How to Qualify for an MBBS Education Loan: Eligibility and Interest Rate Insights

Education Loans for MBBS Students

Pursuing an MBBS degree can be expensive, but education loans help ease the financial burden. These loans cover key expenses like tuition, accommodation, books, and more—making medical education more accessible for students from all backgrounds.

‍

Key Takeaways

Education loans for MBBS in India and abroad cover tuition, hostel, and other essential costs with both secured and unsecured options available.
Secured loans for MBBS abroad can go up to ₹1.5–2 crore, while non-collateral options are available up to ₹75 lakh.
Interest rates for MBBS education loans typically start at 8.55% for secured and 9.55% for unsecured loans.
Students can use the Education Loan EMI Calculator to plan repayments effectively and manage EMIs after course completion.
Understanding eligibility, process, and terms ensures smoother approval and affordable repayment planning.

‍

Education Loans for MBBS India and Abroad

Education loans for MBBS, whether in India or abroad, cover a wide range of academic and living expenses, offer flexible repayment, and require co-applicants. Key differences lie in loan limits and collateral requirements.

Loan Parameter	MBBS in India	MBBS Abroad
Loan Limit (Unsecured)	Up to ₹50 lakhs	Up to ₹75 lakhs
Loan Limit (Secured)	Up to ₹2 crores	Up to ₹1.5 crores
Expenses Covered	Tuition, exam, library, lab fees, books, stationery, laptop, uniform, hostel/accommodation, insurance, travel	Tuition, exam, library, lab fees, books, stationery, laptop, uniform, hostel/accommodation, insurance, travel
Interest Rate	Starts from 8.55%; higher for non-collateral loans	Starts from 8.55%; higher for non-collateral loans
Repayment Period	12–15 years (including moratorium)	12–15 years (including moratorium)
Moratorium Period	Course duration + 12 months	Course duration + 12 months
Co-Applicants	Parents, sibling, spouse, parents-in-law	Parents, sibling, spouse, parents-in-law
Collateral Requirement	Liquid collateral: 1.1× loan; Immovable: 1.25× loan	Liquid collateral: 1.1× loan; Immovable: 1.25× loan
Repayment During Moratorium	Not specified	Optional if university is on prime list; else simple interest to be paid

Whether you’re pursuing medicine in India or overseas, explore all education loan options for MBBS students that cover tuition, living expenses, and more.

Now that you are reading about education loan for MBBS, we assume you are aware of the MBBS fees. If not, do have a look at this blog: MBBS Fees 2024: Private/Government College Fees Structures

Education Loan for MBBS Interest Rates

Given below are the interest rates on education loans for different lenders:

Bank/NBFC	Interest Rate
Axis Bank	13.70% p.a. onwards
Bank of Baroda	8.55% p.a. onwards
Canara Bank	9.25% p.a. onwards
Federal Bank	12.55% p.a. onwards
HDFC Bank	9.50% p.a. onwards
Propelld	11.25%–16.50% p.a.
HDFC Credila	11.75%–13.80% p.a.
Avanse Financial Services	11.00%–16.00% p.a.
Auxilo Finserve	11.25%–15.50% p.a.

At Propelld, our interest rates start from as low as 11% for a profile with good academic records and salaried co- applicant. However, the interest rate might vary across profiles.

Calculate Your EMI for MBBS Education Loan

Calculating your EMI (Equated Monthly Instalment) for an MBBS education loan is essential for effective financial planning. Propelld offers a dedicated and easy to use EMI calculator that helps you estimate your monthly payments based on your loan amount, interest rate, and repayment tenure.

Just check out Propelld Education Loan EMI Calculator.
Enter Your Loan Amount that you wish to borrow.
Choose the duration (in years or months) over which you plan to repay the loan. Input the Interest Rate

Once all details are entered, the calculator will instantly display your estimated monthly EMI, total interest payable, and the overall repayment amount.

Eligibility Criteria for MBBS Education Loans

The basic eligibility criteria for MBBS education loans across most lenders are:

Basic Qualifications

Applicants need to have completed their higher secondary education with a strong academic record.

Qualifying Exams

A minimum score in qualifying exam like NEET.

Age Limit

17-35 years of age.

Citizenship

Indian Citizens.

Academic Performance

A good academic record with high scores in relevant subjects.

Collateral requirements

For higher loan amounts, some lenders might require collateral such as property or fixed deposits.

Understanding the education loan eligibility and application process is crucial for students to ensure a smooth approval experience, especially when applying for medical courses, and this knowledge becomes even more relevant while exploring education loans for MBBS students, as these often involve higher loan amounts and specific course-related requirements.

