Education Loan to Study in Spain
Spain, with its thriving start-up culture and top academic institutions, is becoming a popular destination for international students. But is studying in Spain affordable? What are the best education loan options available? Which loans are easier to secure? This guide covers everything you need to know.
Cost to Study in Spain
Studying in Spain is affordable, especially at public universities with low tuition fees. Private universities are more expensive but still cost less than those in the USA, UK, or Canada. Tuition fees in Spain follow a pay-per-credit system, meaning costs vary based on the number of credits in your chosen program. Below is a table outlining program-wise expenses.
Cost to Study in Spain
| Program Name | Average cost per credit | Approx total credit | Approx total cost per year |
|---|---|---|---|
| Bachelor’s Degree | 30 EUR - 45 EUR | 60 ECTS | 1,800 EUR - 6,000 EUR |
| Master’s Degree | 15 EUR - 55 EUR | 60 - 70 ECTS | 2,700 EUR - 7,000 EUR |
Cost to Living in Spain
| Expense | Cost per month |
|---|---|
| Accommodation | 600 EUR - 800 EUR |
| Food | 125 EUR - 130 EUR |
| Transportation | 150 EUR - 200 EUR |
| Utilities | 300 EUR - 350 EUR |
Eligibility Criteria For Education Loan for Spain
To secure an education loan for studying in Spain, applicants must meet the following criteria:
Be an Indian citizen and at least 18 years old.
Enroll in a full-time program at a recognized Spanish university.
Have a strong academic record.
For unsecured loans, demonstrate good career prospects; for secured loans, provide collateral.
Expenses Covered in Education Loan to Study in Spain
The different expenses which are covered under the education loans for study in Spain are –
Accommodation & tuition fees
Examination fees
Travel expenses
Library & lab fees
Laptop purchase
Study tours & project work
Books, equipment, uniforms, and other essentials
Additional necessary expenses for course completion
Secured Education Loan to Study in Spain
A secured education loan requires collateral, such as property, fixed deposits, or insurance. It offers benefits like lower interest rates, longer repayment terms, and higher loan amounts. Public sector banks are preferred for their competitive rates and better loan terms compared to private banks and NBFCs.
| Lender Name | Maximum Loan Amount (in INR) | Rate of Interest | Margin Money |
|---|---|---|---|
| SBI | Up to 1.5 Cr | 10.15% (for girls) 10.65% (for boys) | 10% |
| UBI | Up to 1 Cr | 9.25% - 9.75% | 10%(listed university) 15%(non-listed university) |
Unsecured Education Loan to Study in Spain
An unsecured education loan for France does not require collateral, making it a preferred option for students without assets to pledge. However, the interest rates are usually higher than those of public sector banks. These loans are offered by private banks, NBFCs, and international lenders.
| Lender Name | Maximum Loan Amount | Rate of Interest | Margin Money |
|---|---|---|---|
| Axis Bank | Up to 50 Lakhs INR | 10.90% - 12.5% | 5% |
| ICICI Bank | Up to 50 Lakhs INR | 10.50% - 12.50% | 0 - 15% |
| IDFC FIRST Bank | Up to 35 Lakhs INR | 10.75%-12.25% | Nil |
| HDFC Credila | Up to 20 Lakhs INR (Only STEM Courses) | 10.50% - 12.5% | Nil |
| Avanse | Up to 20 Lakhs INR (Only STEM Courses) | 11% - 13% | Nil |
| Prodigy Finance | Up to 100,000 USD | 12-14% USD | Nil |
Fees and Charges - Student Loan in Spain
Education loans come with additional fees, which vary by lender. Below is a breakdown of typical charges, using HDFC’s foreign study loan as an example. Actual costs may differ across banks.
