Can I transfer my existing education loan to a different lender?

Yes, you can transfer your existing education loan from one financial institution to another through a process called 'takeover,' based on your current loan provider’s policies. Transferring your education loan to another lender allows you to enjoy better interest rates or terms and conditions.

The key steps are involved in the takeover are:

• Research new financial institutions and compare interest rates, repayment terms, fees, etc, to identify the best offer.
• Ensure you meet the eligibility criteria of the new loan provider.
• Obtain a No Objection Certificate (NOC) from your current financial institution.
• Submit a loan transfer application with NOC to the new lending company along with academic, financial and collateral details.
• If approved, the new loan provider will settle the outstanding loan amount with your existing financial institution and complete the transfer.
• Your loan obligation shifts to the new loan provider as per the new repayment terms.

To understand the loan obligation such as the interest payable and the EMI, you may use an online education loan EMI calculator.