A large number of international students move to Italy for their further education.  The country is well known for its rich history of higher education. Most of the study programmes are taught in the Italian language but the number of English language programmes is also growing with each passing year. 


The biggest challenges international students have to deal with for studying in Italy is an arrangement for funds. Cost of studying in Italy can be huge and everyone cannot afford it. So in this article, we are going to present you complete information about Education Loan to Study in Italy.

How to get the Education Loan to Study in Italy?

International Students looking forward to studying in Italy with the help of an education loan must start their process at least 7 to 8 months before their study program begins. You may also start your loan application process with your university admission application. Here are the 8 simple steps you need to follow for getting for an education loan for Italy:

  1. Explore the banks providing international education loans, Find their eligibility criteria and document requirements.
  2. Figure out how much loan you will require and how much you will finance on your own.
  3. Get an admission letter from the admission office of the respective university in Italy.
  4. Compare the different loan options provided by the different banks for studying in Italy and choose the one which suits your requirements.
  5. Once you are ready with your decision regarding the bank and the loan amount, you should fill out the loan application form.
  6. Submit the documents such as your address proof, birth certificate, copy of passport, Identification proof etc.
  7. As soon as the bank sanctions your loan, it will issue a loan document that includes various elements of the loan.
  8. After signing your loan document, the bank will pay the decided amount to you in instalments or lump sum as mentioned in the agreement.

Now we will go deeper into the above-mentioned step in detail. Read each step thoroughly and take note of the important points, as it is a big decision which will affect your further life.

Research about the banks and loan options

Your initial step towards getting an international education loan for Italy should be Research. You should explore different banks and loan options. But before you research, there are few things you need to throw light on.


Factors to consider prior to applying for an education Loan

Before applying for a student loan to study in Italy, you should have a clear idea about how much money you will require and how much you are going to pay from your pocket. Other important factors are:

  • Finalise your institution where you want to study in and the course you want to pursue.
  • Calculate the amount by adding all the expenses to study abroad in Italy.
  • Make a list of all the documents required during the loan application.
  • Be ready with the guarantor
  • Make sure to apply for the international educational loan as soon as you receive your Letter of admission.
  • Estimate the time of disbursement.

After considering the above-mentioned factors, check whether you are eligible or not for an education loan to Study in Italy. Here are the criteria:


Eligibility Criteria for education loan to study in Italy

Before applying, check whether you match the eligibility criteria to apply for the loan or not. Different money lending institutions follow different eligibility criteria. Here are the common eligibility criteria followed by most of the banks:

  • The applicant should have a tremendous academic record.
  • The applicant must have a confirmed seat at the Italian university.
  • The applicant must have been admitted into a professional course of studies. Money lending institutions usually prefer to give education loans for job-oriented courses.
  • The applicant must be more than 18 years of age or else his or her parents will have to apply for the loan.

Improving Eligibility for an Education Loan

Every day there are several loan applications reach the banks and to top get your application approved faster, you can work on the following points to enhance your profile to qualify for the loan:

  • Securing high grades in the qualifying exams.
  • Showcasing an excellent academic record.
  • Admission letter from a popular college/university.
  • A powerful financial ability of parents/guardians/co-borrower to ensure a timely repayment.
  • Submitting a promising future employment/income generation.

Calculate the amount required to study in Italy

In the next step, you have to calculate the amount you will require to study abroad in Italy. Generally, an international education loan covers the total cost of a student’s education in Italy. For adding all the expenses, you should include the following:

  • Tuition Fee:- The semester fee for each academic period.
  • Mandatory Fees:- This involves expenses like student centre fees, student activity fees, recreation fees, residence hall activity fees, new student fees, etc. 
  • Housing and Accommodation:- This expense includes Housing expenses in Italy. You can choose to live on-campus university or off-campus. The cost of living depends on your choice of Living. 
  • Books and Supplies:- You will also have some books and supplies expenses during the study in Italy. Maybe you need to purchase a laptop or computer.
  • Travel expenses:- Things like airfare, parking permit, monthly bus/ train pass etc.
  • Health Insurance premium
  • Miscellaneous Expenses:- Expenses of entertainment,  communication, clubs etc are also considered.

Once you get your final amount, you have to check how much you will self-finance and how much amount of loan you will require from the bank. 

