Bank of Maharashtra (BoM) is a prominent public sector bank with 30 million customers and 2,263 branches across India. For Indian students planning to study abroad, BoM offers education loans under its Model Education Loan Scheme and the specialized Maha Scholar Overseas Education Loan Scheme for meritorious students at premier foreign universities.
As a public sector bank, BoM’s advantages include competitive RLLR-linked interest rates (10.55-11.30% for secured loans), government interest subsidy eligibility, nil processing fee under the Maha Scholar scheme, and pre-approved in-principle sanctions for students applying to multiple universities. The primary limitation: Rs 20 lakh standard maximum for study abroad (higher amounts considered case-by-case). Applications are processed via the Vidya Lakshmi Portal only – not through branch walk-ins.
Bank of Maharashtra Education Loan 2026 – Quick Reference
Feature | Details |
Bank | Bank of Maharashtra (BoM). Public sector bank. 30 million customers. 2,263 branches. |
Education loan schemes | (1) Model Education Loan (India + abroad), (2) Maha Scholar Education Loan (premier Indian institutions), (3) Maha Scholar Overseas Education Loan (premier foreign universities), (4) Mahabank Skill Loan (vocational) |
Interest rate (secured, abroad) | 10.55% – 11.30% p.a. (RLLR 9.30% + spread 1.65-2%) |
Interest rate (unsecured/standard abroad) | 10.05% – 13% depending on loan and collateral ratio |
Interest rate formula | RLLR (currently 9.30%) + spread (1.65% to 2%) = 10.95% – 11.30%. Check current RLLR at bankofmaharashtra.in |
Maximum loan (abroad – standard) | Up to Rs 20 lakh (higher amounts possible case-by-case based on profile, collateral, institution) |
Maximum loan (abroad – Maha Scholar Overseas) | Up to Rs 20 lakh (no margin for premier institutions) |
Margin (above Rs 4 lakh, abroad) | 15% of total cost |
Margin (Maha Scholar Overseas – List A institutions) | No margin required – 100% financing |
Processing fee | Nil under Maha Scholar scheme. 1-2% under Model Education Loan. |
Girl student concession | 0.50% interest rate concession |
Meritorious student concession | Up to 0.25% interest rate concession |
Moratorium payment concession | Up to 1% concession if simple interest paid during moratorium |
Maha Saraswati RD concession | 0.25% for RD accounts maintained 3+ years (capped at 0.50% total) |
Moratorium period | Course duration + 1 year (or 6 months after getting job – whichever earlier) |
Repayment tenure | Up to 15 years (180 months) after moratorium |
Pre-approved in-principle sanction | Yes – available for students applying to multiple universities |
Application mode | Vidya Lakshmi Portal (vidyalakshmi.co.in) ONLY. No in-person branch applications accepted. |
Government subsidy eligible | Yes – CSIS, Dr Ambedkar Scheme, Padho Pardesh (Minority) |
Note: RLLR (Repo Linked Lending Rate) at Bank of Maharashtra is currently 9.30%. As RBI revises the repo rate, RLLR changes automatically and your floating rate adjusts. Always verify current rates at bankofmaharashtra.in.
Bank of Maharashtra Education Loan Schemes for Study Abroad
Scheme | Purpose | Abroad Coverage | Key Features |
Model Education Loan | Higher studies in India and abroad at recognized universities | Yes – job-oriented professional/technical/PG courses at recognized foreign institutions | Standard IBA model. 15% margin abroad. Processing fee 1-2%. CSIS eligible. Rs 20 lakh standard cap. |
Maha Scholar Education Loan | Premier institutions primarily in India (IITs, IIMs, NITs, AIIMS) | Limited abroad coverage – primarily for students at top Indian premier institutions | A/B/C category institution tiers. No margin for List A. 100% financing at premier institutions. |
Maha Scholar Overseas Education Loan | Meritorious students at premier foreign colleges and universities | Yes – specifically for abroad studies at top-ranked global universities (MIT, Oxford, Stanford etc.) | No margin for select premier institutions. Nil processing fee. Interest concessions for top-tier admits. 15-year repayment. |
Mahabank Skill Loan | Vocational training and skill development courses | Primarily India-based | Up to Rs 1.5 lakh. CGFSSL covered. No collateral. |
For study abroad, the Maha Scholar Overseas Education Loan is the most advantageous scheme for students admitted to top-ranked global universities – nil processing fee, no margin for premier institutions, and interest concessions. For students at less elite international institutions, the Model Education Loan is the relevant route.
Also Read: Compare Education Loan Interest Rates – All Lenders 2026
Bank of Maharashtra Education Loan Interest Rates 2026
Loan Category | Interest Rate | Notes |
Secured (abroad, with collateral 120%) | 10.05% p.a. | Highest collateral ratio gets best rate |
Secured (abroad, standard collateral) | 10.55% – 11.30% p.a. | RLLR 9.30% + spread 1.65-2% |
Unsecured/Standard abroad | 11% – 13% p.a. | Standard rates; verify current at bankofmaharashtra.in |
After girl concession (0.50%) | Reduce above rates by 0.50% | Applied automatically for female applicants |
After meritorious concession (0.25%) | Reduce above rates by 0.25% | Applied for deserving academic performers |
After moratorium payment concession (1%) | 1% off if simple interest paid regularly | Applied retrospectively when repayment begins |
Maximum total concession: 0.50% is the cap for combined concessions under the Model Education Loan scheme (girl + meritorious combined cannot exceed 0.50%). The 1% moratorium payment concession is separate and additional. Maha Scholar scheme has different concession structure – confirm with bank.
