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Personal Loan for Education

Karan Shah (CEO) (33 Points)

14 October 2022

I have taken a Personal Loan from a co-operative bank by pledging my parents' property. This loan I took to fund my brother's education fees only. (He didn't get the education loan.) Now I am repaying the entire loan from my salary. Can I get a tax relief available under the Educational Loans for this case since I have taken the loan for education of my brother and I am paying the same on his behalf?

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5 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (178001 Points)
Replied 14 October 2022

No, the benefit is available only to self or parents....

The loan should be taken for the higher education of self, spouse or children.

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veerendar singh (tax consultant) (3301 Points)
Replied 14 October 2022

You cant take tax benefit out of financing your brothers education

1 Like

sabyasachi mukherjee (27574 Points)
Replied 16 October 2022

First eligibility conditions has to be fulfilled then tax benefit.

TarunGupta (Student) (48 Points)
Replied 01 December 2022

Since personal loan for education offers guaranteed returns, many individuals view them as reliable investments. The overall loan application process may seem intimidating to students and parents because it requires a lot of time and effort. When requesting loans, bear the following in mind: Verify your course's loan eligibility. There is a higher likelihood of securing an education loan for courses with a high employment likelihood. Give yourself plenty of time to research, assess, and compare different school loan options to avoid a last-minute rush and the associated inconveniences. Starting earlier is advised for a more pleasurable experience.

Mushtak Ahmad (6 Points)
Replied 13 June 2024

A personal loan for education can be a flexible financing option for covering various educational expenses, from tuition fees to study materials. Kotak Mahindra Bank offers personal loans tailored for educational purposes, providing competitive interest rates and easy repayment options. These loans do not require collateral and have a straightforward application process. With Kotak Mahindra Bank, students and parents can benefit from quick disbursal and customizable loan amounts, ensuring that financial constraints do not hinder educational aspirations. This makes Kotak Mahindra Bank a reliable choice for funding education through a personal loan.