Education loans for studying in the USA
US master's programmes are among the most expensive study destinations for Indian students, which makes loan structure — secured, unsecured or international lender — the single biggest financial decision of your application year.
What lenders will look for
- I-20 or admission letter from the university
- Test scores where the lender asks for them
- Co-applicant income documents, unless applying to a no-co-applicant lender
- Collateral only if you choose a secured route
Funding your studies in USA
Education costs
Plan for tuition plus living expenses, health insurance, travel and a one-time setup cost. The university's official cost of attendance sheet is the number lenders work from, so use it rather than an informal estimate.
Secured vs unsecured
Secured loans against property usually carry the lowest interest rate and the highest sanction limits. Collateral-free NBFC loans and international lenders trade a higher rate for speed and for not needing security or an Indian co-applicant.
Co-applicant
Most Indian lenders require one. A few international lenders fund selected US graduate programmes without an Indian co-applicant, assessed on the programme itself.
Collateral
Residential property, fixed deposits and certain securities are commonly accepted. Valuation and legal vetting take time, so start collateral paperwork before your visa timeline gets tight.
Loan amount
Lenders can fund up to the documented cost of attendance, subject to their own caps for your programme and profile. Loans for living expenses may be released in instalments.
Repayment
Tenures commonly extend up to ten to twelve years. Foreign-currency loans from international lenders also carry exchange-rate risk you should factor into your EMI planning.
Moratorium
Typically course duration plus six months. Some lenders expect partial interest servicing during the course, which reduces the interest that capitalises.
Disbursement
Tuition goes to the university per term. Living-expense components may be credited to your account or a forex arrangement.
Documents you'll need
- I-20 and admission letter
- Passport and visa documents
- Test scores and academic transcripts
- Cost of attendance breakdown
- Co-applicant KYC, income proof and bank statements
- Property documents for a secured loan
Questions about studying in this destination
Related reading
Guides on documentation, collateral valuation and choosing between banks and NBFCs.
Estimate your EMI
See what a loan of this size would cost each month after your moratorium.
Preliminary assessment only. Final eligibility, interest rate and loan terms are determined by the lender.