Education Loan: A Funding Option for Overseas Education
In today’s era, the Multi-National Companies and the Local Based Companies both are on the constantwatch for candidates.
Those who realize the global markets and can lead teams in culturally diverse settings. As the workplaces are going global.
Thus, for students, overseas education is the bridge to transform themselves into socially sensitive employees. With an expertise to deal with international challenges.
However, there is a vast majority of students who are apprehensive of taking up this option due to monetary constraints.
It is not a lie that study abroad programs are not exactly pocket friendly. There is a host of funding options available that makes overseas education become certainly affordable.
The objective of this article is to present the extensive research on various funding options for Overseas Education in a structured format.
So, you can weigh your study abroad chances realistically.
- Education Loans
- Graduate Assistantships
- Part-Time Jobs & Internships
- Innovative& Upcoming ways to finance education
- Money-saving techniques while studying abroad
In this article, we will focus mainly on the 1stpoint – Education Loan.
Know about the Overseas Education Loan
The Nationalised, Private banks and NBFCs provide education loan to excellent students admitted in listed and reputed foreign universities.
A student falling under the eligibility criteria can get secured loan from Nationalised bank as high as 2 Cr. for bachelor’s degree.
Also, an unsecured education loan up to 40 lakhs for studies abroad is granted by Private banks and NBFCs.
Benefits of an availing Education Loan for overseas education
India and many countries abroad as well provide tax benefits against overseas education loans. This varies with clauses that are country specific.
Schemes for Minority Communities
Under the schemes for education loans, benefits like subsidies and special conditions on the education loans are provided to women and minority communities.
In order to encourage under-represented sections of the society, this move is adopted worldwide.
Gets you closer to securing your future
A student loan can be used, not just to cover the tuition costs but also the supplementary expenses involved. This could include laptops, study materials, traveling expenses and living expenses as well.
As per the norms, any public, private bank and non-banking company covers the following expenses –
- Tuition fees
- Living Expenses
- Health Insurance
- Laptop charges
- Visa Expense and
- Expenditure on study material
Flexible Payment Period
The flexibility of repayment of education loan overseas is due to the moratorium period. This is a grace period during which student can choose to repay simple interest.
It is the duration of your course in addition to 6 or 12 months from the day you complete your studies. Students can willingly pay off the simple interest every month. This will reduce the overall financial burden at the end.
Managing the Study Abroad Loan
Apart from your coursework, a study abroad program means hectic schedules. You will find yourself occupied with extra-curriculars and internships.
Hence, you may likely lose track of your budgeting and the repayment plans. And fail to meet up with the loan for higher education abroad plans that you diligently made at the beginning of your term.
Go through the tested tips below. It will ensure that you have a strong hold over your money, even amidst your busy schedule.
- Use Technology to Manage Your Finances
- Have someone to help you stick to a budget
- A Balanced Budget
- Plan your Re-payment schedule before sitting for placements
Hope this article was informative!
Rita Biswas is an Overseas Education Loan Advisors. She has six years of experience in overseas education, working with the leading Study Abroad Consultant.
At Study Abroad, they help students plan their higher studies abroad. Along with funding options details for overseas education loan.