What is the moratorium period on an education loan?

Under the IBA Model Education Loan Scheme the repayment holiday (moratorium) is the course period plus one year. Simple interest accrues during it; at the start of repayment the accrued interest is added to the principal and the EMI is set on that total. Banks may apply their own variations, so confirm with your sanction letter.

Should I pay interest during the education-loan moratorium?

Servicing interest during study keeps the balance from growing, so the EMI is set on the original principal instead of a capitalised total — on a ₹10 lakh loan at 10% with a 5-year moratorium the difference in total outflow runs into lakhs. eduloan computes the exact delta for your numbers; whether the cash is better used elsewhere is a decision for you and your bank.

Does eduloan calculate my Section 80E tax saving?

No — deliberately. Section 80E deducts the interest you actually pay, and the saving depends on your slab and regime. eduloan shows the verbatim statute and your per-financial-year interest-paid figures — the number an 80E claim is based on — and stops there. It is not tax advice.

Is my loan data private? Does eduloan work offline?

Yes. eduloan runs entirely in your browser and its Content-Security-Policy (connect-src 'none') makes the browser itself block any network request — your figures cannot leave the page. Saved scenarios live only in this browser's localStorage.

eduloan — education loan EMI calculator with the moratorium modelled

Your loan

Sanctioned amount (₹)

Interest rate (% per annum)

Course length (months)

Moratorium tail after course (months)

Default 12 — the cited IBA model scheme's course period + 1 year.

Repayment tenure (years, up to 15)

Course start month

Anchors the financial-year (April–March) interest subtotals.

Disbursement

Scenario C: partial payment (₹ per month)

My bank compounds monthly during the moratorium Plain 1,000s grouping (instead of lakh/crore)

Accrual model in use: simple interest (IBA model scheme). Figures may differ from your bank's statement — see the honest limits below.

The three ways through the moratorium

A Full moratorium pay nothing during study

Balance at EMI start
EMI
Total interest
Total outflow

The do-nothing baseline the other two are measured against.

B Interest served pay the monthly interest

Balance at EMI start
EMI
Total interest
Total outflow

C Partial payments ₹3,000 every month

Balance at EMI start
EMI
Total interest
Total outflow

Rate is held constant for the whole tenor. Education loans are floating — repo resets will move real figures.

The moratorium wedge

The hatched gold wedge is interest accruing while nobody pays. At the capitalisation tick it snaps into the balance your EMI is set on — then the three paths run down to zero.

Month-by-month schedule

Schedule for the selected scenario: moratorium accrual rows, then amortization rows grouped by year, closing at exactly zero.
Month	Phase	Opening	Interest	Payment	Principal	Closing

Section 80E — the interest you actually paid

Below are your per-financial-year interest-paid figures for the selected scenario — the figure an 80E claim is based on. eduloan computes no tax-saved rupee number, ever: the deduction is of interest only, runs at most 8 assessment years, and your bank's interest certificate governs. Conditions apply; this is not tax advice.

Interest paid per Indian financial year (April to March) for the selected scenario
Financial year	Interest paid

CSIS — could the government bear the moratorium interest?

The Central Sector Interest Subsidy Scheme pays the moratorium-period interest for eligible accounts. Eligibility is decided by your bank and the Ministry of Education — never by this tool. The cited checklist, verified on the date shown in the rules panel:

I self-declare that I appear to meet these conditions

If checked, Scenario A's moratorium interest is annotated as "borne by GoI if approved — confirm with your bank". The math is never changed.

Saved scenarios

Saved only in this browser's localStorage — clearing site data erases them. Print or CSV export is your backup.

Every rule this tool leans on, cited

14 facts, each with its clause, source, and the date it was verified. Where the primary portal blocked automated access, the cross-check used is named. Nothing here is invented.

Honest limits

Moratorium interest follows the cited IBA model scheme (simple interest); banks may compound monthly or set their own rules. The toggle covers the two common treatments — figures may still differ from your bank's statement.
The rate is held constant for the whole tenor. Education loans are floating; repo resets will move real figures.
Disbursement is modelled as a lump sum or equal tranches on month boundaries. Real tranches follow fee-demand letters, so accrued interest is an estimate.
The 80E card shows the verbatim statute and your interest-paid figures only. Conditions apply; this is not tax advice.
CSIS eligibility is decided by the bank and the Ministry of Education, not this tool. Scheme figures were verified on the dates shown and may be amended.
Not financial advice. Scenarios live only in this browser's localStorage; print/CSV export is the only backup.

eduloan — moratorium comparison sheet

Sources: IBA Model Education Loan Scheme (via member-bank implementations, verified 2026-07-23) · Section 80E, Income-tax Act, 1961 (verbatim, verified 2026-07-23) · CSIS scheme guidelines, Ministry of Education (verified 2026-07-23). Not financial or tax advice; rate held constant; confirm every figure with your bank.