Overseas education loan: Best way to fund foreign studies
Education is one of the important tools for individual progress. It helps you compete well in the verticals of your choice so that you attain peak position and thereby live a successful life ahead. It plays a vital role in shaping the society to prosper socially and economically. Today, every parent aspire their son or daughter should pursue MBA, doctorate, engineering or law from reputed university in India or abroad. Studying abroad is the latest craze amongst the students and every alternate student want to pursue higher studies in some or the other foreign university. But foreign studies are quite expensive. These studies could be as high as six times the cost in India. Therefore, good financial planning is essential to ensure that adequate funds are at disposal when needed. Moreover, while applying for the student visa, you need to show proof of sufficient funds to cover at least the first year of education.
Many students and parents have to sack their dreams and pursue alternate courses or choose different streams in life. Although there are options like scholarships for Indian students, traditional finances, property mortgages, or alternative subsidizations but these options have to be thought and worked upon beforehand, as it can be time consuming process. Secondly, these finances medium have extremely high rate of interest, limited time to repayment and no flexible options to makes repayments.
The government & private sector firms understand your concern very well and has taken concrete steps for providing better education facilities to the youth of our nation. In order to make sure that no student is denied of pursuing higher education, they have come up with state-of-the-art facilities for overseas education loan scheme. So bank a suitable opportunity now and create own your world of successes by pursuing good and quality higher education abroad.
While taking admission in foreign university students have to show sufficient proof of funds. Every student has its own set of problems such as getting a visa clearance, fund approvals, slow loan processing, incomplete finances etc. Some of the leading private finance firms have come up with unique and friendly solution for customers such as Pre-Visa Disbursement Loan, Pre-Admission Loan, Certificate of Availability of Funds, GRE score based loan, Bridge loan, fast track loan etc. which cater exclusively to students’ particular requirements and set them free from any form of obstacle in their road for career development.
While government banks demand for margin money of around 15-20% of the loan amount to approve study loan overseas, some private finance firms give overseas education loan at no margin money costs. The interest rates offered are as low as 12.75% and the processing fee is mere 1-2% of the loan amount being calculated on a case-to-case basis. Overseas education loan can be offered on fixed and floating rate. Most nationalized banks offer variable rates while private and foreign banks charge fixed rates. They design study loans without setting any cap on finance and provide 100% coverage of education costs, making such young talents of India free from unnecessary burdens.
Usually for loans up to Rs. 4 lakh, no collateral security is required. For loans ranging from Rs. 4 lakh to Rs. 7.50 lakh, collateral in the form of a satisfactory third party guarantee is required. For loans above Rs. 7.50 lakhs, collateral in any of the form of Residential property (house/flat/apartment), Fixed Deposits, Life Insurance with surrender value equivalent to loan amount, Existing house mortgaged and Non-agricultural land can be considered.
For repayment of your Abroad Education loan there are customer friendly ways a relaxation period known as moratorium period wherein you repay the loan six months after the completion of the course in case person gets job or one year after the completion in case student is trying to get job. The maximum time given for the repayment is 15 years counted from the date of the first disbursement.