Shereen Backer A Jan 25, 2024
Entrance Tips

Top 5 Education Loan Options in Kerala for Study Abroad

Studying abroad is a dream many cherish, offering the promise of diverse experiences, global exposure, and a world-class education. However, financing an international education can be a daunting challenge. In the lush and culturally rich state of Kerala, this dream is not beyond reach, thanks to various education loan options.

This blog will explore the top 5 education loan in Kerala for study abroad, each offering unique benefits and tailored to the specific needs of aspiring students.

Education Loan Options in Kerala for Study Abroad

Securing financing for higher education abroad is a major concern for many aspiring students in Kerala. Fortunately, Kerala offers a range of education loan options tailored to the diverse needs of students. Here are the top five education loan choices available in Kerala;

  • State Bank of India (SBI) Education Loan
  • Federal Bank Education Loan
  • Kerala State Higher Education Council (KSHEC) Scholarship Loan
  • Canara Bank Education Loan Scheme

Option 1: State Bank of India (SBI) Education Loan

When it comes to education loans in Kerala, the State Bank of India (SBI) stands as one of the most prominent and reliable options. SBI has a well-established reputation for providing financial assistance to students pursuing higher education abroad.

  • Eligibility Criteria: SBI offers education loans to Indian nationals who have secured admission to recognized institutions for various courses. The bank covers various programs, from undergraduate to postgraduate and doctoral studies. The eligibility criteria for SBI education loans are generally inclusive, making it accessible to a diverse group of students.
  • Interest Rates and Repayment Terms: Interest rates are competitive and depend on the loan amount. Under the SBI Global Ed-Vantage scheme, students can avail loans up to INR 1.5 crores, with repayment tenures of up to 15 years. The bank also offers a six-month grace period after course completion before the repayment begins.
  • Pros and Cons: SBI's education loans are known for their transparent and straightforward application process. They also offer flexible repayment terms and do not require collateral for loans up to INR 7.5 lakhs. However, one potential drawback is that the interest rates can vary based on market conditions, which may affect the overall cost of the loan. Numerous students from Kerala have benefited from SBI education loans, achieving their dreams of studying abroad. These success stories testify to SBI's commitment to supporting education and nurturing young talents.


Option 2: Federal Bank Education Loan

Federal Bank is another prominent player in the education loan landscape in Kerala. The bank's education loans are designed to meet the diverse financial needs of students seeking international education.

  • Eligibility Criteria: Federal Bank extends its educational loans to students who secure admission to recognized institutions in India or abroad. Eligible courses span various disciplines, including engineering, medicine, management, and more.
  • Features and Benefits: Federal Bank's education loans offer competitive interest rates and flexible repayment options. Additionally, they cover many expenses, including tuition fees, accommodation, and other related costs. The bank's prompt loan approval process is a significant advantage for students eager to secure their finances quickly.
  • Application Process: Federal Bank's application process is streamlined and user-friendly, ensuring that students can easily navigate it. Providing the necessary documents and fulfilling the eligibility criteria is essential to ensure a smooth application process.
  • Tips for a Successful Federal Bank Loan Application: To enhance your chances of securing a Federal Bank education loan, maintain a strong academic record, have a co-applicant with a stable income, and provide complete and accurate documentation. These steps can significantly contribute to a successful loan application.


Option 3: Kerala State Higher Education Council (KSHEC) Scholarship Loan

The Kerala State Higher Education Council (KSHEC) offers an innovative approach to education financing through its scholarship loan program. Unlike traditional bank loans, the KSHEC Scholarship Loan operates as a government initiative with a unique focus on supporting the educational aspirations of Kerala's youth.

KSHEC's scholarship loan program is a pioneering initiative to financially support deserving students who secure admission to prestigious institutions abroad. This program stands out for its focus on merit, ensuring that students with exceptional academic records have access to the financial resources they need.

  • Eligibility and Selection Process: KSHEC scholarship loans are awarded based on merit, and students must have an outstanding academic record to qualify. This program reflects the government's commitment to nurturing exceptional talents and promoting education for personal and societal development.

How This Loan Differs from Traditional Bank Loans?

Unlike traditional bank loans, KSHEC scholarships have subsidized interest rates and extended repayment tenures. The government's involvement in this initiative aims to reduce the financial burden on students and make quality education more accessible.

