Before taking an education loan for MBBS abroad, families should know roughly what the monthly EMI will be when repayment starts. The EMI depends on the amount owed when the moratorium ends (including any interest added), the interest rate and the repayment period.
Example EMIs (illustrative)
| Amount owed | 10% for 10 years | 10% for 15 years |
|---|---|---|
| ₹20 lakh | about ₹26,400 | about ₹21,500 |
| ₹30 lakh | about ₹39,600 | about ₹32,200 |
| ₹40 lakh | about ₹52,900 | about ₹43,000 |
| ₹50 lakh | about ₹66,100 | about ₹53,700 |
Rounded illustrations at a 10% annual rate; actual rates and terms vary by lender.
Why the amount owed is often higher than the amount borrowed
If interest is not paid during the six-year course, many banks add it to the principal when the moratorium ends. Borrowing ₹30 lakh in yearly instalments could leave you owing closer to ₹40 lakh, which raises the EMI significantly. See paying interest during study.
Longer tenure: lower EMI, higher total
A 15-year tenure lowers the monthly EMI but increases total interest paid. Many families choose a longer tenure for safety and prepay when income allows, if the lender permits prepayment without heavy charges.
Plan EMIs around the MBBS timeline
- EMIs may begin before the graduate passes the FMGE and completes the Indian internship; see moratorium explained.
- Keep a gap fund for the first 12-18 months of EMIs.
- Claim Section 80E on interest under the old tax regime if it benefits you; see tax regimes.
How to calculate your own EMI
- Estimate the amount owed at the end of the moratorium (ask the bank for a schedule).
- Use the bank’s EMI calculator or the formula above with the quoted rate.
- Try 10, 12 and 15-year tenures to see the trade-off.
For total cost planning, use our total cost calculator. For transfers you make yourself, compare costs with BookMyForex.
Frequently asked questions
What is the EMI on a ₹30 lakh education loan?
At about 10% over 10 years, roughly ₹39,600 a month; over 15 years, roughly ₹32,200. Actual figures depend on rate and the amount owed after the moratorium.
When does the EMI start?
After the moratorium, usually the course period plus some months.
Can I reduce my EMI later?
Prepaying part of the loan reduces EMI or tenure, depending on bank rules.
Sources
- Reserve Bank of India: rbi.org.in
- Vidya Lakshmi portal: vidyalakshmi.co.in
Not financial advice: figures are illustrative; get a schedule from your lender. Last checked: October 2026.
