by Shyamoli Shah
Published Thu, Dec 22nd 2016, 13:29 | Education
Education is very important in life. Without education, life seems to be meaningless. To climb up the success ladder and earn money wisely a quality education is required. But due to the rising inflation and educational costs pursuing higher education just seems to be difficult for many students. Due to poor financial conditions or other responsibilities most often parents ask their children to sack their dream. And if its higher studies abroad it definitely seems more difficult. But thanks to the government and financial companies who understand the education priority in life and assists students to finance their studies through education loan for studying abroad.
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.
Higher Education Loan for studying abroad is required when you are aspiring to seek your education from the abroad university. To sanction, your education loan banks & finance companies do a credit check of your parent’s financial background. Also 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 the loan amount, Existing house mortgaged and Non-agricultural land can be considered.
In today’s time education loan for studying abroad is the best choice for students who do have sufficient money to pay full term fee. With the help of different study loan schemes, many Indian nationals are acquiring higher education all around the globe.
There are some leading banks & private finance companies offering education loans in India for studying abroad. While government banks demand margin money of around 15-20% of the loan amount to approve study loan for abroad, some private finance firms give foreign study loan at no margin money costs. The interest rates offered are as low as 12.75% and the processing fee is mere 1-2% of the loan amount being calculated on a case-to-case basis. They design education loan for studying abroad without setting any cap on finance and provide 100% coverage of education costs, making such young talents of India free from unnecessary burdens. Education loan is offered for all postgraduate course, specialist course, management course, vocational courses leading to a professional qualification. These loans have now become an important tool for students to realize their higher studies dreams.
Disbursement of the loan amount is done directly to the institute or college to which the student has applied for admission. In the case of mess and hostel charges, the relevant amounts are given to the concerned authorities. Once you take the admission after that each year, the applicant is required to submit a form available from the bank or private finance firm that gives the details of the money required, and then the next installment is directly disbursed to the college/institute. If air fare is covered the amount is given directly to the airlines. Some banks or private finance firms do give the students themselves a certain amount on a monthly or quarterly basis for purchasing books, laptops and other related material associated with the course. However, it depends completely on firm or banks discretion.