Education Loan to Study in Italy

While Italy may not be your popular study-abroad destination. However, when we talk about top destinations to study across Europe, Italy takes centre stage. Studying in Italy can be affordable also and expensive also depending on the level of study, choice of programs and private or public university. To cater to the studying costs, applicants can opt for educational loans to study in Italy. Get all details here.

With specialized courses, renowned universities, home to leading brands and affordable living costs, studying in Italy has been gaining popularity among international students. If you are someone who is planning to study in Italy, you must know that the dream of studying abroad comes at cost

Education loans can be availed from government and private banks, non-banking institutions and various other recognized sectors. Candidates should note that different banks would have different requirements in terms of education loan rate of interest, collateral requirements, documentation required to process an education loan and eligibility for an education loan and so on. It is always advisable to talk to a bank representative to understand the education loan terms and conditions. Here, we have attempted to provide an overview of the requirements of an Italy student loan and how to get a student loan to study in Italy.

One of the drawbacks of studying abroad is the cost incurred in the entire process which includes tuition fees, living expenses, application costs, personal expenditures and miscellaneous overheads among others. While a sizeable number of study abroad applicants can finance themselves much resort to education loans to pursue their dream of studying abroad. In this article, we are going to be discussing education loans to study in Italy for international students.

Italy Student Education Loan

In this section, we will be talking about the various aspects of applying for an education loan to study in Italy for Indian students.

Education Loan to Study in Italy -  Eligibility

• Any Resident Indian can apply for an education loan
• The student should have ideally completed his 10+2 (12th Standard)
• Secured admission/ invite from university in approved university/ college in degree/ diploma course
• Documents displaying regular income are mandatory for the co-applicant (parents/ sibling/ guarantor)

What are the documents required for an Education loan to Italy?

• Know Your Customer (KYC) Documents
• Mark sheets of 10th, 12th, graduation and entrance exams
• Admission letter
• Fee structure
• Co-applicant KYC and income proof
• Additional documents may be requested in case of collateral required
  • Accepted Security/ Collateral:
  • Residential/ commercial property/ plots (Non-agricultural)
  • Fixed deposits.

Also, Read

Eligibility Criteria for Education Loan - Documents Required	What Documents Are Required For an Education Loan?
Education Loan Vs. Self Funding - Which is Better to Study Abroad?	Top Education Loans Providers in India for Study Abroad

Italy Student Loan - Fees and Service Charges

These include charges that are levied by any bank for a number of services that are availed by borrowers. Candidates should note that the charges mentioned below are the charges for the ICICI Bank Education Loan. We have included the charges to give you an idea of the costs involved while applying for an education loan to study in Italy or any country. These charges are bound to vary from bank to bank.

Description of Charges	Charges applicable
Loan Processing Fees	Up to 3.5%+GST (Non-Refundable)
SERVICE CHARGES
CERSAI Fee	₹ 50 for LA 5 lacs + GST
Administrative charges	₹ 5000 +GST (The Administrative charges are one-time nonrefundable charges collected by the Lender to appraise the valuation and legal verification of property to ascertain suitability of accepting the property for the mortgage and the same is independent of the outcome /result of such appraisal )
CIBIL charges	₹ 100+GST
Repayment mode swap Charges	₹ 500/- per transaction+GST
Amortization Schedule charges	NIL
Statement of Account charges	NIL
Duplicate No Objection Certificate/ No Due Certificate	₹ 500/- per NOC plus GST/₹ 200/- per NDC + GST
Document Retrieval Charges	₹ 500/- plus GST
PENAL CHARGES
Late Payment Penalty on pre-EMI and EMI	24% PA of overdue (2% per month of overdue)+GST
Cheque/AD/ ECS bounce charges	₹ 500+GST
Prepayment Charges/Foreclosure charges	NIL
Schedule Adjustment charges/Part payment charges	NIL

