it during the moratorium period (you get a 1% rebate) and if you’re a girl student (extra 0.50% concession). Also, studying at a top-rated institution can fetch better rates.