Education Loan to study Master's in USA
*T&C Apply. Deduction under Section 129 of the Income Tax Act, 2025 (erstwhile Section 80E of the Income Tax Act, 1961) is available only under the old tax regime and shall not be applicable if the taxpayer opts for the new tax regime. Customers are advised to consult their tax advisors for applicability.
Pursuing a master’s degree in the USA is a step many students take when they want their learning to open new possibilities. With world-class universities, research-driven classrooms, and exposure to global industries, the USA offers an environment where ideas grow and careers take shape. For many students, studying here broadens their perspective and prepares them for opportunities. As you explore this path, understanding the overall cost of studying in the USA becomes an important part of your planning. Many students choose education loans for the USA to manage these expenses smoothly while keeping their long-term goals in focus. Let’s look at what studying a master’s in the USA typically involves.
Universities for Master’s in the USA
| University | Key Highlight |
|---|---|
| California Institute of Technology (Caltech) | Known for its strong focus on science, engineering, and research-intensive programmes. |
| Massachusetts Institute of Technology (MIT) | Offers a wide range of advanced programmes in technology, engineering, and innovation. |
| University of Pennsylvania | Provides interdisciplinary programmes with strengths in business, engineering, and social sciences. |
| Stanford University | Recognised for its research output and strong links with the technology industry. |
| Harvard University | Offers diverse postgraduate programmes with a focus on academic excellence and research. |
| University of Chicago | Known for rigorous academic programmes and a strong emphasis on research and analytical thinking. |
Source: https://www.idp.com/india/study-in-usa/best-ms-colleges-in-usa/
Why Study Master’s in the USA?
The USA continues to attract postgraduate students from around the world because of its strong academic environment, global exposure, and flexible learning opportunities. Here are some key reasons why many students consider it a valuable destination:
- Well-known universities: American institutions are globally recognised for their academic strength, research quality, and strong alumni networks.
- Diverse academic options: The US education system offers a wide variety of programmes and specialisations, allowing students to customise their learning paths.
- Practical learning opportunities: Most master’s programmes include internships or project-based work to help students gain real-world experience.
- Assistantships and on-campus roles: Many universities provide teaching or research assistantships that offer experience and can help manage educational costs.
- Post-study work options: Graduates can apply for Optional Practical Training (OPT), which allows them to work in the USA for up to three years, depending on their field.
- Supportive campus environment: Students benefit from strong support services, including academic advising, tutoring, orientation programmes, and career guidance.
Types of Education Loans for Master’s Students in the USA
Broadly, there are two main types of education loan for the USA:
- Secured Education Loan: A secured education loan is backed by collateral, such as residential property, fixed deposits, or insurance policies. This collateral will serve as a guarantee for the lender in case the borrower defaults.
- Unsecured Education Loan: An unsecured education loan is a type of student loan that does not require any collateral or security. Approval is based on the borrower’s financial profile.
Eligibility Criteria for an Education Loan in the USA
To qualify for a student loan in the USA, here are the eligibility criteria:
- Applicant Age: 16 years or above
- Co-Applicant: Generally required can be a parent, spouse, sibling or guardian
- Eligible Students: Those enrolling in bachelor’s or master’s programmes
- Approved Courses: Academic or professional programmes (MBA, MS, MBBS, etc.)
- Recognised Institutions: Universities and colleges accredited in the USA
Documents Required for an Education Loan for Master’s Overseas
To apply for an education loan for overseas study, here’s a checklist of documents you’ll need. Requirements vary slightly based on your co-applicant’s income type.
| Document Type | Details |
|---|---|
| A. Application Form | Completed original or digital loan application form |
| B. KYC Documents | PAN Card or Form 60 (mandatory if PAN is mentioned) ONE valid ID & address proof: Passport / Driving License / Voter ID / Aadhaar / NREGA Job Card / NPR Letter |
| C. Student Education Documents | 12th Marksheet (not needed for UG applicants in 12th or Exec PG) Latest semester/year marksheet or transcript Admission proof (Admission Letter / I-20) – waived for Sampoorna |
| D. Co-Applicant Financials | |
| → Salaried | Last 6 months’ salary account bank statements 1 recent salary slip/certificate |
| → Self-Employed (Non-Proprietor) | Last 6 months’ Current & Savings A/c bank statements Last 2 years ITRs (online acceptable) 44AD: income statement only Tax audit: CA attestation required Optional: Qualification proof, GST/Shop Act/Aadhaar Udyog |
| → Proprietor | Last 6 months’ Current & Savings A/c bank statements Last 2 years ITRs 44AD: income statement only Tax audit: CA-audited financials (P&L, BS, Computation, Schedules) |
| → No Income | Last 6 months’ Savings A/c bank statements |
| → Pensioner | Last 6 months’ Savings A/c with pension credits OR Pension Order |
| E. Collateral Documents (if applicable) | Latest sale deed Property tax receipt Approved building plan or Occupation Certificate |
Interest Rates on Education Loans for Studying Master’s in the USA
Get the funds you need for your education abroad with competitive interest rates and zero prepayment or foreclosure charges.
| Feature | Details |
|---|---|
| Interest Rate (Floating) | 9.95%* p.a. onwards |
| Origination Fee | 1.25%* + GST |
| Prepayment & Foreclosure Charges | None |
How to Apply for an Education Loan to Study Master’s in the USA
Follow this 3-step process
A simple and transparent journey.
1- Apply Online
Fill out the application form and upload documents.
2- Application Review
Get your sanction letter after our credit appraisal.
3- Funds Disbursed
You are all set to get started.
Expenses Covered Under a Student Loan for an MS in the USA
When you take an education loan for overseas study, the following expenses are typically covered, contributing to the overall cost of studying in the USA:
- Tuition fees and academic charges
- Hostel or on-campus accommodation
- Cost of living (food, transport, utilities, etc.)
- Books, lab supplies, and other learning materials
- Laptop or computer (if required for coursework)
- Examination and library fees
- Other education-related expenses as approved by the Credila
Repayment Options for Overseas Master’s Loan for Students
Repayment for master’s education loans is designed to be student-friendly and flexible:
- EMI-Based Repayment: Start paying in EMIs after the moratorium ends.
- Part-Payment Option: Make partial payments during the course to reduce the total interest.
- Flexible Tenure: Repayment tenure of up to 15 years based on your profile.
- No Prepayment Penalty: You can repay early without any additional charges.
Why Avail Credila’s Education Loan for Masters Abroad?
Save time. Go online.
Customer-centric processes with just 3 steps to disbursement.
We cover it all
Up to 100% financing of tuition and living expenses.
Start early. Apply before admission.
Benefit from seamless loan sanctions.
Friendly rates. All the way.
Student loans with customised interest rates.
Dream big. Achieve bigger.
Exploring funding for larger education costs? Not a problem.
Pan-India network of branches
Enjoy multi-city co-borrower(s) and collateral flexibility.
The benefit of tax saving
Added tax deductions# that bring down your cost of financing
Flexible payment plans
Repayment tenure of up to 15 years.
No hidden charges
What you see is what you pay.
Disclaimer: Deduction under Section 129 of the Income Tax Act, 2025 (erstwhile Section 80E of the Income Tax Act, 1961) is available only under the old tax regime and shall not be applicable if the taxpayer opts for the new tax regime. Customers are advised to consult their tax advisors for applicability.
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