Though we use educated and literate interchangeably, they are very different terms. I feel literate people are not necessarily educated always. While literate is only a person who can read and write, educated on the other-hand is a person who can be able to judge by his experience, is more civilized, enlightened, and well mannered and has common sense.
Just as an example, out of software engineers I have seen, few dont even know how to speak to others. Few when they take food dont even care to see if their plate is touching others or their food is spilling over their plate. Few dont even bother to drop tissue papers they use in dustbins, and few dont even have courtesy to say sorry when they accidentally spill their coffee on others and just stand there dumbstruck.
Off course they are well-literate, but I would call they are still un-educated.