Studying abroad has its charm and merit. While on the one hand, you get the best education, on the other hand, you get to experience a new culture and way of life. This is why a lot of students from India choose to go abroad to complete their higher studies. The universities abroad are excellent but very expensive, too; this is why the affordability factor comes into play.
Thankfully, with the availability of education loans, many students can fulfill their dreams simply and effectively. If you are also on the lookout for an education loan, we are here to help! Look at this article to find out how to get an education loan in India and what advantages you will get from doing so.
How to get an education loan for abroad studies?
The education loans suit students who wish to apply to foreign universities. You can apply for such a loan if you are going for undergraduate, postgraduate, or even doctoral studies. The process of getting the loan is quite simple if you understand how to get an education loan for abroad studies. You need to meet the personal loan eligibility criteria and have all the required documents. Once that is done, you can apply for the loan in two ways:
- Online
The present-day digital advancement has made it easy for everyone to apply for loans. Modern lenders have an excellent digital presence. You can apply for an education loan by visiting your lender’s portal and completing the process in just a few minutes. All you have to do is fill in the form and upload scanned copies of your documents. Once that is done, an executive from the lender’s office will get in touch with you.
- Offline
The old-school method of travelling to your lender’s office, physically filling in the form, and handing over the documents is also an option. If you are comfortable taking the offline route, you can do so when looking to take an education loan.
You need to know the exact process of how to get an education loan to get the maximum benefits.
Eligibility criteria for an education loan
When researching how to get a student loan, you will need to determine the eligibility criteria. Here are some pointers to help you:
- Nationality
You must be an Indian citizen to get an education loan from an Indian bank or NBFC. NRIs, POIs, and OCIs can also opt for such a loan. Apart from this, if you are an international student born to Indian parents, you can also apply for a student loan to study at an Indian university.
- Courses
You can apply for an education loan if you wish to pursue graduate, post-graduate, doctoral, or postdoctoral courses at your chosen university.
- Universities
The university you choose must be a recognised and registered university. A government-aided private university is considered as well. This applies to colleges across the globe.
- Co-applicant
Most lenders will ask for a co-applicant when you apply for a student loan. Your co-applicant can be a parent, an older (earning) sibling, or any other relative.
- Documents
To understand how to get an education loan, you need the following documents:
- KYC documents to act as ID, address, and age proof
- Admission letter
- Fee breakup of the university
- Salary slips and IT documents to prove your repayment capacities
If you meet these criteria and understand how to get a student loan, you should comfortably get the education loan of your choice.
How to take an education loan with easy EMI?
Repaying a loan properly is a crucial thing to do. You need to choose a suitable EMI scheme to help you smoothly repay the loan without becoming a financial burden. Fortunately, most loan providers allow you to start the EMI cycles after you graduate and secure a job. This makes it easy for you to repay the loan without depending on your parents.
When you choose your lender, ensure you select the bank or NBFC that offers the best repayment schemes. You should have a flexible choice and be able to choose an EMI scheme that matches your capacities. While it is essential to understand how to get a loan for abroad studies, the vital part should never be overlooked when selecting the perfect loan provider.
Benefits of opting for an education loan in 2023
As stated, an education loan helps students achieve their dream of studying abroad. Apart from his obvious benefit, there are some other valuable advantages that you can enjoy when you opt for a student loan. So, if you are still wondering how to get a student loan and make the most of it, here are other benefits:
- Easily available
If you are wondering how to get a student loan, just remember that student loans in India are readily available. This proves beneficial as students do not have to wait long or run around too much to arrange the funds. In fact, the RBI has directed all the lenders to offer education loans as priority products, making it further beneficial for the aspirants.
- Large amounts
You can get loan amounts of around INR 20 lakhs, which is relatively high. Most students can easily meet their financial requirements with the loan principal they opt for. You need to calculate your requirements and then opt for a suitable principal.
- Attractive interest rates
Since there are many lenders, the competition is high. As a result, you get education loans at attractive interest rates, making them all the more affordable.
- Tax benefits
You get a tax benefit under Section 80E for the interest you pay on your education loan. This helps you to save tax easily and safely.
- Covers tuition fees and living expenses
You can use the education loan to pay the tuition fees. You can also use it to pay rent and care for living expenses.
So, if you are wondering how to take an education loan, the process and the documents, and its related benefits, you can see that you get several benefits when you opt for a good education loan from a top Indian bank or NBFC.
To wrap it up
Now that you know how to get loan for abroad studies, go ahead and apply for education loan from a good loan provider like Tata Capital. Once that is done, get on the fast track to achieve your dreams and soar ahead in life easily and successfully.
14 February 2024
6 mins read
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