The KSHEC Scholarship Loan has been instrumental in supporting numerous students from Kerala in pursuing their dreams of international education. The success stories of these students serve as inspiration and demonstrate the positive impact of government-backed initiatives.


Option 4: Canara Bank Education Loan Scheme

Canara Bank is a well-known name in the banking sector and offers a comprehensive education loan scheme for students planning to study abroad. It provides students with financial resources and assistance to fulfill their educational aspirations.

  • Loan Details and Eligibility Criteria: Canara Bank offers education loans for various programs, from undergraduate to postgraduate courses. Eligibility criteria are reasonably broad, allowing students from various backgrounds to access the loan facility.
  • Interest Rates and Repayment Options: Interest rates are competitive, and repayment options are flexible. The bank also offers a grace period post-course completion before repayment begins. Additionally, Canara Bank discounts female students and those pursuing select courses.
  • Flexibility and Perks Offered by Canara Bank: Canara Bank's education loans are known for their flexibility and comprehensive coverage of expenses. The bank allows students to use the loan for tuition fees, travel costs, and other associated expenses. The bank also offers insurance coverage to protect the student and the co-applicant. To illustrate the impact of Canara Bank's education loans, we present a case study of a student who successfully financed their overseas education through this scheme. This real-life example demonstrates how Canara Bank has played a pivotal role in helping students achieve their dreams.


Option 5: Kerala State Backward Classes Development Corporation Education Loan

For students belonging to backward classes in Kerala, the Kerala State Backward Classes Development Corporation offers an education loan scheme. This initiative aims to provide financial support and educational opportunities to students who might otherwise face financial constraints.

  • Education Loan Schemes for Backward Class Students: The Kerala State Backward Classes Development Corporation education loan is designed to the unique needs of students from backward classes. It ensures that education is accessible to a diverse range of students.
  • Eligibility and Loan Features: This loan scheme has specific eligibility criteria designed to cater to the financial needs of backward-class students. The loan covers various expenses, including tuition fees, books, and living costs, making it a comprehensive solution. To highlight the practical impact of this option, we share the story of a student from a backward class background who was able to pursue their dreams through this initiative. This case study demonstrates how targeted education loans can open doors to a brighter future.


How to Choose the Education Loan in Kerala for Study Abroad?

Selecting the right education loan in Kerala for study abroad involves a strategic approach. Start by researching and comparing options, considering interest rates, repayment terms, and eligibility criteria. Evaluate your financial capability and the total funding required for your education. You can also consider approaching any of the top study abroad consultants in Kerala for better guidance and support. 

Verify that you meet the loan's eligibility requirements. Comprehend the interest rate structure, favoring one that aligns with your financial plan. Explore repayment flexibility and collateral requirements. Familiarize yourself with the loan application process and its documentation. Develop a comprehensive financial plan and, if needed, seek guidance from education loan experts.


Kerala offers diverse education loan options and expert consultants for overseas education students. From renowned banks like SBI, Federal Bank, and Canara Bank to government programs like KSHEC Scholarship Loan and Kerala State Backward Classes Development Corporation Education Loan, there are choices to suit all needs. Expert guidance from consultants like Edoxi, Times Training Center, Kerala State Education Loan, and HDFC Bank streamlines the process. With these resources, Kerala's students can realize their international education dreams.

Locations Where Edoxi Offers Study Abroad Services

Here is a list of other major locations where Edoxi offers Study Abroad Services

Study Abroad Consultants in Abu Dhabi | Study Abroad Consultants in Qatar | Study Abroad Consultants in Kuwait Study Abroad Consultants in Bahrain | Study Abroad Consultants in Riyadh |


English Language and Soft Skills Trainer

Ms. Shereen Backer is a broad minded English language and Soft Skills trainer with Edoxi Training Institute, Dubai. She is fascinated about training young minds and professionals to reach new heights in their career. Her vast experience as an English language and soft skills trainer enables her to handle training sessions for students from diverse cultures.

Ms. Shereen challenges her students to be the best version of themselves. She holds strong records of accomplishment with TESOL/TEFL Certification and IDP Teacher’s Training Program Accreditation.

For the last seven years, she has been working with companies and universities as an ESL/EFL verbal trainer cum academic and career counsellor. She helped more than 500 individuals to clear exams like IELTS, PTE, TOEFL, OET, DET, PSAT, NMSQT and SAT. She also specialises in voice and accent training for English language students.