Education loans play a major role in helping students achieve their study dreams in India and abroad. With so many lenders available, choosing the right one can be confusing. Two popular options among students today are Axis Bank and Auxilo Finserv.
Both offer education loans for India and overseas studies, flexible repayment options, and attractive interest rates. However, there are some clear differences in loan amount, interest rate, processing time, and co-applicant requirements that every student should know.
In this blog, we’ll make a detailed comparison of Axis Bank vs Auxilo Education Loan with examples and easy calculations to help you decide which one is better for your needs.
💡 Overview of Axis Bank and Auxilo Education Loans
| Feature | Axis Bank Education Loan | Auxilo Education Loan |
| Loan Type | Education loan for India & abroad | Education loan for India & abroad |
| Maximum Loan Amount | Up to ₹75 lakhs (abroad) | Up to ₹65 lakhs (abroad) |
| Interest Rate (Approx.) | 10.25% to 13.00% p.a. | 11.00% to 13.50% p.a. |
| Processing Time | 5–10 working days | 2–5 working days |
| Processing Fee | Up to 2% of loan amount | Up to 1.5% of loan amount |
| Collateral Requirement | Mandatory for loans above ₹7.5L | Optional (depends on profile) |
| Repayment Period | Up to 15 years | Up to 15 years |
| Moratorium Period | Course period + 1 year | Course period + 1 year |
| Prepayment Charges | Nil | Nil |
🎓 Eligibility Criteria: Axis Bank vs Auxilo Education Loan
Axis Bank Eligibility
- Indian citizen with confirmed admission to recognized institutions in India or abroad.
- Co-applicant (parent/guardian) with stable income.
- Minimum age: 18 years.
- Collateral may be required depending on loan amount.
Auxilo Eligibility
- Indian citizen admitted to recognized universities (India or abroad).
- Can include salaried or self-employed co-borrower.
- Strong academic profile preferred.
- Works with non-traditional applicants as well (freelancers or small business co-applicants).
✅ Verdict:
Axis Bank has stricter eligibility norms, while Auxilo is more flexible for students with non-traditional financial backgrounds.
💰 Interest Rates and Loan Amount Comparison
Interest rates are one of the most important factors when comparing education loans.
Axis Bank Interest Rates
- Secured loan: 10.25% – 12.00% p.a.
- Unsecured loan: 11.50% – 13.00% p.a.
Auxilo Interest Rates
- Collateral-backed loan: 10.75% – 12.50% p.a.
- Without collateral: 11.50% – 13.50% p.a.
✅ Verdict:
Both lenders have similar rates, but Axis Bank offers slightly lower rates for secured loans.
🧾 Loan Example Calculation
Let’s take an example to understand the difference in repayment between Axis Bank and Auxilo.
Example:
- Loan amount: ₹20,00,000
- Tenure: 10 years (120 months)
- Interest rate: Axis Bank – 10.50%, Auxilo – 11.50%
Using the EMI formula:
Where,
- P = Loan amount (₹20,00,000)
- R = Monthly interest rate (Annual rate ÷ 12 ÷ 100)
- N = Number of months (120)
Axis Bank Calculation
- R = 10.50 ÷ 12 ÷ 100 = 0.00875
- EMI ≈ ₹27,118
- Total repayment = ₹27,118 × 120 = ₹32,54,160
- Interest payable = ₹12,54,160
Auxilo Calculation
- R = 11.50 ÷ 12 ÷ 100 = 0.00958
- EMI ≈ ₹27,818
- Total repayment = ₹27,818 × 120 = ₹33,38,160
- Interest payable = ₹13,38,160
💡 Result:
Axis Bank saves around ₹84,000 in total interest for the same loan amount and tenure.
🏛️ Loan Coverage
Both lenders cover the cost of tuition, accommodation, travel, and study materials, but let’s see the finer details.
Axis Bank Covers
- Tuition and exam fees.
- Library, lab, and hostel charges.
- Travel expenses (for abroad studies).
- Laptop and project costs (if necessary).
Auxilo Covers
- 100% cost of education, including tuition, hostel, travel, food, insurance, and laptops.
- Also covers living expenses and exam retakes in some cases.
✅ Verdict:
Auxilo offers more comprehensive coverage, including living and incidental costs that some banks don’t always include.
⚙️ Collateral and Co-Applicant Rules
Axis Bank
- Loans up to ₹7.5L can be unsecured.
- Above ₹7.5L, collateral such as property, FD, or LIC policy is required.
- Parent/guardian must be co-applicant.
Auxilo
- Provides both secured and unsecured loans.
- Considers multiple co-applicants (parents, siblings, spouse).
- Accepts movable and immovable assets as collateral.
✅ Verdict:
Auxilo gives more flexibility in terms of co-applicants and collateral types.