‍

Minimal Documentation. No Collateral Required. Hassle Free Education Loans Disbursed in Just 7 Days. Apply Now.

‍

Documents Required for MBBS Education Loans in India

Securing an education loan for MBBS studies in India requires submitting a set of documents to ensure the loan process goes smoothly.

Essential documents that are primarily required are:

Application Form

A duly signed in and properly filled application form.

KYC Documents

Identity Proof: Aadhar, Passport, Driving Licence etc.
Address Proof: Bank account statement, Passport, Electricity bill, Aadhar Card, Voter ID, Telephone bill, Ration card.

Proof of Admission

Admission letter from the University for the MBBS course.

Income Documents

Recent bank statement, ITR or salary slips of the Guarantor or Co-borrower as the case may be.

Asset Details

A statement detailing the assets of the guarantor, co-borrower, or the student.

Before you start your medical education journey, do have a look at the course structure for MBBS: MBBS Subjects For 2024: Year-Wise Syllabus And Structure.

‍

Click here for Higher Chances of Approval than Banks - Propelld Education Loan

‍

How to Apply for an Education Loan for MBBS?

Most banks and financial institutions offer dedicated education loan schemes for MBBS aspirants, with both online and offline application options.

Below is a comparison table outlining the step-by-step process for applying online and offline, helping you choose the method that best suits your needs.

Application Process Tabs

Online Process

Offline Process

Online Process

Visit the official website of the chosen bank or lender and navigate to the education loan section.
Click “Apply Now” or the relevant link to start your application.
Select the appropriate loan scheme for MBBS.
Fill out the online application form with accurate personal, academic, and loan details.
Upload scanned copies of all required documents.
Submit the application online and track its status.
Respond promptly to any additional requests from the bank.
Await approval and disbursement updates from the lender.

Offline Process

Visit your nearest branch of the chosen bank or lender.
Request and collect the education loan application form.
Fill out the form carefully with all required details.
Attach physical copies of all necessary documents like admission letter, academic records, etc.
Submit the completed application and documents at the branch.
The bank will process and verify your documents.
Attend any in-person verification or interviews if required.
Follow up regularly with the branch for status updates.
Receive approval and loan disbursement details from the lender.

‍

Tips for a Successful Loan Application

Follow these simple yet effective steps to improve your chances of getting your education loan approved smoothly and quickly.

Maintain a good credit score.

A good credit score is crucial for loan approval and better interest rates.

Have a clear repayment plan.

Lenders want to see that you have a viable plan to repay the loan after your studies.

Choose a lender specializing in education loans.

Specialized lenders often offer better terms and understand the needs of students.

Provide all required documents promptly and accurately.

Delays or errors in documentation can slow down or jeopardize your application.

Be prepared for a thorough scrutiny of your application.

Lenders will carefully review your academic and financial background.

Always ask about processing fees, insurance add-ons, and foreclosure charges.

At Propelld, these costs are transparent upfront.

What to Avoid During the Application Process

Steer clear of these common mistakes that can delay your loan approval or negatively affect your eligibility.

Submitting incomplete or inaccurate information.

This can lead to immediate rejection of your application.

Delaying in submitting documents or responding to lender queries.

Timeliness is key to a smooth application process.

Ignoring hidden charges or not understanding the terms and conditions thoroughly before signing the loan agreement.

Make sure you read and understand everything before you commit.

‍

Education Loan for MBBS: With & Without Collateral

Medical aspirants can choose between secured and unsecured MBBS education loans, depending on their financial profile and comfort with pledging collateral.

Without Collateral

With Collateral

Without Collateral

Loan up to ₹40 lakh for tuition and living costs
Interest rates from 9.55%
Repayment up to 15 years (course + 6–12 months moratorium)
Offered by: ICICI Bank, Axis Bank, IDFC, Propelld, InCred, Avanse, Auxilo, HDFC Credila

With Collateral

Loan up to ₹2 crore against property or deposits
Interest rates from 8.55%
Flexible repayment up to 15 years
Offered by: SBI, Bank of Baroda, ICICI, Axis, HDFC Credila, Avanse

‍

Types of Education Loans Available for MBBS Students

‍

Loan Source Information Tabs

Government-Backed Loans

Private Bank Loans

International Loans

Government-Backed Loans

Government Backed Loans are offered by government agencies or banks in partnership with the government. For example, in India, the government offers the Central Sector Interest Subsidy Scheme (CSIS) for students from economically weaker sections, which covers the interest on the education loan during the moratorium period. These kinds of loans offer several advantages such as lower interest rates, flexible repayment options, and longer repayment tenures. This makes education loans more affordable for students pursuing MBBS.

