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Federal Bank vs Punjab National Bank Education Loan
Punjab National Bank advertises the lower starting rate (7.1% vs 9.75%). On ₹20 lakh over 10 years that is about ₹3,39,497 less interest, or ₹2,829 less per month, at the starting rates.
| Federal Bank | PNB | |
|---|---|---|
| Starting interest rate | 9.75% | 7.1% |
| EMI for ₹20 lakh, 10 years | ₹26,154 | ₹23,325 |
| Total interest | ₹11,38,486 | ₹7,98,989 |
| Processing fee | Not stated | Not stated |
| Prepayment | Not stated | Not stated |
| Maximum tenure | - | - |
Source: Federal Bank official page, checked 2 November 2026.
Source: Punjab National Bank official page, checked 2 November 2026.
These figures use the bank's advertised starting rate. Most borrowers are offered a higher rate depending on credit score, income and loan size, so treat the result as a best case.
Frequently asked questions
Which is cheaper, Federal Bank or PNB education loan?
Punjab National Bank advertises the lower starting rate (7.1% vs 9.75%). On ₹20 lakh over 10 years that is about ₹3,39,497 less interest, or ₹2,829 less per month, at the starting rates. Your actual rate may differ from the starting rate.