Punjab National Bank Education Loan For Study Abroad

You’ve dreamed of studying abroad for years. Late-night research, endless applications, and now—finally—you’re in.

But before you can pack your bags, there’s one last hurdle: how will you fund it? A quick Google search throws up dozens of options, each with complex terms and hidden charges. The last thing you want is to make the wrong choice and regret it later. 

That’s where a PNB education loan can help. Punjab National Bank (PNB), one of India’s largest public sector banks, has been supporting students with education loans for decades.

With dedicated schemes for both domestic and international studies, PNB offers student-friendly terms, competitive interest rates, and a straightforward process.

This blog explores PNB Udaan, the PNB education loan specifically designed for students pursuing higher studies abroad.

We’ll break down its features, eligibility, and key benefits to help you make an informed choice.

What is the PNB Udaan Education Loan Scheme?

PNB Udaan is a secured education loan designed for students like you who need financial support to study overseas.

Under this scheme, you can borrow up to ₹1 crore, but you’ll need to pledge collateral equal to the loan amount.

So, if you’re applying for ₹40 lakh, your collateral must be worth at least ₹40 lakh.

PNB Udaan offers competitive interest rates and covers a wide range of courses and countries.

Whether you’re eyeing a master’s in the UK or a specialised course in the US, this loan could be the financial backing you need.

Overview of PNB Udaan Education Loan

Feature	Details
Objective	Financial support for meritorious students pursuing higher education abroad.
Loan Margin	Up to ₹4 lakh: NIL
	Above ₹4 lakh: 15%
Security	Up to ₹7.5 lakh: No tangible security required; parent(s)/guardian as joint borrowers.
	Above ₹7.5 lakh: Tangible collateral security required along with parent(s)/guardian as joint borrowers.
Repayment Period	Up to 15 years
Repayment Holiday (Moratorium)	Course duration + 1 year
Prepayment Charges	Nil
Rate of Interest	10-12%
Processing Fee	1% of loan amount (Minimum ₹10,000, refundable after first disbursement)

To take advantage of the PNB Udaan Education Loan, you must meet certain criteria. Let’s explore the eligibility criteria for the PNB Education Loan.

Eligibility Criteria For PNB Education Loan

Before applying for a PNB Udaan, you need to meet certain requirements. The bank assesses your academic background, admission status, and financial standing to ensure you qualify.

Here’s what you need:

1. Indian Citizenship: You must be a resident Indian with valid proof of identity and address.

2. Age Limit: While there’s no fixed age limit, the bank may assess your age for repayment feasibility.

3. Confirmed Admission: You should have secured admission to a recognised foreign university or institution through an entrance exam or merit-based selection.

4. Academic Qualification: You must have completed Class 12 (HSC) or an equivalent qualification before applying.

5. Approved Course: The loan is available for graduate, postgraduate, diploma, and professional courses in recognised international institutions.

6. Co-Applicant Requirement: Your parent or legal guardian must be a co-borrower, ensuring financial backing for the loan.

7. Collateral Requirement: For loans above ₹7.5 lakh, you need to provide tangible security of equal or higher value.

8. Good Academic Record: A consistent academic performance increases your chances of loan approval.

With your eligibility confirmed, it’s time to understand which educational options align with the PNB Education Loan. Let’s explore the courses and institutions eligible for the PNB Education Loan.

Courses and Institutions Eligible For PNB Education Loan

PNB offers education loans for a wide range of courses abroad. Whether you’re pursuing a professional degree or a specialised diploma, your course must be recognised by a regulatory body and lead to employment opportunities.

Here’s a breakdown of the eligible courses:

• Undergraduate Courses – Job-oriented professional and technical courses offered by reputed international universities.
• Postgraduate Courses – Advanced degrees like MBA, MCA, MS, and other specialised master’s programmes.
• Professional Certifications – Recognised courses such as CIMA (UK), CPA (USA), CFA, and similar global certifications.
• Specialised Training Programmes – Courses in aviation, pilot training, aeronautics, shipping, and maritime studies, provided they are recognised by regulatory bodies abroad.
• STEM and Research-Based Courses – Higher studies in science, technology, engineering, mathematics, and medical fields.
• Government-Approved Courses – Any programme falling under government subsidy schemes or officially recognised international degrees.
• Diploma and Non-Specialised Courses – Accredited diploma and degree programmes, subject to collateral eligibility.

Having identified the eligible academic options, it’s time to understand how to apply.

PNB Education Loan Process

Option1: Apply Online through the Vidya Lakshmi portal

1. Register on the portal – Create an account on the Vidya Lakshmi website.

2. Fill out the application – Complete the Common Education Loan Application Form (CELAF) with your details.

3. Upload the required documents – Submit admission proof, fee structure, KYC documents, and income details.

4. Wait for verification – The bank will review your application and get in touch if any additional details are needed.

Option 2: Apply In Person at a PNB branch

1. Visit a nearby branch – Walk into any of PNB’s 10,000+ branches across India.

2. Meet a loan officer – Get guidance on eligibility, required documents, and repayment options.

3. Submit your application – Fill out the loan form, attach the necessary documents, and hand them over to the bank.

4. Processing & sanctioning – The bank evaluates your application, and once approved, you’ll receive a sanction letter.

Option 3: Apply Through UniCreds

If you want a faster and hassle-free process, UniCreds can handle everything for you. The team helps with document submission, verification, and approvals.

