Student Loan in Germany – Study in Germany Financial Guide (2023)

Student Loan in Germany – Students in India who wish to study abroad often face the financial barrier of high college fees and overseas living expenses. But Germany is one study abroad destination which provides quality education at affordable prices. Engineering colleges of Germany are famous across the world for providing quality education and placement opportunities. Similarly, students of MBA in Germany are also absorbed by elite corporate institutions. While the cost to study in Germany is lower when compared to USA, UK, Canada, Singapore, etc., the cost of living in Germany is not. Scholarships in Germany also offer only partial coverage for academic and living expenses. Loans to study in Germany for Indian students remain the best option for them to fund their education.

Student Loan in Germany – Cost of Studying in Germany vs. Cost of Living

Germany is home to over 25 universities that feature in the top 500 of the latest QS World Ranking 2019. Universities in like the Technical University of Munich, Ludwig-Maximilians-Universität München, KIT, Karlsruhe Institute of Technology and other 5 universities are listed in the top 100 QS Rankings. This makes Germany one of the best options to study abroad for Indians. The German government norms keep the cost to study at these universities low while the cost of living in Germany still stays up.

(Video) Tips for International Students - How do I finance my studies in Germany?

As most of the education loans in India only cover academic expenses, getting the right loans to study in Germany for Indian students is tricky. Here we have provided you with a complete guide to find a student loan in Germany.


Cost of studying in Germany – Student Loan in Germany

Just like in other foreign countries, students willing to study in Germany have to provide proof of funds to stay there. The BAMF – Bundesamt für Migration und Flüchtlinge or the Federal Office for Migration and Refugees in Germany overlooks the Student Visa Process in Germany. The laws there require students to show proof of at least €750 per month or €8640 per year for getting a German student visa.Student Loan in Germany – Study in Germany Financial Guide (1)

Students can deposit this sum in German Blocked Bank Account before applying for the student visa. This amount helps you to cover additional non-academic expenses like accommodation, meals, commute and personal expenditures. Indian banks provide education loan for German Blocked Bank Account to help the students get a German visa. However, the same education loan amount can be directly considered as proof of funds to get past immigration and study in Germany.

(Video) 5 Ways to Finance Your Studies in Germany

Average Cost of Studying in Germany – Academic Expenses

Cost of Studying in Germany for India Students
Academic LevelCost in Euros (€) per semester (approx.)Cost in Indian National Rupees (₹) per semester (approx.)
Undergraduate Courses€250 to €600₹20,000 to ₹46,000
Post-Graduate Courses€300 to €700₹23,000 to ₹55,000
Doctoral Courses€300 to €500₹23,000 to ₹40,000
Average Award Amount of Scholarships in Germany€400 per year₹31,000 per year

Overseas Scholarship Programs for Indians to study in Germany provide a percentage of all these expenses. Most of the scholarships in Germany emphasize on lab-based and research courses. Thus, students have but one option to get an international education loan in Germany to cover their expenses. The total average cost of studying in Germany falls close to €11,000- €15,000 (₹8,50,000- ₹12,00,000) per year. Loans to study in Germany for Indian students generally cover up to 85% of this amount. Some Non-Banking Financial Institutions (NBFCs) in India also cover up to 100% of the cost to study in Germany.

Student Loan in Germany – Top International Student Loan Providers

It’s only beneficial that education loans in India to study abroad up to ₹7,50,000 (7.5 lakhs) are provided without any collateral. International Scholarships for Indian Students to study in Germany generally cover 20% to 80% of the academic expenses. This way students only have to manage some portion of their overall cost of studying in Germany. However, only some banks in India provide loans for non-academic expenses to study abroad. Additionally, Indian banks have a limited list of approved universities in Germany. These factors make it tough for students to manage their living expenses in Germany. Here is a list of top providers for a student loan in Germany, which helps mitigating this financial concern.

