Student Loan in India

If you are looking for a Student Loan for yourself or your child, you’ve come to the right place. Varthana provides loans at attractive interest rates to students looking to pursue higher education in India.

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    What affects student loan interest rates?

    With a Varthana Student Loan, you can avail a loan amount of up to Rs. 5 lakh, as well as quick disbursements and easy repayment options for effective loan servicing. Let’s find out the factors that affect student loan interest rates in India:

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    Academic Record

    You can get a student loan from a bank or an NBFC based on your academic records. If your score is good and you are accepted to a college, you will be able to borrow money from a bank. Your loan request will be approved quickly based on your 10th or 12th grades and other academic achievements. You will also benefit from a lower student loan interest rate.

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    Reputation of College or University

    When you secure admission to one of the top colleges or educational institutes in India, the lender may reduce the interest rate on your student loan.

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    Course type

    You can get a low student loan interest rate if the course you choose has a lot of job opportunities. Students who pursue engineering, doctorate, or other courses benefit because they can meet the lender’s repayment capacity requirements. If you apply for student loan to pursue courses with fewer job opportunities, the student loan interest rate may be high.

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    Collateral

    To borrow a loan more than 7.5 lakh, you must provide collateral security against the loan amount. And the collateral can be your land, house, insurance policy, Fixed Deposit, or something else. Your student loan interest rate is determined by the value of your collateral. This rate will be low if you provide a house as collateral for your loan.

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    Income & credit history of co-borrowers

    A student loan is obtained jointly with parents as a co-borrower. In this case, parents must provide proof of income as well as other documents. If a co-borrower has a high income and a good credit history, it will help you get a low interest rate on the borrowed amount.

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    Economic Condition of the Country

    The Reserve Bank of India (RBI) has recently dropped the repo rate, so you should take advantage of this opportunity to cut your interest rate and meet your educational goals.

    Eligibility Process

    Typically we will check on the following criteria to approve the student loan:

    • The applicant should be an Indian citizen
    • The applicant should be of age 18-35 years
    • The applicant should have a good academic record
    • The applicant should have secured admission or seeking admission to a recognised University/institution
    • The courses eligible for student loan are generally provided by the lenders

    Expenses Covered In Education Loan

    Tuition fees

    Tuition fees

    Hostel: Food and accommodation expenses

    Hostel: Food and accommodation expenses

    Classroom: Books and uniforms expenses

    Classroom: Books and uniforms expenses

    Others: Laptops and training materials

    Others: Laptops and training materials

    Expenses covered for study tours etc

    Expenses covered for study tours etc

    Varthana’s Student Loan Process:

    Our student loan process is divided into 3 steps:

    1. Apply

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    First, you visit www.varthana.com, fill out the contact form and submit it. You can also call us at 080-68455777. Our customer service team will contact you within 4 hours of the business day (Mon-Fri, 9.30 a.m. to 6.30 p.m.) to gather additional information and will assign a dedicated relationship manager to solve your student loan needs.

    2. Get approval

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    A dedicated relationship manager will call or email you to set up an appointment to understand your needs and advise you on the necessary documents for a student loan in India. Upload the loan application document with the help of telecallers. After verification, your loan will be approved within 72 hours.

    3. Loan Disbursement

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    The student loan would be approved in principle after the necessary due diligence and after student loan eligibility calculation. The student loan for higher education will be disbursed to the institute while you pay flexible EMIs.

    Documents required for student loan

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    Documents we need from you

    • KYC documents
    • Proof of admission to the course (Offer letter/Bonafide letter from the institution)
    • Schedule of expenses (Fee Structure)

    Co-borrower (Parent/Spouse/Guardian) – General Documents

    • KYC Documents
    • Proof of current residence (Gas Bill, Rental Agreement or any KYC)
    • Income Documents

    Note: For retired Co-borrowers we need only their ID’s, residential proof, 6 months bank statement and pension order

    Co-borrower (Parent/Spouse/Guardian) – Income Proof Documents

    For Salaried:

    • 3 months salary slips / Salary Certificates.
    • Salary a/c statement for the last 3 months with credited salary banking.

    For Business:

    • Latest 1-year full ITR set (Computation of income + P/L Statement & Balance Sheet)
    • Savings and current a/c statement for last 6 months
    • Business proof
    • Special Programs for Business Individuals without ITR

    Why Varthana?

    Varthana is India’s fastest-growing education loan company.

    Varthana is India’s fastest-growing education loan company.

    We are helping students achieve their education goals.

    We are helping students achieve their education goals.

    We operate in 10 cities and are recognised as one of the top education loan companies in India.

    Expenses covered for study tours etc

    400+ partner institutions and growing

    400+ partner institutions and growing

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    Varthana has flexible EMI options and we provide doorstep service

    Full-fledged online process, quick and simple. Fast track approval

    Full-fledged online process, quick and simple. Fast track approval

    Frequently Asked Questions (FAQs)

    Yes, you can apply for a student loan for an MBA course by visiting www.varthana.com and by filling out an enquiry form or reaching us at 080-68455777. The courses eligible for student loan are Graduation and Post-graduation, Professional and Diploma/Degree courses from reputed institutions.

    You can reach out to us at 080-68455777. We offer simple and convenient loans with many customer-friendly features.

    In India, good-quality higher education can cost anywhere from Rs 40,000 to several lakhs per year. We offer you an unsecured student loan in India ranging from Rs 40,000 to 5 lakh.

    The whole student loan process may take 2-3 working days.

    Yes definitely good! Varthana’s student loan is designed to help students pay for higher education costs such as tuition fees, books, hostel fees, and living plus travel expenses. It makes you financially independent.

    The rate of interest is calculated using an array of factors such as loan amount requested, type of student loan, loan tenure chosen, the future cash inflow of the student/co-borrower, loan repayment history, and so on.

    Depending on the course, type of loan, eligibility criteria and creditworthiness, loan repayment history the maximum loan amount for a student loan can be decided and made available.

    The factors we consider while assessing a student loan application are

    • The institution and the course
    • Loan amount
    • Co-borrower status
    • Academic performance

    Student loan in India payment tenure depends on the loan amount availed, course duration, EMI amount etc.

    The student loan amount will be repaid to the lender through Easy Monthly Installments (EMIs) over the course of the student education loan’s term. The student loan can be paid back using the Electronic National Automated Clearing House (e-NACH) or Post-Dated Cheques (PDCs).