Dealing with Riba is an enormously grievous sin as it incurs the wrath and curse of Allah. Thus, a Muslim has to abstain from involving in any usurious transaction. It seems that your case does not lie under necessity and we should not be exaggerated. There are many other available substitutes such as work while studying or looking for scholarship and the like.

In his answer to this case, Dr. Monzer Kahf, scholar in Islamic economics & financial expert, said,

“I don’t know why there are no other options. A Muslim can always work and study, or quit study for a while and work. Another option is to search for merit scholarship. I do not consider such a loan a necessity wherever one may be in this globe.

Riba loans for study are prohibited like any other interest loans. I know that some students’ loans give a grace period without Riba and such loans can be taken only with the condition that one has a definite source to pay within the grace period.”