Student Loan in Germany- List of Top Study Abroad Loan Lenders

Bank NameQuantum of Education LoanInterest RateExpenses Covered (excluding academic fees)
SBI Edvantage Education Loan₹10.00 Lakhs to ₹1.25 Crores10.80% to 12.50%Limited living expenses covered – accommodation and travel expenses only
HDFC Credila Study Abroad Loan₹10.00 Lakhs to ₹50.00 Lakhs13.00% to 16.00%Up to 100% living expenses
Avanse Student Loans₹4.00 Lakhs to ₹1.25 Crores12.00% to 16.00%75% of living expenses (capped at 20% of the sanctioned loan amount)
ICICI Bank Education Loan₹4.00 Lakhs to ₹36.00 Lakhs11.25% to 14.25%Insurance + Travel + Accommodation covered
PNB Udan Education Loam₹20.00 Lakhs to ₹1.00 Crore10.35% to 12.25%No living expenses covered



Special Student Loans in Germany – BaföG for International Loans

Indian students in Germany can avail federal student loans based on certain citizenship and resident status criteria. Bundesausbildungsförderungsgesetz or the BAföG loans are financial aid provided to students as interest-free loans to pay for their education. Indians may apply for such a student loan in Germany if:-

  • One of their parents is working in Germany for more than 3 years
  • They have attained a German Education and stayed in Germany for more than 5 years
  • They have attained a graduation or post-graduation degree from Germany while staying in Germany for more than 3 years in the last 6 years
  • If they are working in Germany with annual income more than €48,000 (for 3 years or more)
  • If they have a permanent residence in Germany and are working in the country with annual income more than €48,000

For some universities in Germany, Bafög for international students cannot be clubbed with scholarships in Germany. Students should confirm with their international admission office before placing a federal loan request.

Source: Federal Ministry of Education and Research, Germany

(Video) How to finance your studies in Germany

Thus, students from India who are studying in Germany under the employment benefits or are wards of diplomats/NRIs may apply for Federal Student loans in Germany. Other Indian students who do not fall in any of these categories for Study Abroad Admissions in Germany, have to rely on bank loans or scholarships in Germany.

Loans to Study in Germany – Scholarship Adjustable Loans

Every International Student from India applying for a study abroad loan has to pay margin money to show financial viability. A student loan in Germany already does not cover the hefty living expenses. Students find it very difficult to pay for their living expenses and the margin money, especially if they don’t have a scholarship.

Education Loan experts are institutions which help students in finding a way around this concern. Student loan experts like Buddy4Study negotiate on behalf of students to get lower interest rates. These organizations can help students to find a student loan in Germany which covers more living expenses than academic expenses. They can also help students get education loans where margin money can be adjusted with a scholarship award. Studying in Germany is a financial and educational treat, but only if students balance their expenses well. With all the information listed above, we hope that you’ll be able to Study in Germany with ease. Happy learning!


How much bank balance is required for Germany student visa? ›

In most cases, applicants have to prove that they have around 11.208 euros at their disposal for one year. This amount of money is called "Regelbedarf", which means it is the amount of money that is estimated to be needed by a student to live in Germany for one year.

How do I get a student loan to study in Germany? ›

List of documents required for an education loan to Germany
  1. Letter of admission from the college/University.
  2. Loan application form filled out in full.
  3. Documents on the cost of studies.
  4. Identification proof.
  5. Residence proof.
  6. PAN details of the borrower.
  7. Guarantor/co-borrower's/student's bank statements.

How much education loan can I get to study in Germany? ›

The amount can exceed INR 25 lakhs. However, the applicant should meet their eligibility criteria and other obligations. The processing fees for the same are up to 1.5% of the loan amount. Education loans for Germany offered by HDFC Credila can be availed before the student has secured admission at the university.

Can I get a loan in Germany as a student? ›

In Germany, there are generous provisions for students, including a range of state-financed grants (such as BAfög for international students) and private loans. The most common form of education loan in Germany is called Bafög. It is a state-funded loan that is available to students based on their financial needs.

How much money should I carry to Germany as a student? ›

Students in Germany usually spend roughly 850 Euros every month on average as living costs.

