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Personal Loan for Education

Karan Shah (CEO) (28 Points)

14 October 2022

I have taken a Personal Loan from a co-operative bank by pledging my parents' property. This loan I took to fund my brother's education fees only. (He didn't get the education loan.) Now I am repaying the entire loan from my salary. Can I get a tax relief available under the Educational Loans for this case since I have taken the loan for education of my brother and I am paying the same on his behalf?

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4 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160332 Points)
Replied 14 October 2022

No, the benefit is available only to self or parents....

The loan should be taken for the higher education of self, spouse or children.

1 Like

veerendar singh (tax consultant) (3301 Points)
Replied 14 October 2022

You cant take tax benefit out of financing your brothers education

1 Like

sabyasachi mukherjee (26047 Points)
Replied 16 October 2022

First eligibility conditions has to be fulfilled then tax benefit.

TarunGupta (Student) (38 Points)
Replied 01 December 2022

Since personal loan for education offers guaranteed returns, many individuals view them as reliable investments. The overall loan application process may seem intimidating to students and parents because it requires a lot of time and effort. When requesting loans, bear the following in mind: Verify your course's loan eligibility. There is a higher likelihood of securing an education loan for courses with a high employment likelihood. Give yourself plenty of time to research, assess, and compare different school loan options to avoid a last-minute rush and the associated inconveniences. Starting earlier is advised for a more pleasurable experience.