Fee No Bar

Educational loans for domestic courses can go up to around ₹40 lakh

- Nachiket Kelkar

Planning to join a top institute for a master's in business administration? There are many things to consider such as the options and the opportunities the institute offers. But, cost is also a key consideration.

A typical two-year programme in an institute such asIIM Ahmedabad or IIM Bengaluru costs around ₹23 lakh. Add to this travel and other sundry expenses.

At some of the newer IIMs and at some top private b-schools, the fees are lower. But, even then, it can be around ₹10 lakh to ₹15 lakh. Clearly, not many will be able to afford the fees out-of-pocket. Educational loans can be handy here.

Most banks offer education loans for higher degrees. Now, banks even have products for specific courses and institutes. For instance, State Bank of India’s SBI Scholar Loan Scheme covers courses in IIMs, IITs, NITs and other similar institutes. IDBI Bank has exclusive education loan products for courses in premier institutions, with low interest rates, said Sanjay Deshpande, executive director at the bank. Also, many students are enrolled under the management quota, which lead to higher expenses; banks like IDBI Bank offer exclusive products for these students, too, Deshpande said.