Prodigy Finance: an alternative option to Bank education loans for Indian students


While banks are the most popular lenders for education financing, some international financing companies like Prodigy Finance can also be an alternative for Indian students who want to study abroad. Find out how the terms of Prodigy Finance compare with those of Indian banks.

For students seeking education loans in India for their overseas education program, banks are apparently the only option. Not many people may be aware that some alternative lenders exist. One of them is Prodigy Finance.

Prodigy Finance is an international lender that offers to finance for postgraduate students only. It is also available only to students who are signing up for a program in a participating institution or business school. The loans are financed by a community of investors. Clearly, Prodigy Finance can be an attractive option for Indian students who want to pursue an MBA.



Features of Prodigy Finance


The loans are applicable for Post Graduate courses in business, engineering, law and public policy. Some of the schools that are participants in the programme include:

  • Columbia University
  • ESADE Business School
  • INSEAD
  • MIT
  • Carnegie Mellon University
  • Harvard University
  • Purdue University
  • UCLA
  • Boston University
  • University of Pennsylvania
  • University of Virginia
  • Yale University
  • Duke University
  • National University of Singapore
  • University of Oxford
  • University of Cambridge

As you can see, the majority of participating institutes are located in the US. But there are a few in the UK and Singapore as well.

You will need your admission letter to apply online. The committee will review your application and will get back to you usually within five working days. If your loan has been approved, you will get a response from the committee and receive a provisional approval. Later you have to submit documents to prove the financial information in your application.

The process of applying for a loan


You can apply for a loan after you have received an offer letter from a university. The company will do a credit review on you, to make sure that you do not have any history of credit default. You will also need to pass a background check, in which the company will check up on your KYC credentials, and criteria set by the AML (Anti-Money Laundering) and the PEP (Politically Exposed Persons) criteria.

The documents you will need to upload for verification include your passport and your admission letter. After you have uploaded all the documents and electronically signed the loan agreement, the organisation will send the funds directly to the university.

The loan amount you can claim varies, depending on the school you are applying to. Loans are available for 1-year as well as 2-year study programmes.

How Prodigy Finance compares to Banks


Clearly, the process of applying for a loan to Prodigy is much more hassle-free than applying to banks. Many banks in India ask students to provide collateral for funding expensive foreign courses like MBAs. Interest rates are high too. Prodigy Finance does not ask for collateral. The terms for repayment are also more liberal and student friendly.

The loan process with Prodigy is also more transparent when compared with banks. Instead of the monthly interest rates that Indian banks offer, and the complicated calculations of how much EMI you have to pay, the APR (Annual Percentage Rate) provided by Prodigy is an easier way of figuring out how much you will be paying.

You can check how the Prodigy Finance Annual Percentage Rate works. You can also compare it with Equated Monthly Installments (EMIs) explained in detail in the link.

The streamlined loan application process can take a week or two with Prodigy. With banks in India, it can take a month or more. The loan document that Prodigy offers is also clear and unambiguous.

Students enjoy no-collateral as well as no-cosigner borrowing and a 6-month payment holiday after graduation. Hundred and fifty nations across the world are eligible for Prodigy Finance and India is among them.

Overall, Prodigy Finance and other such financing companies are recommended options to consider for students who want to study abroad.



Check if your school is eligible for an education loan from Prodigy Finance. If you are interested in Prodigy Finance funding for your higher studies apply for the loan today.


Article by Juana
Juana is a freelance writer, with years of experience, creating content for varied online portals. She holds a degree in English Literature and has worked as a teacher and as a soft skill trainer. An avid reader, she writes on a variety of topics ranging from health, travel, education and personality development.

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