| Service | Charges in INR |
|---|---|
| Processing Fee | 1.5% of the sanctioned loan amount, non-refundable, plus applicable taxes |
| Account Update/Handling Fee (Customer Requests) | INR 1,500, plus applicable taxes |
| Manual Collection Fee | INR 200 per visit, plus applicable taxes |
| Legal/Incidental Expenses | Billed at actual cost |
| Stamp Duty and Other Legal Charges | Based on applicable state laws |
| Pre-payment Charges | None |
| No Objection Certificate (NOC) | No charges |
| Delayed Payment Penalty | 2% per month on the overdue installment (MI/PMII), plus applicable taxes |
| Statutory CERSAI Fees | As per CERSAI regulations |
| Cheque/ACH Mandate/Direct Debit Change Fee | Up to INR 500 per change, plus applicable taxes |
| Cheque/ACH/Direct Debit Bounce Fee | INR 400 per instance, plus applicable taxes |
Documents Required for Education Loan for Spain
Now that you’re familiar with how to select the most suitable lender, it’s crucial to comprehend the necessary documents to smoothly complete your loan application process.
The documentation requirements for obtaining an education loan to pursue studies in Spain are outlined in the list below:
Admission letter from the university
Completed loan application form
Cost of study details
Identification and residence proof
PAN details
Bank statements and asset statements of guarantor/co-borrower/student
Proof of income for guarantor/co-borrower/student
How to Get an Education Loan for Spain?
Securing an education loan for Spain is simple but can be overwhelming when dealing with multiple lenders. Follow these steps to streamline the process:
Check your eligibility online.
Connect with a loan expert for guidance and lender suggestions.
Receive a personalized document checklist.
Submit the required documents as per lender guidelines.
Await verification (7-15 days), then sign the agreement. Wait for verification (7-15 days), sign the agreement, and track progress.
Upon approval, initiate loan disbursement, with funds sent to your account or directly to the university.
Frequently Asked Questions
For unsecured education loans, private banks offer up to ₹50 lakh, while NBFCs provide around ₹20 lakh.
After graduation, students can apply for a post-study work visa, allowing them to stay in Spain for up to one year to seek employment.
A bank balance of around €7,000 to €8,000 (₹6-7 lakh) is recommended to demonstrate financial stability for a Spanish student visa.
International students in Spain can work up to 30 hours per week, including internships, based on university and employer policies.
Some of the top courses to study in Spain include Natural Sciences, Hospitality Management, Computer Science & IT, Business & Management, and Arts & Humanities.
Education Loan to Study in Spain
Spain, with its thriving start-up culture and top academic institutions, is becoming a popular destination for international students. But is studying in Spain affordable? What are the best education loan options available? Which loans are easier to secure? This guide covers everything you need to know.
Cost to Study in Spain
Studying in Spain is affordable, especially at public universities with low tuition fees. Private universities are more expensive but still cost less than those in the USA, UK, or Canada. Tuition fees in Spain follow a pay-per-credit system, meaning costs vary based on the number of credits in your chosen program. Below is a table outlining program-wise expenses.
Cost to Study in Spain
| Program Name | Average cost per credit | Approx total credit | Approx total cost per year |
|---|---|---|---|
| Bachelor’s Degree | 30 EUR - 45 EUR | 60 ECTS | 1,800 EUR - 6,000 EUR |
| Master’s Degree | 15 EUR - 55 EUR | 60 - 70 ECTS | 2,700 EUR - 7,000 EUR |
Cost to Living in Spain
| Expense | Cost per month |
|---|---|
| Accommodation | 600 EUR - 800 EUR |
| Food | 125 EUR - 130 EUR |
| Transportation | 150 EUR - 200 EUR |
| Utilities | 300 EUR - 350 EUR |
Eligibility Criteria For Education Loan for Spain
To secure an education loan for studying in Spain, applicants must meet the following criteria:
- Be an Indian citizen and at least 18 years old.
- Enroll in a full-time program at a recognized Spanish university.
- Have a strong academic record.
- For unsecured loans, demonstrate good career prospects; for secured loans, provide collateral.
