Yes, the Reserve Bank of India's moratorium on retail loans, due to people undergoing financial challenges due to the Covid-19 pandemic, is applicable to education loans as well. The moratorium on Equated Monthly Installments (EMIs) could be availed from March 2020 to August 2020.

No, an interest rate will be levied by banks on education loans.

No, usually education loans for courses in India do not offer the same amount as for comparable level courses abroad. Education loans offer higher amounts for courses abroad as fees and other expenses may be higher there than for courses in India (which also depends on the educational institution).

Almost all education loans from banks and other lenders require a collateral, which can be fixed deposits, property, shares, bonds, etc. However, you can still avail an education loan without having to give any collateral. This can be achieved through the Credit Guarantee Fund for Education Loan (CGFEL) Scheme, which covers a collateral-free loan of up to Rs.7.5 lakh. This is only for education loans dispersed under the Model Education Loan Scheme of the Indian Banks' Association (IBA). To avail of this, you have to apply for an education loan under this scheme through a scheduled commercial bank. You don't need to provide security or collateral for amounts of up to Rs.7.5 lakh, but anything above that will require collateral.

For courses abroad, education loans are typically paid directly to the educational institution in the local currency of that country.

The moratorium period on education loans differs from lender to lender. However, it is usually until the borrower gets employed or for up to 1 year of the course being completed, whichever is earlier. If you choose to take a sabbatical and want an extension of your moratorium, it would depend on the bank whether to grant it or not, so it is best to have a discussion about this with the lender.

One of the eligibility criteria for education loans that are offered by banks and other financial institutions in India is that the individual should be an Indian national. This means that any student who is a citizen of India can apply for and avail of an education loan from a lender in the country. Collateral or documents which can be taken as security should be those that are enforceable in India.

If you choose to discontinue the course mid-way, you must start repaying the loan immediately after getting a job.

Yes, you can move your education loan from one bank to another. However, your current bank might charge a refinance fee. Therefore, it is important to consider all factors of the existing bank and the new bank before moving the loan.

Yes, student loans in India can be waived in certain circumstances. Government schemes, employment in specific sectors, financial hardship, disability, and institutional policies are some avenues for loan forgiveness. It's essential to check with the loan provider and explore available options.

To get a student loan waived in India, you can explore government schemes, consider employment in sectors that offer loan forgiveness, communicate with your loan provider about financial hardship, and inquire about institutional policies. Providing necessary documentation and meeting eligibility criteria are crucial steps in the process.

To qualify for a loan waive-off, meet the lender's financial hardship criteria, citing reasons like unemployment or illness. Submit an application detailing your financial situation. The lender reviews it, offering terms for the waive-off if eligible. Acceptance involves signing an agreement and adhering to outlined terms, possibly requiring lump-sum payment or a repayment plan. Failure to comply may lead to legal action for debt recovery.

Yes, education loans cover 100% of the education expenses. However, full coverage may only be provided for expenses under a certain limit. Lenders have a margin if the expenses go above the limit.