₹15 lakh is worth it ONLY if you're doing CSE/IT at VIT (Cat 1), Manipal, or SRM with strong academics—expect 6-7 year payback with ₹8-10 LPA median salary. For core branches (Mech/Civil), ROI is negative to marginal with ₹4-5 LPA reality—state colleges at ₹2-4L total are smarter. Skip loans entirely for tier-3 colleges or if family income is under ₹5L/year without collateral.
The Real Cost: What ₹15 Lakh Actually Buys You
Most students think ₹15 lakh covers four years of private engineering, but only VIT Category 1 and LPU actually fit this budget. SRM, Manipal, and Amity typically cost ₹18-34 lakh when you include hostel and living expenses. Here's what you're really paying for across India's top private engineering colleges.
College
Tuition (4Y)
Hostel + Living
Total Cost
Placement Rate
VIT Vellore
₹7.8-9.3L
₹5-6L
₹12.8-15.3L
99.2%
SRM Chennai
₹11-19.1L
₹4.7L
₹15.7-23.8L
90%+
Manipal MIT
₹14.3-25.5L
₹3.9-8.1L
₹18.2-33.6L
80%
LPU Jalandhar
₹4.5-11.6L
₹2-4L
₹6.5-15.6L
90%+
Amity Noida
₹7.5-16.7L
₹4-8L
₹11.5-24.7L
92%+
Hidden costs add another ₹1.5-2L over four years: exam fees (₹20-30K/year), laptop (₹60-80K), placement coaching (₹30-50K), travel for interviews (₹20-30K), and project materials (₹15-20K). Budget accordingly.
Forget the advertised averages—they're inflated by top performers. Median packages tell the real story: CSE students at VIT/Manipal get ₹8-10 LPA, but core branches (Mechanical, Civil, Chemical) struggle with ₹4-5 LPA. Mass recruiters like TCS, Wipro, and Cognizant offer ₹3.5-5 LPA to the majority of students across all these colleges.
College
CSE Median
Core Branch Median
Highest Package
Top Recruiters
VIT Vellore
₹8-9 LPA
₹4-5 LPA
₹1 Cr
Microsoft, Amazon, TCS
SRM Chennai
₹6-7 LPA
₹4-5 LPA
₹65 LPA
Cognizant, Wipro, Infosys
Manipal MIT
₹10 LPA
₹5-6 LPA
₹69.25 LPA
Microsoft, Google, Deloitte
LPU Jalandhar
₹7-8 LPA
₹4-5 LPA
₹2.5 Cr
Amazon, Microsoft, Cognizant
Amity Noida
₹6-8 LPA
₹4-5 LPA
₹35.9 LPA
TCS, Wipro, Accenture
CSE students earn 2-3x more than core branch students at the same college. If you're in Mechanical or Civil, expect ₹4-5 LPA reality regardless of college tier—many end up pivoting to IT or sales jobs anyway.
ROI Breakdown: When Your Investment Pays Off
Let's run the numbers for two realistic scenarios. CSE students at VIT or Manipal with ₹8 LPA median salary can pay back ₹15L in 6-7 years, netting ₹9L profit over 10 years (60% ROI). Core branch students earning ₹4-5 LPA face 12-15 year payback periods and often end up with ₹2.5-5L losses over the same timeframe.
CSE Student Scenario (Good Performance)
Investment: ₹15L total (VIT Cat 1 or LPU)
Median Salary: ₹8 LPA
Annual Savings (30%): ₹2.4L
Payback Period: 6.25 years
10-Year Net Gain: ₹9L profit (60% ROI)
Core Branch Scenario (Average Performance)
Investment: ₹15L total
Median Salary: ₹4-5 LPA (Mechanical/Civil reality)
Annual Savings (25%): ₹1-1.25L
Payback Period: 12-15 years
10-Year Net Gain: ₹2.5-5L LOSS (negative ROI)
Your loan EMI will be ₹19,800/month for 10 years at 10% interest. With ₹8 LPA salary (₹66,666/month pre-tax), this is manageable. At ₹4 LPA (₹33,333/month), it's financially crushing.
