Top 7 Education Loan Options for STEM Students in the USA

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Overview: STEM in the USA Education Loan Options
Top 7 Education Loan Options for STEM in the USA
Interest Rates for STEM Education Loan USA
Top Indian Bank Education Loan Options for STEM in the USA
Education Loan Options for STEM in the USA from NBFCs
Education Loan Options from International Lenders for STEM in the USA
US Cosigner Loan Options for STEM in the USA
Conclusion
Frequently Asked Questions

STEM degrees are future-oriented in the USA. They are designed with an advanced curriculum involving the latest research to help modern problems. That’s precisely why US STEM degrees are globally valued and have the potential for a high-paying job.

With savings alone, the cost of studying STEM in the USA can be high for the average middle-class student. STEM education loans in the USA help by covering academic and living costs until graduation. The loan repayment commences after 6 – 12 months of graduation, the period within which the student may secure a job offer in the USA or abroad.

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Overview: STEM in the USA Education Loan Options

STEM courses have a better job market and future earning potential. Lenders consider these, which is why it is easier to get an education loan for STEM courses in the USA.

Lender Type	Sample Lenders	Maximum Amount	Interest Rate	Collateral Requirement
Public Banks	SBI, UBI, BoB, Canara, PNB	INR 1.5 Cr – INR 3 Cr	9.65% for girls, 10.15% for boys	Yes
Private Banks	Axis Bank, ICICI Bank. IDBI Bank, IDFC FIRST Bank, Yes Bank	INR 50 Lakhs – INR 1.25 Cr	10% – 13.5%	Optional
NBFCs	Credila, Avanse, InCred, Auxilo	INR 50 Lakhs	12% – 13.5%	Optional
International Lenders	MPOWER Financing, Prodigy Finance	USD 100,00 – USD 220,000	8.35% – 14.00% APR	No
US Lenders	Earnest, Sallie Mae, Abe, Union Federal	USD 100,000	3.39% – 15.00% APR	No

Top 7 Education Loan Options for STEM in the USA

In their search for an education loan for a STEM degree in the USA, students often overlook the patience required to find the right option after carefully evaluating their profile. Many also consider a study loan in the USA with a co-signer, as academic and financial information impacts the interest rates, loan amount, repayment conditions, and other loan terms.

Ask a few questions – what type of education loan do you need? Which is the perfect lender? How much is required? When you get answers, consider the following loan options:

Education loan with collateral from Indian public banks
Education loan without collateral from Indian public banks
Education loan with collateral from Indian private banks
Education loan without collateral from Indian private banks
NBFC education loans for STEM in the USA
Education loan options by international lenders
US lenders’ education loan options for STEM in the USA

Interest Rates for STEM Education Loan USA

Education loan terms, including the interest rates, are case-specific. Your financial profile, academic details, and collateral or cosigner influence the interest rates.

From a general perspective, given below are the rates of interest you can expect for your STEM education loan USA from different lenders:

Indian public banks – 9.65% for girls, 10.15% for boys
Indian private banks – 10% – 13.5%
NBFCs – 12% – 13.5%
International lenders – 8.35% – 14.00% APR
US lenders – 3.39% – 15.00% APR

Top Indian Bank Education Loan Options for STEM in the USA

Indian banks offer education loan products to support students aspiring to study abroad. Most Indian banks prioritize the USA, home to the world’s top universities.

Public Banks STEM Education Loans

Public banks offer the lowest interest rates for abroad education loans. Since a high amount is required for STEM education in the USA, you might need collateral to pledge for a loan from most public banks. 70% – 100% of your collateral value is available as the loan amount.

Bank	Maximum Amount	Interest Rate	Margin Money	Processing Charge	Repayment Tenure
SBI	INR 3 CrINR 50 Lakhs without collateral	9.65%	15%	INR 10,000	15 years
UBI	INR 1.5 CrINR 40 Lakhs without collateral	9.25% – 9.75%	15%	INR 5,000	15 years
BoB	INR 1.5 Cr	9.20% – 10.65%	10% – 15%	1% of the loan amount (max. INR 10,000)	15 years
PNB	No cap	9.85% – 12.35%	15%	0.35% of the loan amount (max. INR 15,000)	15 years
Canara Bank	INR 1 Cr	10.00% – 10.85%	10%	0.50% of the loan amount	15 years

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Private Banks STEM Education Loans

Private banks offer education loans for STEM study in the USA with or without collateral. In the absence of collateral, you need a cosigner whose income must be in line with your STEM education loan EMI.