Which bank is best for education loan for Germany? ›

Top Lenders for Study Loan for Germany
BankEducation Loan
HDFC Credila Study Abroad Loan₹10.00 Lakhs to ₹50.00 Lakhs
Avanse Student Loans₹4.00 Lakhs to ₹1.25 Crores
ICICI Bank Education Loan₹4.00 Lakhs to ₹36.00 Lakhs
PNB Udaan Education Loan₹20.00 Lakhs to ₹1.00 Crore
1 more row
7 Sept 2022

Can a poor student study in Germany? ›

The German welfare association Paritätische Gesamtverband has recently revealed that almost every third person studying in Germany lives below the poverty line. This has been followed by calls for BAföG reforms and higher student loans.

Does Germany give money to students? ›

The Government of Germany provides financial aid to students in the form of loans and grants regardless of their social and economic situation. This aid is provided under the Bundesausbildungsförderungsgesetz (Federal Training Assistance Act) or "BAföG" [ˈbaːfœk] .

How much students earn in Germany per month? ›

The classic among the part-time jobs is the minijob. You may earn up to 450 euros per month. With a minimum wage of 9.50 euros per hour (as of Jan. 2021), you have to work a maximum of around eleven hours per week or around 47 hours per month for this amount.

How much maximum study loan can I get? ›

There is no restriction on maximum amount of loan that can be sanctioned under the education loan scheme. For NRI students Maximum quantum Rs.20 Lakhs & Rs.30 Lakhs for premium institutes.

Can a student earn more than 450 euros in Germany? ›

Students can hold a minijob and earn up to 520 EUR per month without having to pay taxes. If you regularly earn more than 520 EUR, you will need a tax number, and a certain amount will be taken from your wages every month. Students can get this money back at the end of the year by submitting a tax return .

How do students qualify for loans? ›

To apply for a federal student loan, you must first complete and submit a Free Application for Federal Student Aid (FAFSA®) form. Based on the results of your FAFSA form, your college or career school will send you a financial aid offer, which may include federal student loans.

Which bank gives loan in Germany? ›

A summary of the different types of loans in Germany
BanksLoan amount (EUR)Annual interest rate
Santander BestCredit1,000 – 60,000From 1.99%
1822direkt2,500 – 50,000From 1.64%
Postbank3,000 – 50,000From 1.95%
Norisbank1,000 – 65,000From 2.29%
13 Sept 2022

Is it easy to get loan in Germany? ›

As a foreigner living in Germany, getting a loan is generally not a problem. You do however need to fulfill a few legal and credit requirements. Before you start applying for a loan, make sure that you fulfill the following minimum requirements to obtain credit: You have to be 18 years or older.

How do I get proof of sufficient funds? ›

Proof of Funds usually comes in the form of a bank, security or custody statement, and can be procured from your bank or financial institution that holds your money. Bank statements are the most common document to use as POF and can typically be found online or at a bank branch.

How much money do you need to show for a student visa? ›

The I-20 is the form you will use to apply for a U.S. student visa. Most students need to show from $30,417** to $34,417** in available funding depending on scholarship amount.

What is proof of income in Germany? ›

Gehaltsnachweis – Proof of income

As proof of this document, you can show any payslips or invoices issued by your previous employer. Most of the time, it is best if you have documentation of the salary from the previous three months.

Is 1000 euros enough for a month in Germany? ›

You will need around 934 euros a month to cover your living expenses in Germany as of 2022. On average, to cover your living expenses in Germany you will need around 934 euros per month (around $906 US dollars) or 11,208 euros per year (around $10,876 US dollars).

How much salary is sufficient in Germany? ›

60.000 euros a year in Germany is considered a good gross salary as it is well above the average salary of 47.700 euros a year for the whole country. Most Germans who earn 60.000 euros or more are very happy with their salary.

How much salary is enough in Germany? ›

According to the StepStone Salary Report 2021 (Stepstone Gehaltsreport 2021), the average gross salary in Germany amounts to €56,985. But most Germans consider a salary ranging between €64,253 and €81,503 a good salary.

Which bank approves education loans easily? ›

Go to IDBI bank for an education loan if you have secured admission in any of the premier institutes and have adequate (1.33 times) collateral security for easy approval.

