Key facts: Canara Bank vs Federal Bank vs IDFC FIRST Bank education loan
- Starting rate: Canara Bank 6.85%, Federal Bank 10.10%, IDFC FIRST Bank 9.50%. This is the lowest rate each loan provider advertises for an education loan, not the rate everyone is offered.
- Gap between starting rates: 3.25 percentage points between the lowest and the highest.
- Top of the published range: Federal Bank up to 13.50%, IDFC FIRST Bank up to 14%.
- Maximum tenure: Canara Bank 15 years, IDFC FIRST Bank 15 years. Federal Bank does not state one in months or years.
- Type of loan provider: Canara Bank is a public sector bank; Federal Bank is a private bank; IDFC FIRST Bank is a private bank. Banks and NBFCs price floating rates differently.
- Official websites: canarabank.bank.in, federal.bank.in, idfcfirstbank.com.
- Pages checked: 4 official pages opened for this loan type.
- Loan types with a published rate: Canara Bank 3, Federal Bank 7, IDFC FIRST Bank 6 (out of 8 we track).
- Last checked: 12 October 2026, on each loan provider's own website.
Who each loan provider suits on an education loan
Built only from figures the loan providers publish. It says where each one is ahead on paper, not who will approve you.
Pick Canara Bank if you want
- The lowest published starting rate (6.85%)
Where Federal Bank stands
No clear edge on the published figures we could compare for an education loan. Check the table below and the Key Fact Statement.
Where IDFC FIRST Bank stands
No clear edge on the published figures we could compare for an education loan. Check the table below and the Key Fact Statement.
Canara Bank vs Federal Bank vs IDFC FIRST Bank education loan: rate, fees and tenure
Starting education loan rates as published: Canara Bank from 6.85%, Federal Bank from 10.10% and IDFC FIRST Bank from 9.50%. Canara Bank is lower at the starting rate, but the top of each range and your own credit profile decide what you are offered.
| Detail | Canara Bank | Federal Bank | IDFC FIRST Bank |
|---|---|---|---|
| Published rate | 6.85% p.a. (starts from 6.85%, T&C apply) - Vidya Turant | 10.10% to 13.50% | Secured 9.5% to 11.25% p.a.; unsecured 11.75% to 14% p.a. |
| Rate basis | Reducing balance | floating, linked to RBI Repo Rate | Floating, repo-linked |
| Loan amount | Category A Rs. 50 lakh; B Rs. 40 lakh; C Rs. 30 lakh | Special Vidya Loan: Rs 10 lakhs (India), Rs 20 lakhs (abroad); Fed Scholars: Rs 20 lakhs | ₹1 lakh to ₹2 crore (collateral-free up to ₹1.5 crore) |
| Maximum tenure | EMIs up to 15 years excl. moratorium (course + 1 year) | Moratorium (course period + 1 year) plus 15 years | Up to 15 years |
| Processing fee | NIL (PM-Vidyalaxmi portal fee Rs. 200 + GST) | Fed Scholars: no processing fee | Nil up to ₹7.5 lakh; above that up to 1.5% of loan amount |
| Prepayment / foreclosure | No prepayment penalty at any stage | Not published | Nil; no charge on foreclosure or part-payment |
| Eligibility (as published) | Indian national with admission in eligible institution; co-borrower generally required | Indian national with admission to approved professional/technical course; vocational courses not eligible | Indian nationals incl. NRIs; age 18+; admission to authorised institution; co-applicant required |
| Other terms published |
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| Official source | canarabank.bank.in/vidya-turant | federal.bank.in/education-and-career-loans federal.bank.in/loan-rate | idfcfirst.bank.in/personal-banking/loans/education-loan |
Read the full guide: Education loan
What each loan provider publishes about its education loan
Canara Bank
Public sector bank · Canara Bank
- How the rate is set: Reducing balance
- Eligibility as published: Indian national with admission in eligible institution; co-borrower generally required
- No collateral or guarantor
- No margin
- CSIS interest subsidy for loans up to Rs. 10 lakh
- Not available for studying abroad
Federal Bank
Private bank · The Federal Bank Limited
- How the rate is set: floating, linked to RBI Repo Rate
- Eligibility as published: Indian national with admission to approved professional/technical course; vocational courses not eligible
- Covers tuition, hostel, exam, library, lab, books, travel abroad
- Fed Scholars: up to Rs 20 lakhs without collateral
- No security up to Rs 4 lakhs; guarantee/collateral above
- Fed Scholars: subsidy for eligible students
IDFC FIRST Bank
Private bank · IDFC FIRST Bank Limited
- How the rate is set: Floating, repo-linked
- Eligibility as published: Indian nationals incl. NRIs; age 18+; admission to authorised institution; co-applicant required
- Collateral-free up to ₹1.5 crore
- Up to 100% financing of education expenses
- Section 80E interest deduction (old regime)
- Flexible repayment options
Before you apply for an education loan
- What is covered: Tuition, hostel, exam fees, books and equipment are normally covered. Confirm the list before you apply.
- Co-applicant: A parent or guardian usually applies with the student. Their income and credit score are assessed along with the admission.
- Moratorium: Repayment normally starts after the course ends plus a grace period of up to a year. Interest keeps building up during the break unless you pay it.
- Collateral and margin: Loans up to a limit are often available without collateral, and the family pays a margin on the course cost. Ask for the limits that apply to your course.