Private Bank Loans

Private banks also offer education loans for MBBS students, with competitive interest rates and convenient repayment terms. Private bank loans may have faster processing times and more flexible eligibility criteria compared to government loans. Additionally, some private banks offer special schemes for medical students, including higher loan amounts and lower interest rates for top-ranking institutions.

International Loans for Students Studying Abroad

For MBBS students studying abroad, international education loans are a popular choice. These loans are offered by financial institutions or banks in the student's home country and cover the education expenses of a college situated abroad. Like other loans, these are also designed to cover the cost of tuition, living expenses, and other related costs. International loans often have competitive interest rates and flexible repayment options.

Do check out all details about Education Loan for Abroad Education in 2025 here.

Education Loan for Medical Students in India- Various States

Education loans for MBBS students in India are crucial financial tools that enable aspiring doctors to pursue medical education without being limited by financial constraints. Different states and banks offer a range of schemes tailored to the needs of medical students, with varying eligibility criteria, loan amounts, and benefits.

Education Loan for MBBS in Karnataka

In Karnataka, Indian nationals with confirmed admission at a recognized institution can apply for education loans for MBBS, usually requiring a parent or guardian as co-applicant. Documentation includes admission proof, academic records, ID, address, and income proof.

Education Loan for MBBS in Maharashtra

In Maharashtra, students with secured MBBS admission can access schemes like the Model Education Loan and Maha Scholar Education Loan from Bank of Maharashtra. Co-applicants are required, collateral is not needed for loans up to ₹7.5 lakhs, and the average interest rate is generally around 10.1% per annum. Repayment is up to 15 years, with a moratorium of the course period plus up to a year. They can also get loan from regular private banks and NBFCs.

Education Loan for MBBS in Delhi

Delhi students can get loans up to ₹1 crore from banks, with a family co-applicant and collateral for higher amounts. The average interest rate for education loans in Delhi is typically about 10.2% per annum. Required documents are academic records, admission proof, ID, address, and income proof. Repayment is flexible, including a moratorium for the course and up to 12 months.

Education Loan for MBBS in Tamil Nadu

For MBBS in Tamil Nadu, loans cover all major expenses, with co-applicants and collateral needed for larger amounts. Interest rates from nationalized banks are typically between 8.85% and 11.60% per annum. Repayment terms are up to 15 years with a moratorium for the course plus 6-12 months, and documentation requirements are similar to other states.

‍

Schemes for MBBS Education Loan

Several leading banks and financial institutions in India offer specialized loan schemes for MBBS students. Below is an overview of prominent MBBS education loan schemes available to aspiring medical professionals.

1. SBI Global Ed-Vantage Scheme

Specifically designed for students pursuing full-time regular courses in MBBS, this scheme offers loans up to INR 1.5 Crore with a flexible repayment period of up to 15 years.

2. Axis Bank Education Loan

Offers loans up to INR 75 Lakhs for Indian students studying MBBS in India, with no collateral required for loans up to INR 40 Lakhs.

3. HDFC Credila Education Loan for MBBS

HDFC Credila Education Loan offers customized loans for MBBS students with coverage of up to 100% of the educational expenses, including tuition fees, hostel fees, etc.

4. Bank of Baroda Scholar Loan Scheme

Offers loans up to INR 80 Lakhs for students pursuing professional courses like MBBS, with a repayment period of up to 15 years.

5. Canara Bank's Super Loan Scheme

Provides loans up to INR 75 Lakhs for MBBS students studying in India, with a concession in interest for female students.

6. PNB Saraswati Scheme

Specifically designed for students pursuing higher education, including MBBS, offering loans up to INR 20 Lakhs without any collateral.

7. Avanse Education Loan

Offers loans for MBBS students covering up to 100% of the course fees with flexible repayment options and a grace period for repayment.

8. Karnataka Bank Vidya Poshak

Offers loans up to INR 10 Lakhs for students pursuing professional courses like MBBS, with no processing fees.

9. ICICI Bank Education Loan

Provides loans up to INR 50 Lakhs for students pursuing higher education in India, including MBBS, with flexible repayment options.

10. Union Bank of India Education Loan

Offers loans for MBBS students with coverage of up to 100% of the course fees and expenses, with no margin for loans up to INR 4 Lakhs.

‍

Scholarships and Grants for MBBS

For students exploring alternatives to MBBS education loans, scholarships and grants can significantly reduce financial pressure. These are offered by government bodies, universities, and private organizations, based on merit, need, or category.

