Education Loan EMI Calculator
Calculate EMI on education loans including moratorium period (course duration plus grace). Free, privacy-first — inputs never leave your browser.
Loan Details
Results
Your Monthly EMI
₹27,550
Principal
₹20,00,000
Total Interest
₹13,06,000
Total Payment
₹33,06,000
Yearly Amortization Schedule
| Year | Principal Paid | Interest Paid | Balance |
|---|---|---|---|
| 1 | ₹1,16,350 | ₹2,14,250 | ₹18,83,650 |
| 2 | ₹1,29,814 | ₹2,00,786 | ₹17,53,836 |
| 3 | ₹1,44,836 | ₹1,85,764 | ₹16,09,000 |
| 4 | ₹1,61,596 | ₹1,69,004 | ₹14,47,404 |
| 5 | ₹1,80,296 | ₹1,50,304 | ₹12,67,108 |
| 6 | ₹2,01,159 | ₹1,29,441 | ₹10,65,949 |
| 7 | ₹2,24,437 | ₹1,06,163 | ₹8,41,511 |
| 8 | ₹2,50,409 | ₹80,191 | ₹5,91,102 |
| 9 | ₹2,79,386 | ₹51,214 | ₹3,11,716 |
| 10 | ₹3,11,716 | ₹18,884 | ₹0 |
Education loan rates — all 20 major lenders
| Bank | Rate (p.a.) | Open |
|---|---|---|
| 01Punjab National BankLowest | 7.85% | |
| 02State Bank of India | 8.05% | |
| 03Bank of Baroda | 8.15% | |
| 04Union Bank of India | 8.20% | |
| 05Canara Bank | 8.25% | |
| 06HDFC Bank | 9.50% | |
| 07Karnataka Bank | 9.53% | |
| 08DBS Bank India | 10.00% | |
| 09Federal Bank | 10.05% | |
| 10ICICI Bank | 10.25% | |
| 11Citibank India | 10.25% | |
| 12South Indian Bank | 10.50% | |
| 13HSBC India | 10.50% | |
| 14RBL Bank | 11.00% | |
| 15IDFC First Bank | 11.25% | |
| 16IndusInd Bank | 11.50% | |
| 17Kotak Mahindra Bank | 11.75% | |
| 18AU Small Finance Bank | 12.00% | |
| 19Yes Bank | 12.50% | |
| 20Axis Bank | 13.70% |
Rates are indicative starting rates based on publicly available information. Final rate depends on your credit score, income, and loan tenure.
For estimation only. Not professional financial, tax, or legal advice. Consult a qualified advisor before making decisions. Full disclaimer.
Education loan interest and moratorium
Education loans in India charge 8.5% to 13.5%. The moratorium period is the course duration plus 6-12 months grace. During the moratorium you do not repay EMIs, but simple interest keeps accruing — which gets added to the principal once the moratorium ends.
Tax benefit under Section 80E
Interest paid on an education loan is fully deductible from taxable income under Section 80E for up to 8 years — there is no upper cap on the amount. This is one of the most valuable deductions available under the old regime.
Common questions about Education Loan
What is moratorium period?+
The moratorium is the grace period during studies plus 6-12 months after course completion when you do not need to pay EMI. Interest accrues during this period.
What is the interest rate on education loans in India?+
Public sector banks offer 8.15%-10.50% p.a. under the Vidyalakshmi scheme; private banks and NBFCs charge 10%-15%. Loans up to ₹7.5 lakh need no collateral under the CGFSEL guarantee scheme. Female students get 0.50% concession at most banks. Premier institute admits (IIT, IIM, AIIMS) qualify for special rates as low as 8.15%.
Are education loan repayments tax-deductible?+
Yes — Section 80E allows unlimited deduction on the interest portion for 8 consecutive years starting from the year repayment begins. No cap on amount. Principal is not deductible. Applies whether you claim the old or new regime (80E is one of the few deductions retained in new regime? No — verify: 80E is available only under the OLD regime from FY 2023-24. Choose old regime during repayment years if EMI is significant.).
Should I pay interest during the moratorium?+
Yes if you can afford it. Interest accrues and capitalises (adds to principal) during moratorium. A ₹20 lakh loan at 10% over a 4-year course accumulates ~₹9 lakh in interest; servicing monthly simple interest keeps principal static and saves ₹2-3 lakh over the full loan. Also starts your 80E deduction clock earlier.
What expenses does an education loan cover?+
Tuition, hostel/accommodation, books, equipment (laptop required for course), exam/library/lab fees, travel (for studies abroad), caution deposit, insurance premium. Living expenses beyond hostel may require proof. For foreign studies, loans up to ₹1.5 crore are sanctioned at top-30 global universities.
Can I prepay my education loan?+
Yes, without prepayment penalty at most banks (RBI rule for floating-rate loans). Prepay surplus bonuses, especially in early years when interest share is highest. However, since Section 80E offers unlimited interest deduction for 8 years, a high earner in 30% slab effectively pays only 7% on a 10% loan — consider investing surplus in equity SIPs if expected return exceeds 10% post-tax.