When to Take a Loan vs When to Skip
Take a Loan If:
You're in CSE/IT/Data Science at VIT, Manipal, or SRM with 95%+ placement rates and ₹8-10 LPA median packages
You have a strong co-applicant and collateral available for bank loans at 9-10% (SBI, BoB via campus partners)
You're targeting premier colleges (VIT Cat 1, Manipal MIT) where brand value helps in job switches and alumni networks are strong
You can claim tax benefits under Section 80E (interest deduction with no limit on education loans)
Skip the Loan If:
You're in core branches (Mech/Civil/Chem) at mid-tier colleges—60-70% placement with ₹4-5 LPA median means negative ROI. State colleges at ₹2-4L total are smarter.
Your family income is under ₹5L/year with no collateral—NBFC rates hit 12%+ and EMI burden crushes family finances
You're considering tier-3 private colleges (not VIT/SRM/Manipal/LPU/Amity)—under 50% placement rates and ₹3-4 LPA averages make ₹15L investment worthless
You're unsure about engineering as a career—never take debt for a field you're not fully committed to
Better alternative for core branches: State government college (₹2-4L total) + self-learn coding/data skills. Save ₹11-13L for MS abroad or startup capital—far better ROI than private engineering debt.
Loan Options: Where to Borrow ₹15 Lakh
For ₹15L at VIT/Manipal, bank loans via campus partners are your best bet—lowest rates (9-10%), full moratorium during course, and no collateral needed for premier colleges. If you have a weak co-applicant or are at LPU/Amity, NBFCs like Propelld approve faster (2-3 days) but charge 12%+ interest.
Lender Type
Interest Rate
Collateral Needed
Processing Time
Best For
PSU Bank (SBI/BoB)
9-10%
No (for VIT/Manipal)
7-10 days
Premier colleges, strong co-applicant
Credila (NBFC)
9.75-10.25%
No (up to ₹20L)
7-10 days
Mid-tier, faster than banks
Propelld (NBFC)
12%+
No (up to ₹50L)
2-3 days
Weak co-applicant, lower-tier colleges
The Final Verdict: Is ₹15 Lakh Worth It?
Your Profile
Worth It?
Reasoning
CSE at VIT/Manipal
✅ YES
High ROI, 95%+ placement, ₹8-10L median salary
CSE at SRM/LPU/Amity
⚠️ MAYBE
Decent ROI if you get median package, but higher risk
Core branch at any college
❌ NO
Poor ROI, ₹4-5L reality, most pivot to IT anyway—do state college + upskill
Tier-3 private college
❌ NEVER
Terrible ROI, low placements, absolutely not worth debt
Better Alternatives to Consider
State Government Colleges (₹2-4L total): COEP Pune, VJTI Mumbai, PSG Coimbatore offer solid placements—save ₹11-13L for MS abroad or upskilling
Drop a Year for JEE Advanced/BITSAT: IIT/NIT/BITS fees are ₹8-12L but placements are 2-3x better—worth the wait if you're serious
Online Degrees + Internships: BITS Pilani Online, IIT Madras Online cost ₹2-3L total—work while studying with zero debt
Scholarship Route: VIT VITEEE offers 100% scholarships for top ranks, Manipal MET gives 25-100% for ranks 1-5000—aim for these
What You Should Do Next
If you're committed to CSE at VIT/Manipal/SRM: Apply for bank loans through campus partners immediately after admission—processing takes 7-10 days. Ensure your co-applicant has a CIBIL score above 750 and stable income proof. Start building coding skills now (LeetCode, GitHub projects) to maximize placement chances.
If you're in core branches or considering tier-2/3 colleges: Seriously evaluate state government colleges or dropping a year for better exam scores. The ₹11-13L you save can fund an MS abroad (₹20-30L total with better ROI) or give you financial freedom to explore startups and career pivots without debt pressure.
Pro tip: If you're taking a loan, negotiate for the longest moratorium period possible (ideally 6 months after graduation). This gives you buffer time to secure a job and start earning before EMIs kick in.
Propelld AdvisorMarch 13, 20265 min read