This guide explains what a marksheet loan is, who qualifies, which documents you need and what interest rates lenders charge in 2026. It also walks through how to apply for a marksheet loan online and what the moratorium period means for repayment. Reading time: about 6 minutes.
A marksheet loan is an education loan sanctioned largely on the strength of your academic record. Your marksheets and admission letter do the heavy lifting instead of a salary slip, which is why students with no income of their own can still qualify. It is also called a certificate loan or degree certificate loan, and some lenders list it simply as a student loan.
Most Indian banks and NBFCs offer it, from public sector banks such as SBI, Canara Bank and Bank of Baroda to private banks and digital lenders. Amounts typically run from ₹50,000 to ₹20 lakhs for courses in India and go higher for overseas study where collateral is pledged. Here is what you need to qualify, what it costs and how to apply.
PRO TIP
Quick answer: you need a confirmed admission letter, your 10th and 12th marksheets, and a co-applicant for full-time courses. Loans up to ₹7.5 lakhs usually need no collateral, and repayment starts after the course ends plus a grace period of 6 to 12 months.
What is a Marksheet Loan?
When you are planning higher education, tuition and living costs can quickly narrow your choices. If you have secured admission to an accredited or highly ranked institute and have a solid academic record, a marksheet loan bridges that gap. The name comes from your marksheet or examination scores forming the core of the lender’s assessment.
This loan is tailored to help you study at a college or university of your choice, in India or abroad. You can get a marksheet loan online from most lenders depending on your eligibility and the institution you have been admitted to. The sanctioned amount varies by lender, course and whether you pledge security.
The most useful feature is that you do not repay while the course is running. Repayment begins after you graduate, following a grace window of roughly 6 to 18 months depending on the lender. Interest accrued in this period is usually added to what you owe, so your parents or co-borrowers are not left servicing the loan while you study.
How Does a Marksheet Loan Work?
The mechanics are simpler than most people expect. Three things happen in sequence:
- You apply with your marksheet and admission letter. The marksheet establishes your academic track record; the admission letter confirms the course, institution and the fee you actually need funded
- The lender assesses three things together: your academic merit, the institution’s reputation and your co-borrower’s income. A strong score at a recognised institute improves both your approval odds and your rate, because lenders are effectively underwriting your future employability
- Repayment starts after a moratorium. This usually equals the course duration plus one year, giving you time to finish studying and find a job before the first EMI is due
Sneha, a 21-year-old from Nashik, secures admission to a 2-year MBA costing ₹9 lakhs. She applies with her graduation marksheets and admission letter; her father, a salaried employee, comes on as co-applicant. Because the amount crosses ₹7.5 lakhs, the bank asks for collateral. Her moratorium runs 2 course years plus 1 year, so her first EMI falls due in the fourth year.
DID YOU KNOW?
You can choose to pay simple interest during the moratorium rather than letting it capitalise. It is optional, but it stops your principal growing and cuts your total interest cost over the tenure.
Eligibility Criteria for Marksheet Loans
Check that you qualify before applying, because this loan leans on strong grades and admission to a recognised institute. Lenders typically approve when your employability after the course looks solid. You may apply as a student, a salaried or self-employed candidate, or with your parents as co-borrowers.
| Criterion | Typical Requirement |
|---|---|
| Residency | Indian resident |
| Age | Minimum 18 years; upper limit usually 35 years or more, varying by lender |
| Co-applicant | Mandatory for full-time courses (parent, guardian, spouse or parent-in-law) |
| Collateral | Usually not required up to ₹7.5 lakhs; required above that limit |
| Academic record | Consistent marks in 10th, 12th and graduation, plus entrance scores where applicable |
| Course type | Graduate, post-graduate, vocational or PG diploma course |
| Institution | Admission to a college or university recognised by UGC, AICTE, government or IMC |
Documents Required for Marksheet Loan Application
Before you apply online for a marksheet loan, keep documents ready for yourself as the applicant and for your guarantors or co-borrowers, usually your parents.
| Document Type | What to Keep Ready |
|---|---|
| Identity proof | Aadhaar card, PAN card, passport, voter ID or driving licence |
| Address proof | Utility bills, passport, ration card, rental agreement, property documents or maintenance bills |
| Academic records | 10th and 12th marksheet or latest education certificate, plus entrance scorecard where applicable |
| Admission proof | Admission letter and a statement of the cost of study |
| Income proof (salaried co-borrower) | Recent salary slip or certificate with Form 16, 3 to 6 months’ bank statements, appointment letter or experience certificate |
| Income proof (self-employed co-borrower) | 6 months’ bank statements, last 2 consecutive years’ ITR, office address proof and business existence proof such as tax or shop establishment registration |
| Application set | Completed loan application form and 2 passport-sized photographs |
WATCH OUT
A marksheet alone will not get a loan sanctioned. Every lender also needs identity, address and income documentation for the co-borrower. Missing income proof is one of the most common reasons a certificate loan application stalls.
