Education Loan and Alternative Funding Information for Indian MBAs

January 06, 2011

There are many options to consider when looking at how to fund your postgraduate studies. You can apply for an education loan, exclusive MBA scholarships for Indian students, and also alternative subsidizations. Often, however, not all of these choices are readily visible with a broad Google search and the process can be time consuming.

Depending on the program, the price of studying for a MBA can easily reach between USD50,000-USD60,000 per annum – if not more. And, despite the fact that an MBA will provide you with better career prospects and therefore a good chance of paying off your student debt quickly, it is very valuable to know your options when it comes to initially covering this cost. There are many different types of funding for each individual situation; choose the right one and there’s a chance you could end up saving hundreds of dollars. You might even gain a scholarship or fellowship into your chosen school and end up not having to spend very much money at all.

A non-bank education loan.

There is also the option of receiving a full education loan from a non-bank finance company either in India or abroad. Here are some options available to Indian students:

HDFC Credila offers loans to Indian students studying abroad or at home. HDFC Credila is a subsidiary of HDFC, the largest mortgage lender in India. The loan is given in Indian Rupees to be converted into whatever currency the student requires but it must be repaid in Rupees. The loan is given with a floating rate of interest (currently at 9.33% pa) and must be paid within a ten-year period. HDFC Credila loans require extensive supporting documentation and collateral such as proof of a house, apartment or non-agricultural land. For further information on HDFC Credila go here.