Study loans are available to pursue higher education in India or overseas. Educational costs are sky-rocketing high, and it’s nearly impossible for parents to fund their child’s higher studies with the little savings. There are a lot of banks and private finance companies that are ready to provide loans with attractive interest rates and flexible repayment options. You can avail of a loan with interest rates as low as 12.75% and a processing fee of a mere 1-2%. There has been a consistent rise in the number of borrowers for student loans. However, you must choose the one that fits your financial stature. Also, there are a certain student loan eligibility criteria that you need to meet to get your loan sanctioned.
Here are a few student loan eligibility criteria that you have to meet before visit online to make an application:
The candidate who makes an application for a student loan should be between 18 to 35 years of age. He or she should have a confirmed admission in the university or institute whether in India or abroad.
He or she should possess good academic records in higher secondary schooling. They should’ve scored equally good marks in their CAT exam based on which selection is done in universities or institutes.
If he or she is not a working professional, the borrower can apply with a co-applicant, who can be their parents, siblings, spouse or in-laws.
The co-applicant needs to have a stable job or business, with excellent credit history. They would need to repay the loan, if the borrower is unable to do so due to an unfortunate event.
Banks or financial institutes will evaluate the bank statements, IT returns, and salary certificates.
Your university, type of course, and future placements would also count under student loan eligibility. Lenders will grant loan only for those courses that are recognized such as MBA, engineering, medical sciences, civil aviation, architecture, master’s degree, etc. The course should hold a high placement record, and the university should be well established with a good review.
Private lenders are keen to give easy financial solutions for brilliant minds who easily meet student loan eligibility criteria. They provide collateral-free loan up to Rs 50 lakhs with an instant sanction in one-day. What’s more? If you’re planning to study overseas, they come up with customized loan solution such as pre-visa disbursement loan, pre-admission loan, certificate of availability of funds, GRE score based loan, bridge loan, fast track loan and more. In case you plan to study abroad and the loan amount is quite high, your collateral will come into the picture.
Lenders provide customized repayment solutions to potential borrowers. You don’t have to repay it from day one. You can start repaying the money after six months to one year of the course completion. It is termed as moratorium period. If you opt for a part-time job and pay the interest only, it will significantly reduce the loan costs.
It would be wise to compare quotes online, check student loan eligibility criteria of different loan lenders, and then make an application. Online loan applications are processed quickly, and you can secure admission in your dream university without any hassles.