The former pandemic scenario has given rise to medical urgency and rises to a severe health conditions. It has brought us to the conclusion that the role of healthcare and medical practitioners is of utmost importance for the country.
Many people know that the journey of a doctor starts with MBBS, but to pursue the course of MBBS, the utmost dedication, hard work, consistency, dedication and primarily the finances to pursue the education, an education loan is required.
If you are willing to pursue medicine from a private college, then an education loan for MBBS students in India will be assured after the thorough grasp of this column.
Why take an education loan for MBBS
While keeping the fee structure of your desired college in mind and sustaining there for 5-6 years, an education loan for mbbs is required to ensure that you may not run out of funds.
Therefore, the medical education of the aspirant is our topmost priority. By availing medical loans to the aspirant, we would love to contribute to providing the shields of many future doctors to this nation. The healthcare and well-being of fellow citizens should not be compromised or dealt with lightly at any cost. Get Instanly 10000 loan for student.
Who is eligible to take a education loan for mbbs in India?
In respect to confirming your medical education loan in India, In a good MBBS college, one must have to meet certain requirements and qualifications.
- An aspiring medical student must have attained the age of 17 years and not exceeded 25 years of age.
- Aspirants should have to qualify for mandatory NEET exams.
- Minimum 50% of marks secured in 12th standard.
- Physics/Chemistry/Biology as the primary subjects in the 12th class.
- The university/ college must be affiliated with the World health organisation, National Medical Commission (NMC) and United Nations Educational Scientific and Cultural education (UNESCO).
- Minimum Income of Rs 25,000 per month.
- Parents applying for an education loan for their child should work in a private, public or LLP organisation.
- Salary slip of two months as Income proof to be eligible for education loan.
Top Banks providing education loans in India to aspiring Medical students
| Banks providing loans | Rate of Interest | Loan amount | MaximumTenure | Processing fee |
| HDFC Bank | Favoured Rate of Interest as per college /university. | Up till 1.5 crore | 15 years | Depending upon the Bank’s criteria. |
| Canara Bank | 9-10 % per annum | Depending upon the need | 15 years | As per the bank criteria |
| Federal Bank | 12-13% per annum | In India – Rs 10 lakhsIn Abroad- Rs 20 lakhs | 15 years | Nil |
| Bank of Baroda | 9-9.5% | 1.50 crore | 15 years | Nil upto 7.50 lakhs. 1% of loan amount upto Rs 10,000. |
| Axis Bank | 13 -14 % Per annum | Max – 50 Lakhs | Up till 15 years | 2% of loan amount |
Types of Education Loans in India
One of the prominent sources to fund education in India is the education loan, broadly categorised into two.
Unsecured education loan/ Loan without collateral
These types of loans are usually allotted based on students’ academic profile, a loan where there is no need to put collateral as a mortgage with the bank. However, the terms and conditions and eligibility set by financial institutions should be kept in mind.
Secured Education Loan / Loan with collateral
Education loan granted on the pledge of collateral security regarding becoming qualified for the secured education loan. Banks generally take three types of properties as collateral
- Liquid security
- Immovable property like land, houses, and boundaries that the person owns.
- Government bonds
What type of loan is preferred for medical education in India?
If you are willing to pursue MBBS in India or abroad and are looking for an education loan. It is suggested that the medical student should opt for a secured education loan that has a maximum limit of up to 1.5 crores.
Government banks are the only source that provides secured education loan for MBBS in India. On the other hand, unsecured education loans are insured by Non-banking financial corporations (NBFCs) and private limited banks. The possibilities of getting loans from these are not encouraging and hopeful.
Education expenses born by Medical students to pursue MBBS
When it comes to access to quality medical education in India, there are very few institutes that assure it at an affordable fee. Most Indian medical students go to Russia, Ukraine, Georgia and China for quality medical education. Get 10000 loan for students
In government Indian colleges, medical education costs around somewhere between Rs 60,000 to Rs 2,50,000 for the entire education program, while it costs somewhere around 2.5 crores when it comes to private colleges.
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Conclusion
As said above, medical practitioners and doctors are the protecting guardians and shields for a country. Medical education should always be promoted and supported in order to protect the human capital of the country.
Covid-19 pandemic has made us realise the importance of doctors in the country. When it comes to providing finances to aspiring MBBS students is a never-ending process. Still, if you do sufficient research and analysis, it will be a slightly easy method as you know everything in and out.
FAQs
Q.1 How can I get a student loan for MBBS?
You can get a secured education loan of Rs 80,000 lakhs to pursue an MBBS in India.
Q.2 Can I do MBBS for under 20 lakhs?
In most private universities/ institutions, tuition fees vary from 20-25 lakhs. To pursue MBBS under 20 lakhs, one needs to score very well in the NEET exam and target government medical colleges.
Q.3 Is student loan interest-free?
No, it is not possible to acquire a loan at a 0% interest rate. No education loan is interest-free in India.
Q.4 How much is the cost of private medical education in India?
Decent medical college costs around Rs 25 lakhs per year for medical courses and can reach up to Rs 1 crore in the case of MBBS.
Q.5 Which MBBS colleges have the lowest fees in India?
- Grant medical college, Mumbai
- Armed forces medical college, Mumbai
- Kasturba Medical college, Mangalore
- Christian medical college, Vellore
- Maulana Azad medical college, New Delhi
- Institute of Medical Sciences, BHU Varanasi
- AIIMS – All India Institute of Medical Sciences, New Delhi
Q.6 What if I do not repay my student loan?
If loan is not repaid on time, your credit score may decline, and you may not get a loan again in life. In the case of a secured loan lawsuit may get filed against you, and your collateral property may get sold.
Q.7 Does SBI give a non-collateral education loan?
State bank of India offers non-collateral education loans up to Rs 7.5 lakhs. Subsidies are also granted in some instances.