After getting bombarded with marketing smses the last one week, by an organsition called “CREDILA” that “offered quick education loans” ,we decided to dig deeper and find out how reputable their services actually are.It turns out that Credila offers education loans to  the tune of upto 20 lacs for international educaiton and upto 15 lacs for local educaiton.Heres some of the things that we discovered about credila education loan

 Credila like any loan providor will ask for a guarantor or a cosigner to the loan.You can elect one of your parents as a guarantor or a close friend.It is important that the guarantor musbe employed with a stable job/business having a decent source of income or good salary.This is due to the fact that the guarantor will have to stand ‘guarantee” and will be obliged to repay the loan,in the unfortunate event that the student cannot for some reason do so.Therefore credila like any other bank will ask for bank statements of the guarantor,society or house documents to prove ownership or some other mode of security,so it is imperitive  that the guarnator have strong “pay back power”.About 1.5 years back we called up credila and asked them about their loans and they said they would said an officer over to our place to check the various documents. One week later no one came and they called back asking if the person had come.It was very unorganized at that time,we are thinking because they were in its infancy.But now we hope they have straightened things out and im sure they are more efficient. 

Collateral is asked for if the loan amount required is over and above 7.5 lac.Like any other bank,collateral in the form of property papers/fixed deposit receipts of equivalent amount may be transferred in thier posession as assurance.

In the case of most banks,Lots of paperwork needed and the disbursement is only PRE SCHEDULED. That means beforehand you will have to give the layout of the tuition fees (month and amount) and only then can the funds be transferred at that time,but as far as credila is concerned


Like other banking institutions,Credila gives a grace period of 1 year after completeion of the course to start making payment towards the outstanding amount.A maximum tenure of 7 years maybe availed for repayment.


 Sanction is approved after you prove your admission by showing admission letter from the foreign university.Whcih can be risky at the time of visa interview as if the visa department doesn’t see sufficient funds at time of tinterview,your visa request can be denied,WherasCredila pre approves the loan so that it shows during visa interview, therefore it gives you more credability  in the eyes of the visa issuing department.

One of the most important points to take note of is the margin money that is being offered by banks as well as credila education loan.Most banks have the policy of 50% margin money for education loans,which means that if the total expense for studying is 10 lacs,then you will have to pay 5 lacs and they will out in 5 lacs.The complication arises when the payments are to be disbursed every term for tuition fees and living expense.At this time also you will have to pay half the term amount that is goig to be sent,and the bank will out the other half.AT NO TIME WILL THE BANK EVER PAY SOMETHING WIHOUT YOU PAYING ANYTHING.On the other hand credila offers almost a full loan option,where it pays almost the entire amount nad then the student can pay it back after the course has been completed.soem say this is not a very good idea to take a full 100% loan,as paying it back can be difficult.


TIME Time required for sanctioning loan can vary between a week to 10 days or more Sanction time is within 2 working days
CONVENIENCE You have to personally go to the bank manager in charge many times to submit various documents before the loan is finally sanctioned Customer service employee comes to your house and collects/verifies documents
PROCESSING FEES MUCH lower rates for government run banks Since it is a private institution, small handling and processing fees are much higher, but on a personal note if you talk to the officers in charge they can reduce those fees too
ONLINE ALL forms are hard copies which can get cumbersome and even fund transfer cannot be done electronically Most forms can be filled out online and easy transfer of funds electronically
ROI Approx 12% 12.5%
GUARANTOR Strict process in choosing a guarantor.The bank reviews credit history and minutely checks total assests of proposed guarantor before accepting Credila takes  more lienient view and often accepts the guarantor easily










  1. akash shetty says:

    Hi i was searchig for a good credila review as i want to pursue mba abroad,and your review was the only one i found thnks – Tc – and keep blogging.

    • ABC says:

      Dear Akash,

      I strongly urge you to never go for Credila. Not only do they charge a high interest rate of 14% but also charge 12.5% service tax on the interest we pay. I remember paying an initial 1% of the sanctioned loan as application fee. It’s a complete fraud. Go for national banks. Yes, they may be a little slow in processing but they are not going to suck the blood out of you during the time of repayment. They have a reasonable moratorium period too.

  2. shashank says:

    my cousin had applied for credila loan 6 months back and had got it,it was a satisfactory experience working with mr. prakash who was the executive who came

    • Sarjen says:

      Dude, But still day and day why do they keep on getting so many complaints about their service..i don’t think Credila worth.. they make you wait still the dead line for the payment of fee then get a call saying the loan was rejected and you’ve to loose one year of education, time, energy and the processing fee……these guys suck

      • jojo22 says:

        ya,,its possible the loan might not be granted,,but i think you will get your answer about the sanction quickly,,so no need to stretch it till the deadline

    • Raghu says:

      Hi.. I guess you are the lucky one in hundred.

  3. ravi s says:

    i am in process of applying for loan for US which bank gives lower interest can you inform me thnks

  4. Amarjit Singh says:

    I want a education loans.Can you help me.

    Cell no 91-8826620082

  5. Dr.Arun says:

    I have got a admission in uk university.Was very much worried about the loan process.Your opinion has given me a confidence face towards the issue.Thanks a lot.

