Education is of prime importance within our lives. Although, Government of India has made education free and compulsory as much as 14 years of age; it is getting extremely expensive to have quality education. The scholarships provided by esteemed universities are not many in comparison to the countless hopeful and deserving applicants. As a result of expenses, eager minds of the students are left unbridled. But all’s not bleak and gloomy, in fact, now the specific situation is very the contrary. Education in India is thriving thanks to student education loans given by many government and private banks. Let’s have a look at some of the top features of student education loans.
Generally, education loans are given to students of Indian nationality within the age bracket of 15-30 years. Another requisite of it is that the กยศ student applying for the loan will need to have an operating parent or a protector to function as guarantor. The loan approval will soon be based on the capability of the borrower and the guarantor’s assets, liabilities, income, etc. Also, the student must hold an excellent academic record and he/ she needs to have secured admission by clearing the mandatory entrance examinations for that course.
One can take advantage of the student education loan for courses in India which are approved by the state and central government along with courses from foreign universities. The nature of the course and the standing of the university may be checked by the bank providing the student education loan. The student education loan covers tuition fees, library, hostel, along with other expenses of books, uniforms, travel, etc.
The maximum loan limit for studies in India is Rs. 10 Lac and the maximum loan limit for studying abroad is Rs. 20 Lac. If the loan is for Rs. 4 Lac and above, then 5% of the margin is requested studies in India and 15% for studies abroad. For loan as much as Rs. 4 Lac, there are no security requirements. However, if the loan amount is higher than that, then one has to supply some like property, LIC policies and Government securities. Many institutes have tie-ups with banks thereby providing lower rates. Also, some banks offer lower rates to female students.
The repayment option for students education loan is quite flexible. Usually, one has to begin paying the EMIs following the completion of the course in case the student doesn’t get employment then a grace period of 6-12 months is offered. In the due time, if the student gets employment then he has to begin the EMI payments. The period of repayment varies from bank to bank. It may be from between 3-15 years.
These days nearly every bank offers student education loan, which means you can have a wide selection of plans to pick from and get the best one in accordance with your preferences and requirements. This loan assists the youth of our nation in pursuing their aspirations. So, the very next time your son or daughter tells you of their dreams, you understand steps to make them become a reality!