Abroad education is a precious opportunity for many students who wish to study in premium educational institutions. However, it is still a dream for many students since finance becomes a barrier. The best solution to overcome this hurdle is an education loan. An education loan will not only provide financial support for their dreams but also enable them to pay off their educational expenses on their own.
An education loan is like an investment that will be rewarded in the future. Investing in higher education will pay off in the best interest of students and also contribute towards their personal and professional growth, providing a platform for creating a better version of themselves.
Education loans will help students manage their finances in a well-planned manner and thus prevent stressful situations later. Any student who is looking for an education loan for overseas studies or has applied somewhere will become familiar with the types of loans available.
There are two types of education loans available for students looking for finances to support their educational expenses. Both ways are open for students applying for education loans.
Collateral: This term is used in education loans when the borrower tends to get the loan from the lender against their personal assets. Collateral loans are considered secured loans, as security in the form of property or other eligible financial assets is pledged by the borrower to the lender against the loan amount. Public banks in India mostly deal with cases of collateral-based loans.
Non-collateral: Education loan for abroad studies without collateral is also available for students. Borrowers who are not comfortable taking loans against their personal property have this option available. They are also called "unsecured loans," in which no security is required against the loan. Private banks and NBFCs provide loans without collateral; the interest rate is comparatively higher on unsecured loans.
With an increase in demand for abroad education loans by aspiring students who wish to study abroad, there is an increase in the number of financial institutions facilitating foreign education loans. Now, not only government banks and private banks, but NBFCs (non-banking financing companies) have also come into the picture as a solution for education loan to study abroad needs. However, there are no leading banks (government and private) or NBFCs that help students by providing education loans for overseas studies. Students need to research in advance to determine which bank is providing an education loan abroad.
When it comes to safe and secured loans and students who are comfortable taking collateral-based education loans, public or government banks are a great option. Students can get a loan of up to Rs 1.5 crore from government banks as a secured loan. The verification process of public banks is quite lengthy; it verifies everything from students’ academic details to the legal verification of the property pledged as security. But on the other hand, the satisfactory rates are also high, as there are fewer chances of rejection of loan applications.
Here we have enumerated the names of leading government banks that provide education loans in India.
Private banks are also a great option available to students for education loans. Aspiring students can apply for both secured and unsecured education loans at private banks. Eligibility criteria remained the same for public and private banks.
Below are the names of leading private banks that provide education loans for overseas studies.
NBFCs (Non-Financial Banking Corporations) are private institutions that lend money with or without collateral. NBFCs are basically private lenders, apart from banks, that provide a variety of loans, including education loans. They have successfully refined the methods of lending loans to students; this emerged as a young-age innovation challenging banks' old-age norms in offering education loans to students.
Below are the leading NBFCs providing education loans in India.
Most of the students prefer connecting with banks directly. However, they are very well aware of the challenges that they face during direct interaction. Below are a few factors that add to the difficulty level of students:
Instead of opting for an education loan directly through the bank, you can take assistance from Education Loan Guru, as they will ease their journey to get the loan sanctioned.
At Education Loan Guru, we believe that every dream matters, and those who believe in their dream will make it a reality one day for sure. Education Loan Guru is a team of dedicated and passionate individuals who assist students in apply for education loan.
We completely understand how stressful it is for the student to manage all the things, from studies to thinking about ways to arrange funds. This can cause mental stress on students, but once students connect with the education loan guru, we will assign them a personalised student account manager, and with our easy and hassle-free application services, students will find it more stress-relieving and easy to apply for their education loan.
Education Loan Guru is a one-stop solution for all the queries and requirements of students related to education loans for overseas studies. We believe in easy and effortless work. We have a personalised platform for hassle-free application, making it easy for students to get hold of an education loan.
Unique features of Education Loan Guru:
Once students sign up on the Education Loan Guru Portal, a personalised student account manager is assigned to them, who will guide them throughout the process until the loan disburses in their account.
To reduce the effort, the education loan guru has introduced a single application form. Students will only have to fill out a single application form, which we will lodge on their behalf.
We understand how much hassle it creates to go here and there for your requirements; that’s why we will provide you with this support. One of our team members will collect all the relevant and required documents from your doorstep.
Education Loan Guru is a new-age technology-driven platform that understands the mindset of our young students. That’s why connecting with an education loan guru will be one of your best decisions in life.
Every effort becomes worthwhile when we reach our destination in the end. From taking the decision to study abroad to finally reaching college and pursuing studies, there are so many obstacles that a student has to face, but we believe there is a warrior in every student who, in the end, will definitely achieve what they want.
By Education Loan Guru