  6. Arun says:

    I took a credila loan for my MBA. The repayment schedule starts after 6 months not after an year (or can one negotiate this?). Unlike other national banks, the loan payment process with Credila was seamless. Collateral obligation requirement is almost similar for every bank lending students to study abroad. However, the issue with Credila lending is their interest payment. The interest payment should be made immediately after the 1st loan disbursement, if I have a choice I would rather go with the national banks just to avoid financial burden while studying. Secondly, don’t get carried away by the Credila’s claim on loan repayment from the U.S (or elsewhere), this process is simple and every bank do offer this repayment arrangement.

    My pick – if you have someone who can pay interest on your loan when you are studying, go with Credila.

    • jojo22 says:

      thanks for your thoughts arun

    • ankit says:

      hi arun!
      thanks for sharing details..
      i too have applied for the loan from credila and have a question to ask about the interest repayment:
      the interest EMI will depend on the principal we have taken, right ? Say, for 1st sem, i need to pay 5 lacs, then my interest EMI will be calculated on 5 lacs and not on total loan sanctioned(20 lacs) , right ?

      Please do reply back!


      • jojo22 says:

        yes youre right,interest is only on the amount dispensed at that particular time.if you have 4 sems and 5 lacs per sem (5*4=20),remmber that ineterst will keep on increaseing as the money for each sem is dispensed and by the time you actually make your first EMI payment,it will be collectively calculated on the entire amount.Interest starts from day one,your payments start from day(720+182) if they give grace of 6 months after graduation.

  7. I have a comment for taking loan. I am studying at Delhi but my born place is Tripura state.

  8. Credila is a horrible service provider. The staff is indifferent and you will be push from one department to other. The sales person whom you would contact for the loan will sweet talk you and then later you will be asked to submit a dozen documents without any explanation given.

    I struggled with them for over a month without any positive results and that when the education loan was for a Tier 1 Education institute (which is among the top 10 in India), for which Credila supposedly offers a non-collateral loan with special rate of interest.

    And what was an even bigger surprise was even sending emails to the country head and marking him on emails makes no difference. Not one response is received.

  9. Preetham says:

    Credila is the WORST education loan provider. Trust me guys.

  10. Himanshu Agarwal says:

    I am a victim of credila bank. this instituion is false.
    here is the list of reason why should take loan from other bank and not credila.
    1. Credila is the only NBFC which will charge you SIMPLE INTEREST not any other you lose 24 moths of simple interest money.
    2.Credila will charge you in such way that you will end up paying 70% of your amount as interest rate.
    for example i have taken a loan of 540000 from credila for a period of 60 months plus 24 months simple interest so total 74 months my total interest rate aftter end of 5yrs is 330000 + 540000 = 900000
    this is purly extortion……i would highly suggest that don’t take loan from thsi bank
    3. a public sector bank is always advisable.

  11. Amit says:

    Dont take a loan from Credila if you are going for higher education in UK and specially if you are showing the loan sanction letter to the embassy for Visa.
    The UK embassy will reject the Visa as they dont consider credila as a bank as it is just a financial service.

  12. Priyanka says:

    The credila staff is very unprofessional. Its nearly impossible sometimes to contact them (once you have taken the loan ;) ) for any issues/queries and these guys don’t give a damn to this thing.
    I took education loan for one year in my Husband’s name for his MBA course and after one year, when he got the job, I wanted the loan term to be reduced so that we can pay off the loan in less time. I understand it takes time because there is paper work and approvals involved, but now, It has been more than 2 months and I’ve been calling the concerned person almost daily . Either that lady is on leave , or her phone is switched off or she left early ( 2 PM), and she even doesn’t respond to emails. This is really frustrating.

  13. Vimal says:

    I want education loan can any bady help me
    mob no:7841810791

  14. pako says:

    i am in the process to take loan for ms through credila, their rep asked me to submit gazillions of document but after reading all comments i think credila is worthless. in an unfortunate event if i didn’t land in a job credila would suck my blood out..

  15. Ayan says:

    I want to do MBA from SCMHRD Pune or SIBM Bangalore. My parents are against higher studies and do not want to stand as a collateral plus we have nothing to show as security. I am awaiting the results but if I clear I have to pay 3 lakhs within 1 week or so. I have work ex of 29 months in Infosys Limited. So do I stand a chance to continue with my higher studies?
    Please revert back.

  16. sachin says:

    i was willing to pursue MS in USA for fall 2014 and i was falling short around 14 lac rupees. So i have decided to go ahead to take education loan from credila as government banks like SBI takes lots of time to process and sanction the loan. Despite of cognizant to bill monthly interest to credila pockets, i aimed to secure education loan with credila. so i submitted my form online and within two days i got the appointment. the person came to my house and explained the policy. i explained my condition that i am not in a position to submit any collateral my brother is working so i could assign him as co-borrower for my loan. he said with confidence .. Of course you can that would be no problem at all. My brother monthly income was over 50000 rupees so i was in confident that there would be no hurdle at all and i have given my all the documents. He said that within four days or maximum 10 days you will get the loan.