Top MBBS Scholarships in India

National Scholarship Portal (NSP): Includes Central Sector and Top-Class Education Schemes for SC/ST students.
Dr. Abdul Kalam Scholarship: Supports meritorious students from economically weaker sections.
AICTE Pragati Scholarship for Girls: Encourages female students to pursue medical education.
Maulana Azad Scholarship: For minority students pursuing professional degrees like MBBS.
State Scholarships: Merit- and need-based schemes by states like Punjab, Haryana, and UP.

MBBS Scholarships Abroad

Commonwealth & Rhodes Scholarships: Cover tuition and living costs in the UK.
Fulbright Program: Offers full or partial funding for MBBS-equivalent courses in the USA.
Erasmus Mundus: Funded by the EU for medical studies in Europe.

If scholarships don’t fully cover your expenses, or if you arent eligible for one, explore Propelld’s Education Loan for MBBS- designed for both domestic and abroad students with flexible, no-collateral options.

‍

Rejected by Banks for Education Loan? Don't Worry, Propelld has Got Your Back. Check Your Eligibility Now!

Securing an education loan for your MBBS studies can be challenging, given the high competition and limited seats in medical colleges. But it's the most important step in your path of “how to become a doctor.”

Propelld understands these challenges and offers a seamless solution tailored to your needs.

While most banks take 2-3 weeks to sanction your loan, Propelld does it in 24-48 hours.

Choose Propelld for a hassle-free education loan experience and pave the way for your successful career in medicine!

Are you parent of a JEE/NEET aspirant?

Join the group and get latest updates, expert advice on counselling and college selection. Completely FREE!

Join Now!

FAQs About Education Loan for MBBS

Can I get an education loan for pursuing MBBS in India?

Yes, most banks and financial institutions in India offer education loans for students pursuing MBBS or other medical courses, covering tuition fees, hostel fees, books, equipment, and other related expenses.

What are the eligibility criteria for an education loan for MBBS?

Applicants must be Indian citizens, over 21 years old, and have secured admission in a recognized medical institution in India. The exact eligibility criteria can vary slightly between lenders.

How much loan amount can I get for an MBBS course?

The loan amount depends on the institution, fee structure, and the lender's policies, with some lenders like Finnable offering up to Rs. 10 lakhs for MBBS courses.

Do I need a co-signer or collateral for an education loan for MBBS?

Requirements vary among lenders. Some, like Finnable, require a co-applicant, which can be the guardian or parent of the applicant, but the need for collateral can differ.

When do I start repaying my education loan for MBBS?

Repayment typically begins after the completion of the course. Some lenders, such as Propelld, offer a repayment period extension up to a few years after graduation.

Can I get 50 lacs education loan for MBBS?

Yes, NBFCs like Propelld provide hassle free education loans up to 50 lacs.

Upto what limit can I get SBI education loan for MBBS in India?

You can get an education loan upto 30 lacs for an MBBS in India.

Is there any pre-payment penalty for my education loan?

Usually, the lenders do not charge any prepayment penalty. However, it's always best to confirm the latest regulations with your lender.

Are there any tax benefits on education loan for MBBS?

Education loans that are taken on behalf of your children, spouse, or a student for whom you are the legal guardian and are eligible for tax deduction under section 80E of the Income Tax Act.

This is for interest paid on the loan and can be availed once the interest starts on the loan. This deduction is available until the interest amount is fully paid or for a maximum of 8 years, whichever comes earlier.

What is the typical loan interest rate for MBBS education loans in India?

Interest rates for MBBS education loans generally start from around 8.55% for loans with collateral and 9.55% for loans without collateral, but rates may vary by lender and applicant profile. These loan interest rates for MBBS education can change based on the applicant’s credit history.

What are the eligibility criteria for an MBBS education loan?

MBBS education loan eligibility usually includes Indian citizenship, admission to a recognized MBBS program, a co-applicant, and meeting the lender’s credit and income requirements. Some banks may also require a strong academic record and a minimum age of 16 years.

What does the Bank of Baroda education loan for MBBS cover?

Bank of Baroda education loan for MBBS covers tuition fees, hostel charges, study materials, travel, insurance, and exam fees—up to 100% of the total education cost. The loan also includes expenses for equipment, uniforms, and other necessary academic costs.

Can I get an education loan for MBBS without collateral?

Yes, many banks and NBFCs offer education loan for MBBS without collateral, usually up to ₹7.5 lakh for studies in India and up to ₹45 lakh for certain courses and institutions, subject to eligibility.

What is the interest rate for an HDFC education loan for MBBS?

HDFC education loan for MBBS offers interest rates starting from 10.50% per annum for Indian education, with possible variations based on the loan scheme and applicant profile. The bank may offer special concessions or customized rates for students admitted to top-ranking medical colleges.

