🎓 Education Loan Amortization Schedule
Interest rate range: 9.00% - 15.00% p.a. - Tenure: 5 - 15 years (after moratorium)
Monthly EMI
Rs. 20,240
Rs. 15.00 lakh at 10.5%
Total Interest
Rs. 9.29 lakh
10 year term
Total Repayment
Rs. 24.29 lakh
Principal + Interest
Adjust to your loan details
Loan type
Monthly EMI
₹20,240
Total Interest
₹9.29 L
38.24% of total
Total Repayment
₹24.29 L
Break-even Year
Year 7
principal > interest
Amortization Schedule
120 EMIs total
Principal vs Interest paid each year
| Year | Opening Balance | Principal Paid | Interest Paid | Closing Balance | % Paid |
|---|---|---|---|---|---|
| 1 | ₹15 L | ₹89,614 | ₹1.53 L | ₹14.10 L | 6% |
| 2 | ₹14.10 L | ₹99,490 | ₹1.43 L | ₹13.11 L | 13% |
| 3 | ₹13.11 L | ₹1.10 L | ₹1.32 L | ₹12.00 L | 20% |
| 4 | ₹12.00 L | ₹1.23 L | ₹1.20 L | ₹10.78 L | 28% |
| 5 | ₹10.78 L | ₹1.36 L | ₹1.07 L | ₹9.42 L | 37% |
Inside a Rs. 15.00 lakh education loan at 10.5%
Interest paid in Year 1
Rs. 1.53 lakh
63% of the year's EMIs
Principal repaid in Year 1
Rs. 89,614
37% of the year's EMIs
Principal overtakes interest
Month 42
≈ year 4
This worked example uses the current typical market rate of 10.5% for a education loan over 10 years, computed from the full amortization schedule. Total interest over the term is Rs. 9.29 lakh — about 62% of the Rs. 15.00 lakh borrowed. Because interest is front-loaded, the principal portion of your EMI only overtakes the interest portion in month 42 (around year 4), so prepaying in the early years has an outsized effect.
Education Loan EMI and total interest by loan amount
| Loan Amount | Monthly EMI | Total Interest | Total Repayment |
|---|---|---|---|
| Rs. 5.00 lakh | Rs. 6,747 | Rs. 3.10 lakh | Rs. 8.10 lakh |
| Rs. 10.00 lakh | Rs. 13,493 | Rs. 6.19 lakh | Rs. 16.19 lakh |
| Rs. 15.00 lakh (this page) | Rs. 20,240 | Rs. 9.29 lakh | Rs. 24.29 lakh |
| Rs. 25.00 lakh | Rs. 33,734 | Rs. 15.48 lakh | Rs. 40.48 lakh |
| Rs. 40.00 lakh | Rs. 53,974 | Rs. 24.77 lakh | Rs. 64.77 lakh |
All rows assume 10.5% for 10 years. EMI and interest scale in direct proportion to the loan amount — a Rs. 40.00 lakh education loan costs about Rs. 53,974/month versus Rs. 6,747/month for Rs. 5.00 lakh. Enter your exact amount, rate, and tenure in the calculator above for a precise month-by-month schedule.
Typical education loan rate & tenure
Education Loan interest rates in India typically sit at 9.00% - 15.00% p.a., with a mid-market reference rate of about 10.5% used for the figures on this page. Tenures usually run 5 - 15 years (after moratorium). A longer tenure reduces the monthly EMI but increases the total interest, while a shorter tenure does the opposite — pick the shortest tenure your monthly budget comfortably supports.
Education Loan - Key Facts
- -Moratorium period: course + 1 year (no EMI during studies)
- -Interest accrues during moratorium and is capitalized
- -Government schemes subsidize interest for economically weaker sections
- -Loans above Rs. 7.5 lakh require collateral (property/FD)
- -Repayment typically begins after 1 year of graduation or job (whichever is earlier)
Tax Benefit
Interest paid on education loans is 100% deductible under Section 80E for up to 8 years - no upper limit.
Frequently Asked Questions
What is the EMI on a Rs. 15.00 lakh education loan at 10.5%?▾
A Rs. 15.00 lakh education loan at 10.5% p.a. for 10 years has a monthly EMI of Rs. 20,240. Over the full term you repay Rs. 24.29 lakh — the Rs. 15.00 lakh principal plus Rs. 9.29 lakh in interest.
How much of the first year goes to interest on a education loan?▾
In year 1 of this Rs. 15.00 lakh education loan, about Rs. 1.53 lakh of your EMIs goes to interest and only Rs. 89,614 reduces the principal — roughly 63% interest. This front-loading is why the outstanding balance falls slowly at the start and prepaying early saves the most.
When does the principal overtake interest on a education loan?▾
For this Rs. 15.00 lakh education loan at 10.5%, the principal portion of the EMI first exceeds the interest portion in month 42 (around year 4). Before that crossover, more than half of every EMI is interest.
What is the total interest on a Rs. 15.00 lakh education loan?▾
At 10.5% over 10 years, the total interest on a Rs. 15.00 lakh education loan is about Rs. 9.29 lakh — roughly 62% of the amount borrowed. A shorter tenure or any prepayment cuts this figure sharply.
How does the EMI change with the loan amount for a education loan?▾
EMI scales in direct proportion to the loan amount at a given rate and tenure. At 10.5% for 10 years, a Rs. 5.00 lakh education loan costs about Rs. 6,747/month while a Rs. 40.00 lakh one costs about Rs. 53,974/month. See the by-amount table above for the full range.
What is the typical tenure for a education loan?▾
Education Loan tenures in India typically run 5 - 15 years (after moratorium). A longer tenure lowers the EMI but raises the total interest paid; the schedule and figures on this page assume 10 years.
What is the current education loan interest rate?▾
Education Loan interest rates currently range from 9.00% - 15.00% p.a. depending on the lender, loan amount, tenure, and your credit score. Major lenders include SBI, Bank of Baroda, Union Bank, Axis Bank, HDFC Credila. Check the current rate directly with your lender before applying.
Is there a tax benefit on a education loan?▾
Interest paid on education loans is 100% deductible under Section 80E for up to 8 years - no upper limit.