Education Loan Calculator
Work out repayments on a student loan, including interest accruing during the moratorium.
- Can I claim tax relief on an education loan?
- Yes. Section 80E allows the entire interest paid to be deducted, with no cap, for up to eight years from when repayment starts. The principal is not deductible. This is available under the old regime.
- Should I pay the interest during the moratorium?
- If you can, yes. Interest accruing during the moratorium is capitalised into the principal, so you end up paying interest on interest. Many banks also offer a small rate concession to borrowers who service interest during the course.