Incred Education Loan

Incred is a Non-Banking Financial Institution (NBFC) in India that provides student loans of amount up to 60 lacs for both, to study in India and abroad, at interest rates starting from 12% per annum.

This video provides a complete guide to the Incred Loan for studying abroad, encompassing details on schemes, loan amounts, interest rates, and processing fees. Where, our co-founder Damini Mahajan explains everything you need to know about Incred Education loans.

• Incred Education Loan Schemes for US 
  • US Masters 1
  • US Masters 2 
  • US Masters 3
  • Open Scheme
• Incred Education Loan Schemes for Canada
• • Canada Masters 1 
  • Canada Masters 2 
  • Canada Masters 3 
  • Open Scheme 
• Incred Education Loan for Abroad 
• Incred Education Loan for India

Note:

1. The Open scheme refers to situations where if a student's profile doesn't match any of the categories mentioned earlier, the profile remains undecided, and the sales team makes the determination regarding the terms.

2. The qualities of the profile are represented by 1, 2, and 3, signifying that terms such as interest rate, loan amount, and processing fee are most favorable for category 1, followed by categories 2 and 3.

3. In order to determine whether a profile belongs to categories 1, 2, or 3, Incred employs four criteria: academic performance from 10th grade onward, work experience, university ranking, and the nature of the course (for instance, STEM courses receive a higher score than non-STEM courses)

4. The co-applicant's profile is not taken into consideration in this context.

* On going through with WeMakeScholars 

* On going through with WeMakeScholars 

NOTE: Students can choose from over 600+ courses in 25+ countries to take education loans from Incred as per the above-mentioned loan parameters.

According to Incred Education Loan guidelines:

The applicant:

• Should be at least 18 years of age
• Should be a citizen of India
• Should have received admit into a recognized university abroad
• Should have qualified the relevant tests like GRE/ GMAT/ TOEFL/ IELTS etc

The co-applicant:

• Should be a close blood relative of the applicant- parents or siblings are most preferred
• Should be in active service and must be filing Income Tax Returns for the past 2- 3 years
• Should have a good CIBIL score

Acceptable Courses 

• In a manner similar to other lenders in India, Incred also exclusively extends unsecured loan options for postgraduate or master's level programs, including PG Diplomas. 
• For individuals pursuing undergraduate courses, primarily secured education loans are feasible. 
• Undergraduate students possessing a strong co-applicant income profile might qualify for unsecured loans, with direct EMI payments during the moratorium period.
• Incred provides approval for STEM (Science, Technology, Engineering, and Mathematics) and MBA programs. 
• Individuals interested in Arts and Humanities should opt for highly regarded institutes in that field. Furthermore, having relevant work experience greatly enhances the likelihood of loan approval. 

Acceptable Countries 

• Incred also grants loans for popular study-abroad destinations like the US, UK, Canada, and Germany.
• Other countries like Singapore, Netherlands, and Sweden might be considered on a case-by-case basis, depending on the institute's ranking.
• However, there is a clear refusal for countries like Ukraine, Philippines, Russia, and China, which are common choices for MBBS studies.

The processing fees charged by Incred to grant an education loan ranges from 0.75%* to 1% of the sanctioned loan amount. 

However, WeMakeScholars does not charge any fees from students for processing their education loans, as we are funded and supported by the IT Ministry, Government of India under the Digital India Campaign.

To start your loan process with WeMakeScholars, request a callback or fill out the common application form.

* When you submit your application through WeMakeScholars, the processing fee can range from 0.75% to 0.8%, tailored to each specific situation.

Students have to upload their documents on the WeMakeScholars documents portal using the documents uploading link provided by their financial officer, or they can submit their documents, at their nearest Incred branch, here is a brief document checklist:

Application form 

Filled loan application form for Incred  education loan attached with 2 passport-size photographs (hardcopy of online application form is also acceptable for submitting in the bank)

Basic documents for Borrower and their co-applicant and/or guarantor

• Identification proof PAN Card or  passport of the student (if going to abroad)

• Address Proof  – Voter ID Card/ Student’s passport/ Telephone Bill/ Electricity Bill/ Ration card/ Aadhar card/ Bank account statement. (If permanent and current address is different then 2 different proofs will be required) )