📄 Processing Time and Documents Required
Axis Bank
- Processing Time: 7–10 days
- Documents: KYC, admission letter, academic records, income proof, collateral documents.
Auxilo
- Processing Time: 2–5 days
- Documents: Similar, but the process is faster and fully digital.
- Offers online document upload and doorstep service.
✅ Verdict:
Auxilo wins for faster loan processing and paperless experience.
⏳ Moratorium and Repayment Terms
Both Axis Bank and Auxilo offer a moratorium period (no EMI during the study period).
- Axis Bank: Course period + 1 year.
- Auxilo: Course period + 1 year or 6 months after employment.
Repayment tenure is flexible — up to 15 years for both lenders.
Tip: Students can choose to pay simple interest during the study period to reduce the final EMI burden.
📈 Repayment Example After Moratorium
Suppose you take a ₹30 lakh loan for 2 years of study abroad.
- Axis Bank rate: 10.50%
- Auxilo rate: 11.25%
- Tenure: 10 years
If you choose not to pay anything during the course period, interest will accumulate.
Interest Accrued During 2-Year Course
- Axis Bank: ₹30,00,000 × 10.5% × 2 = ₹6,30,000
- Auxilo: ₹30,00,000 × 11.25% × 2 = ₹6,75,000
Total loan after moratorium:
- Axis Bank: ₹36,30,000
- Auxilo: ₹36,75,000
EMI after moratorium (10 years):
- Axis Bank ≈ ₹49,000/month
- Auxilo ≈ ₹50,200/month
💡 Insight: Even a small 0.75% rate difference can cost around ₹1,20,000 more over 10 years.
🎯 Unique Benefits
Axis Bank Benefits
- Attractive interest rate for top universities.
- Pre-visa disbursal available.
- Tax benefits under Section 80E.
- Special concessions for female students.
Auxilo Benefits
- No upper limit on co-applicants’ number.
- Covers 100% education cost.
- Doorstep service and 100% digital loan process.
- Personalized rate based on academic profile and future income potential.
✅ Verdict:
Auxilo is better for students who want fast approval and flexible options, while Axis Bank suits those looking for trusted brand and lower rates.
📊 Quick Comparison Table
| Feature | Axis Bank | Auxilo |
| Loan Amount | Up to ₹75L | Up to ₹65L |
| Interest Rate | 10.25–13% | 11–13.5% |
| Tenure | Up to 15 years | Up to 15 years |
| Collateral | Needed above ₹7.5L | Optional |
| Processing Time | 5–10 days | 2–5 days |
| Moratorium | Course + 1 year | Course + 1 year |
| Prepayment | Nil | Nil |
| Flexibility | Moderate | High |
| Digital Process | Partial | Fully online |
| Coverage | Basic to comprehensive | Very comprehensive |
🧠 Which Is Better: Axis Bank or Auxilo?
It depends on your academic and financial profile:
| Situation | Recommended Lender |
| If you have collateral and want lower interest rate | Axis Bank |
| If you need a quick loan without collateral | Auxilo |
| If your co-applicant has a strong income | Axis Bank |
| If your co-applicant is self-employed or non-traditional | Auxilo |
| If you want 100% coverage including living expenses | Auxilo |
| If you prefer a reputed bank with branch support | Axis Bank |
📘 Example Scenarios
- Student A – Studying MBA in USA
- Loan Needed: ₹35L
- Collateral Available: Yes (House property)
- Recommendation: Axis Bank – lower rate and long tenure.
- Loan Needed: ₹35L
- Student B – Studying MSc in UK
- Loan Needed: ₹25L
- No Collateral, urgent disbursal needed.
- Recommendation: Auxilo – flexible, fast, digital approval.
- Loan Needed: ₹25L
- Student C – BTech in India
- Loan Needed: ₹8L
- Co-applicant: Salaried parent.
- Recommendation: Axis Bank (secured loan not required below ₹7.5L).
- Loan Needed: ₹8L
💬 Final Verdict
Both Axis Bank and Auxilo Finserv are excellent choices for education loans, but your choice depends on speed, flexibility, and cost.
- Choose Axis Bank if you want lower interest rates, are comfortable with traditional paperwork, and have collateral.
- Choose Auxilo if you prefer digital processing, no-collateral flexibility, and quick approval.
🌟 Conclusion
Education loans are long-term commitments that shape your academic and financial future. While Axis Bank gives you the trust of a major national bank, Auxilo brings innovation and speed to the process.
Before applying, always compare:
- Interest rates
- Processing fees
- Repayment flexibility
- Collateral needs
And don’t forget to calculate your EMI using online loan calculators before finalizing.
💡 With the right education loan, you can focus on your studies without worrying about finances — and make your dream university a reality.