Archive · 16 Aug 2026
Visa delays add uncertainty over upfront money spent for studying abroad
Many Indian students want to study in other countries like the US, UK, Canada, and Australia.
Before they go, they have to pay a lot of money for things like school deposits and visa fees.
Sometimes, they have to pay this money before they even know if they can go.
If their visa is rejected, they might lose that money.
This is happening more often now because visa rejections are going up.
Some students have to wait a long time just to get an appointment for their visa interview.
Because of this, some students are choosing to start school later instead.
The cost of studying abroad is also going up because the Indian rupee is worth less.
More students are now taking loans to pay for their education abroad.
Even though fewer students are going abroad, more of them are borrowing money to do so.
Indian students pay significant upfront costs in tuition and housing deposits as well as visa fees, which can run into lakhs.
Visa rejections and immigration bottlenecks are surging across the US, UK, Canada, and Australia for Indian students.
Study abroad platforms estimate deposit requirements to be between $2000-$5000, with refund policies varying by university.
Shivani Mani of GradRight estimates at least a 10 per cent increase in US visa rejections among students who secured an interview.
US-linked loan disbursements fell 57 per cent in FY26, while the UK saw a 24 per cent increase in disbursements.
- Who
- Indian students seeking to study abroad, study abroad platforms like GradRight and Gyandhan, and education loan providers like Prodigy Finance.
- What
- Visa delays and rejections are creating uncertainty over non-refundable upfront costs such as tuition and housing deposits and visa fees.
- When
- Reported on August 16, 2026, in the context of the fall 2026 cycle.
- Where
- India, with destinations including the US, UK, Canada, and Australia.
- Why
- Immigration bottlenecks and rising visa rejections, along with rupee depreciation, are increasing the financial risk for students.
Students and families
Universities and lenders
Refund policies
Students and families
Students face uncertainty and potential loss of large upfront deposits if visas are rejected, with some having problems claiming partial refunds.
Universities and lenders
Universities set deposit and refund policies individually, and lenders like Prodigy Finance advise students to understand these policies before paying, noting they have no mechanism to refund deposits themselves.
- Deposit range
- $2000-$5000
- US visa rejection increase
- At least 10 per cent among students with interviews
- US-linked loan disbursement change (FY26)
- Fell 57 per cent
- UK loan disbursement change (FY26)
- Increased 24 per cent
- US share of NBFC education-loan AUM (March 2026)
- 43 per cent (down from 54 per cent in March 2025)
- UK share of NBFC education-loan AUM (March 2026)
- 29 per cent (up from 20 per cent)
- Expected NBFC education loan AUM growth (FY27)
- 20 per cent per CRISIL Ratings