A Guide To Education Loan For Studying Abroad

Studying abroad is no joke when it comes to tuition fee. With the universities increasing their cost of education every year, it has become inevitable to opt for education loans. There are various institutions that offer education loan and it is very important to choose a credible and trustworthy source.

The top 5 education loan providers in India are-

There are a few things that you must know before applying for loans to study abroad-

• Eligibility- before embarking upon the process to take up any loan for your studying abroad plans, make sure you check the criteria. Most  bank offer loans for long-term programs. Short-term programs such as English courses and vocational courses are generally not covered under education loan.
• Cosigner- A cosigner can be anyone from your parents, to your siblings, or even your spouse. When your education loan exceeds 4 lakhs, you will need to have a co-applicant or a co-signer who will be held liable in case there is any problem with the repayment of the loan.
• For education loans exceeding 4 lakhs, it is important that you pay the bank something called ‘margin money’, which is roughly about 15% of the total loan amount.
• If your loan exceeds 7.5 lakhs, you may be asked to submit your LIC policy or any documents of immovable property that is in your name.
• You will be given a holiday period before the repayment of your loan commences. Check sms lån på minuttet smâlân . It may range from 6 to 12 months, and in some cases, it may also be extended till the time you get employment.
• Banks and other loan lending institutions generally have a pre-approved list of courses and institutions that they can sanction the loans for.

Education loans generally cover the following (may vary from bank to bank)-

• Tuition fees
• Fee for examination, lab, dormitory, library
• Uniform, books, and other various in class equipments that are required during the course period
• Travel expenses
• Any other form of deposits or refundable money
• Fee for computer/laptop that may be required in the course
• Any other type of expense such as study tours, projects, thesis etc.
• Medical expenses

Once you have everything sorted out, you must now be prepared to start with the application process. You will need to give various documents to the bank such as:

• Mark sheets of the last exam attended and qualified
• Letter of admission or acceptance from the foreign university
• Detailed list of expenses for the course
• Documents of scholarship offered (if any)
• Foreign Exchange permit ( if available)
• 2 passport sized photos
• Last 6 months of bank statement of the borrowers account
• Income Tax details not older than two years
• List of assets and liabilities held by the borrower
• Proof of identity and residence

Let VDIEC guide you

Planning to study abroad can be overwhelming at times. If you want to get into a good foreign university and want the process to be easy, you should choose to apply through VDIEC so that we help you transition smoothly without any hassles. We have over 18 years of experience in overseas education and we would like to help your dreams of studying abroad come true.

VDIEC has tie-ups with SBI and Credila and we are there to assist you step by step, all the way through till you reach your desired destination. With our team of qualified counselors and professionals, we at VDIEC make sure that you get the opportunity to study in good universities in countries like Australia, New Zealand, USA, Canada, Ireland, UK etc.