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.
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.
How much education loan can I get for MBBS abroad?
The loan amount for MBBS abroad depends on the lender type and whether you choose a secured or unsecured loan. Public sector banks generally offer up to ₹1.5 crore for MBBS abroad, while private banks can extend financing up to ₹2–3 crores, depending on the collateral value such as property or fixed deposits.
How Much Education Loan Can I Get for MBBS in India?
For MBBS in India, public banks generally offer education loans up to ₹7.5 lakhs without collateral and up to ₹1.5 crore with collateral.
If your MBBS university is on a lender’s prime list, you may get an optional moratorium without paying interest. For non-prime universities, simple interest during study is usually required.
Propelld offers up to ₹30 lakhs without collateral, making it easier for students to fund MBBS in private or government colleges.
Education Loan for MBBS Interest Rates
Given below are the interest rates on education loans for different lenders:
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.
People Also Ask
What is the Interest Rate on Education Loan for MBBS in Private College?
Education loans for MBBS in private colleges are essential given the substantial fees, typically ranging from ₹50,000 to ₹30,00,000 per year. Major banks and NBFCs provide comprehensive loans covering tuition and living costs. Interest rates generally range from 8% to 16%.
What is the Interest Rate on Education Loan for MBBS in Government College?
Securing education loans for MBBS programs in government medical colleges is typically more straightforward due to the significantly reduced fee structure, which ranges from ₹5,000 to ₹50,000 annually. The interest rates generally range from 7.10% to 10.80% per annum for public sector banks.
For private MBBS colleges where fees is usually higher, NBFCs like Propelld are often better suited than banks because they finance higher ticket sizes without collateral.
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.
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.
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.
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
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)
Types of Education Loans Available for MBBS Students
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.
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.
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!
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Can I get an education loan for pursuing MBBS in India?
Yes. Most public banks, private banks, and NBFCs in India offer education loans for MBBS and other medical courses, covering tuition fees, hostel charges, books, equipment, and related academic expenses.
What are the eligibility criteria for an MBBS education loan?
Eligibility generally includes:
Indian citizenship
Confirmed admission to a recognized MBBS college in India
A co-applicant (parent/guardian/spouse)
Meeting lender-specific age, income, and credit requirements
What is the minimum and maximum loan amount for MBBS?
Without collateral: ₹7.5 lakh to ₹75 lakh (varies by lender & institute)
With collateral: Up to ₹1.5 crore
NBFCs may offer higher unsecured limits for select profiles.
Can I get a ₹50 lakh education loan for MBBS?
Yes. Many NBFCs and private lenders offer education loans up to ₹50 lakh, depending on eligibility and institute recognition.
What is the maximum SBI education loan for MBBS in India?
Under education loan schemes from State Bank of India, students can get up to ₹30 lakh for MBBS in India, with higher limits available for studies abroad or with collateral.
Do I need collateral for an MBBS education loan?
Not always.
Public banks usually offer up to ₹7.5 lakh without collateral
NBFCs and private banks may offer higher unsecured limits
Collateral is typically required for very high loan amounts.
Who can be a co-applicant for an MBBS education loan?
Accepted co-applicants usually include:
Parents
Legal guardians
Spouse (in some cases)
A financially stable co-applicant improves approval chances and terms.
When does MBBS education loan repayment start?
Repayment generally begins after course completion plus a 6–12 months grace period (moratorium).
Some lenders offer extended repayment flexibility after graduation.
What is the repayment tenure for MBBS education loans?
Repayment periods typically range from 10 to 15 years, depending on the loan amount, interest rate, and lender policy.
What is the typical interest rate for MBBS education loans?
With collateral: Starts around 8.55% p.a.
Without collateral: Starts around 9.55% p.a.
Rates may vary based on credit profile, co-applicant income, and lender.
Are there tax benefits on MBBS education loans?
Yes. Under Section 80E of the Income Tax Act, interest paid on education loans is eligible for tax deduction for up to 8 years or until the interest is fully paid.
Is there any prepayment penalty on MBBS education loans?
In most cases, no prepayment penalty is charged. However, it’s always best to confirm with the specific lender before loan closure.
What does a Bank of Baroda MBBS education loan cover?
An MBBS education loan from Bank of Baroda typically covers:
Tuition and hostel fees
Study materials and equipment
Exam fees, travel, and insurance
Up to 100% of the education cost
What is the interest rate for an HDFC education loan for MBBS?
An MBBS education loan from HDFC Bank usually starts from around 10.50% p.a., depending on loan amount, institute ranking, and applicant profile.
