How To Get Education Loan in India | Eligibility, Documents, etc

How To Get Education Loan in India
How To Get Education Loan in India

Everyone dreams of a good carrier by getting a good education. So that he can pass his life comfortably. But it is only easy to think. It is very difficult to do. If you get a good education. There is no difficulty in getting an ordinary education. But getting higher education becomes a bit difficult for many middle-class students. Because higher education needs not only hard work but also a good amount of money.

How to take an education loan?

Due to lack of money, many students can not fulfil their dreams. But now the Indian government has come forward to help such talented students. And many such schemes are operating in our country. There will be no problem with the students for getting a higher education. Because the Government of India and many banks provide Education Loan to fulfil the dreams of students.

Any student can complete his education by getting the education loan and fulfils his dream. But getting an education loan is not so easy. How can we get Education Loan? What you need to do for this. In this post, you will get a complete information. So that you can get education load easily.

How To Get Education Loan in India
How To Get Education Loan in India

What is an Education Loan?

It is very important to know this before going to get the loan. What is a student loan? In ordinary language, when a student takes a loan from a bank or private institution to receive his higher education. Then this loan is called a student loan. Any student can receive higher education by receiving this student loan.

Who can get Education Loan –

After knowing about the student loan, the second most important thing is to know how to get this loan?  Banks or private institutions also think about the withdrawal of loans before giving a loan to any individual. Generally speaking, the loan is provided to those individuals by banks and institutions, who has the ability to withdraw the loan. In order to take Education Loan, somebody needs a guarantee. Anybody can be the guarantor. You may also have a friend, relative or parent. Apart of it, you must be selected to a good college or going to get a professional degree i.e. MBA, P.Hd. etc.

Education Loan Scope –

Education loan is provided by almost all banks and private institutions in India. You can get a loan for higher education like from school education to graduation, post-graduation, PhD, engineering, medical, agricultural management, computer course, CA, etc. In addition, if you want to study abroad, you can also get education loan from a private institution and bank for this.

Education Loan Types –

Education loan in India has been divided into four types.

a) Undergraduate Loan –

  • As you can understand by name, such loans are for undergraduates. Any student who wants to study abroad for higher studies can apply for this type of loan.

b) Career Education Loan –

  • Such Education loans are made available to students who want to pursue their career by studying from any government college, institute such as ITI, IIM, AIMS, etc.

c) Professional Graduate Student Loan –

  • Only those students can get this loan who have completed their graduate and want to study further.

d) Parents Loan –

  • Such loans are taken by the student’s parents. When a parent wishes to obtain a loan from any bank/institution to complete his/her child’s education.

Advantages of Education Loan –

  • There are many benefits to getting the education loan. Which is the following –
  • The biggest thing about Student Loan is that you can get the education loan easily.
  • By acquiring an education loan, a student can complete his dream.
  • Earlier, due to the lack of money, talented students could not study further. Now through education loan, he can complete his studies.
  • The loan is given for a long period of time. So it takes a lot of time to return.
  • Another advantage of this is that you have to pay a very little amount of interest for this loan.
  • In our country, there are many banks and institutions that provide education loans at many discounts.

Documents required for Education Loan –

When you are going to applying for a loan, you will need some required documents mentioned below.

  1. Age proof (10 Marksheet or Birth Certificate)
  2. Passport size photo
  3. Mark sheet
  4. Bank passbook
  5. ID proof
  6. Address proof
  7. Course Details
  8. Parents & Student’s PAN Card
  9. Parents & Student’s Aadhar Card
  10. Parent’s income proof

The documents mentioned above are required for taking education loan. In addition to these documents, other documents may also be required. Because every bank and institution has some different terms and conditions.

Interest-

Usually, the interest rate on Education Loan is less compared to other loans. At the same time, some banks provide a considerable discount on the interest rate for girls. Therefore, while receiving a loan, you should get complete information about the interest rate.

Processing-

Nowadays, loan processing fees are charged in almost every bank. But in the case of an education loan, no processing fee is taken. If any bank is seeking a processing fee, then you can complain.

Is a guarantor required to take the Education Loan?

Generally, any guarantee or security is demanded by banks when providing any loan. But if we talk about an education loan, there is no guarantor or security is needed. But this loan amount will be up to  Rs 4 lakh. But if you want to get more than this, then according to the rules of the bank, you may need a security or guarantor.

How to get Education Loan –

First, you have to choose a bank or institution from where you want to get the education loan.
After that, you have to go to that bank and get the complete information about Education Loan. And then following all the steps stated by the bank. Thus you can get a loan.

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