How to choose the best education loan in India

How to choose the best education loan in India

The costs of education have increased above the comprehensive imagination of common citizens of the country. Therefore, it has become really hard for the students to afford the expenses of educational fees on their own. However, thanks to the various study loans offered by banks and NBFCs (non-banking financial companies) across the country; the students can afford to pay for their fees up to a certain extent. Thus, students don’t have to exhaust their parent’s resources and can take care of their own expenses. Hence, students can compare amongst the various financial institutions and find the best education loan in India at lower interest rates.

The education loans provided by banks and NBFCs (non-banking financial companies) take care of all the study-related expenses such as college fees, fees for tuitions, residential costs, and travel expenses. All the other forms of miscellaneous expenses; which are incurred by the students are covered under study loans as well. There are “nth” numbers of study courses which are covered under study loans, such as science, arts, mass media, economics, commerce, hotel management, commerce, etc. The education loans offered by banks and NBFCs (non-banking financial companies) in the recent times are way better than the loans offered by the traditional financiers; the interest rates of the former are way lower than the interest rates provided by the latter. There are many financial institutions which provide the best education loan in India at lower interest rates for meritorious students and women; in order to encourage girl-child education in the country.

The advantages of study loans are as follows:
· The flexible repayment options provided by banks and NBFCs (non-banking financial companies) have proved to be of huge assistance as the students can plan out their future repayments in advance.
· There are many banks and NBFCs (non-banking financial companies) which offer a moratorium period for students which are generally around 6 months to a year after course completion. This prohibition period is offered to the students in order for them to find a job. Even though students cannot make the payments for the principal amount, they can still reduce the interest rates which are piling up.
· One can procure a higher amount of best education loan in India by making use of the co-borrower facilities provided by many banks and NBFCs (non-banking financial companies).
The factors which determine a person’s eligibility are as follows:
·The person should be an Indian citizen and 18 years or older. He or she should have completed undergraduate certificate from an educational institution.
·The course for which a person applies plays an important role in deciding his or her eligibility. The financial institutions often check the credibility of the course as they want to make sure that the student can earn enough money to make repayments for the loan.
·There is a minimum amount of collateral that students need to keep up with the banks or NBFCs (non-banking financial companies) in order to procure the best education loan in India. This collateral can be any residential property, non-agricultural plot, FDs (fixed deposits) or life insurance policy.

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