Established in 1994, Axis Bank has emerged as the third-largest commercial private bank in India. Among the choices for obtaining an education loan from a private bank for international studies, Axis Bank is a preferred option due to its streamlined, efficient, and straightforward process. The bank offers two types of education loans for studying abroad: Secured Overseas Education Loans and Unsecured Overseas Education Loans. Please note that there is a pre-approved Axis Bank education loan for abroad university list.
Axis Bank classifies foreign educational institutions into three categories
- Prime A: This category covers master’s level programs from top universities, offering students an unsecured education loan of up to INR 40 lakhs.
- Prime B: Encompassing master’s level programs from other leading universities and international colleges, this category allows students to avail up to INR 25 lakhs of unsecured education loan.
- Non-Prime: This category includes all other courses and universities not covered in the above two categories, offering an education loan without collateral for an amount of INR 7.5 lakhs.
The Axis Bank education loans are differentiated based on factors such as the quantum of finance, margin amount, interest rates, applicable charges, and more. Key factors include:
- Axis Bank provides pre-visa disbursement of an education loan on the university’s demand for countries like Australia, the US, the UK, New Zealand, Germany, and Canada.
- Tuition fees are disbursed in installments directly into the university account.
- Living expenses for on-campus accommodation are disbursed to the university account, while for off-campus accommodation, expenses are transferred to the landlord’s account based on a tenancy agreement.
Eligibility Criteria of Axis Bank Education Loan
- Academics should not be less than 60%.
- Applicants should have fewer backlogs with no academic gap.
- If there’s an academic gap, a medical certificate is required.
- CIBIL score of the parent or co-applicant should be above 700.
Expenses Covered by Axis Bank Education Loan
- Tuition fees, examination fees, library, and lab fees.
- On-campus and off-campus accommodation expenses, including mess expenses.
- Air ticket fare.
- Student health insurance.
- Expenses for books, equipment, uniform, and laptop.
- Any other expenses required to complete the course, such as study tours and project work.
Applying for Axis Bank Education Loan
To initiate the application process for an Axis Bank Education Loan for studies abroad, follow these steps:
- Select your desired course and university from Axis Bank’s approved list.
- Review the eligibility criteria to ensure you meet the requirements.
- Decide whether to opt for an unsecured or secured loan based on your preferences.
- Gather the necessary documents as specified by Axis Bank.
- Choose between visiting a physical branch or applying online through the Axis Bank website.
- Complete and submit the application form along with the required documents.
- Await the thorough review and approval process.
- Upon approval, the sanctioned loan amount will be disbursed.
It is crucial to comprehend the repayment terms and take advantage of any additional benefits offered by Axis Bank. Timely submission of documents is essential for a smooth and efficient application process.
Axis Bank not only provides unsecured education loans but also offers secured loans for individuals willing to pledge collateral. When opting for a secured education loan with Axis Bank, the co-applicant’s profile becomes pivotal in determining the loan features. The type of collateral also influences the loan terms. For instance, if a residential property is pledged as collateral and the co-applicant is salaried, the borrower can access up to 85% of the property value. In the case of a residential property with a self-employed co-applicant, the loan amount can go up to 75% of the property value. Pledging a commercial property allows for a loan of up to 50% of the property value. The interest rates for secured loans range between 9.99% and 10.50%.
Documents required for Axis Bank Education Loan
Documents required during the initial phase of the loan process
For salaried individuals
- KYC documents
- Bank Statement / Pass Book of last 6 months
- Optional – Guarantor Form
- Copy of admission letter of the Institute along with fees schedule
- Mark sheets / passing certificates of S.S.C. (Secondary School Certificate), H.S.C (Higher Secondary School Certificate), and Degree courses.
For all other Individuals
- KYC documents
- Bank Statement / Pass Book of last 6 months
- Optional – Guarantor Form
- Copy of admission letter of the Institute along with fees schedule
- Mark sheets / passing certificates of S.S.C. (Secondary School Certificate), H.S.C (Higher Secondary School Certificate), and Degree courses.
Documents required for the first disbursement
- Demand letter from college or university
- Loan agreement signed by applicant and co-applicants
- Sanction letter signed by applicant and co-applicants
- Disbursement request form signed by applicant and co-applicants
- Receipts of margin money paid to the college/university along with bank statement reflecting the transaction
- Documents for collateral security (if applicable)
- Form A2 signed by applicant or co-applicants in case of overseas institute
Documents required for subsequent disbursement
- Demand letter from college or university
- Disbursement request form signed by applicant and co-applicants
- Receipts of margin money paid to the college/university along with bank statement reflecting the transaction
- Exam progress report, marksheet, bonafide certificate (anyone)
- Form A2 signed by applicant or co-applicants in case of overseas institute
A notable advantage of secured education loans from Axis Bank is the flexibility it offers, as it is not restricted by the course or university, providing borrowers with more options regardless of their institution’s inclusion in Axis Bank’s approved university list. In summary, Axis Bank’s education loan for studying abroad offers a comprehensive solution with varying terms based on the course, institution, and financial structure, making it a popular choice among students pursuing international education.