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Bank of Maharashtra Education Loan Eligibility
Criterion | Requirement |
Citizenship | Indian national. Also covers NRIs, Persons of Indian Origin (PIOs), and students born abroad but studying in India after parental repatriation. |
Admission | Secured admission offer from a recognized institution in India or abroad (confirmed offer letter) |
Academic qualification | Should have secured admission to recognized professional, technical, vocational, UG, PG, or doctoral courses |
Age | No specific age stated for standard scheme. Maha Scholar specific schemes may have limits (e.g., medical PG: max 45 years for specific sub-scheme) |
Co-applicant | Parent as co-borrower (mandatory). Loan granted to student with parent as co-borrower. |
Maha Scholar Overseas specific | Must be meritorious student pursuing full-time regular courses at premier foreign colleges/universities. Institution must qualify as premier under BoM classification. |
What Does Bank of Maharashtra Education Loan Cover?
- Tuition fees and academic charges
- Hostel fees and accommodation
- Examination, library, and laboratory fees
- Books, stationery, equipment, and instruments
- Laptop/computer if required for the course
- Caution deposit and other refundable deposits required by the institution
- Travel expenses (passage money for studying abroad)
- Project work, thesis, and study tour expenses
- Any other reasonable expenses required to complete the course
Documents Required for Bank of Maharashtra Education Loan
Student Documents
- Identity proof: Aadhaar, Passport, PAN, Voter ID
- Age proof
- Address proof
- Academic records: all mark sheets (10th, 12th, graduation – all semesters)
- Admission letter with fee structure (I-20 for USA studies)
- Entrance exam results: GRE, GMAT, TOEFL, IELTS as applicable
Co-applicant / Parent Documents
- Identity and address proof
- Income proof: salary slips, Form 16, or ITR
- Bank account statements (last 6 months)
- For agriculturists without ITR: income certificate from Tahsildar, 8A, and 7/12 or other appropriate authority documents
Additional Documents
- Declaration of source of margin money (if applicable)
- Declaration of job opportunities and expected salary after getting a job
- Declaration for option of repayment of interest during moratorium period
- For collateral: latest search and valuation report and all property documents (if plot/house/flat offered as security)
- If takeover from other bank: sanction letter with statement of account
How to Apply for Bank of Maharashtra Education Loan
Important: Bank of Maharashtra does not accept in-person walk-in applications for education loans. Applications must be made through the Vidya Lakshmi Portal only.
- Visit vidyalakshmi.co.in – the official government education loan portal.
- Register and create a student profile on the Vidya Lakshmi Portal.
- Fill in the common application form with your educational and financial details.
- Select Bank of Maharashtra from the list of participating banks.
- Upload all required documents through the portal.
- Submit the application. You will receive a reference number for tracking.
- Bank of Maharashtra reviews your application. For in-principle sanctions (studying abroad while not yet admitted), this can be processed in advance.
- Upon approval, receive the sanction letter. Review all terms including interest rate, margin, moratorium, and repayment period.
- Apply for applicable government subsidies (CSIS, Dr Ambedkar Scheme) at the time of first disbursement.
Government Subsidies Available on BoM Education Loans
Scheme | Eligibility | Benefit |
CSIS (Central Sector Interest Subsidy) | Family income below Rs 4.5 lakh. IBA scheme loans only. | 0% moratorium interest – government pays all interest during study period. Applies to loans up to Rs 7.5 lakh. |
Dr Ambedkar Scheme (OBC/EBC) | OBC students (income < Rs 3 lakh) or EBC students (income < Rs 1 lakh) pursuing Masters or PhD abroad. | 0% moratorium interest for overseas studies during course + grace period. |
Padho Pardesh (Minority Communities) | Minority community students studying abroad. Family income < Rs 6 lakh. | 100% interest subsidy during moratorium for overseas education. |
Apply for all applicable subsidies through your Bank of Maharashtra account at the time of first loan disbursement – not retroactively. Subsidy applications are separate from the main loan application.
Bank of Maharashtra vs Other Public Banks
Feature | Bank of Maharashtra | SBI Global Ed-Vantage | Union Bank | Bank of India Star Abroad |
Rate (abroad, secured) | 10.55-11.30% | 8.40-10% | 9-10.3% | 8.40-10% |
Max loan (abroad, standard) | Rs 20 lakh (higher case-by-case) | Rs 1.5 crore | Rs 1.5 crore | Rs 1.5 crore |
Application mode | Vidya Lakshmi Portal ONLY | Branch + Portal | Branch + Portal | Branch + Portal |
Processing fee | Nil (Maha Scholar) / 1-2% (Model) | Nil | Nil | Rs 10,000-20,000 refundable |
In-principle sanction | Yes – for multiple university applicants | Limited | Confirm with branch | Confirm with branch |
Girl student concession | 0.50% | 0.50% | 0.50% | 0.50% |
Bank of Maharashtra’s primary limitations versus SBI, Union Bank, or Bank of India: significantly lower standard maximum (Rs 20 lakh vs Rs 1.5 crore) and higher interest rate. Its advantages: Maha Scholar Overseas scheme for premier university admits with nil processing fee and no margin, and pre-approved in-principle sanctions for multi-university applicants.
Also Read: IBA Model Education Loan Scheme Guide
Compare BoM against SBI, Union Bank, and 18+ other lenders on GradRight before deciding. Compare Education Loans on GradRight
Related Education Loan Guides
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IBA Model Education Loan Scheme Guide
SBI Education Loan for Study Abroad
Union Bank Education Loan
Bank of India Education Loan
Government Education Loans for Studying Abroad
Education Loan Moratorium Period Guide
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