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Unlock Overseas Education Opportunities with the Union Bank of India's Loans 

The Union Bank of India is a state-owned financial services company headquartered in Mumbai, India. Established in 1919, it is one of the largest government-owned banks in the country, with a network of over 4,300 branches spread across the country. The bank provides a wide range of services, including personal and corporate banking, loan, foreign exchange, and investment services. It also offers an extensive range of digital banking services, including mobile and internet banking. Union Bank of India is committed to providing its customers with high-quality financial services and is continuously working on expanding its product and service offerings to meet the changing needs of its clients. 

Unlock the door to your dream education abroad with Union Bank of India's Study Abroad Education Loan. Get a clear understanding of the loan process and start planning your international education today with our comprehensive guide. 

Discover the flexibility, affordability, and convenience that Union Bank of India offers to make your study abroad dream a reality. 

For the below table kindly note, the Premium Scheme is for students who got admission in one of the 159 Universities that Union Bank of India approves. It is a list of 159 top Universities from all over the globe. And any student who got admission to a University that is not on the list of UBI will come under General Scheme.


General Scheme

Premium Scheme


No Income criteria for Education Loan

All Income Groups are acceptable

Quantum of Finance

Need-Based Finance to meet the expenses

Above Rs 7.50 lakhs and up to Rs 1.5 Cr

Funding & Margin

Up to INR 4 lakh – Nil, and above INR 4 lakh - 15%

15% No Matter the Loan Amount

Interest Rate

Interest rate is higher than the Premium Scheme

Interest rate is lower than the General Scheme

Moratorium Period

Course duration + 12 months

Course duration + 12 months


15 years Excluding course duration

15 years Excluding course duration

Processing Fees

Rs 5000 + GST (Refundable if disbursement within 3 months of sanction)

Rs 5000 (Refundable after disbursement within 3 months of sanction)

Processing Time

7 days

7 days


Parents / Spouse/ Parents in law (in case of married)

Parents / Spouse/ Parents in Law (in case of married)

Serving simple interest

Option to pay Simple Int., during study and Moratorium Period.

It is Optional

Union Bank of India is the best bank for Overseas Education Loan, offering two education loan schemes for students who aspire to study abroad - the General Scheme and the Premium Scheme. Both these schemes cater to the financial needs of students looking to pursue their higher education overseas. The loan amount, margin, interest rate, charges, and repayment options are all customized based on the specific requirements of each student. As per your university choose the scheme that best fits your financial needs and start financing your dream education abroad with Union Bank of India.

Let's dive into the details of the expenses covered under the Union Bank of India's education loan

  • Tuition fees
  • Payment to the university for on-campus accommodation
  • A reasonable amount is considered for private accommodation based on the country's living expenses. 
  • Hostel/mess charges 
  • Examination/ Library/ Laboratory fee
  • Insurance premium for the student borrower
  • Building fund/ refundable deposit supported by Institution bills/ receipts, Caution deposit.
  • Purchase of books/ equipment/ instruments/ uniforms. 
  • Purchase of computer/ laptop at a reasonable cost, if required, for completion of the course. 
  • Travel expenses for overseas education 
  • Admission acceptance fee 
  • Other expenses required to complete the course/degree - like study tours, project work, thesis, etc.

Benefits of availing of the Union Bank of India's Education Loan

  • Loan is offered at the lowest rate of interest with a Low EMI. [EBLR + .50% without collateral, EBLR + 0.25% with collateral more than 50% up to <100% at EBLR with collateral more than 100%. Presently EBLR -7.70%].
  • Collaterals are not required for loans up to Rs. 40.00 lakhs if a student proposes to pursue education from one of the Top 159 foreign universities listed by UBI.
  • No processing charges. (If the loan is availed within 3 months from the date of sanction)
  • Finances to various Indian and foreign universities by obtaining suitable security.
  • The loan is provided for STEM, Law, Economics & Econometrics, Art, Performing Arts, Design, Management Courses and Medical under this scheme.
  • Students can get secured loans for Full -Time Regular Graduate / Post -Graduate Degree/ PG Diploma courses in any foreign University / Institution
  • Tax Benefit under section 8O (E)
  • UBI is flexible in disbursing the tuition and living costs before the issuance of the visa. 

