There are no restrictions, generally most banks and financial institutions do not impose any rule regarding this. However, certain education loan lenders do mark an age limit spanning from 16-35 years.

The education loan is usually provided to the applicant in the form of a draft payable to the institution. The draft amount is based on the fee structure provided by the institute.

An education loan covers all courses covered recognized by UGC within India and most banks maintain a list of colleges and courses for which they provide loans to students seeking to pursue studies abroad.

Sanction or rejection of a loan is generally communicated within 15 days of receipt of duly completed application. In case of rejection, students can demand reasons of rejection of loan application in writing from banks.

Yes, you can save tax on education loanafter you start repaying your loan amount, by deducting the loan interest amount from your total income when calculating tax. But, there are no such benefits immediately.

Nationalized banks usually do not have any pre-payment charges, but private and foreign banks usually charge a penalty that ranges from 0.25% to 2% of the outstanding loan amount.