Education Loan Assistance

For becoming successful in life, nothing is more important than a quality education. But higher education is very costly in India. In the last few years, the number of students choosing Educational Institutes of abroad has increased exponentially. Additionally, with the increase in the expenses of quality education abroad, number of students applying for education loan has also increased. Today, a number of banks and lenders are offering loans to students for higher education.

Moreover, Education Loan can also be applied to study in Indian Colleges. But there is some difference between the requirements for both types of education loans-Overseas and Indian education loans. Generally, student must keep in mind the following criteria before applying for education loan:

• Generally, loan amount less than 4 lakhs do not require any guarantor.
• A co-applicant like parents, a sibling or a spouse is must with the application of loan.
• A third party guarantor is required for loans between Rs 4-7.5 lacs.
• If a student needs loan above Rs 7.5 lacs, then Collateral should be provided.
• There is no restriction to repay the borrowed amount immediately. It should be repaid within 6 to 12 months of the completion of course.
• Once the main applicant goes abroad, lender recovers the balance amount from co-applicant.
• Female students get discounts or lower interest rates for education loans.