• For salaried co-applicant last 6 months bank account statements showing the salary getting credited.  If the co-applicant is a self-employed then last 1 years business transaction

• Statement of personal asset & liability (approved by the branch officials)

  Students must self-attest all the documents

Academic documents of the borrower

• Academic mark sheets of class 10th,12th, and degree passing certificates
• Entrance exam scorecard (Eg. TOEFL, GRE, IELTS or CAT, etc whichever is applicable)
• Admission proof for the course (mentioning the total duration of the course)
• Fee structure as given by the college or university

Section 4: Co-applicant Income documents

For salaried co-applicant

• Employers ID card
• Last 3 month's salary slip
• Form 16 details of the last 2 years
• ITR of previous 2 years

For self-employed co-applicant

• Balance sheet of last 3 years
• Income Tax Return of last 3 years
• Address proof of business

Other Documents

• A notarized affidavit from the borrower and co-applicant’s side in a designated format that will be provided by your assigned financial officer at WeMakeScholars
• A copy of the declaration from the co-applicant's side mentioning that all other expenses, apart from the loan amount will be taken care off by them.

Additional documents (if applicable)

• Previous loan account statements if active in the last 1 year
• Receipts of any payments done previously
• Break certificate of the students if they had a gap or failure in studies on stamp paper Rs. 100, as per the format given by WeMakeScholars Financial officer

Section 7: Collateral documents (Optional)

Collateral documents requirement depends on the state in which the student resides. Ask for your financial officer for the collateral documents checklist also, while taking the other documents checklist specially customized as per your education loan profile

For Incred, the fees for student loan insurance range from 1% to 2% of the loan amount. We advise students to purchase education loan insurance so that the insurance company, not the borrower's parents or co-borrower, would be responsible for repaying the debt in the event of any unforeseen circumstance, including the applicant's death.

It makes sense to protect your dependents in this way. When completing your loan with WeMakeScholars, ask your financial officer for further details regarding loan insurance.

Incred offers need-based education loans of value up to 100% requirement of the student, therefore it does not require students to arrange money to bear the loan margin. However, Incred requires students to show proof of funds for the remaining loan amount.

For example, your loan requirement is Rs 70 lacs but you are only eligible to get a loan of Rs 60 lacs from Incred, so in order to get the loan you need to show proof of funds for the rest of Rs 10 lacs

Request a callback from your financial officer, to know in detail about the concept of loan margin.

To apply for an education loan from Incred through WeMakeScholars, follow the below steps:

Step 1: Speak to your financial officer by requesting a callback or filling up the loan application form

Step 2: Provide your loan profile details, as asked over the call

Step 3: Upload your documents on the WeMakeScholars documents portal, using the documents uploading link. As per the documents checklist given by your financial officer

Step 4: Your financial officer will look into the process and get your loan sanctioned within 1 week

Step 5: Collect your loan sanction letter from the bank

If you will visit the banks directly to get your loan sanctioned, your loan processing will not be as simple as told above, because, then you will have to face the following issues during the process:

• Multiple visits to the bank
• Delay in the processing
• Incomplete information about loan schemes
• Improper customer services
• Post-sanction disbursement issues
• No particular list of required documents
• No negotiation support
• Lots and lots of documentation

That is why we offer our premium student loan sanctioning services to students so that they can skip the hassle and focus more on their primary goal - ‘studies’. When processing education loans through WeMakeScholars, students can make use of the following benefits:

• Minimal processing time - If processed through a public bank, your education loan is sanctioned within 15-20 days. If processed through a private bank or an NBFC, your loan will be sanctioned within a week of completing your paperwork.
• Expert advice - Our financial officers give you full guidance to compare and select from the options of education loan lenders in accordance with your eligibility.
• Consistent availability - We are easily accessible for updates and help you at any stage of the loan application procedure from 9 AM to 9 PM on all working days.
• Support for negotiations - If necessary, our financial officers will negotiate with the lender's team to modify the bank's policies in order to sanction your education loan.
• Digital application process - We enable you to apply for and receive approval for your education loan through an online process.
• Tax benefits - In order for you to save the most money possible on taxes, we advise you about tax benefit programs like 80E, 80C, and tax collected at source (TCS).
• Cashback opportunity - At the time of your distribution, you have the opportunity to get up to Rs 3,000 as cashback from us.

