Educational Loan – An Overview
Wondering about what would be the next step towards your shining career? How about a Degree or a Professional course from a top university in India or even Abroad? When it comes to education you should never compromise on it, after all the better educated you are the better job you are likely to get into and the better job you are in the better money you would make. So, do not let you finances stop you when it comes to education as availing an Education loan can serve as a solution to Higher Education. Here are some facts and figures you should know while applying for a Education loans in India.
What are the purposes for which you can apply for an Education loan?
Enlisted below are various reasons for which you can apply for Education Loan anywhere across the country.
- For Studying in India
- For Studying in Abroad
- For Obtaining a Balance Transfer on an existing Education loan
Who can apply for Education Loans?
- Parents/Legal Guardian/Relative living in India
- Executives/Professionals having a work experience of at least 2 years.
What is the loan amount that can be availed for Education Loan?
Maximum Loan amount of Rs. 1 Crores can be availed as an Education Loan.
What is covered under Education Loan?
Get 100% finance for your education in India or abroad which is inclusive of the following:
100% Tuition fee which needs to be deposited directly to your School or university you will be in enrolled in
The education loan amount is also inclusive of the cost to buy you your study material such as books, project material, laptop and up to 75% of the living cost. The cost of your living expenditure, study material and overheads should not exceed 20% of the tuition fee.
For all students travelling abroad travel expenditure up to Rs.75000/- can also be included in the loan disbursed.
What is the rate of interest for availing education loans?
Education loan can be availed at a rate of interest up to 12.50%
What is the Loan tenure for which you can borrow Education loan?
Education Loan can be borrowed for loan tenure of 10 years.
What is the provision for part-payment and fore-closure charges on Education loans?
✔ NIL – Advance Part-payment
✔ NIL- Fore-Closure Charge
What is the provision for disbursement of education loan?
You can avail Pre-visa Disbursement & Preadmission education Loans to ensure that your university does not reject your loan application due to lack of funds in your account.
Is there a moratorium period?
Firstly, Moratorium period is a holiday period where the applicant the re-payment of the loan starts after 1 year of the completion of the course duration. Yes, there is moratorium period.