An MS in the US, an MBA in the UK or an MBBS in Europe now costs anywhere from ₹40 L to ₹1.5 Cr all-in. For most Vijayawada families, the difference between the right lender and the wrong one is a 2% rate gap over 10 years — often ₹8 – 15 lakh in interest. This guide lays out the three lenders we arrange most often at Global Star Group, so you can walk into a decision with numbers, not guesses.
Guide · Study Abroad Finance
Education loan for study abroad. Compared.
SBI Global Ed-Vantage vs HDFC Credila vs Avanse — the three lenders that decide most Indian families' study-abroad budgets. Here's how they actually differ.
Side by side
Three lenders, one honest table.
SBI Global Ed-Vantage
Public sector bank
- Interest rate
- ~9.15% – 11.15% p.a. (EBLR-linked)
- Max loan
- Up to ₹1.5 Cr
- Collateral
- Tangible collateral required above ₹7.5 L (property / FD / LIC)
- Margin money
- 10% of the total cost of study
- Sanction time
- 15 – 25 working days
- Moratorium
- Course period + 6 months
Best for: Large loans where the family has property to pledge and time on hand.
HDFC Credila
Education-loan NBFC
- Interest rate
- ~10.75% – 12.75% p.a.
- Max loan
- Up to ₹75 L unsecured · ₹1.5 Cr+ secured
- Collateral
- Optional — profile-based unsecured sanctions common
- Margin money
- Nil to 15% (case-by-case)
- Sanction time
- 5 – 7 working days
- Moratorium
- Course period + 12 months
Best for: STEM masters at top-ranked universities where speed matters.
Avanse Financial Services
Education-loan NBFC
- Interest rate
- ~11.00% – 13.50% p.a.
- Max loan
- Up to ₹75 L unsecured · higher with collateral
- Collateral
- Optional — accepts wider profile of universities & courses
- Margin money
- Nil for most study-abroad cases
- Sanction time
- 5 – 10 working days
- Moratorium
- Course period + 12 months
Best for: Non-STEM, management, health-sciences or Tier-2 universities.
Indicative rates as of July 2026. Final pricing depends on the co-applicant's CIBIL, income, university ranking and course. Global Star Group re-checks live rates on every enquiry.
Decision framework
How to choose the right lender.
Pick SBI when
- Total loan required is ₹40 L or higher and you have property to pledge
- You have 4+ weeks before your visa or joining deadline
- Rate saving over 10 years matters more than sanction speed
- The co-applicant is a government employee or has an SBI relationship
Pick HDFC Credila or Avanse when
- You need an unsecured sanction letter for your I-20 / CAS in under 10 days
- You do not have property to mortgage but co-applicant income is strong
- You are targeting a Tier-1 STEM masters where NBFCs pre-approve profiles
- You want a 12-month post-course moratorium instead of SBI's 6
A common mistake we see
Families apply to only one lender and accept the first sanction. Interest rates for the same profile can vary by 150 – 200 basis points across our panel of 30+ banks and NBFCs. We recommend running the same file through at least two lenders before signing.
Paperwork
What every lender asks for.
Student documents
- PAN, Aadhaar & passport
- Class 10, 12 and graduation marksheets
- Admission letter / conditional offer
- GRE / GMAT / IELTS / TOEFL scorecard
- Cost-of-study breakdown from the university
Co-applicant documents
- PAN & Aadhaar
- Last 3 months salary slips or 2 years ITR
- 6 – 12 months bank statement
- Property papers (only if collateral is offered)
- Existing loan schedule, if any
FAQ
Study-abroad loans, clarified.
Which is the best education loan for study abroad from India?+
There isn't one best lender. SBI Global Ed-Vantage is cheapest but slowest and needs tangible collateral. HDFC Credila and Avanse are faster and offer unsecured loans up to ~₹75 L, at higher rates. The right pick depends on loan size, collateral available and your sanction-letter deadline.
What is the interest rate for a study-abroad education loan in 2026?+
Public banks like SBI price these around 9.15% – 11.15% p.a. NBFCs like HDFC Credila and Avanse usually price between 10.5% and 13.5% p.a., depending on co-applicant income, university rank and course.
Do I need collateral for a study-abroad loan?+
SBI usually needs tangible collateral above ₹7.5 L. HDFC Credila and Avanse can sanction unsecured loans up to about ₹75 L for STEM courses at top universities, based on the co-applicant's income.
How long does an education loan sanction take?+
NBFCs typically issue an in-principle sanction in 5 – 7 working days. SBI's Global Ed-Vantage takes 15 – 25 working days because of physical branch verification of collateral.
Can I claim tax benefits on an education loan?+
Yes. Under Section 80E of the Income Tax Act, the interest paid on an education loan is fully deductible for up to 8 assessment years from the year you start repaying — for both Indian and overseas study.
Want us to run your file through all three?
Share your admit and co-applicant details — we'll come back with live sanction offers from SBI, HDFC Credila and Avanse, plus 2–3 more from our panel.