How much can I borrow through an education loan for MBBS?

Loan amounts can range up to ₹75 lakh without collateral and up to ₹1.5 crore with collateral, depending on the lender and the course location. The actual sanctioned amount depends on the fee structure of the course and the applicant’s repayment capacity for MBBS education loans.

What is the repayment period for MBBS education loans?

Repayment periods typically extend up to 15 years, with a moratorium period covering the course duration plus an additional grace period of up to one year after completion. Some lenders may offer flexible repayment options, including longer tenures for higher loan interest rate.

Who can be a co-applicant for an MBBS education loan?

Co-applicants can include parents, siblings, spouses, or parents-in-law, depending on the lender’s policies. Having a financially stable co-applicant can improve your chances of MBBS education loan eligibility and better terms.

Are there special schemes for MBBS education loans from private banks?

Yes, private banks offer special schemes for MBBS education loans, including higher loan amounts, customized interest rates, and flexible repayment options for top-ranking institutions. These schemes may also feature faster processing and minimal documentation.

What documents are required for an MBBS education loan application?

Commonly required documents include admission proof, academic records, KYC documents, income proof of co-applicant, and collateral documents if applicable. Additional documents may be requested based on the lender’s requirements and the MBBS education loan eligibility and amount.

Do education loans for MBBS cover expenses beyond tuition fees?

Yes, most education loan for MBBS options cover additional expenses such as accommodation, books, equipment, travel, and insurance. This ensures that students can manage both academic and living costs during their medical studies.

How do I apply for an MBBS education loan from HDFC or Bank of Baroda?

You can apply online through the respective bank’s website or visit a branch. Prepare all required documents and check MBBS education loan eligibility before applying for faster processing. The application process typically includes filling out a form, submitting documents, and waiting for approval and disbursement.

Is there a bundled insurance with Propelld Education Loans?

Insurance is optional for most NBFC loans. At Propelld, however, we dont provide a bundled insurance product.

Education Loan for MBBS - Check Eligibility & Interest Rates

Get Your Education Funded

Table of Contents

Apply Education Loan

Education Loans for MBBS Students

Key Takeaways

Education Loans for MBBS India and Abroad

People Also Ask

Education Loan for MBBS Interest Rates

People Also Ask

Calculate Your EMI for MBBS Education Loan

Eligibility Criteria for MBBS Education Loans

Documents Required for MBBS Education Loans in India

How to Apply for an Education Loan for MBBS?

Online Process

Offline Process

Tips for a Successful Loan Application

What to Avoid During the Application Process

Education Loan for MBBS: With & Without Collateral

Without Collateral

With Collateral

Types of Education Loans Available for MBBS Students

Government-Backed Loans

Private Bank Loans

International Loans for Students Studying Abroad

Education Loan for Medical Students in India- Various States

Schemes for MBBS Education Loan

Scholarships and Grants for MBBS

Top MBBS Scholarships in India

MBBS Scholarships Abroad

Related Articles

Are you parent of a JEE/NEET aspirant?

Education Loan for Medical Colleges

Fund your Higher Education with Propelld

No Collateral Fastest Education Loan

Get approved for education loan faster than banks!

FAQs About Education Loan for MBBS

Can I get an education loan for pursuing MBBS in India?

What are the eligibility criteria for an education loan for MBBS?

How much loan amount can I get for an MBBS course?

Do I need a co-signer or collateral for an education loan for MBBS?

When do I start repaying my education loan for MBBS?

Can I get 50 lacs education loan for MBBS?

Upto what limit can I get SBI education loan for MBBS in India?

Is there any pre-payment penalty for my education loan?

Are there any tax benefits on education loan for MBBS?

What is the typical loan interest rate for MBBS education loans in India?

What are the eligibility criteria for an MBBS education loan?

What does the Bank of Baroda education loan for MBBS cover?

Can I get an education loan for MBBS without collateral?

What is the interest rate for an HDFC education loan for MBBS?

How much can I borrow through an education loan for MBBS?

What is the repayment period for MBBS education loans?

Who can be a co-applicant for an MBBS education loan?

Are there special schemes for MBBS education loans from private banks?

What documents are required for an MBBS education loan application?

Do education loans for MBBS cover expenses beyond tuition fees?

How do I apply for an MBBS education loan from HDFC or Bank of Baroda?

Is there a bundled insurance with Propelld Education Loans?

About the Author

Related Articles

Education Loans

Top Courses

Exams

Education Loan Approval in Just 2 Days

2 Days Disbursal

Collateral Free Loans

10X Faster than Banks

Get Education Loan for any College in India