Education loan for MBBS in Russia – Pursuing an MBBS abroad has become a goal for many Indian students, and Russia is steadily emerging as one of the top preferences.

It is sensible to opt for an MBBS in Russia due to the low tuition fees, quality education as well as the degree’s recognition all over the world. However, not every student is financially capable of making these payments along with course fees and living expenses at the outset. Educational loans fulfill this gap.

For aspiring doctors who wish to study abroad, acquiring a loan for an MBBS in Russia is very important because it enables them to realize their dreams without adversely affecting their family’s finances. The loan can cover a lot of expenses, extending beyond just the tuition, to include living expenses, visa fees, travel, and even insurance.

Though getting a loan is not a walk in the park, as it requires a specific strategy, the appropriate documents, an ideal lender, and favorable terms.

In this blog post, we cover all steps from the eligibility criteria to the application procedure; documents needed, and even repayment options, so that you have a complete understanding of acquiring an education loan for MBBS in Russia. Let’s break it down so that developing a better understanding is easier.

Eligibility Criteria for Education Loan

Before you proceed with the application steps, make sure to check if you qualify for an education loan. Although different lenders may have their unique requirements, most financial institutions and NBFCs in India have a common set of criteria while approving loans for studying MBBS in Russia.

1. Academic Qualifications

• You are required to complete your 10+2 schooling with Physics, Chemistry, and Biology as majors.
• Commonly, there is an aggregate requirement of 50-60%, but this may be higher for some nationalized banks.
• For Indian students, passing the NEET examination is compulsory to pursue an MBBS degree abroad, including in Russia.

2. Admission Letter from a Recognized Russian University

• An Offer Letter from a recognized medical university located in Russia is a prerequisite.
• These applicants are eligible for the FMGE/NeXT licensing examinations in India if the university is listed in WHO and MCI (now NMC) directories.

3. Indian Citizenship

• Applicants must be Indian citizens and should have enrolled in a full-time MBBS program overseas.

4. Co-applicant Requirement

• A parent or guardian with a reliable source of income will co-apply for the majority of the banks.
• It is required to provide the co-applicant’s income for verification of meeting these standards.

5. Age Limit

• Fulfillment of the stipulated criteria (generally 18-35 years) at the time of application submission is mandatory.

6. University Recognition

• Increase the chance of obtaining a loan by making sure that the chosen university is NMC-approved and reputable internationally.

While these criteria are common, it is advisable to confirm with your banking institution as private providers tend to have more relaxed or different standards.

Types of Education Loans Available

While applying for an education loan to pursue MBBS in Russia, students have two options to choose from: secured and unsecured loans. Each type has its advantages and disadvantages, but your personal finances and ability to provide collateral will greatly determine which loan to choose.

1. Secured Education Loans (With Collateral)

In these types of loans, collateral such as property, fixed deposit accounts, or other assets are provided as security for the loan received.

Pros:

• Lower interest rates 8%–10%
• Higher chances of approval
• Larger loan amounts can go up to Rs. 50 lakhs

Cons:

• Risk of asset seizure on default
• Time-consuming processing due to property/legal verification

2. Unsecured Education Loans (Without Collateral)

These types of loans do not require any collateral or mortgage but rely heavily on the income of the co-applicant.

Pros:

• No asset requirement
• Faster approval process

Cons:

• Higher interest rates 11%–14%
• Lower loan limits up to Rs. 7.5–20 lakhs
• Stronger co-applicant financials needed

3. Government vs. Private Lenders

• Secured loans are best availed at government banks such as SBI and Bank of Baroda.
• NBFCs like HDFC Credila, Avanse, InCred grant unsecured loans. They have looser eligibility requirements and charge slightly higher interest.

It is recommended that you compare both secured and unsecured loans along with the specifics of your financial status before choosing a loan option. If your family is able to provide collateral, choose a secured loan because the terms are more favorable. Otherwise, you can turn to NBFCs, who may offer the flexibility you are looking for.

Documents Required for Education Loan

The education loan application comes with a stage that requires you to collect all the relevant documentation, and this can either ‘make-or-break’ your application. Other than the reasons for rejection and delay, one of the most prominent is missing paperwork. I have compiled an inclusive checklist of everything you may need:

1. Student Documents

• 10th and 12th mark sheets
• NEET scorecard (mandatory for MBBS abroad)
• Admission letter from the Russian university
• Passport and visa copy (if available)
• Passport-size photographs

2. Co-applicant Documents

• Identity proof (Aadhaar, PAN, Passport)
• Address proof (Utility bill, Aadhaar)
• Income proof (Salary slips, Form 16, ITRs)
• Bank statements (last 6 months)
• Business proof (for self-employed co-applicants)

3. Collateral Documents (If Secured Loan)

• Property title deed
• Property tax receipts
• Approved building plan
• Encumbrance certificate

4. Other Documents

• University fee structure
• Loan application form (duly filled)
• Affidavit of expenses (some banks may ask)

Be sure to confirm with your lender whether any other documents are needed. It is always best to prepare a checklist and partition documents into folders so that they can be submitted together. This allows for quicker processing.

