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GlossaryFinancial

What is Education Loan for Abroad? Meaning, Full Form & Guide (2026)

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Quick Definition

An education loan for studying abroad covers tuition, living costs, airfare, and related expenses. In India, major lenders include SBI, HDFC Credila, Axis Bank, Avanse, and Prodigy Finance — with amounts up to ₹1.5 crore for collateral-based loans.

Education Loan for Abroad — Full Explanation

Secured loans (with collateral): lower interest (8–11%), higher amounts. Unsecured loans: available for top-ranked universities at higher rates (11–14%). The loan sanction letter is accepted as proof of funds for most student visa applications.

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UK
Canada
Australia
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Helpful Resources

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Written & reviewed by

Arjun SinghAcademic Counsellor — Test Prep & Complex Profiles
600+ students

Frequently Asked Questions

Yes — most embassies accept a sanctioned education loan letter as proof of funds.
Collateral-based loans up to ₹1.5 crore. Collateral-free loans typically max at ₹40–75 lakh.

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