Education Loan EMI Calculator
Calculate your student loan EMI, total interest & repayment schedule with moratorium period.
Education Loan EMI Calculator
Course duration + 6 months grace
Monthly EMI
₹0
Total Interest
₹0
Total Payment
₹0
Interest Saved
₹0
Amortization Schedule (Yearly)
| Year | Principal | Interest | Balance |
|---|
EMI Comparison by Tenure
How EMI changes with different repayment tenures
| Tenure | Monthly EMI | Total Interest | Total Payment |
|---|
How Education Loan EMI is Calculated
Education loan EMI (Equated Monthly Installment) is the fixed monthly payment you make to repay your student loan. Unlike other loans, education loans have a moratorium period — a holiday period during the course when you don't pay EMI. However, interest may still accrue during this period depending on the lender's terms.
EMI Calculation Formula
EMI = P × r × (1+r)ⁿ / [(1+r)ⁿ – 1]
- P = Principal Loan Amount + Moratorium Interest (if compounded)
- r = Monthly Interest Rate (Annual Rate / 12 / 100)
- n = Repayment Tenure in Months
Example Calculation
For an education loan of ₹10,00,000 at 8.5% p.a. with 1-year moratorium and 7-year repayment:
• Loan Amount: ₹10,00,000
• Moratorium Interest (Simple): ₹85,000 (for 1 year)
• Effective Principal: ₹10,85,000
• Repayment Tenure: 7 years (84 months)
→ EMI = ₹17,081 (approx.)
→ Total Interest (Repayment): ₹4,32,812
→ Total Payment = ₹15,17,812
What is Moratorium Period?
A moratorium period (also called holiday period) is the time during which the borrower is not required to make any EMI payments. For education loans, this typically covers the entire course duration plus 6 months after course completion (or until the student gets a job, whichever is earlier).
Tips to Reduce Education Loan Burden
- 1 Pay Simple Interest During Moratorium: Most lenders allow you to pay only the interest during the moratorium. This prevents interest from compounding and significantly reduces your total outgo.
- 2 Apply for Govt Subsidy Schemes: The Indian government offers interest subsidy schemes for economically weaker sections (EWS) and minority communities. Check eligibility for Central Sector Interest Subsidy Scheme.
- 3 Choose Shorter Tenure: A shorter repayment tenure means higher EMI but significantly lower total interest paid.
- 4 Make Part-Prepayments: Use your salary bonuses or extra income to make part-prepayments after getting employed. This reduces the outstanding principal and future interest.
- 5 Compare Lenders: Public sector banks generally offer lower interest rates on education loans compared to private banks and NBFCs.
Education Loan Interest Rates 2025
Compare education loan rates from top banks in India
| Bank | India Study | Abroad Study | Max Tenure |
|---|---|---|---|
| SBI | 8.15% – 10.60% | 9.55% – 11.85% | 15 Years |
| Bank of Baroda | 8.35% – 9.85% | 9.35% – 10.85% | 15 Years |
| PNB | 8.50% – 10.75% | 9.50% – 11.25% | 15 Years |
| Canara Bank | 8.50% – 10.40% | 9.50% – 11.50% | 15 Years |
| Union Bank | 8.40% – 10.60% | 9.40% – 11.25% | 15 Years |
| HDFC Credila | 9.50% – 12.00% | 9.75% – 12.50% | 12 Years |
| Axis Bank | 9.70% – 12.50% | 10.25% – 13.00% | 10 Years |
| ICICI Bank | 9.50% – 12.00% | 10.00% – 12.75% | 10 Years |
* Rates are indicative. Actual rates vary based on course, institute, collateral & co-applicant profile. Last updated: Jan 2025.
Eligibility Criteria
- Indian citizen, age 16–35 years
- Confirmed admission to recognized institute
- Co-applicant (parent/guardian) mandatory
- Collateral for loans above ₹7.5 Lakh (most banks)
- Good academic record
Documents Required
- Admission confirmation letter
- Fee structure from institute
- Mark sheets (10th, 12th, Graduation)
- Identity & Address proof (student + co-applicant)
- Income proof of co-applicant
- Collateral documents (if applicable)
Government Interest Subsidy Schemes
Central Sector Scheme
Full interest subsidy during moratorium for EWS students (income up to ₹4.5 Lakh). For technical/professional courses from recognized institutes.
Padho Pardesh
Interest subsidy for minority community students pursuing abroad studies. Family income cap of ₹6 Lakh. Covers moratorium period interest.
State Schemes
Various state governments offer additional subsidies. Check with your state's education department for SC/ST/OBC interest subsidy programs.