Step-by-Step Process to Apply for Education Loan

Applying for an educational loan to pursue an MBBS in Russia may sound challenging, especially in the case of foreign education, but this is only true if you are not taking an organized approach to the entire procedure. Here’s a guide to walk you through each step.

Step 1: Research and Shortlist Lenders

• Compare government and private banks, NBFCs
• Use online platforms like Vidya Lakshmi Portal, Credenc, or GyanDhan for comparisons

Step 2: Fill Out the Application Form

• Visit the nearest branch or apply online through the lender’s portal
• Attach all required documents and ensure accuracy

Step 3: Document Verification

• Bank officials will verify your documents
• They may ask for clarifications or additional papers

Step 4: Loan Sanction Letter

• Your application will be assessed, and if successful, a sanction letter indicating the interest rate, moratorium, and repayment period will be issued.

Step 5: Disbursement of Loan

• The loan amount will be released in stages. The funds are either deposited into the college or your account.
• Constant monitoring and communication are essential to guarantee timely payment.

Top Banks and NBFCs Offering Loans for MBBS in Russia

The flexibility and competitiveness of education loans when it comes to pursuing an MBBS in Russia makes selecting a particular bank or other financial institution crucial. Each bank or NBFC (Non-Banking Financial Company) possesses its own distinct set of processing charges, interest rates, and even requirements for collateral. Let’s take a look at some of the most trusted and popular lenders in India for an MBBS education abroad.

1. State Bank of India (SBI)

• Loan Scheme: SBI Global Ed-Vantage
• Loan Amount: Up to Rs. 1.5 crore
• Interest Rate: Starting from 8.50% p.a.
• Collateral: Required for loans above Rs. 7.5 lakhs
• Moratorium: Course period + 6 months

For secured loans, SBI comes out as one of the top public sector banks. As with other institutions, they have also set lower interest rates and more flexible repayment tenures for collateral-based loans.

2. Bank of Baroda

• Loan Scheme: Baroda Scholar
• Loan Amount: Up to Rs. 80 lakhs
• Interest Rate: 9%–10.25% p.a.
• Collateral: Required for higher amounts
• Moratorium: Course duration + 1 year

Bank of Baroda stands out of the crowd when it comes to offering borrowers with foreign education loans, especially for professional degrees like MBBS.

3. HDFC Credila

• Loan Type: Custom foreign education loans
• Loan Amount: Up to Rs. 45 lakhs (or more)
• Interest Rate: 11%–13% p.a.
• Collateral: Optional, depending on profile
• Advantages: Fast approval, flexible repayment

The sole reason HDFC Credila has become well-known and popular among students is because many students do not have adequate collateral or require quick loan approvals. Enrollment in Russian universities that have already been listed in their approved database will make this loan more helpful.

4. Axis Bank

• Loan Limit: Up to Rs. 75 lakhs
• Interest Rate: Starts at 11.5% p.a.
• Collateral: Optional up to Rs. 7.5 lakhs
• Processing Fee: 1.5% of the loan amount

Students looking for quick processing of loans and easy to manage repayment methods will find Axis Bank the most suitable.

5. ICICI Bank

• Loan Type: Education loan for overseas studies
• Loan Limit: Up to Rs. 1 crore
• Interest Rate: 11.5%–13% p.a.
• Special Benefits: Pre-admission loans available

In case your co-applicant possesses a good income and credit score, ICICI Bank will aid you with personal loans with no collateral.

6. Avanse and InCred (NBFCs)

• Loan Limit: Based on need
• Interest Rate: 12%–14% p.a.
• Collateral: Mostly unsecured loans
• Advantages: Minimal paperwork, quick processing

While these NBFCs might lack the strict requirements of banks, they are helpful to students applying for loans, but the interest rates tend to be high.

Pro Tip: Finalizing any documents should only be done after looking into the interest rates set by lenders, coverage of the loan, disbursement plans, timelines, and the duration of the moratorium period.

Loan Amount and Coverage

A frequently asked question especially when it comes to students is what exactly does an education loan provide. A well-tailored education loan for pursuing an MBBS in Russia should suffice to pay for almost all the expenses that come with the course including working abroad and not just the tuition fee.

1. Tuition Fees

• This encompasses all the fees applicable for the entire MBBS program from the Russian university.
• Direct payments in the form of installments are accepted for some banks.

2. Living Expenses

• Basic utility bills as well as food, lodging, and transport will be covered.
• Most banks estimate around 1 to Rs.1.5 lakh per semester as living costs.

3. Travel and Visa Charges

• Round-trip flight tickets to Russia along with visa processing costs are usually considered covered under education loans.
• Expenses such as the medical tests required for the visa or university admission are reimbursable.

