Education Loan Options to Study in Japan in 2025

Japan, in recent times, has become such a popular destination for international students, that thousands of students are now planning their higher studies in Japan. The reasons are very simple:

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  A rich cultural heritage that is very warm and welcoming
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  Technologically advanced country
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  Globally recognized colleges and universities
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  Degree courses that offer bright prospects

Now, to study in Japan for Indian students, you need to have proper financial planning to manage your expenses because the cost of education like tuition fees, books and hardware costs, living expenses, and other associated costs are significantly higher In Japan than in India. And, if you cannot afford everything on your own, then an education loan is an option that can help you realize your dream of studying in Japan. But before you plan further with education loans for Japan, read this blog till the end as it has some very important insights that you cannot miss.

Why Choose Japan for Higher Education?

Japan is home to some of the world's top-ranking universities, offering renowned degrees with top-class education across various streams. Institutions like the University of Tokyo, Kyoto University, and Osaka University are known for their academics and research opportunities. Students from around the globe come to Japan to grow their careers in research and development. Beyond academics and research, Japan offers a unique cultural experience, a safe environment, and great growth opportunities.

If we compare the tuition fees of public universities in Japan, we will find that it is low compared to many universities in Western countries. However, studying in Japan involves expenses like living costs, health insurance, and travel. That is why, to study in Japan for Indian students, education loans are of utmost importance. Let us understand the types of education loans for studying in Japan.

Estimated Costs for Studying in Japan

Before you apply for an education loan to study in Japan, it is very important to check the costs that are involved during your stay in Japan. Let us understand from the table below. We have given an approximate value in Indian currency for a better estimation of your expense.

This breakdown can help you estimate the amount of loan in Japan that is required to cover tuition and living expenses during your time in Japan.

Types of Education Loans for Studying in Japan

For International student loan Japan, you will see mainly two types of education loans - secured and unsecured education loans. Let us understand them one by one:

Secured Education Loans:

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  These loans require collateral or you can say, a security which can be in the form of property, fixed deposits, or government bonds.
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  Since you are giving collateral to the bank, which reduces the bank’s risk and that is why the interest rates are much lower than other unsecured loans.
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  Public sector banks in India, like the State Bank of India (SBI), Union Bank of India (UBI), Bank of Baroda, and others are common providers of secured loans.

Unsecured Education Loans:

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  These loans do not require collateral but have higher interest rates as the risk of lender is higher as compared to secured education loans.
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  There is a limit on the loan amount and approval depends on the co-applicant’s income and credit score.
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  Private banks, Non-Banking Financial Companies (NBFCs), and international lenders usually offer unsecured loans.
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  Recently, SBI has started giving unsecured loans up to INR 50 Lakhs which is very beneficial for students who are planning to study abroad but do not have any collateral or security.

Key Lenders Offering Education Loans for Japan

Since you have understood the expenses, now to fund your education expenses in Japan, you need an education loan, which you get from the below-mentioned lenders. Please note that the table below is not exhaustive and there are more lenders that can provide education loans according to your preferences.

Please note that these interest rates are subject to change and we recommend that you check with the bank or NBFC (Non-Banking Financial Companies) before applying for the education loan in Japan. Alternatively, you can connect with us and we will get you better deals on education loans with faster processing.

What Expenses Are Covered?

Most banks or lenders cover beyond just the tuition fees for study in Japan. Student loans Japan cover the following expenses:

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  Living Costs (like accommodation, food expenses, and more).
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  Travel costs (one-way economy-class airfare to Japan).
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  Books, laptops, and study materials (as per your curriculum requirements)
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  Laboratory and examination fees.
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  Health insurance and visa application fees.

Some banks and lenders disburse the amount even before you get your visa, it is known as pre-visa disbursement.

Study in Japan India is an exciting opportunity to access world-class education while enjoying a vibrant culture. Financing your education can be a little challenging but with loan experts like GyanDhan, your education loan journey will be smoother than ever. We help you understand the costs, compare lenders, and help you choose the best education loan in the market. With our expert guidance, your dream to study in Japan will become a reality.

Eligibility Criteria for Education Loans

There is a list of specific eligibility requirements that you must meet in order to get an education loan. We have mentioned some of the most important and common eligibility criteria below:

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  Nationality: Applicant must be an Indian citizen.

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  Age: Minimum age of 18 years at the time of application. The maximum age is usually 35, but some lenders have relaxed their age requirements.

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  Admission Status: Must have a confirmed admission letter from a recognized Japanese university.

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  Course Type: The program should be job-oriented and have the potential to enable repayment post-graduation.

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  Co-applicant: For unsecured loans, a financial co-applicant with a stable income and good credit history is required.

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  Credit Score: A good credit score (CIBIL) is very important for better loan terms. The higher the CIBIL, the better will be the deal for you.

Documents Required for an Education Loan

There is a list of documents that you must submit to your lender before getting an education loan. The bank or the NBFC will verify the documents you submit. Here is the list of documents required, but please note that there can be certain additions to this, depending on the lender.

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  KYC documents of the applicant and co-applicant.
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  Admission letter from a recognized Japanese university.
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  Detailed fee structure of the course.
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  Academic mark sheets (10th, 12th, and graduation mark sheets).
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  For unsecured loans, you need to submit proof of income for the co-applicant (salary slips, IT returns of 3 years, bank statement of last 3 months).
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  For secured loans, you need to submit collateral or property documents in the order mentioned by your lender, which is usually 30 years of ownership.
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  Proof of funds is required for a Japanese student visa (around JPY 2,000,000).

Application Process for Education Loans Through GyanDhan

Applying for an education loan through GyanDhan is very simple and convenient to study in Japan. Let us understand the steps involved:

Step 1: Check Eligibility

The very step first to an education loan application is checking your eligibility. You can check your loan eligibility here. This is a free tool and once filled in, your details will be shared with us.

Step 2: Discuss with our loan counselor

Once your eligibility check is done, one of our loan counselors will be dedicated to your application. Your application will be thoroughly checked and reviewed by our loan counselor.

Step 3: Document Submission

Based on the review, you will be asked to submit all the required documents.

Step 4: Loan Application Submission

Your loan application will be submitted to multiple lenders and you can track the progress of your application on your dashboard.

Step 5: Sanction Letter

Once your loan application is approved, you will receive a sanction letter mentioning all the terms and conditions of your education loan along with the amount approved, repayment terms, interest rates, and more. You can always connect with our loan counselor if you have any doubts.

Step 5: Disbursement

After you receive a sanction letter, funds are disbursed directly into the account of one of the following:

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  University’s account
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  Co-applicant’s account
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  Applicant’s account

Please note that the account where the amount is disbursed depends on the terms and conditions of the lender.

Frequently Asked Questions