To enjoy the above benefits start your loan process with WeMakeScholars today, by requesting a callback or filling up the common application form.

Education loan transfer means students can transfer their existing education loan from their current lender to Incred. It helps students to enjoy the following benefits:

• Wider coverage of loan scheme
• Easy repayment policies
• Student-friendly bank terms and conditions
• Faster bank processing

To transfer your education loan to Incred, follow the below-given steps:

Step 1: Ask for the due outstanding amount proof, from your present lender

Step 2: Talk to your financial officer at WeMakeScholars, mentioning that you need to get your education loan transferred

Step 3: Submit your documents to the Incred officer as per the documents checklist given by your financial officer

You will be intimidated by your loan transfer once your application is approved.

Incred has its own education loan EMI calculator which is available on its website, but it is not very detailed and provides only the EMI amount that has to be paid by the loan borrower. So we recommend you to use the WeMakeScholars education loan EMI Calculator, as it offers the following benefits:

• Pin-point accuracy - WeMakeScholars education loan EMI calculator is designed especially considering even the minor factors that alter the EMI calculation
• Detailed analysis - The calculator also gives you in-depth information about your repayment schedule along with the outstanding loan amount after each EMI repayment.
• Strategic advantage - Students and their parents can decide their repayment parameters after getting an idea of their EMI amount so that they can repay their loan without it becoming a burden.
• Free of Cost - WeMakeScholars education loan EMI calculator is FREE of cost to all users, just like other premium education loan sanctioning facilities.

The education loan repayment period in Incred can last up to 10 years after the moratorium period. In the repayment duration, students will have to pay a fixed EMI to repay their loan in the stipulated period.

If suppose a student has taken an education loan of Rs 40 lacs from Incred at an 11.5% rate of interest and chose to repay their loan in 10 years after their moratorium period ends, then their EMI calculation as per WeMakeScholars Education loan EMI calculator the following will be the result.

Students willing to repay their education loan before their repayment duration can opt for any of the following repayment strategies to repay their loan:

• Transferring education loan to a different bank
• Keeping repayment durations short
• Making part-payment or prepayment

Pro Tip: Students should add Rs 5,000 - Rs 10,000 while making their last EMI payment, so that if the bank processes their transaction on the next day then also there is no outstanding balance on their loan.

We help students throughout their loan sanctioning process, by giving them helpful ins and outs about the education loan process. Get in touch with your financial officer at WeMakeScholars to know the best available interest rates for your education loan.

Dr. Ambedkar Interest Subsidy Scheme for OBC and EBC

The Ministry of Social Justice and Empowerment established the program for students from the EBC and OBC sections of society to offer an exemption on their interest owed during the moratorium term of their education loan. Only eligible persons who desire to study abroad may apply for this program.

Eligibility Criteria for Dr. Ambedkar Interest Subsidy Scheme

• A caste certificate is mandatory for students belonging to the OBC category
• Students should take admission to Masters, M.Phil, or Ph.D. courses in foreign
• The family income of students should be less than Rs 8 lacs per annum.

Padho Pardesh Interest Subsidy Scheme

The Ministry of Minority Affairs created the initiative to assist EWS members of internationally recognized minority groups who desire to pursue higher education.

Eligibility Criteria for Padho Pardesh Interest Subsidy Scheme

• The family income of the student should be less than Rs 6 lacs per year
• Students should enroll in Ph.D., M.Phil., and Masters-level courses
• Students should have taken a loan from a scheduled bank, according to the IBA guidelines
• An income certificate of the student’s family income is required.

NOTE: The scheme was discontinued after 1st April 2022, but the existing beneficiaries before 31st March 2022, will continue to receive the benefits

Central Interest Subsidy Scheme (CSIS)

The initiative was established by the MHRD, which is now the Ministry of Education, to offer interest exemptions on student loans taken out by members of the EWS segment of society.

Eligibility criteria for Central Interest Subsidy Scheme (CSIS)

• Students should have proof of belonging to the EWS sector of society
• Students should take admission only to acceptable institutions in India
• The annual family income of the student should be less than Rs. 4.5 lacs.