Which bank gives education loan fast? ›

Axis Bank brings you Education Loans for studies both in India and abroad starting from Rs. 50,000 at attractive interest rates. With an Axis Bank Education Loan you can enjoy a host of benefits such as simple documentation, quick loan disbursal, tax benefit u/s 80(E), long repayment tenure, etc.

Which finance is best for education loan? ›

Top Banks with Interest Rates Offering Indian Students an Education Loan
Indian Public / Private BanksInterest RatesLoan Tenure
Indian Public Banks
SBI Education Loan8.65%15 + 1 years
Axis Bank Education Loan13.7% to 15.2%15 years
Bank of Baroda Education Loan7.85% to 9.85%-
6 more rows

Which is the cheapest city in Germany for students? ›

The top 10 German university cities for lowest cost of living
  • The top 10 German university cities for lowest cost of living.
  • Chemnitz. Chemnitz is particularly affordable for students because the rents are relatively low. ...
  • Erfurt. ...
  • Leipzig. ...
  • Dresden. ...
  • Rostock. ...
  • Gelsenkirchen. ...
  • Halle.

Can I settle in Germany after study? ›

Yes. After you have completed your studies you can stay in Germany while you are looking for a job. Students from non-EU and non-EEA countries who hold a residence permit can apply to have it extended for another 18 months while they search for a job in Germany.

How can an international student get a loan in Germany? ›

Here is a list of your potential student loan options:
  1. BAföG (short for: Federal Training Assistance Act)
  2. The education loan from the Federal Office of Administration.
  3. KfW student loan.
  4. Student loans from the loan offices of the student unions or student services organisations.
  5. Private foundations, e.g., E.W.
9 May 2022

How can I study in Germany with no money? ›

Everyone can study in Germany tuition-free!

This applies to almost all study programmes at public universities. There is a tiny catch: If you are from outside the EU, you will need to get a residence permit before you arrive in the country; and you will have to finish your studies in Germany.

How can a student save money in Germany? ›

The most common places you can save money as a student in Germany are with bank accounts, internet and mobile providers, public transport, health insurance, cultural events, gyms, and many more. You can also take a look at portals such as

How do I get financial aid in Germany? ›

Bildungskredit is the Federal Government's loan scheme for students studying in Germany. Anyone under the age of 36 can apply for Bildungskredit, and can receive as much as €7,200 a year. Repayments of the loan will then start 4 years after graduation and will not be more than €120 a month.

Can I work full-time as a student in Germany? ›

You can work up to 20 hours per week while studying. If you exceed this, you'll be required to pay into the German social security system, and there could be a negative impact on your studies. Non-EU/EEA students are also able to work in Germany alongside their studies, for 120 full days or 240 half days per year.

Can I convert my student visa to work visa in Germany? ›

Staying in Germany after obtaining your degree

You are allowed to perform any job while searching for qualified employment. As soon as you have received a job offer, you can apply to have your residence permit for study purposes converted into a work permit for qualified professionals or into an EU Blue Card.

Which degree is best in Germany? ›

Do you want to study in Germany? Here are the top courses to study in Germany to avail more opportunities in the global market:
  • Medicine and Dentistry.
  • Law.
  • Industrial Engineering.
  • Engineering.
  • Mathematics and Computer Science.
  • Natural Sciences.
  • Business and economics.
  • Architecture.
22 Aug 2022

How do I pay back my education loan? ›

6 Best Tips to Repay Your Student Loan Early
  1. Choose the right repayment plan.
  2. Opt for a shorter loan tenure.
  3. Set up automatic payments.
  4. Pay off interest during the moratorium.
  5. Make extra payments towards your loan.
  6. Think about refinancing your education loan.
4 Feb 2022

What happens if I dont pay my education loan? ›

– If you do not pay your education loan in India, the lender will start sending notices to you and your guarantor, if there is one. If you fail to comply with the warnings, you will default on your loan, and your credit score will take a huge hit. You would not be able to secure any loan in the future for a long time.

Can I take 2 study loans? ›

Well, the answer to the above question is - Yes, a student can be eligible for a second education loan. For this, they can either apply for a second education loan from the bank they already have taken their first loan from or they can apply to a different bank.