Bank	Maximum Amount	Interest Rate	Margin Money	Processing Charge	Repayment Tenure
Axis Bank	INR 75 Lakhs – INR 1 Cr	10.70% – 14.35%	15%	2% of the loan amount	15 years
ICICI Bank	INR 3 CrINR 1 Cr without collateral	11.32% – 14.25%	0% – 15%	2% of the loan amount	15 years
IDBI Bank	INR 75 Lakhs	11.10% – 13.5%	20%	1% of the loan amount (max. INR 5,000)	15 years
IDFC FIRST Bank	INR 1.5 Cr INR 75 Lakhs without collateral	11.00% – 13.00%	0%	1.5% of the loan amount	15 years
Yes Bank	INR 1.25 Cr	11.25% – 12.75%	15%	2% of the loan amount	15 years

Education Loan Options for STEM in the USA from NBFCs

Banks often do not offer flexible education loan eligibility criteria. NBFCs are highly flexible loan options for STEM education loans in the USA. They offer an education loan that covers 70%—80% of your expenses without collateral.

NBFC	Maximum Amount	Interest Rate	Margin Money	Processing Charge	Repayment Tenure
Credila	INR 50 Lakhs	11% – 14%	0%	1% – 1.25% of the loan amount	10 years
Avanse	INR 40 Lakhs	11% – 14%	0%	1% – 2% of the loan amount	10 years
InCred	INR 40 Lakhs	11% – 14%	0%	1% – 2% of the loan amount	10 years
Auxilo	INR 40 Lakhs	11% – 14%	0%	2% of the loan amount	10 years

Education Loan Options from International Lenders for STEM in the USA

International lenders like MPOWER Financing and Prodigy Finance have a strong presence in the USA. STEM education loans are comparatively easier if you meet the eligibility requirements set by the lenders, that is, admission to a university and a course listed by the lenders.

International Lender	Maximum Amount	Interest Rate	Margin Money	Origin Fee	Repayment Tenure
MPOWER Financing	USD 100,000	9.99% onwards	0%	4% – 5%	7 – 20 years
Prodigy Finance	USD 220,000	8.35% onwards	0%	4% – 5%	10 – 20 years

US Cosigner Loan Options for STEM in the USA

Did you know that when you take an education loan from lenders outside the USA, the FOREX conversion takes away 4%—5% of it? With a US cosigner loan, you save this! Applying for an education loan from US lenders is easy and convenient, but you must have a US citizen or a permanent resident to co-sign your loan.

Student Loan Lender	Maximum Loan Amount	Interest Rates	Margin Money	Processing Charges	Repayment Tenure
Earnest	Up to USD 100,000	10.99% APR onwards	0%	0%	7 – 20 years
Sallie Mae	100% of the cost of attendance	3.49% – 15.49% APR (fixed)4.54% – 14.71% APR (variable)	0%	0%	7 – 20 years
Abe	100% of the cost of attendance	3.39% – 15.00% APR	0%	0%	7 – 20 years
Union Federal	100% of the cost of attendance	4.24% – 14.04% APR (fixed)4.46% – 14.10% APR (variable)	0%	0%	7 – 20 years

Conclusion

Indian banks, NBFCs, international lenders, and US lenders offer education loan options for international students to study STEM in the USA. The loan terms vary with the lender you choose and with the type of education loan you are applying for. Each education loan offer for STEM in the USA is influenced by your academic and financial profiles.

Find your personalized education loan options for STEM in the USA with Nomad Credit. We offer customized suggestions based on your profile and end-to-end guidance tailored to you for free. Thousands of students have already made their decision. Now it’s your turn – join us today.

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Frequently Asked Questions

What types of education loans are available for STEM students in the USA?

Education loan options with collateral, without collateral, and collateral or a cosigner are available for students to study a STEM course in the USA. These are offered by banks, NBFCs, and international lenders. In addition, federal loans are offered by US universities and non-profit organizations.

Can international students get an education loan for STEM in the USA?

International students can apply for various education loan options offered by US universities and the government, banks, NBFCs, and international lenders. Getting an education loan depends on your STEM degree, its future earning potential, your cosigner’s income, collateral value, and other factors.

What are the interest rates for education loans in the USA?

US lenders offer education loans guaranteed by a US cosigner. The interest rates for these loan options typically start at 3.47%.

Can you get an education loan to study STEM in the USA without a cosigner?

International lenders like MPOWER Financing and Prodigy Finance offer education loan options without collateral or a cosigner to study STEM courses in the USA. Your university of admission, course, and financial profile are examined to determine your eligibility.

What expenses are covered by a STEM education loan in the USA?

STEM education loans USA cover your academic and living expenses. It includes your tuition fee, academic charges, student health cover, travel costs, rent, food, internet bills, etc.