Also, a streamlined processing ensures your loan gets approved without unnecessary delays.

Why get a PNB Education Loan through UniCreds?

• Tailored Loan Offers: You don’t have to worry about missing out on the right loan. UniCreds finds the best option based on your needs.
• Faster Approvals: Why wait 45 days when you can get approval in two weeks or less? UniCreds works directly with PNB officials to speed things up.
• No Extra Charges: UniCreds doesn’t charge a single rupee. No processing fees, no hidden costs—just a smooth and stress-free process.
• Higher Chances of Approval: Missing documents or property issues can cause delays. UniCreds checks everything in advance and works with PNB to sort out any issues.

Skip the long queues and endless paperwork. Get your PNB education loan sorted quickly and easily with UniCreds!

You’ve learned how to apply; now, let’s understand what the loan actually pays for.

Expenses Covered In PNB Education Loan

The PNB Education Loan helps cover essential costs, ensuring you can focus on your studies without financial stress.

Here’s a breakdown of what’s included:

Expense Category	Details Covered
Tuition Fees	Covers full tuition fees as per the university’s official fee structure.
Hostel and Living Expenses	Includes hostel fees and other living costs during your study period.
Academic Fees	Covers examination, library, and laboratory fees as required by the institution.
Travel Costs	One-way airfare to your university or institute.
Insurance Premium	Life insurance for the student, as per loan terms.
Security Deposits	Refundable deposits such as caution money, with valid receipts.
Course Materials	Cost of books, uniforms, equipment, and study-related instruments.
Laptop or Computer	Funding for a computer if essential for the course, within a reasonable price range.
Project and Research Costs	Expenses for thesis, project work, and study tours required by the curriculum.

PNB Udaan ensures you don’t have to cut corners on essential academic expenses. With PNB Education Loan, you can focus on your goals without financial roadblocks.

Understanding the covered expenses is one part; preparing the right documents is another. Let’s walk through the documents required for an education loan in PNB.

Documents Required For Education Loan In PNB

Getting a PNB education loan involves paperwork, but having everything ready can speed up the process.

Here’s what you’ll need when applying for a PNB Education Loan:

1. For the Applicant (Student)

• Identity Proof – PAN card, passport, driver’s licence, or voter ID
• Academic Records – 10th and 12th mark sheets, degree certificates, and transcripts
• Proof of Admission – Offer letter from the university or institution
• Statement of Expenses – A detailed breakdown of tuition fees and other costs
• Photographs – Two recent passport-sized photos

2. For the Co-Applicant (Parent/Guardian/Sponsor)

• Identity Proof – PAN card, passport, driver’s licence, or voter ID
• Income Proof – Salary slips, Form 16, or income tax returns (ITR)
• Bank Account Statements – Last six months’ bank statements

3. For Collateral (If Taking a Secured Loan)

• Property Ownership Documents – Title deed and proof of ownership
• Approved Property Plan – If applicable
• Chain of Ownership – Property records for the last 30 years

Conclusion

You’ve done the hard part—getting into your dream university. Now, funding it shouldn’t feel like another uphill battle. With the PNB Udaan education loan, you get the financial backing you need, without the hidden stress. From tuition to travel, everything’s taken care of, so you can focus on your studies—not your bank balance.

But securing a loan shouldn’t mean endless paperwork and back-and-forth emails. That’s where UniCreds comes in. We simplify the entire process, helping you secure your loan quickly and smoothly. No delays, no guesswork—just expert support to get you closer to your study abroad dream.

FAQs

1. Can I apply for a PNB education loan online?

Yes, Punjab National Bank allows you to apply for education loans online through their official website. Once you click on “Apply Now,” you’ll be redirected to the PNB WeblenS portal, where you can submit and track your loan application easily.

2. What is the maximum loan amount under the PNB Udaan scheme?

PNB Udaan offers need-based financing for students pursuing higher education abroad. The maximum loan amount depends on the repayment capacity of both the applicant and the co-applicant.

3. Can minors apply for the PNB Udaan education loan?

No, applicants must be at least 18 years old to apply for a PNB Udaan education loan. Minors are not eligible.

4. What is the repayment tenure for PNB education loans?

The repayment period depends on the loan amount:

• Up to ₹50,000 – Repayment within 3 years
• ₹50,000 to ₹1 lakh – Repayment within 5 years
• Above ₹1 lakh – Repayment within 7 years

5. Can I request an additional loan amount after approval?

Yes, PNB considers additional loan requests for the same course on a case-by-case basis. The approval depends on your academic performance, repayment capacity, and required security. If you plan to pursue further studies, top-up loans may also be available within the overall eligibility limit.