Who gets high salary in Germany? ›

The highest-paid professions in Germany belong to the medical, engineering, and financial sectors. The top-paying jobs require a degree related to your domain because unskilled jobs do not fetch a good salary. Surprisingly, research has found that Germany's average highest-paying job rate is at least €55,475 per annum.

What is the highest paying part-time job in Germany? ›

Highest paying part-time jobs in Germany
  • Research scholars.
  • Research assistants/academic assistants.
  • Support staff.
  • Teaching English as an English tutor.
  • Industrial production assistants.

How much tax do I pay in Germany as a student? ›

Tax returns for working students

For 2021, the tax-free allowance for annual income is €9,744, and in 2022 it's €9,984. If you're a working student earning €450 a month, your annual salary will fall below this allowance, meaning you won't need to pay any taxes.

How much bank balance do I have to show for a Schengen visa? ›

Proof of civil status – birth certificate will suffice. Bank statement – this needs to show a minimum balance of €3000 over the last 6 months.

How much money is required for Germany blocked account? ›

A blocked account with sufficient funds is one of the top requirements for international students seeking student visas. According to the German Foreign Office, from 1 January 2023, the presumed annual requirement that must be paid into the blocked account when applying for a visa will amount to €11,208.

Does German student visa get rejected? ›

What are the chances of German student visa rejection? Ans. Despite having a 92% selection rate, German immigration officers might reject your visa based on the above-mentioned pointers. So ensure to avoid them regardless and not become a part of the Germany visa rejection rate percentage (8%.)

Is German student visa easy to get? ›

The application process is pretty simple if you have all the required documents. However, you should make sure to go prepared. Here's how to apply for the Germany Student Visa: Go to the German Embassy or Consulate in your country.

Does embassy check bank statement? ›

Ans. Yes, the US Embassy very well checks the proposed F-1 visa bank statement requirement.

Is 3 months bank statement enough for Schengen visa? ›

Sponsorship Letter by another person that confirms they will be financially supporting your trip to the Schengen. In order for this letter to be valid, it must be accompanied by a bank statement of the sponsor, no older than three months.

How much money can I have in my bank account for Schengen? ›

- Mostly you should have 100 Euro for every day of your stay and we recommend that your balance should be 80,000 EGP or more.

Can I study in Germany without blocked account? ›

One can also apply to the German consulate for a student visa without a blocked account opened by them provided; A scholarship is available to cover the cost of living. A Government agency sponsors the entire study programme.

Which bank is best for Block account in Germany? ›

There are three official providers of blocked accounts in Germany: Expatrio, Coracle, and Fintiba. With these three German providers, you can easily open your blocked account online and in English.

Can I get education loan for blocked account in Germany? ›

The applicant should have been accepted into a job-oriented course to repay the loan after their education. The applicant must have a sum of 8,640 EUR per year deposited to his/her bank account to show as education loan for Germany blocked account.

Is interview compulsory for Germany student visa? ›

For international students, the pursuit of German education is a bit more complicated than you might think. In addition to simply getting into their university of choice, students must gather all the necessary paperwork for the German student visa application. Then, they must complete the study visa interview.

Do I get a refund if my student visa is refused? ›

Will my visa fee be refunded? No, the fee you have paid for your visa application is for it to be processed and a decision to be made, regardless of the decision itself.

Is ielts compulsory for Germany student visa? ›

Is IELTS required for a German student visa? Ans. Yes, one of your Germany study visa requirements is to prove your English proficiency. The minimum IELTS requirement for Germany Student Visa is 5.5-6.0 band score.

Why do student visas get rejected? ›

Common Reasons behind Student Visa Rejection

Lack of sufficient financial funds or proofs to support foreign education. The inability of confirming a necessary return to India after completion of education. Incorrect or false documents. Inadequate language or communication skills.

What is the age limit for student visa in Germany? ›

12. Are There Any Age Limits to Applying to Undergraduate and Postgraduate Programmes in Germany? No, there is no age limit to applying to study programs in Germany.


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