Courses Financed By Marksheet Loans
Some of the courses covered under these loans are:
- Graduation and post-graduation courses along with degree or diploma courses
- Education in disciplines such as medicine, management, engineering, IT and more
- Technical and vocational training courses such as nursing, teacher training, aviation and more
Expenses Covered by Marksheet Loans
Some of the typical expenses covered by this loan are:
- Tuition fees
- Living and accommodation expenses
- Commuting expenses
- Books, equipment, computer, lab, exam and other fees
- Travel from your place of residence to the college or institution
- Other expenses incurred over the course of completion
Interest Rates of Marksheet Loans
Marksheet loan rates move with the repo rate, since most bank education loans are floating and pegged to the lender’s external benchmark. Here are indicative ranges from major lenders as of 2026. [RATES: verify with each lender before publish]
| Lender | Indicative Interest Rate (Per Annum) |
|---|---|
| State Bank of India | 8.20% – 11.75% |
| Canara Bank | 8.60% – 11.35% |
| Punjab National Bank | 9.00% – 10.35% |
| Bank of Baroda | 9.15% – 12.50% |
| Union Bank of India | 9.30% – 12.55% |
| HDFC Bank | 9.50% onwards |
Note: Interest rates are subject to change and vary by scheme, loan amount, collateral and co-applicant profile. Please verify with the respective bank or NBFC before applying.
QUICK STAT
Students admitted to premier institutes often pay materially less. SBI’s Scholar Loan, for instance, sits in the region of 6.90% to 7.65% per annum, and most public sector banks offer a 0.50% concession for girl students.
Source: Public sector bank education loan schemes, 2026. Verify current rates
Two things are worth asking about explicitly: whether an institute-linked scheme applies to you, since the discount is usually 1.5 to 2.5 percentage points, and whether you qualify for an interest subvention scheme, which cuts your effective cost further for eligible income brackets.
How to Apply for a Marksheet Loan Online: Step-by-Step
The marksheet loan apply online process is largely digital and takes under 30 minutes if your documents are ready. Follow these steps:
- Compare lenders on interest rate, collateral threshold, moratorium length and processing fee, then shortlist two or three that fit your course and amount
- Open the lender’s website, go to the education loan section and select the scheme matching your course
- Fill in the form with your course details, institution name, total cost of study and co-applicant information
- Upload your marksheets, admission letter, identity and address proof, and your co-borrower’s income documents
- Submit and track it; most lenders respond within 1 to 3 working days, though public sector banks take longer for collateral-backed cases
- Complete verification and sign the sanction letter, after which the amount is usually disbursed directly to the institution per the fee schedule
Applying offline? Request a student loan application form at the branch, submit it with photocopies of the same documents and wait for verification.
Advantages of Marksheet Loans
Beyond funding a course, a marksheet loan carries a few structural benefits:
- No income of your own required. Your academic record and your co-applicant’s income carry the application, which matters when you have never earned
- No collateral for smaller amounts. Loans up to around ₹7.5 lakhs are typically unsecured, so no family property needs to be pledged
- Repayment starts after the course. The moratorium means you are not paying EMIs while studying
- Tax deduction on interest. Section 80E allows a deduction on the interest paid, with no upper limit, for up to 8 years from the year repayment begins (available under the old tax regime)
- Covers the full cost of study, not just tuition but accommodation, books, equipment and travel
- Builds your credit history early. Timely repayment gives you a track record before you apply for any larger loan later
One caveat: a marksheet loan is still debt, and interest capitalising through a long moratorium can meaningfully increase what you finally repay. Run the numbers against your expected starting salary before committing to the full sanctioned amount.
In case you are unable to qualify for competitive marksheet loans or are falling short of funds in your academic pursuits, you can pay for any ed-tech course on EMI with Fibe. Get up to ₹10 lakhs to sign up for any online course and upskill to give yourself the best chance to succeed. Take up to 3 years and repay comfortably in low-cost or no-cost EMIs. With minimal documents and an easy application process, Fibe’s EdTech Finance offers you a great way to accomplish your educational goals. Download the Fibe App or visit the website to explore its benefits.
FAQs On Marksheet Loans
1.Can I get a loan on my 12th marksheet?
Yes, you can. Most lenders offering marksheet loans require a copy of your 12th or 10th standard marksheet. A 12th marksheet loan is commonly used to fund undergraduate courses, and some issuers consider applications with around 50% marks, though a stronger score improves your approval odds and your rate.
2.How do banks verify marksheets?
The bank or lender contacts your school, college or examination board directly to confirm the marksheet is genuine. Some also cross-check against the university’s online result portal.
3.Can I get a loan on my degree certificate?
Yes, but you must first be eligible for a marksheet loan. If you meet the criteria, certain lenders will issue a degree certificate loan against it, usually alongside your admission letter for the next course.
4.What is a marksheet loan and who can apply for it?
A marksheet loan is an education loan assessed mainly on your academic record rather than your income. Any Indian resident aged 18 or above with confirmed admission to a recognised institute can apply. Students, salaried and self-employed candidates are all eligible, though full-time courses need a co-applicant such as a parent, guardian or spouse.
5.How to apply for a marksheet loan online?
Compare lenders on rate and collateral threshold, open the education loan section of your chosen lender’s website, fill in the form with your course and co-applicant details, then upload your marksheets, admission letter, KYC and income proof. Most lenders respond within 1 to 3 working days and disburse directly to the institution.
6.What is the maximum loan amount I can get on a marksheet loan?
It depends on the lender, the course and whether you pledge collateral. Domestic courses are commonly funded between ₹50,000 and ₹20 lakhs, and overseas study can go considerably higher when property or a fixed deposit is pledged. Your co-applicant’s income and the institution’s reputation both influence the final amount.
7.What is the moratorium period in a marksheet loan?
The moratorium is the window during which you do not have to pay EMIs. It typically covers the course duration plus 6 to 12 months, giving you time to graduate and find a job. Interest usually accrues and is added to your principal, so paying simple interest through the moratorium reduces your overall cost.