RBI requires every loan provider to hand you a Key Fact Statement before you sign. It shows the rate, every fee, the APR and the total you will repay.
Terms used on this page
Plain meanings of the terms this comparison uses.
Starting rate: The lowest rate a loan provider advertises for a product. Most borrowers are offered a higher rate, because the final rate depends on credit score, income, employer and loan amount.
APR: Annual percentage rate. It adds the processing fee and other charges to the interest rate, so it shows the yearly cost of the loan better than the interest rate alone.
Key Fact Statement: A short summary the loan provider gives you before you sign. It lists the interest rate, every fee, the APR and the total amount you will repay. RBI requires it for retail loans.
Floating rate and repo rate: A floating rate moves with a benchmark, and for banks that is usually the RBI repo rate, the rate at which RBI lends to banks. A fixed rate stays the same for the period you agree.
Processing fee: A one-time charge for handling the application. It is usually a percentage of the loan amount plus GST, and it is often deducted before the money reaches you.
Credit score: A number from 300 to 900 that shows how you have repaid past loans and cards. A higher score usually gets you a lower rate.
Sources and last check
Every figure above is read from the loan provider's own website and was checked on 12 October 2026. A blank means the page does not show that figure, and we never estimate one.
- Canara Bank: canarabank.bank.in/vidya-turant
- Federal Bank: federal.bank.in/education-and-career-loans federal.bank.in/loan-rate
- IDFC FIRST Bank: idfcfirst.bank.in/personal-banking/loans/education-loan
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More education loan comparisons
Canara Bank vs Federal Bank vs IDFC FIRST Bank: every loan type on one page · All education loan comparisons · Education loan guide · Education loan EMI calculator
Head to head, two at a time
Looking at a car or two-wheeler loan instead? Compare vehicle loans by bank.
Frequently asked questions
Which is better for an education loan: Canara Bank, Federal Bank or IDFC FIRST Bank?
Canara Bank has the lowest published starting education loan rate at 6.85%, against 10.10% at Federal Bank and 9.50% at IDFC FIRST Bank. Rate is only one part of the cost, so also compare the processing fee, the prepayment terms and the total repayable amount in the Key Fact Statement.
Which has the lower education loan interest rate: Canara Bank, Federal Bank or IDFC FIRST Bank?
Canara Bank has the lowest published starting education loan rate at 6.85%, against 10.10% at Federal Bank and 9.50% at IDFC FIRST Bank. The published ranges run to Federal Bank up to 13.50% and IDFC FIRST Bank up to 14%, so the rate you are offered can sit well above the starting rate.
What is the education loan processing fee at Canara Bank, Federal Bank and IDFC FIRST Bank?
Canara Bank: NIL (PM-Vidyalaxmi portal fee Rs. 200 + GST). Federal Bank: Fed Scholars: no processing fee. IDFC FIRST Bank: Nil up to ₹7.5 lakh; above that up to 1.5% of loan amount. Fees can change, so confirm the amount in rupees, with GST, before you accept.
What is the maximum education loan tenure at Canara Bank, Federal Bank and IDFC FIRST Bank?
Canara Bank: EMIs up to 15 years excl. moratorium (course + 1 year). Federal Bank: Moratorium (course period + 1 year) plus 15 years. IDFC FIRST Bank: Up to 15 years. A longer tenure lowers the EMI and raises the total interest.
Can I prepay or foreclose an education loan early at Canara Bank, Federal Bank and IDFC FIRST Bank?
Canara Bank: No prepayment penalty at any stage. Federal Bank: not published. IDFC FIRST Bank: Nil; no charge on foreclosure or part-payment. Ask whether the rate on your loan is fixed or floating, because the charges depend on it.
How much education loan can I get from Canara Bank, Federal Bank and IDFC FIRST Bank?
Canara Bank: Category A Rs. 50 lakh; B Rs. 40 lakh; C Rs. 30 lakh. Federal Bank: Special Vidya Loan: Rs 10 lakhs (India), Rs 20 lakhs (abroad); Fed Scholars: Rs 20 lakhs. IDFC FIRST Bank: ₹1 lakh to ₹2 crore (collateral-free up to ₹1.5 crore). The amount you are offered depends on your income, credit profile and the security you give.
Who is eligible for an education loan at Canara Bank, Federal Bank and IDFC FIRST Bank?
Canara Bank: Indian national with admission in eligible institution; co-borrower generally required. Federal Bank: Indian national with admission to approved professional/technical course; vocational courses not eligible. IDFC FIRST Bank: Indian nationals incl. NRIs; age 18+; admission to authorised institution; co-applicant required. Each loan provider can ask for more documents once you apply.
Are Canara Bank, Federal Bank and IDFC FIRST Bank regulated by the RBI?
Yes. Canara Bank is a public sector bank, Federal Bank is a private bank, IDFC FIRST Bank is a private bank, and all lend under RBI rules, including the requirement to give you a Key Fact Statement before you sign.
Where do these education loan figures come from?
From the official pages of Canara Bank, Federal Bank and IDFC FIRST Bank, opened and checked on 12 October 2026. The sources are listed at the bottom of this page. We show a blank where a loan provider does not publish a figure, and we do not estimate one.
KhatuLoans is not a loan provider and is not paid by the loan providers named here to rank them. Rates, fees and eligibility change; always confirm with the loan provider. Read our editorial policy and how we make money.