What documents are required for an MBBS education loan?
Common documents include:
MBBS admission letter
Academic mark sheets
KYC documents
Income proof of co-applicant
Collateral documents (if applicable)
Do MBBS education loans cover expenses beyond tuition fees?
Yes. Most lenders cover hostel and accommodation, books and instruments, travel, insurance, and other mandatory academic expenses.
Are special MBBS loan schemes available from private banks and NBFCs?
Yes. Private banks and NBFCs offer higher loan limits, faster processing, flexible repayment structures, and institute-specific benefits for top medical colleges.
Is insurance mandatory with MBBS education loans?
Insurance is optional for most lenders. Some NBFCs do not bundle mandatory insurance with their education loans.
A banker turned content marketer with expertise in growth-focused content strategies for the finance and digital sectors. She currently drives data-backed content initiatives at Propelld, through high-impact storytelling.
Before moving into content marketing, Vaishali spent nearly a decade in banking, across their asset and lending divisions and spent almost a decade in finance. An MBA in Marketing and a writer at heart, she finally took up content marketing and now simplifies money talks for the readers.
She is also a certified digital marketer (MICA), combining data-driven insights with creative storytelling to deliver measurable business growth.
Beyond work, Vaishali is a handcrafted brand founder, avid reader, and travel & food blogger, blending creativity and strategy in everything she does.
Raghu Vamshi Kanukurthi is the Business Head of Domestic Higher Education Lending at Propelld, where he drives sales, credit strategy, and risk management for education loans that empower students from underserved backgrounds.
An IIT Madras alumnus, Raghu brings a multidisciplinary background spanning engineering design, e-commerce logistics, and aquaculture entrepreneurship. He carries an in-depth understanding of loan products and their pricing strategy. This diverse experience shapes his practical, problem-solving approach to lending innovation.
Today, he is passionate about financial inclusion, helping students bridge the gap between ambition and access with hassle-free, student-first education financing solutions.
General Financial Information Disclaimer
This page is intended solely for general educational and informational purposes. The content presented here does not constitute financial, legal, investment, or professional advice, and should not be relied upon as such.
Education loan terms including but not limited to interest rates, loan amounts, eligibility, collateral requirements, moratorium provisions, repayment schedules, processing timelines, and approval outcomes may vary significantly based on:
The policies and underwriting norms of the respective bank or NBFC
The applicant’s and co-applicant’s financial profile and credit history
The course, institution, country of study, and loan structure
Applicable Reserve Bank of India (RBI) guidelines and regulatory changes
Any examples, scenarios, timelines, or illustrations mentioned on this page are indicative only and are not guarantees of approval, disbursal, or identical outcomes.
Propelld operates as an RBI approved NBFC. Final decisions regarding loan sanction, pricing, documentation, and disbursal rest entirely with our lending team.
While every effort is made to ensure accuracy and currency of information, loan policies and regulatory guidelines may change over time. Readers are strongly advised to:
Verify details with the concerned bank or NBFC
Refer to official lender communications and RBI notifications
Seek independent financial or legal advice where required
By using this information, readers acknowledge that financial decisions should be made based on their individual circumstances and verified sources, and not solely on general guidance provided on this page.
RBI & Regulatory Alignment Disclaimer
Title: Regulatory & Policy Reference Disclaimer
The education loan rules, disclosures, borrower rights, and regulatory references mentioned on this page are derived from publicly available guidelines, circulars, and notifications issued by the Reserve Bank of India (RBI), along with applicable lending regulations governing Non-Banking Financial Companies (NBFCs).
Propelld is an RBI-regulated NBFC and provides education loans in accordance with prevailing RBI norms and internal credit policies. However, final loan terms—including interest rates, sanctioned amounts, eligibility assessment, collateral or co-applicant requirements, moratorium structure, repayment schedules, and approval outcomes—are determined based on:
The applicant’s financial profile and credit assessment
Course, institution, and loan structure
Internal underwriting policies of Propelld
Applicable regulatory requirements in force at the time of sanction
Any regulatory explanations, interpretations, or summaries provided on this page are indicative and simplified for general understanding. They should not be treated as a substitute for official RBI notifications, lender-issued sanction letters, or legally binding policy documents.
RBI guidelines and lending regulations are subject to change from time to time. Readers are advised to:
Refer to the latest RBI circulars and official publications
Review Propelld’s sanction letter, loan agreement, and policy disclosures
Seek independent professional advice where clarification is required
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