    Now here is what happened unexpected and rubbish completely. i was receiving daily calls from banks that your x y z document is missing please submit. i got pressurized numerous times as it is unwanted and time consuming tricks playing by the credila. They wasted my 10 days with this freak show. Now in next week they start excusing that your brother savings is not meeting their desired ratio and they start crying like they want another cup of cake. i was in the tension every second even in the night also because the marketing guy who taken my documents was assuring me that he will convince his team and sanction the loan but next day he informed that my loan got declined and he can not do anything. i asked what is the reason then he said your brother saving is poor and your hometown is out of their range ( crying and excusing for decline) this message is came after 26 days initially it was 4 to 10 day as he told me .. i got disappointed and frustrated as i reached to my deadline where i got delayed to submit my resign to my office and go to usa on time. Hence i asked him is there any option for me he said yes you need to arrange collateral for your loan otherwise it is not possible.

    That fellow was from the marketing team and he took my credential earlier so that ;later at the rush time he intentionally can put that tough condition so in any how i have to submit collateral to that foolish person. That was his trick which vanished my dream to study this year in USA. i request to take action against then and warn that don’t play any tricks to make money and don’t lie.

    • Abhi says:

      Bro Sachin,
      Thanks for your complete explanation of the details. I think it will be a great learning to many of us. Its a warning.

    • Raghu says:

      I completely agree with you. I had a similar experience with Credila. In fact, my problems are stranger and they are ridiculous. They are openly committing offence.

  17. Tarik Mansoor says:

    I have planned to study MS in Germany in 2015 fall. I fully depend on the education loan and i have been in the process of collecting information about various banks. I ll be required 15 lakhs to complete my 2 years of study. I have some problem with collateral security as i dont have any in my name. But my sister and my uncle have some. I m trying to get the loan without submitting any collateral security. So i decided to go with Credila. But after reading these reviews. i m worried about it.

    I dont know what to do. I dont know where i have to take loan. Please help me to find a bank.

    • jojo22 says:

      your best chance is to get a loan from a bank that you have a relationship with (FDs),,it will be easier,,prefrably a nationalised bank

    • Brian says:

      HI, same problem here.. in my cas e my home is already on a home loan so i cannot submit it as collateral.. so i thought of applying for a loan from Credila without any collateral. Went through most of the process and the loan is sanctioned per se, I have the agreement with me and have to sign it. But the agreement is insane, they can cancel the loan anytime they wish, stop disbursements, revise interest rateas well as payment schedule (‘solely decided by Credila’ to quote them)

      I have got my visa approved and will be flying in to the USA for an MS mid august. Not sure whether i should continue further with Credila after seeing all of these reviews. Please advice..

  18. Devika says:

    CREDILA SUCKS don’t go for it
    Half measures look convincing at first but later they make you regret..
    I for one had bitter experience with credila

  19. vinay says:

    hello everyone,

    I am planning for canada for jan 2015 intake,,,,i read all above reviews about credila,,,now i am confused between credila and SBI,,,,which is the best among these two?
    SBI charges 15% margin money and credilla charges none and also no processing fees

    please help me for this,as i have to take decision in 2 days about education loan.

  20. Kirti says:

    Credilla has NO TRANSPARENCY, they are duping by not declaring some of the essential details at the outset.

    Their executives are after you only till you take their loan, not otherwise…. Very painful experience

  21. Raghu says:

    Hi all,

    Here is a general piece of advice from my experience with Credila for the last 3 years. I strongly urge you to NOT go for Credila education loans. They are best at irritating you in every way possible. Once you sign the contract and get the loan, remember that would be the last time they will ever communicate with you properly. There are many irregularities and lack of co-ordination in the management. I wanted to clear my loan by paying the principle amount because the interest rate is too high. But, for the last 6 months, even after I repeatedly asked them to deduct the principle amount, they haven’t done that. They are still juicing the interest and not terminating the contract. It is a big offence and they never cared to reply to my emails or phone calls. Also, my old parents had to run to the bank every month because Credila doesn’t even know banking properly and they took more than 6 months to start automatic deduction from my bank account. Until then, my parents had to run to the bank on every deadline (they never told in advance that automatic deduction failed, it was always on the deadline) and transfer the amount personally. Since I’m abroad my parents had to bear with them and I am deeply sorrowed by their behaviour.

    I strongly urge you to take my brotherly advice and not go to Credila.


  22. xyz says:

    Hi guys.. I just came back from the credila office in pune…
    IT’S HAS MOST PATHETIC SERVICE so please avoid credila.
    5 documents were required for the process to start. Apparently that 5 documents has noa become 15
    spite of all the necessary documents. I was even giving my house papers as a collateral which is worth 1cr but I guess that’s not enough. Every single document that was mentioned.. were given in time.
    Anyway. I want to cancel my process.. will they charge some fees for cancellation.. Please let me know
    Ps- avoid CREDILA PUNE Jm road! Freakin nuggets!!

  23. aditya says:

    McDonald’s service is better than credila. And it has way more customers in an hour as compared to what credila gets in a day.the previous comment is mine.. I hope some credila official views my comment.

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