Education Loans
Education Loans
We understand students and parents financial needs, our education loan partner HDFC Credila, an HDFC Ltd. Company, is India's First Dedicated Education Loan Company with specialized focus, in-depth understanding of the requirements of students who wish to pursue higher education
Benefits for Parents
Tax Benefits
Education Loan from HDFC Credila provides income tax benefits under Section 80E of Income Tax Act of India
Trustworthy Company
HDFC Credila is a subsidiary of HDFC Ltd., one of the most trusted names in financial services industry
Responsible Option
Education Loan makes students financially responsible. Parents can keep family savings for retirement & other emergencies
Loan up to 100% of Educational Expenses
No margin money is required. You don't have to compromise on quality of education of your child because of higher fees.
Convenience
Education Loan at your door-step, no visiting bank branches multiple times. Credila's person can visit you at your convenience.
Flexibility
Flexibility on collateral security. Longer & flexible repayment options available.
Benefits for Students
Be Independent
Help your parents by funding your education with Education Loan
Approval Before Admission
Get Education Loan approval letter before admission from HDFC Credila so you do not have to Downsize Your Dreams!
Sources of Funds for USA I-20 & Visa
HDFC Credila's Education Loan approval letter demonstrates assured sources of funds for getting I-20 from USA Universities or Visa for many countries
Funding Total Cost of Education
HDFC Credila funds total cost of your education, including living expenses & all other expenses reducing your financial worries
Deal With An Expert
HDFC Credila is dedicated in providing only education loans. We understand your world & your unique and complex requirements.
Eligibility
Borrower must be an Indian citizen.
Co-applicants(s) must be an Indian citizen.
Co-borrower(s) must have a bank account in any bank in India with cheque writing facilities.
Confirmed admission in the colleges before disbursement.
Borrower and Co-applicant(s) to meet HDFC Credila’s credit and underwriting norms as applicable from time to time.
Co-applicant Requirements
It is mandatory to bring in an earning co-applicant(s) based in India to support the Education Loan application.
Co-applicant (s) may be any of the following relatives, viz Father / Mother / Brother / Sister (married) /Spouse, where such co-applicant’s income would be considered in determining the loan eligibility per HDFC Credila’s credit and underwriting norms;
Co-applicant’s liability is co extensive with the Student;
Co-applicant(s) to provide documentary proof to establish their relationship with the student, to the satisfaction of HDFC Credila;
In case the collateral to be provided is not provided by one of the above relatives, then the collateral could be provided by one of the following relatives provided they are brought into the arrangement as Co-applicant(s) viz: Father-in-law; Mother-in-law; Sister-in-law; Brother-in-law; Maternal or Paternal Uncle or Aunt, Grandparents & First Cousins.
Up to 100% of other expenses including living and hostel expenses, travelling expenses, examination fees, library/laboratory fees; purchase of books / equipment’s/instruments/uniforms; passage money for studies into India; purchase of computers / laptops considered necessary for completion of the course as decided by HDFC Credila. For Air Travel fare restricted to one economy class return ticket between India and country of study. the USA.
What Costs Are Covered?
All of the tuition fees as determined by the college/University
Up to 100% of other expenses including living and hostel expenses, travelling expenses, examination fees, library/laboratory fees; purchase of books / equipment’s/instruments/uniforms; passage money for studies into India; purchase of computers / laptops considered necessary for completion of the course as decided by HDFC Credila. Travel fare restricted to one economy class return ticket between India and the USA.
Loan Amount
Minimum Loan Amount Indian Rupees 1,00,000
Lifetime Maximum Loan Amount: HDFC Credila does not have an upper limit on the loan. We processes loans exceeding Indian Rupees 25,00,000 also, subject to the case meeting HDFC Credila’s credit and underwriting norms as applicable from time to time.
Rate Of Interest
Rate of interest will be floating rate of interest linked to HDFC Credila’s Benchmark Lending Rate (CBLR)
The interest will be calculated using Simple Interest Rate
Floating rate of interest to be (HDFC Credila’s CBLR + Spread)% per annum
HDFC Credila’s Current CBLR is 12.10% per annum (subject to change from time to time)
A Spread is determined on the risk profile of the case which vary on account of a number of factors such as student’s academic background, employability of the selected course from a selected college and country of study, financial strength of the co-borrower, loan repayment capability, credit history, collateral offered or not, serviceability of the loan through HDFC Credila’s branch network, cost/s associated with underwriting and servicing the loan, etc.
Loan Disbursement
The loan amount will be disbursed in Indian Rupees
HDFC Credila will disburse the tuition fee to the educational institute either directly or through an authorized servicer
The tuition fee will be disbursed in installment as per the requirement of the specific educational institute
The loan amount related to other expenses will be disbursed in installments spread over the duration of the study as per HDFC Credila's underwriting norms as applicable from time to time
Loan Re-payment Terms
Loan interest re-payment will start immediately after disbursement of the first installment of the loan
Tenure of an education loan consists of Duration of Study + Grace Period after the Study + Repayment Period
HDFC Credila offers maximum tenure of 12 years
The loan tenure is however, subject to the factors such as the repayment capacity of the customer/s, future prospects of the course, age of the co-applicant, etc. and further subject to HDFC Credila’s credit and underwriting norms as applicable from time to time. However, HDFC Credila would endeavour to determine the repayment period to suit your convenience.
Monthly repayment amount will be deducted from the bank account of the borrower/co-borrower using Electronic Clearing System (ECS)
Collateral
The following types of collateral are accepted
Residential Flat
Residential House
Non-Agricultural Land
A Fixed Deposit, assigned in favour of HDFC Credila
