Here, we will discuss the most important things that you need to ensure when you take an education loan for overseas education The first thing to keep in mind is that you get the disbursal for education loan when you have confirmed admission in the foreign university There is also an online application process for the education loan for the course or programme being offered in the institution overseas While the upper limit for an education loan for overseas education can vary, in case of premier institutions, the limit can vary from Rs 80 lakh to Rs 1.5 crore The education loan for higher studies abroad will typically cover tuition, stay, examination and passage to the education institution Such education loan will typically have a processing fee such as Rs 10,000. You need to check out on that The loan amount disbursed depends on the course of study to pursued, the institution and its repute, the age of co-applicant, typically a parent. The idea is to ensure that the loan will be repaid Also important are the earnings prospects after the completion of the course Remember, you are likely to get an education loan only for regular course of study in a recognised institution Another thing to keep in mind is that the education loan is provided in rupees and the repayment will need to be made in rupees regardless of where the borrower stays after completion of the course The education loan amount is provided in instalments as and when the requirement arises and it is given directly to the education institution or to its authorised representatives For higher education loan amounts, there could be collateral requirements Typically they would residential property, non-agricultural land and fixed deposits or FDs assigned to the lending institution are acceptable collaterals In some cases, lenders may allow collateral to be provide by a third-party apart from parents, such as a close relative Typically for low education loan requirements such as those below Rs 4 lakh, there is no margin requirement but for loan higher than that there could be margin requirement of up to 10% The tenure of the loan can be 12-15 years. It is a period of 6-12 months after the period of study that constitutes the moratorium period after which the repayment of the education loan starts