EMI Almost Halved, Interest Savings Over ₹63 Lakhs: Shashank’s Leap to a Better Rate

A straightforward refinance that cut the interest rate nearly in half and transformed monthly cash flow.

Case Study Overview

Sometimes a refinance story doesn’t need drama to be compelling. Shashank’s story is powerful precisely because of how clean it is – a clear before and after, with numbers that speak louder than any narrative.

Shashank had an education loan at 11.25% with $60,345 outstanding. His monthly EMI stood at approximately $1,800 – a significant chunk of which was going straight to interest every month. After GradRight evaluated his profile and secured a refinance with a US bank, the picture looked entirely different.

The rate dropped from 11.25% to 6.25%. His EMI went from $1,800 to $889. And the total interest payable over the tenure fell from $90,855 to just $14,314 – a saving of $76,541, or over ₹63 lakhs at current rates.

Student Financial Profile

Problem Statement

A High Rate on a Large Outstanding Balance
Shashank’s education loan carried an 11.25% interest rate on $60,345 outstanding. At that rate, over a 7-year tenure, the total interest payable alone amounted to $90,855 – more than the principal itself. A significant and unnecessary cost for a borrower who had moved on to stable employment in the US.

A Monthly EMI That Limited Financial Freedom
At approximately $1,800 per month, the EMI was a constant drag on cash flow. With a large portion of each payment going toward interest rather than principal, the loan was expensive not just in total cost but in monthly impact.

An Opportunity That Was Too Large to Ignore
The gap between 11.25% and what a US bank could offer wasn’t marginal. For a borrower with the right profile, it represented a fundamentally different financial outcome – not a minor saving, but a transformation of the loan’s entire cost structure.

READ MORE: Are You Eligible to Refinance Your Student Loans?

Solution

GradRight assessed Shashank’s profile and identified him as a strong candidate for refinancing with a US bank. The case was clean – a straightforward match between a solid borrower profile and a lender offering a significantly more competitive rate.

Single Phase – Original Lender to US Bank Shashank’s loan was refinanced in a single, direct move to a US bank at a fixed 6.25% interest rate. No staged approach, no waiting period – just a clean switch that immediately restructured the loan’s cost.

Old Loan → New Loan

Old Loan

New Loan

READ MORE: How International Students Can Refinance Their Education Loan in the U.S.

How Did GradRight Help?

Profile Evaluation GradRight assessed Shashank’s financial profile and confirmed eligibility for a direct refinance with a US bank – no interim steps required.

Lender Match GradRight identified the right US bank for Shashank’s profile and secured the refinance at 6.25% fixed – nearly half his original rate.

End-to-End Execution From application to disbursement, GradRight managed the process completely, ensuring a clean and seamless transition with no complexity for Shashank to navigate.

Results

• Rate: 11.25% (Original Lender) → 6.25% Fixed (US Bank)
• Monthly EMI: $1,800 → $889 (nearly halved)
• Total Interest Paid: $90,855 → $14,314
• Total Savings: $76,541 (~₹63+ Lakhs at current rates)
• Tenure: 7 years – same loan amount, drastically lower cost

On a $60,345 loan over seven years, the difference between 11.25% and 6.25% isn’t marginal – it’s transformational. Shashank went from paying nearly $91,000 in interest alone to just over $14,000. His EMI went from $1,800 to under $900.

That freed-up $900 every month is $10,800 a year – money that can now go into savings, investments, an emergency fund, or simply reducing financial stress.

Refinancing isn’t always complicated. For Shashank, it was a clean switch – and the results were undeniable.