Empower Your Education Dreams with Prime Capital

If you discontinue your course, the moratorium period ends immediately, and you need to start repaying the loan. The outstanding amount becomes payable immediately, though we usually offer a restructured repayment plan. It's important to inform the bank immediately if you discontinue your studies. Some insurance products can cover such eventualities.

Yes, under Section 80E of the Income Tax Act, you can claim deduction on the interest paid on education loans. The entire interest amount is deductible for 8 years starting from the year you start repaying. However, there's no deduction available on the principal amount. The loan must be for higher education (full-time) of self, spouse, or children.

Yes, you can prepay your education loan at any time without any prepayment charges. This is one of the special benefits of education loans compared to other loans. Early repayment helps reduce your total interest burden. We encourage students to start repaying as soon as they secure employment, even during the moratorium period.

It depends on the loan amount. For loans up to $15,000, no collateral is required. For loans between $15,000-$50,000, a third-party guarantee may be required. For loans above $50,000, collateral (property, fixed deposits, etc.) is typically required. For premier institutions, collateral requirements may be relaxed.

For most education loans, a co-applicant (parent, guardian, or spouse) is mandatory as students typically don't have income or credit history. However, for students with a strong academic record and admission to top-tier institutions, or for employed professionals pursuing further education, we may consider the application without a co-applicant on a case-by-case basis.