4. Health Insurance

• Many Russian universities require students to have valid health insurance.
• This can be covered under the loan upon providing receipts or fee breakdowns.

5. Study Material and Equipment

• These expenses include outlays for textbooks, custom stethoscopes, white coats, laboratory equipment, etc.
• We keep all documents related to expenses for reimbursement from the loan.

6. Laptop or Computer

• Some banks will accept a one-time expenditure for the purchase of laptop peripherals if they are necessary for the student’s academic work.

Loan Sanction Example:

Assuming your MBBS course fee is Rs. 35 lakhs for the entire duration. You will also incur living and other expenses of Rs. 10 Lakhs additional. You will need a loan up to Rs. 45 Lakhs, which, depending on the bank, you may get fully or partially with margin funding.

Tip: Always make it a point to discuss the entire scope of the breakdown with the bank before applying to ensure all costs are captured in the sanction letter.

Also Read:-

• MBBS Fees in Russia 2025-26 for Indian Students

Collateral and Co-applicant Explained

As is the case with most education loan applications in India, these two features, collateral and co-applicants, come hand in hand. Here is their significance for you and how to get them right.

1. What is Collateral?

Collateral is an asset that a borrower offers to a lender as a guarantee that he or she will repay the loan. If the borrower fails to pay, the lender may take the collateral as payment for the loan. After the collateral has been seized, the collateral becomes property of the lender.

Acceptable Collateral Includes:

• Residential property (self-owned)
• Commercial property (shops, offices)
• Agricultural land (in select cases)
• Fixed deposits or LIC policies

Providing collateral helps you get:

• A higher loan amount
• A lower interest rate
• A higher chance of approval

Some banks may only ask for this type of additional security if the loan is more than Rs. 7.5 lakhs. Other banks might ask for collateral for any overseas education loan.

2. Who is a Co-applicant?

A co-applicant refers to a person, typically a parent or guardian, who is going to be held liable to pay back the money in case the student does not honor the loan repayment obligations.

Requirements for Co-applicant:

• Should be a resident Indian
• Must have a stable income source (job or business)
• Should have good credit history

If your co-applicant has a stronger financial profile, the likelihood of obtaining the loan increases, especially in the case of an unsecured loan.

3. Things to Avoid

• Don’t Display Properties Which Are Legally Under Dispute Or Disputed, And Proprietorship Does Not Appear With Consent
• Co-Applicants should not be listed whose income is deemed irregular, as this may influence your acceptability.

Pro Tip: Even in cases where the bank fails to solicit collateral or a co-applicant, these aids may strengthen your chances and help negotiate better terms. They need not be offered formally.

Interest Rates and Repayment Terms

Having low-interest rates is very beneficial when it comes to choosing an educational loan. This shows lower amounts on payments over the years, giving value not just to acquiring the loan but managing it as well.

1. Types of Interest Rates

• Fixed Rate: Remains constant throughout the loan term.
• Floating Rate: Fluctuates with market conditions. Can go up or down.

A majority of Indian banks possess the floating rates of interest linked to the Repo Linked Lending Rate (RLLR), which changes periodically.

2. Average Interest Rates (2025)

3. Repayment Period

• Most loans offer a moratorium period (course duration + 6 to 12 months).
• After this, EMIs (Equated Monthly Installments) begin.

Repayment balances range from 7 to 15 years, depending on the amount taken versus the lending institution.

4. Interest Subsidy Schemes

• Certain schemes include interest subsidies provided by the government for selecting students from economically weaker sections (EWS) of society.
• Eligibility can be verified as well as applications by using the Vidya Lakshmi Portal.

Final Tip: Understand all terms of the loan agreement, including interest accruing during the repayment pause and restructuring prior to signing with the lender. A self-named “EMI” calculator can help formulate achievable goals set within gaps created by the period of stasis.

Tips to Improve Loan Approval Chances

In case securing an education loan for MBBS in Russia is a goal, then being patient is not the key. Here are practical steps to help you put to maximize the chances of getting the loan:

1. Maintain a Strong Academic Record

• High marks in 12th grade and NEET improve your credibility.
• A merit-based profile always looks better to lenders.

2. Choose an NMC-Approved University

• Banks trust institutions that are recognized and reputable.
• Avoid lesser-known or newly established universities.

3. Prepare Complete Documentation

• Submit all documents in one go.
• Missing documents are the biggest cause of loan delays.

4. Opt for a Financially Stable Co-applicant

• Having a wage-earning co-applicant who is employed on a full-time basis with a great credit rating is the difference between acceptance and rejection of your application.

5. Offer Collateral (If Possible)

• Even if not a requirement, offering property or fixed deposits might result in better terms.

6. Use Education Loan Counselors

• Services like GyanDhan, WeMakeScholars, and EduFund will help you with the right lenders, reduce the paperwork involved, and monitor your application status.

Taking the proper actions early on increases your chances of getting an approved loan and starting your financial stress-free MBBS journey in Russia.

FAQs: Education Loan for MBBS in Russia