Your education loan, explained.
What Myra found for you
From your documents · each figure opens its findingSix questions, answered
Tap an answer for the detail01Product identity
- ProductKaveri Study Abroad Loan
- LenderKaveri Credit Ltd (nbfc)
- CourseMBA (2 years) · abroad
- Sanctioned1 Aug 2025
- Loan••••2093
- DocumentsSanction letter · Disbursement advice
02What this is
An education loan of ₹20,00,000 from Kaveri Credit Ltd at 12.50% a year (floating), for study abroad. Interest builds up while studying (about ₹5,57,227) and is added to the loan; EMIs start on 30 Dec 2027 and run 144 months. The interest is tax-deductible for 8 years under the old regime.
03Key numbers
Loan running04Important findings
Most important first · tap to expandInterest paid on a higher-education loan is deductible in full, with no cap, for 8 years from the year you start paying interest (section 129), under the old tax regime only. The deduction goes to the person who took the loan and pays the interest, for yourself, your spouse or children, or a student you're the legal guardian of; principal isn't deductible, and the interest must be paid out of income that's taxed in India. Add your regime and slab to see the tax saved.
08What Myra could not verify
0Nothing essential is missing.
09Suggested questions
05What you're committing to
- Interest builds up while studying and is added to the loan
- ₹37,500 a month for 144 months after the moratorium
- Your parent owes it equally
06What can change
- RateMoves with its benchmark, during studies too
- PayoutsEach payout adds to the loan from its date
- TaxDeduction for 8 years from the year you start paying interest; old regime only
07Closing the loan
- Repaying earlyNo charge allowed on a floating rate
- After repayingSecurity released and a no-dues letter issued
- Co-borrowerReleased from liability once it's repaid