In the case of availing an education loan from Union Bank, students are required to pay certain charges for valuation and search reports. The following charges are applicable -

  • Valuation Report and Search Report Charges: As applicable. 
  • Processing Fees: Rs. 5000 (Refundable after disbursement within 3 months of sanction) 
  • Processing Time: 7 days
  • Stamp Duty towards Mortgage and Registration: As applicable as per state Government. 

Let's understand a little more about the step-by-step process of The Union Bank Education Loan!

Step 1: Review the eligibility criteria for Union Bank Education Loan. 
Step 2: Collect all necessary documents, including proof of identity, proof of admission to an educational institution, and proof of income. 
Step 3: Submit the completed loan application form along with all required documents to the nearest Union Bank branch. 
Step 4: The Union Bank branch will evaluate the loan application and may request additional information or documents if necessary. 
Step 5: Once the loan application has been approved, Union Bank will initiate the loan sanction process. 
Step 6: After the loan has been sanctioned, the bank will disburse the loan amount directly to the educational institution. 

The following is a general list of documents that may be required for an education loan from the United Bank of India

  • Completed loan application form 
  • Proof of admission to an educational institution 
  • Identity proof, such as a PAN card, Aadhar card, or passport 
  • Income proof, such as salary slips or income tax returns, for the applicant and/or co-applicant. 
  • Mark sheets and certificates from previous academic qualifications 
  • Guarantor form and supporting documents, if applicable 
  • Loan Agreement and promissory note 
  • Any other documents as required by UBI 

Acceptable Securities

Now that we know the required documents, let's also look at the sure-shot security you can use to avail of the education loan. For a secured education loan in India for study abroad from the United Bank of India (UBI), the acceptable collateral depends on the type of loan.
For the general scheme, acceptable collateral includes a residential or commercial building with an approved map approved by the sanctioning authority, however, agricultural land and open plain land is not considered. 
For the premium scheme, a collateral-free education loan for education abroad is up to 40 Lakhs. For loans above 40 Lakhs, the student has to provide collateral only for the amount required above 40 lakhs, which is a really unique feature of an education loan from UBI. Additional interest concessions may be available if the collateral value is more than 100%. The security can be in the form of a building, government securities, public sector bonds, units of UTI, NSC, KVP, a life policy, or bank deposits. 

Let's look at the Repayment for the UBI Education Loan Scheme

The repayment period for an education loan from Union Bank has a maximum duration of 15 years, commencing after the completion of the course and the moratorium period. Regardless of the amount borrowed, the repayment tenure will be at most 15 years. 
During the moratorium period, if the accrued interest is not serviced, it will be added to the principal amount when calculating the Equated Monthly Installments (EMI) for repayment. This means that the borrower will need to repay the combined amount of the principal and accumulated interest in equal monthly instalments over the 15-year period. 

Accelerating Your Education Loan Application with UBI 

Getting an education loan can be a complex and time-consuming process, but with UBI, it doesn't have to be. Partnering with the United Bank of India, we at ELAN Loan can help make the process quicker and smoother, with disbursement within a week or even sooner depending on your profile. 
Our loan experts at ELAN will thoroughly review your documents and submit them to the nearest UBI branch for processing. They will also guide you if any changes are needed in your loan application. Our team will continuously follow up with the bank to ensure that your application is processed in a timely manner. 
From the first application to the final disbursement of your education loan, ELAN Loan will be there to help you every step of the way. 

Approach us right now to get the ball rolling on your loan application and guarantee fast service.


  • What are the UBI General and Premium Scheme in Overseas Education Loans?

    The Premium Scheme is for students who got admission to one of the 159 Universities that Union Bank of India approves. It is a list of 159 top Universities from all over the globe. And any student who got admission to a University that is not on the list of UBI will come under General Scheme.

  • How much loan can I get through Union Bank of India, without Collateral?

    You can get up to 40 lakhs. But only if you come under the premium scheme.

  • What is the Loan Processing time?

    The loan processing time is 7 days, but it depends solely on your profile.

  • What will be the Tenure of the Loan?

    The tenure can maximumly be 15 years excluding course duration.

  • Which is the Most Beneficial Factor if you avail of a loan from UBI?

    Collaterals are not required for loans up to Rs. 40.00 lakhs under the Top 159 foreign universities for any courses, if any student is required more than 40.00 lacs then he/she is supposed to provide the remaining amt collateral only. This is only for students that come under the Premium Scheme.


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