How to find the best education loans in India


Education helps you acquire and achieve greater heights in life. It is the gadget which makes your life easier; thus, students from all across the globe are trying their best to obtain quality education. However, due to the increasing costs of education in India, there are a lot of students who are unable to procure a quality education. But now they can make use of study loans and give away with their worries to obtain the education that they want. There are a lot of banks and NBFCs (non-banking financial companies) that provide education loans for students. Thus, it is almost impossible to gauge the financial institution that shall provide the best education loans in India. However, now you can find the best financial institution for you with the help of these factors.


But before that, let’s discuss the reasons why you must make use of an education loan in the first place:

·         An education loan helps you fund your own educational expenses. Thus, you don’t have to put a strain on your parent’s pockets and exhaust their savings. The study loans provided by financial institutions are available at way lower interest rates than the ones given out by traditional financiers and loan sharks. You can even lower these interest rates further by finding the best education loans in India.

·         An education loan takes care of all the expenses incurred by you while pursuing higher education. The different expenses incurred by the students range from the cost of study materials, tuition fees, college fees, living expenses, travel expenses, etc.

·         There are numerous courses covered by the study loans. The different courses are in the fields of science, arts, commerce, mass media, engineering, medicine, etc. Thus, you can opt for the course of your choice without any worries.

Each and every student’s needs are different from one another; thus, it is difficult to find the best education loans in India. However, following these factors will help you do so:
·         Interest rates: The first and foremost criterion for choosing the best study loan is the interest rates charged by that financial institution. Because your EMIs (equated monthly installments) are calculated on the basis of your principal amount, repayment tenure and the interest rates charged by that particular financial institution. Therefore, find the one which offers you with the lowest interest rate.

·         Collateral: The collateral required to obtain an education loan is the quantum of principal amount borrowed and the primary borrower’s credit history. Thus collateral can be any of your non-agricultural properties, residential properties, fixed deposits, and life insurance policy. The best education loans in India will ask you the lowest amount of collateral.

·         Tenure: The repayment of an education loan is done in the flexible form of EMIs (equated monthly installment) over a period of time. You can start repaying your loan after six months to one year of the course completion. It is termed as moratorium period.

·         Margin amount: A study loan only covers up to 80% of the total loan amount. You will have to pay for the rest of the amount from your own pocket. Thus, the amount of money that you will have to shell out from your pocket is known as the margin amount. Hence, look for the financial institutions which offers you with the margin amount that you want to pay.

Comments

  1. That was a very Informative Article. It has helped me getting more insights on Education Loans In India

    ReplyDelete
  2. Nice Article!
    The information is really helpful to understand the education loans. Students can also get the Education Loan for Abroad Studies and plan higher studies abroad.

    ReplyDelete
  3. If you're looking for Education Loans, I would recommend you to check this for more details
    Education Loans

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