Expenses Covered in Education Loan to Study in Spain
The different expenses which are covered under the education loans for study in Spain are –
- Accommodation & tuition fees
- Examination fees
- Travel expenses
- Library & lab fees
- Laptop purchase
- Study tours & project work
- Books, equipment, uniforms, and other essentials
- Additional necessary expenses for course completion
Secured Education Loan to Study in Spain
A secured education loan requires collateral, such as property, fixed deposits, or insurance. It offers benefits like lower interest rates, longer repayment terms, and higher loan amounts. Public sector banks are preferred for their competitive rates and better loan terms compared to private banks and NBFCs.
| Lender Name | Maximum Loan Amount (in INR) | Rate of Interest | Margin Money |
|---|---|---|---|
| SBI | Up to 1.5 Cr | 10.15% (for girls) 10.65% (for boys) | 10% |
| UBI | Up to 1 Cr | 9.25% - 9.75% | 10%(listed university) 15%(non-listed university) |
Unsecured Education Loan to Study in Spain
An unsecured education loan requires no collateral but comes with higher interest rates than secured loans. It is offered by private banks, NBFCs, and international lenders. A comparison of their offerings is provided below.
| Lender Name | Maximum Loan Amount | Rate of Interest | Margin Money |
|---|---|---|---|
| Axis Bank | Up to 50 Lakhs INR | 10.90% - 12.5% | 5% |
| ICICI Bank | Up to 50 Lakhs INR | 10.50% - 12.50% | 0 - 15% |
| IDFC FIRST Bank | Up to 35 Lakhs INR | 10.75%-12.25% | Nil |
| HDFC Credila | Up to 20 Lakhs INR (Only STEM Courses) | 10.50% - 12.5% | Nil |
| Avanse | Up to 20 Lakhs INR (Only STEM Courses) | 11% - 13% | Nil |
| Prodigy Finance | Up to 100,000 USD | 12-14% USD | Nil |
Fees and Charges - Student Loan in Spain
Education loans come with additional fees, which vary by lender. Below is a breakdown of typical charges, using HDFC’s foreign study loan as an example. Actual costs may differ across banks.
| Service | Charges in INR |
|---|---|
| Processing Fee | 1.5% of the sanctioned loan amount, non-refundable, plus applicable taxes |
| Account Update/Handling Fee (Customer Requests) | INR 1,500, plus applicable taxes |
| Manual Collection Fee | INR 200 per visit, plus applicable taxes |
| Legal/Incidental Expenses | Billed at actual cost |
| Stamp Duty and Other Legal Charges | Based on applicable state laws |
| Pre-payment Charges | None |
| No Objection Certificate (NOC) | No charges |
| Delayed Payment Penalty | 2% per month on the overdue installment (MI/PMII), plus applicable taxes |
| Statutory CERSAI Fees | As per CERSAI regulations |
| Cheque/ACH Mandate/Direct Debit Change Fee | Up to INR 500 per change, plus applicable taxes |
| Cheque/ACH/Direct Debit Bounce Fee | INR 400 per instance, plus applicable taxes |
Documents Required for Education Loan for Spain
Now that you’re familiar with how to select the most suitable lender, it’s crucial to comprehend the necessary documents to smoothly complete your loan application process.
The documentation requirements for obtaining an education loan to pursue studies in Spain are outlined in the list below:
- Admission letter from the university
- Completed loan application form
- Cost of study details
- Identification and residence proof
- PAN details
- Bank statements and asset statements of guarantor/co-borrower/student
- Proof of income for guarantor/co-borrower/student
How to Get an Education Loan for Spain?
Securing an education loan for Spain is simple but can be overwhelming when dealing with multiple lenders. Follow these steps to streamline the process:
- Check your loan eligibility.
- Connect with a loan expert for guidance and lender suggestions.
- Receive a personalized document checklist.
- Submit the required documents as per lender guidelines.
- Await verification (7-15 days), then sign the agreement. Wait for verification (7-15 days), sign the agreement, and track progress.
- Upon approval, initiate loan disbursement, with funds sent to your account or directly to the university.
Frequently Asked Questions
For unsecured education loans, private banks offer up to ₹50 lakh, while NBFCs provide around ₹20 lakh.
After graduation, students can apply for a post-study work visa, allowing them to stay in Spain for up to one year to seek employment.
A bank balance of around €7,000 to €8,000 (₹6-7 lakh) is recommended to demonstrate financial stability for a Spanish student visa.
International students in Spain can work up to 30 hours per week, including internships, based on university and employer policies.
Some of the top courses to study in Spain include Natural Sciences, Hospitality Management, Computer Science & IT, Business & Management, and Arts & Humanities.