Want to have a life-changing experience of studying abroad, but not having enough resources? Craving for your academic and professional growth, but lacking funds? A personal loan for education can help you achieve your dreams and can be able to give you a successful professional life ahead. While the benefits of worldwide networking and an engaging social life are tempting, studying abroad offers greater academic, cultural, and career opportunities. Whatever study program you choose, will benefit your life in a variety of ways you may not have imagined.
According to the UNESCO Institute for Statistics, around 2 lakh students pursued higher education abroad in 2016, with the United States, the United Kingdom, and Australia being the most popular destinations. These estimates will be growing enormously shortly. Education in another country has become a goal for everybody who wants to succeed in any industry. However, education is extremely expensive and continues to rise year after year. The cost of learning has climbed by 44% from 2015 to 2018.
What is a Personal Loan for Education?
A personal loan for education is an unsecured loan that you might take out to cover your educational costs. This form of loan does not require any kind of security, collateral, or guarantor. Lenders give them out based on your income, credit score, repayment ability, and financial history. The payback period begins the month after you take out the loan. These loans might help you pay for your international studies expenditures by providing an uncomplicated loan application and rapid loan approval.
Reasons for Taking a Personal Loan for Education
All Expenses Under One Loan
A personal education loan covers all of the costs associated with studying abroad. You can use your personal loan money to pay for library fees, books, travel, a laptop, housing, health insurance, and other miscellaneous expenses in addition to tuition. However, an education loan bears expenses that are only limited to tuition and educational fees.
Adjustable Loan Amount and Loan Tenure
You can choose a flexible payback term and loan amount for a personal loan based on your budget, your total expenses, and repaying capacity. You can estimate your EMIs using a personal loan EMI calculator and choose a loan term with EMIs you can comfortably afford.
Easy Application Process with Attractive Interest Rates
NBFCs have made it exceedingly simple to apply for an immediate personal loan online these days with attractive interest rates. Simply go to the lender’s website, fill out the loan application form, and supply the required information, and you’re done. You don’t even need to go to the lender’s office once. The entire loan application process can be completed from the comfort and privacy of your own home in minutes.
The only documents required to avail a personal loan are- proof of identity- Passport/ Voter I’d / Pan card/ Driving license, proof of residence- Aadhar Card, income proof and salary slips- last 6 months bank statements and employment certificate for one continuous year.
Fast Disbursal of the Loan Amount
The amount for a personal loan can get fastly relieved into your account in just 24 hours within approval.
The online application technique streamlines the entire application process. As a result, you can acquire permission in a matter of minutes. Due to the lack of collateral and paperwork, the process is sped up even further.
Why Prefer a Personal Loan for Education Rather Than a Education Loan?
- One of the most significant disadvantages of a traditional school loan is that it usually only covers tuition and academic expenditures, leaving you on your own. As a result, a personal loan may be more financially suited than a student loan for overseas studies to cover all of your living expenditures, such as housing, food, and other costs.
- The term “personal loan” refers to a loan that is not designed for a specific purpose. A personal loan, unlike a home loan, vehicle loan, or even a school loan, can be used to pay for nearly anything you want. It can be used for a variety of things, including paying higher education fees and coping with other expenses such as rent, food, transportation, books, and furnishings. When you take out a student loan, on the other hand, you are legally obligated to spend the funds only for academic purposes, such as tuition payments.
- Also, sometimes banks have their list of educational institutions as they grade them based on reputation. You may not be eligible for student loans for abroad studies or education loans for abroad studies if your college or university is not on the bank’s current list of establishments. Furthermore, some banks will examine a student’s academic background when granting an education loan for study abroad.
- As a result, a personal loan for education is always a better option than a student loan for international study. It will allow you to keep track of all of your everyday costs without any hassle. The best thing is that a personal loan is unsecured, meaning you don’t have to put up any assets as security.
How Can You Get a Personal Loan for Education
Prepare a Budget
The cost of education is high. Especially if you study abroad. Consider travel costs, tuition fees, the cost of study materials, any additional coaching you may require, and the cost of room and boarding that is not covered by an education loan when determining expenses. To get an idea of the cost of living, talk to friends and family who live in the nation. You’ll be able to figure out how much Personal Loan you need once you have an exact assessment of your expenses.
Make Sure You’re Eligible
Use the Personal Loan Eligibility Calculator to see if you qualify for the amount you require.
Decide on the Length of the Loan and How Much You’ll Have to Pay
Take up a student personal loan from a bank that offers flexible repayment terms, as the number of your monthly payments will be determined by the term. Remember that your earnings as a student may be lower than your earnings as a professional. Your most pressing need is for EMIs that are affordable.
Create an Application
A Personal Loan only necessitates a minimal amount of documents. Check with your bank and make sure you have all of the necessary documentation. If you’re an established customer, you might not even need the paperwork. Learn how to get a loan and how to apply for one.
Get to Work
Book your tickets, pay your tuition costs, and begin your exciting journey as a student once you have the funds from your personal Loan for Education.