Educational loans

Axis Bank Limited

Bank Type : Private Bank
No. Of Branches : 2402

About Bank

Axis Bank is the third largest private sector bank in India. Axis Bank offers the entire spectrum of financial services to customer segments covering Large and Mid-Corp-orates, MSME, Agriculture and Retail Businesses.

The Bank has a large footprint of 2402 domestic branches (including extension counters) and 12,922 ATMs spread across the country as on 31st March 2014. The overseas operations of the Bank are spread over its seven international offices with branches at Singapore, Hong Kong, DIFC (Dubai International Financial Centre), Colombo and Shanghai and representative offices at Dubai and Abu Dhabi. During the year, the Bank has upgraded its representative office in Shanghai, China to a branch to become the first Indian private sector bank to set up a branch in China. During the year, the Bank’s overseas subsidiary namely Axis Bank UK Ltd. commenced banking operations.

Axis Bank is one of the first new generation private sector banks to have begun operations in 1994. The Bank was promoted in 1993, jointly by Specified Undertaking of Unit Trust of India (SUUTI) (then known as Unit Trust of India),Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC), National Insurance Company Ltd., The New India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance Company Ltd. The shareholding of Unit Trust of India was subsequently transferred to SUUTI, an entity established in 2003.

With a balance sheet size of Rs.3,83,245 crores as on 31st March 2014, Axis Bank has achieved consistent growth and stable asset quality with a 5 year CAGR (2010-14) of 21% in Total Assets, 19% in Total Deposits, 23% in Total Advances and 28% in Net Profit.

Loan Procedures

Axis Bank Education Loan:

Higher education within your reach:

Axis Bank's Education Loan aims to provide the much needed financial support to deserving students for pursuing higher professional or technical education in India and abroad. The education loan would be provided to those students who have obtained admission to career-oriented courses e.g. medicine, engineering, management etc., either at the graduate or post-graduate level.

We believe, given the right tools and aid every child has the potential to be successful. Our education loans aim to be the very tool that will enable them to reach their goals in life. No more would a deserving student have to give away their pursuit of dreams due to lack of money. Our student loans will ensure that worthy students are empowered to take their destiny in to their own hands. Our endeavour is to help the future of our nation in education and prosperity.

Quantum of Loan:

The quantum of finance under the scheme is capped at Rs 10.00 lacs for studies in India and Rs 20.00 lacs for studies abroad, which would cover tuition fees, hostel charges (if any), cost of books, etc. The minimum amount of education loan would be Rs 50,000.


No margin for education loans upto Rs 4 lacs. For loans above Rs 4 lacs, 5% margin for studies within India and 15% for higher studies overseas.

Timeline for application decisioning:

Bank will convey its decision within 15 working days from the date of receipt of the application provided the application is complete in all respects. The computation of 15 days shall starts from the day on which all documents required for a proper appraisal of the application are provided by the Customer to bank.

Role of the Guardian:

The parent(s) or guardian of the student would be treated as a co-applicant of the student loan. His or her role would be, necessarily, like the primary debtor.


Third party guarantee and/or collateral security may be asked for in appropriate cases.

Additional Security:

Assignment of LIC policy in favour of the Bank for the sum assured being at least 100% of the education loan amount. The policy is kept alive during the currency of the education loan. To ensure this, the annual premium may be included in the computation of the loan requirement, along with the tuition fees and other recurring charges. Further, the future income of the student needs to be assigned in favour of the Bank for meeting the installment obligations.

Interest Rates & Charges of Education Loan:

Education is the inevitable right of every child and we at Axis bank ensure that it is not denied due to unaffordable education loan interest rates. Our education loans are designed in a manner that is highly affordable in terms of interest and the associated servicing charges. This will ensure that you do not have to stress too much for your child’s higher education and are able to provide for all their educational needs on time.

Education Loan:

Upto Rs. 4 lacs                                                                         


Base rate + 7.00%

Loans greater thanRs. 4 lacs and upto Rs. 7.5 lac            

Base rate + 8.00%

Loans greater than 7.5 lacs              


Base rate + 6.00%

Education Loan for Girl Child:

Upto Rs. 4 lacs                                                                            

Base rate + 6.50%

Loans greater than Rs. 4 lacs and upto Rs. 7.5 lacs            

Base rate + 7.50%

Loans greater than 7.5 lacs                                                      

Base rate + 5.50%


The student loan will be disbursed in full or in suitable installments taking into account the requirement of funds and/or fee schedule as assessed by the Bank directly to the educational institution or vendor of books or equipment or instruments

Central Government Interest Subsidy Scheme for Economically Weaker Section for Education Loans:

Government of India, Ministry of HRD vide letter no. F. 11-4/2010  U.5(i) dated 25th May 2010 have formulated a scheme to provide full interest subsidy during the period of moratorium i.e. Course Period plus one year or six months after getting job, whichever is earlier. This scheme is available for loans taken by students belonging to economically weaker sections (EWS) (where annual parental income from all sources is up to & inclusive of `4.5 lakhs) under the IBA approved Model Educational Loan Scheme, for pursuing any of the approved courses of studies in technical and professional streams, from recognized institutions in India.

Salient Features of the Scheme are :

The Scheme is applicable to all students satisfying the eligibility criteria of the IBA approved Model Educational Loan Scheme, subject to complying with the conditions of the Interest Subsidy Scheme. The Scheme is applicable only for studies in India and is available to Educational Loans up to & inclusive of `10 lakhs.

The interest payable by the student belonging to EWS and satisfying the eligibility criteria of the scheme, during the period of moratorium on the amount of disbursements made on or after April 1, 2009 will be borne by the Government of India.

The interest subsidy under the scheme shall be available to the eligible students only once - For under graduate course or the post graduate degree /diploma course in India. Integrated courses (combined graduate plus post graduate) would also be considered under the scheme.

Interest subsidy under this scheme shall not be available to the students who discontinue the course midstream, or who are expelled from the Institutions on disciplinary or academic grounds. Interest subsidy is permitted, in case of discontinuation due to medical grounds for which necessary documentation to the satisfaction of the Head of educational institution is submitted.

State Government has designated appropriate authority or authorities who are competent to issue Income certificate, based on economic index and not social background, for the purpose of this scheme

Interest rates charged on the loan shall be as per interest rates applicable under our Education Loan Scheme

List of accredited universities/institutions and recognized professional courses which are administered by the Ministry of Tourism and are eligible for Interest Subsidy Scheme can be downloaded from documents below

List of Technical / Professional courses for which the scheme would be applicable shall be publicized from time to time by UGC and AICTE and the same would be immediately displayed at their websites, which may be accessed for verification purposes.

Following documents need to be submitted at the time of sanction of loan :

Income Certificate issued by appropriate authority/authorities designated by respective State Govt.

Bonafide Student Certificate

If the student is qualifying for the subsidy scheme, the Interest Subsidy Agreement, Letter of undertaking cum Declaration needs to be signed by the borrowers

Education loan Application Form,Professional Courses Which are Administered by the Ministry of Tourism  Can Be Downloaded From Documents Below.


Axis Bank Limited, Corporate Office, Bombay Dyeing Mills Compound, Pandurang Budhkar Marg, Worli, Mumbai - 400 025

022-2425 2525

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