The PNB Udaan education loan is designed to empower ambitious students who wants to pursue higher education and are more conscious and optimistic in their studies and career.
A key feature of the PNB Udaan Education Loan scheme is its flexibility, allowing students to enroll in essential diploma and certificate courses in abroad.
To make funding accessible, the loan can be secured against liquid assets such as Fixed Deposit Receipts (FDRs), National Savings Certificates (NSCs), or the surrender value of LIC policies, typically requiring a security value of 125%. With PNB Udaan, financial limitations no longer have to be a barrier to achieving your academic and professional goals.
Key Features of PNB Udaan Education Loan
- To provide financial support on the basis of merits for higher education in abroad.
- Job oriented technical professionals offered by reputed universities.
- Covered post graduation programme like MCA,MBA and MS.
- Courses conducted by CIMA-London, CPA in USA etc.
- Courses defined under various government subsidy scheme those students who secure admission in courses as under.
- Degree and diploma courses recognized by competent regularity bodies for employment purpose in abroad.
Eligibility Criteria of PNB Udaan Education Loan
- Student should be an Indian citizen.
- Should have secure admission to a higher education course in a recognized institution in abroad through entrance test/ merit based selection process after completion of 10+2.
- If loan taking upto 7.50 lacs then their parents and guardian or 3rd party guarantor will be required.
- If loan taking above 7.50 lacs then students parents/guardian will be joint borrower and collateral security will be taken by bank.
List of documents required for PNB Udaan Education Loan
KYC (know your customer) documents
- Loan application form duly filled and signed by banks format.
- Proof of ID – Copy of passport and visa, copy of PAN card and copy of adhar card.
- Proof of address – Copy of electricity bill, copy of bank passbook front page or copy of rent agreement.
- Proof of age – Copy of 10th class mark sheet.
- Proof of academics – proof of all secured marks copy of last examination.
- Letter of admission in professional/technical or vocational courses.
- Prospectus of the course wherein charges such as admission fee, examination fee and hostel charges etc should be mentioned.
Incase of property mortgage
- Copy of titled deed.
- Copy of valuation certificate of property.
- Copy of non encumbrance certificate from approved lawyer of the bank.
- Declaration affidavit of No loans from other banks.
- Copy of PAN and adhar card of Co-borrower.
ROI (Rate of interest)
| Description | Rate | Effective From |
| Existing Rate of Interest | 9.50% p.a. | 1st April 2025 |
| Revised Rate of Interest | 9.50% p.a. | 1st July 2025 |
Important Note on Interest Calculation: PNB Udaan Education Loan
- Moratorium Period (During your course): We charge Simple Interest on a monthly reducing balance, making it more affordable while you study.
- Repayment Period: Interest is compounded monthly from the due date of your first instalment
Other Professional Charges at a Glance
| Feature | Details | Benefit for You |
| Processing Fee (for studies abroad) | 1% of loan amount or ₹10,000 (whichever is lower) | Cost-Effective: A manageable upfront fee that is refunded after the first disbursement, making it virtually free! |
| Pre-Payment Charges | NIL | Total Flexibility: Repay your loan early without any extra charges, saving you money on interest. |
| Repayment Holiday (Moratorium Period) | Course Period + 1 Year | Focus on Studies: No EMI pressure during your studies and for a full year after course completion. |
| Proposal Inspection Charges | ₹250 (Only if loan is taken as collateral security) | Low Overhead: A minimal, one-time fee for specific loan security arrangements. |
Security Requirements at a Glance
| Loan Amount | Security Type | Key Requirements |
| Up to ₹7.50 Lacs | No Collateral Required | • No tangible security (like property) needed. • No third-party guarantor required. • Parents/guardian act as joint borrowers. |
| Above ₹7.50 Lacs | Collateral Required | • Tangible security (like property) is required by the bank. • Parents/guardian act as joint borrowers. • Assignment of the student’s future income for instalment payment. |
FAQ
Q Who can apply for PNB Udaan Education Loan?
Ans. Any Indian national is eligible for education loan in abroad.
Q. Who can be a co-applicant for the PNB Udaan Education Loan?
Ans. The parents, grandparents, spouse, parents in law can be co-applicant.
Q What would be the scholarship of the loan?
Ans. Upto 4 lacs – nil and above 4 lacs 15% of scholarship be included.
Q Can i take top-up or additional amount for same loan ?
Ans. Yes, you can take top-up or additional loan on the basis of merits of the original projects.
Q What is the maximum loan amount period ?
Ans. The maximum loan amount period is about 15 years.
Q Can i take any interest concession?
Ans. Yes, you can get 1% of loan concession but make sure it should not below MCLR of the bank.
Q What is the penalty or default charges of the loan ?
Ans. Up to Rs.-25000 – nil and above that there will be 2% of charge on the outstanding amount.
Q How can avail this loan?
Ans. You have to visit online portal https://loankijankari24.com/
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