Education Loan in Chennai

Education plays a vital role in shaping an individual's future, and sometimes, financial constraints can hinder one's educational aspirations. However, with the availability of education loans, pursuing higher studies in Chennai has become more accessible than ever before.

In Chennai, students usually require an average education loan amount of INR 15 lakhs for studying within India and around INR 45 lakhs for studying abroad. Education loan interest rates in Chennai range from 8.5% to 13%, depending on the loan type and the lender.

For Studies in India

For Foreign Studies

For Studies in India

NOTE- To check the latest interest rate of all the banks click here

For Foreign studies

NOTE- To check the latest interest rate of all the banks click here

For Studies In India

NOTE- To check the latest interest rate of all the banks click here

For Foreign Studies

NOTE- To check the latest interest rate of all the banks click here

• Principal Amount: The principal amount refers to the initial loan amount disbursed by the lender to the borrower for educational purposes. It represents the specific sum of money that the borrower needs to repay, along with the accrued interest, upon completion of their education.
• Interest Rate: The interest rate is the percentage charged by the lender on the principal amount. It determines the cost of borrowing and directly impacts the monthly installments (EMIs) that the borrower will need to pay. The interest rate for education loans can vary based on factors such as the borrower's creditworthiness, the type of course or institution, and prevailing market rates.
• Moratorium Period: The moratorium period for an education loan is a specified duration during which the borrower is not required to make any loan repayments. The moratorium period generally includes the course duration and may extend from 6 months to a year after the course completion, depending on the lender's policies.
• Loan Margin: It represents the percentage of the total educational expenses that the borrower needs to finance themselves. It refers to the portion of the expenses that is not covered by the loan and must be borne by the borrower or their family. Loan margin ensures the borrower's commitment and responsibility towards their education and acts as a financial stake in their academic pursuits.
• Collateral Margin: If a borrower opts for a secured education loan that involves collateral, the collateral margin would represent the difference between the market value of the collateral provided by the borrower and the loan amount sanctioned by the lender. It serves as a buffer to protect the lender in case of a decline in the collateral's value, ensuring that the collateral remains sufficient to cover the loan amount.

• Property Ownership Proof: Documents establishing the ownership of the collateral property, such as sale deed, property registration documents, or possession certificate.
• Encumbrance Certificate: A document issued by the concerned authority certifying that the collateral property is free from any legal or financial liabilities.
• Property Title Deed: The legal document proving the ownership rights of the collateral property.
• Property Valuation Report: An official report by an approved valuer estimating the current market value of the collateral property.
• NOC from Housing Society/Association: A No Objection Certificate (NOC) from the housing society or association stating their consent for the collateral property to be used as security for the loan.
• Land Records: Documents proving the ownership of the land on which the collateral property is built, such as land registration documents, survey maps, or revenue records.
• Possession Certificate: A certificate issued by the relevant authority certifying the possession of the collateral property.
• Allotment Letter: An allotment letter from a government authority such as CMDA must be presented for Chennai.

• Residential Property: Residential properties such as apartments, houses, or plots can be used as collateral. The property should have clear titles and be free from any legal disputes.
• Commercial Property: Commercial properties can also serve as collateral for education loans. Similar to residential properties, clear ownership, and legal compliance are essential.
  Fixed Deposits: Fixed deposits (FDs) with banks can be pledged as collateral. The loan amount is typically a certain percentage or complete value of the FD.
• Life Insurance Policies: The surrender value of life insurance can be used as collateral. The loan amount is usually a percentage of the policy value.
• Government Bonds: Government bonds, such as National Savings Bonds or other government-backed securities, can serve as collateral for education loans.
• Land or Agricultural Property: Land or agricultural property can be used as collateral for education loans, provided they meet the lender's requirements and are free from any legal encumbrances.

• Request a callback from WeMakeScholars to initiate the process.
• Receive a call from a WeMakeScholars financial officer who will evaluate your eligibility for an education loan by asking essential questions.
• Get connected with suitable lenders and receive a document upload link from the financial officer.
• Utilize the provided link to upload all the necessary documents.
• The assigned lender will proceed with the application process, but feel free to reach out to your financial officer for any queries or concerns.
• Expect to receive your sanction letter within the agreed timeline, as communicated by your financial officer.

• Government-funded platform: WeMakeScholars is a platform funded by the government, dedicated to providing funding solutions to students across India for their higher education, both within the country and abroad.
• Partnership with banks and NBFCs: WeMakeScholars has partnered with more than 14 public and private banks, as well as NBFCs in India, ensuring a wide range of options for education loan applicants.
• Faster processing time: Our education loan processing time is faster compared to traditional banks. Private bank or NBFC loans can be processed in just 6-7 days, while public bank loans with collateral take around 15-20 days.
• Competitive interest rates: As the largest education loan partner of banks, we offer an interest rate discount of 0.5% to 2% to students who process their education loans through WeMakeScholars.
• Expert advice: Our financial officers provide expert guidance and help students select the best lenders based on their eligibility and bank rules. They thoroughly analyze the loan profile from all angles to ensure the best options are considered.
• Digital application procedure: Students can conveniently apply for a student loan online from anywhere and at any time. Our digital platform reduces the need for multiple visits to banks to submit documents.
• Negotiation support: We assist students in negotiating loan terms and interest rates with the banks, simplifying the loan processing experience.
• End-to-end support: Our financial officers provide support throughout the loan sanctioning process, addressing any post-sanction concerns and ensuring a smooth distribution of funds.
• Tax advantages: We inform students about income tax-saving programs such as Section 80E and 80C, as well as tax collected at source (TCS), helping them save money and avail tax benefits on their student loans.
• Cost-free services: Thanks to funding from the IT Ministry as part of the Digital India Campaign, all our services for approving loans are provided free of charge to students.
• Cashback offer: Students may be eligible to receive up to Rs 3,000 as cashback when we disburse the funds to them, providing an additional benefit.

• IIT Madras, Chennai
• CEG Anna University, Chennai
• Loyola College, Chennai
• Sri Ramachandra Institute of Higher Education and Research, Chennai
• Presidency College, Chennai
• SRM University, Chennai