Student Loan India: The best way to finance your higher studies
Most of us think that our parents are always there to look after our education.
However, it may be difficult in most cases especially when you choose for higher
studies. Today, most students opt for courses from top-notch universities/institutes
across India or abroad with good recruitment making it easy for them to bank good
job opportunities or suitable business model.
Studying in these top-notch B-schools, doctorate or engineering will add to your
professional skills and help you live a good lifestyle. However, the cost of
education is rising steeply and it becomes difficult for parents to finance their
entire studies. The best way to fund your higher studies would be taking a study
A student loan is a kind of credit advanced to professional scholars and students
that will help them to pay for their college tuition, books, laptops, hostel fees,
Examination/ Library/ Laboratory fees, Purchase of books/equipment/instruments,
caution deposit/building fund/refundable deposit and other living expenses. This
loan differs from other types of loan and the interest rates are substantially low
such as 11-13% and with a mere processing fee of around 1-2% on the loan
amount being calculated on a case-to-case basis.
Today, with leading banks and finance companies around getting an Students Loan
is like a piece of cake compared to the efforts you put in searching for reputed
colleges, B-school, or law schools. It has proved to be a blessing for those aspirants
who wish to study and achieve their goals but don't have to pay the money for it.
In order to avail Student Loan In India the course should be necessarily a full time,
it can be graduate or post-graduate course in technology, engineering, architecture,
medicine, management and applied or pure sciences, including mathematics and
statistics, etc. You can pursue the course in India or abroad.
A lot of leading private finance companies and banks has introduced education
loans for abroad schemes as well for the growing talents of the nation. While
taking admission in foreign university you will have to show sufficient proof of
funds failing which you won't be able to get pursue studies in spite of admission.
Every student has their own set of problems like visa clearance, fund approval,
admission issues, slow loan processing or incomplete finances. Therefore, some
leading private finance companies have come up with unique and friendly
solutions for customers such as Pre-Visa Disbursement Loan, Pre-Admission Loan,
Certificate of Availability of Funds, GRE score based loan, Bridge loan, fast-track
loan etc. that will exclusively cater to students’ particular financial requirements.
Government banks demand margin money of around 15-20% on the loan amount.
Most of the times aspirants are not in this position to pay the upfront margin
money as well, in such cases there are private finance companies who are willing
to give 100% education finance. They design such study loans without setting any
cap on finances and make such young talents free from unnecessary financial
burdens and let them focus more on their studies, career development, and better
Student Loan India up to Rs 4 lakh doesn’t require any form of collateral while for
a loan between 4 to 7 lakhs you will need collateral in the form of a satisfactory
third-party guarantor. For study loans abroad, the amount is bound to go above Rs
7 lakhs so you will have to give collaterals in any form of residential property
(flat/apartment), existing house mortgaged and non-agricultural land, fixed
deposits, life insurance with a surrender value equivalent to the loan amount. When
it comes to repayment, you can start repaying within six months to one year after
your course completion known as moratorium period or during the course itself.
Those who delay their monthly installment, it will impact your CIBIL score and
will further turn down your chances of getting a loan in near future.