Aspiring study abroad students must plan and manage their finances beforehand so they can gain a clear understanding of what their finances will be like. While there may be university scholarships available at the time of application, the competitive nature of financial aid often makes it difficult to get a decent amount. Another option that is widely available for Indian students is to get access to a government education loan for study abroad purposes! An education loan for overseas studies by the Indian government is available in several types and is easily accessible.
This blog will make you aware of all the eligibility requirements and the complete application process to apply for a foreign education loan from the government. We're your one-stop guide to a hassle-free financial journey while studying abroad! For personalised assistance, tips, and expert guidance on your study abroad finances, consider exploring Yocket Premium – your trusted companion for a successful academic journey!
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Table of Contents |
Best Government Education Loans for Study Abroad
Let us straightaway move towards discovering what all education loans India offers to students willing to study abroad. Given below is the list of the best government student loans for studying abroad:
- Gujarat Government Education Loan for Studying Abroad
- Vidya Lakshmi Education Loan
- Education Loan Scheme of the NBCFDC
- Padho Pardesh Scheme
- Dr Ambedkar Central Sector Scheme
Let us now talk briefly about the above mentioned government education loan for study abroad, briefly:
1. Gujarat Government Education Loan for Studying Abroad
Quite a prominent education loan for abroad studies by the Indian government, the Gujarat Government Education Loan offers 100% subsidy to economically weaker students from Gujarat who wish to pursue higher studies in an abroad setting. Through this government student loan for study abroad, students can get up to Rs. 15 lakh as a loan to start their higher education abroad.
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Type |
State Government Loan to Study Abroad |
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Eligibility Criteria |
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Amount Offered as Loan |
Up to Rs. 15 Lakhs |
2. Vidya Lakshmi Education Loan
A popular government loan for studying abroad, the Vidya Lakshmi Education Loan is offered for UG, PG and doctoral programs. The government education loan for abroad offers a loan amount of up to Rs. 30 lakh.
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Type |
Government Loan for Study Abroad |
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Eligibility Criteria |
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Amount Offered as Loan |
Up to Rs.30 Lakhs |
3. Education Loan Scheme of NBCFDC
This particular government education loan for study abroad offers financial aid to applicants from backward classes, categorised as below the poverty line. The education loan scheme of the National Backward Classes Finance and Development Corporation (NBCFDC) is valid for all types of higher education programs.
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Type |
Government Loan for Study Abroad through a Government Organization |
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Eligibility Criteria |
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Amount Offered as Loan |
Up to Rs.20 Lakhs |
4. Padho Pardesh Scheme
The Padho Pardesh education loan for abroad studies by the Indian government is offered to students willing to pursue postgraduate studies abroad. The scheme provides students in the minority category with a subsidy of 100%.
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Type |
Government Education Loan for Abroad through Canara Bank |
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Eligibility Criteria |
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Amount Offered as Loan |
Up to Rs. 20 Lakhs |
5. Dr Ambedkar Central Sector Scheme
Under this abroad education loan by the Indian government, students belonging to the minority sections can get a subsidy of up to 100%. The Dr. Ambedkar Central Scheme is only applicable for PG and doctoral programs and can only be availed of once for a single program (either a PG program or a PhD program).
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Type |
Central Government Loan for Abroad Study |
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Eligibility Criteria |
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Amount Offered as Loan |
Not specified |
Suggested: All about financing your education abroad
Documents Required to Apply for Government Loans for Study Abroad
Documentation is of the utmost importance when applying for a government student loan to study abroad. In order to apply for a foreign education loan from the government, it is necessary to submit some required documents that have been listed below:
- Application form for the loan
- Income proof for the family (income tax returns, property proof, etc)
- Standardised test scores
- Academic transcripts
- Aadhar card
- Birth certificate
- Bank statements
- PAN Card
- Residential proof
- Acceptance letter from university abroad
- Self declaration
Application Procedure to Apply for Government Education Loan for Study Abroad
- Step 1: Let us now discuss the application process to apply for a government student loan for study abroad purposes:
- Step 2: Choose a government loan for studying abroad which is most suitable for you
- Step 3: Check all the information, including moratorium period, repayment tenure, education loan for abroad studies by Indian goverment interest rate, etc
- Step 4: Visit the official website for the education loan you’ve chosen
- Step 5: Fill out the application form
- Step 6: Scan and upload the required documents
- Step 7: Wait for the decision
From the Desk of Yocket
In this blog, we've delved into the various aspects of securing an education loan for studying abroad offered by the Indian government. The process involves meeting specific eligibility criteria and obtaining an offer or acceptance letter from the university of your choice. With a range of government-backed education loans providing financial assistance up to INR 30 lakh, it's an essential resource for aspiring international students. Moreover, certain categories of students can benefit from subsidised interest rates, making the entire study abroad experience more accessible and hassle-free.
Considering the complexities involved in securing education loans, Yocket offers the Loan Assistance program to provide valuable insights and guidance. We understand the intricacies of the application process and can assist you in making informed decisions regarding your financial needs. Because at Yocket, we go beyond information—we provide you with practical solutions to ensure a seamless academic journey.
