Know everything about education finance India

Education is getting expensive, especially if one is aiming for reputed university/institution or a foreign degree. Although, some parents manage to save some money over the years out of their salaries or business but it seems insufficient against the creeping education costs each day. Secondly, there options like scholarships for Indian students, traditional finances, property mortgages, or alternative subsidizations. But these options have to be thought and worked upon beforehand, as it can be time consuming process. These finances medium have extremely high rate of interest, limited time to repayment and no flexible options to makes repayments as well.

During such time study loan has proven to be the best helping hand for students who don’t want to sacrifice their dreams of pursuing higher studies in reputed university/institution or a foreign degree. These loans provide the much needed financial support to deserving students for pursuing higher professional or technical education in India or abroad. The education loan helps students to obtain admission to career-oriented courses e.g. medicine, engineering, management etc., either at the graduate or post-graduate level. Right support at right time ensures success for students and o deserving students should be stopped to pursue their dreams due to lack of money.

While taking admission in foreign university students have to show sufficient proof of funds. Every student has its own set of problems such as getting a visa clearance, fund approvals, slow loan processing, incomplete finances etc. Some of the leading private finance firms have come up with unique and friendly solution 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. which cater exclusively to students’ particular requirements and set them free from any form of obstacle in their road for career development.

Study loan are kind of credit advanced to professional scholars and students being designed to help students pay for college tuition, books, laptops, hostel fees and other living expenses. It differs from other types of loans and the interest rate is often substantially lower such as 12.75% and the processing fee is mere 1-2% of the loan amount being calculated on a case-to-case basis.

Usually for loans up to Rs. 4 lakh, no collateral security is required. For loans ranging from Rs. 4 lakh to Rs. 7.50 lakh, collateral in the form of a satisfactory third party guarantee is required. For loans above Rs. 7.50 lakhs, collateral in any of the form of Residential property (house/flat/apartment), Fixed Deposits, Life Insurance with surrender value equivalent to loan amount, Existing house mortgaged and Non-agricultural land can be considered.

When it comes to repayment these banks or private firms come up with flexible payment options such as EMI payment course, Interest servicing during course & partial interest servicing during course, EMI repayment Post-Holiday /Moratorium period and Step Up repayment facility. You can look these options and then decide the repayment as per your flexibility. However, repayment is also one of the important part of study loan finance and you need to clear the debt associated with your loan. As this is the best helping hand that you get during your rainy days of searching finances for your higher studies.

Lastly, just incase your existing study loan are slightly costly in terms of processing and interest rates you can approach other leading firms who can switch over your current loan with Balance Transfer and give peace of  mind. You can take the best advantage of the repayment options through their balance transfer offers, so that you start saving money right from the very first month of transfer.