Admission Letter from the university in Italy

Now the most important thing is you should get admission in the University of Italy. You have to show the proof that you are accepted by the Italian university by submitting a letter of acceptance. There are plenty of universities located in Italy for international students. Here are the top-ranking universities in Italy :

  1. Polytechnic University of Milan
  2. Alma Mater Studiorum - University of Bologn
  3. Sapienza University of Rome
  4. Università di Padova 
  5. University of Milan
  6. Politecnico di Torino 
  7. University of Pisa 
  8. University of Naples - Federico II 
  9. Università Vita-Salute San Raffaele 
  10. University of Trento 

The list continues with a wide range of universities in Italy where you can pursue your higher education. You will get full information here: Universities in Italy

Comparison of Education loan options

You should compare the different loan options provided by the different banks for studying in Italy and select the one which suits your needs. Compare the loans options provided by the different banks on the following parameters:

  • Interest rate
  • Expenses covered in the Loan.
  • Processing Fee
  • Loan Amount and concept of Margin Money
  • Security requested
  • Moratorium Period
  • Disbursal Requirements
  • Income tax exemptions
  • Loan processing time
  • Prepayment terms
  • Additional Charges

Each factor plays an important role, so take your time and come to a conclusion. If you finalise after paying close attention to all the factors, you can save a few Euros. 

Education Loan application form for Italy.

Here, you will legally start the process of applying. After finalising the bank and determining the loan amount, you have to fill the application form. It can be online or offline. Make sure to fill correct and accurate information in it.
You have to fill the details such as your name, parents name, address, date of birth, age, ID proof, course name, university name, duration of the courses, Income, Liabilities, employment details, tuition fees, other expenses, Details of security etc. Fill all the details correctly and recheck it before applying.

Submit the required documents

Along with the filled Loan Application Form, every applicant also needs to provide some necessary documents. The list of these documents required while applying for the loan are mentioned below:

Documents for Students (Primary Applicant)

  • A copy of a valid passport.
  • Applicant’s latest passport-sized photos
  • Previous Academic Records including Marksheet of Class 10th, 12th, Graduation, Post Graduation and Certificate copies of other degrees.
  • Identification proof. For example a Valid Passport, Voter’s ID Card, PAN Card etc.
  • Proof of Residence. For example Telephone bill, Electricity bill, Driving License, Aadhar Card, etc.
  • Proof of Age. 
  • Proof of Acceptance at the University of Italy. 
  • Statement of cost of attendance.
  • Statement of Other expenses. 
  • Scorecards of standardised exams for studying abroad in Italy such as TOEFL, IELTS, PTE, GMAT, SAT, ACT, etc.

Documents for Co-Applicants

  • Proof of Personal Identification 
  • Proof of Residence 
  • Two recent passport-sized photographs.
  • Proof of Income.
  • Bank Documents. Account Statement or passbook copy for the last 6 months.

Other Required Documents

  • Certificate of Minority Caste.
  • Certificates of Extra-curricular activities 
  • Documents regarding any disability or illness

International Education loan agreement

As soon as your loan application is approved, the bank will issue a loan sanction document that includes various terms and conditions of the loan. The details mentioned in it are borrower’s name, agreed loan amount, the period of repayment, interest rate, the signature of both the parties, collateral security, additional charges etc. Read the Loan sanction document and if you agree with the terms and condition, sign it.

Disbursement of Loan Amount

After signing and submitting your loan document, the bank will pay the loan amount to you as decided in the agreement. It may be in instalments or lump sum. Once you receive your amount, spend on the necessary expenses such as tuition fee, books and supplies, accommodation, purchase of laptop or computer etc. Don’t spend your money on the needless expenses. 

Collateral Rules for Education Loan to Study in Italy

Any property either movable or an immovable, deposited as a security in the bank for an education loan is collateral. The interest rate of education loans to study in Italy depends directly on collateral availability. Most of the money lending institutes demand collateral as security to reduce the risk involved in re-paying off the loan.


Instruments used as collateral: 

Any liquid asset such as shares, bonds, Fixed Deposit. 
Any immovable property such as land, house, any commercial property etc can be used as collateral. 
Even life insurance policy, gold, mutual fund units, debentures etc can also be deposited as collateral.


How much can be borrowed against collateral?

The value of collateral required for an international education loan for Italy is very subjective. It varies from bank to bank. Moreover, the academic record of the student and their scope of future employment are also considered. Most of the banks ask for collateral security to reduce their risk.


There are a few important things bank will examine before granting loan:

  • The repayment capacity of the student's parents/family/Sponsor.
  • The representative of the bank will verify your property provided as collateral and prepare a report whether it can be kept as collateral or not.
  • The loan providing institution will also evaluate the value of your property. Depending on the report, the loan amount and other terms and conditions will be decided by the bank. 

Repayment of Education Loan to Study in Italy

The loans taken to study in Italy are to be paid in instalments. The amount to be paid in each instalment is mentioned in the loan agreement. Make sure to pay the instalments on time without delay.
The loan taken to study in Italy can be paid in instalments. The loan can be repaid within 12 -15 years depending on the loan amount. You should note that the repayment period and the instalment amount differs with the chosen institution and the amount of loan.
You should also read these articles:

How to Apply to Universities in Italy?
Stay back and Work permit after Study in Italy
Top Reasons to Study in Italy

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