Note: GST and other govt. taxes, levies, etc. applicable as per the prevailing rate will be charged over and above these charges at the discretion of ICICI Bank ltd. The charges or fees given in the above table are subject to change and the one recorded in the agreement will be binding over this site. | source: ICICI Bank

Related Reads

• Apply to India's top education loan providers through Shiksha Study Abroad
• SBI Education Loan for Study Abroad: Ultimate Guide

ICICI Bank Education Loan Interest rates

Interest rate	Starting at 9.50%* per annum
Loan tenure	Up to 8/10 years for undergraduate post-course period + 6 months Up to 10/12 years for Post Graduate post-course period + 6 months
Maximum loan amount	Up to Rs 1 crore for domestic courses Up to Rs 3 crore for international courses
Collateral requirement	Exceptional collateral can be accepted in the form of Fixed Deposit, Fresh Property, Cross collateralization with existing Mortgage loans
Unsecured Loan requirement	Unsecured loan for selected institutes: Up to 50 lakhs for UG & PG courses
Moratorium period	Course period + 6 Months Grace period
Margin	No margin for premier institutes No margin up to Rs 20 lakh for other categories of institutes Ranging from 5% - 15% margin for loans above Rs 20 lakh (Margin can be FD/scholarship/initial fee paid to the institute)

Interest rate range for Education Loans for April 2024 to June 2024:

Type of credit facility	Education Loan –iSMART interest rates
Minimum	9.50 % per annum
Maximum	16.00 % per annum
Mean	11.75 % per annum

Note: Mean rate = Sum of the rate of all loan accounts/number of all loan amounts | Source: ICICI Bank

Candidates should note that other Indian banks offering loans to study in Spain include:

Nationalized Banks	Private Banks
SBI	HDFC Credilla
PNB Udaan	ICICI Bank
Bank of Baroda	Axis Bank

What are the expenses covered in an Education Loan:

All of the tuition fees as determined by the college/University. Up to 100% of other expenses including living and hostel expenses, travelling expenses, examination fees, library/laboratory fees; purchase of books/equipment/instruments/uniforms; passage money for studies into India; purchase of computers/laptops considered necessary for the completion of the course as decided by the bank. Travel fare is restricted to one economy class return ticket between India and the country of study.

How to Apply for an Education Loan to Study in Italy?

While applying for an education loan is technical. However, candidates are required to do their homework well to be able to land the best deals. Education Loan enthusiasts are required to follow the below-mentioned steps while applying for an education loan:

• Candidates should check whether their university/ course is recognized by the bank for the loan application
• The candidate should have a loan amount that he/ she plans to borrow from the bank. Applicants should note that tuition fees and other expenses would have to be accounted for by the student to the bank in the form of documents as received by the university.
• Candidates should check out the bank that is giving the best rate of interest and apply accordingly 
• Once the formalities are complete the education loan will be credited for study purpose 

Why is an education loan not as bad as it sounds

Well, we all know that an education loan could have some ugly connotations. However, here are a couple of reasons why you should opt for an education loan:

• Seamless remittance to international institutes
• Hassle-free process for timely disbursement of loan
• Students who want to take their own financial responsibilities, without depending on their parent’s savings
• Interest deduction applicable on the Education Loan under Section 80E of the Income Tax Act of 1961
• Get a collateral-free loan of up to Rs 40 lakh, for select institutes (the amount can vary depending on the bank)
• Pre-Visa disbursal, for students applying for education in a foreign country
• Other student expenses, such as laptop or exchange travel are also covered
• Attractive interest rate starting at 10.50% per annum.

Also, Read

Collateral for Education Loan: Everything You Need to Know	Public v/s Private Education Loan Providers
Indian Banks offering Education Loans for Studying Abroad: Interest, Eligibility, Documents	Step-by-Step Guide to Education Loans

If you need assistance with university admissions, our Shiksha Study Abroad counsellors would be happy to assist you. If you want to get in touch with us, you can write to us in the comments below.