Today everyone dreams that they can get an excellent and high education and get a great job. So that their life can be cut easily, but it is easy to think and say, but it is equally challenging to do it. If you get higher education, you get success, but it becomes difficult for you to be a successful person if you do not get a good education. Generally, there is no problem in getting an education, but getting good and high education becomes for the children of middle-class families because they are unable to study further due to money problems for higher education.
Due to this, they stop their studies in the middle or lose their chances for further better education. Because of all these problems, the government has arranged an education loan from banks for the children who are good in their studies and want to do good further studies. Today, we will tell you what an education loan is, which students can get an education loan, what qualifications are necessary to take an education loan, and what documents are required for an education loan. Let us know. Here is the process of taking an education loan…
What is an education loan?
For your information of all of you, let us tell you what an education loan is because when you apply for an education loan, it is also essential to know about it. Students who want to take a loan from the bank for their further studies or higher education. That is what is called an education loan. You can get this loan from any bank or financial institution.
You know that many middle-class families and low-income families in our country cannot get their children good education just because of lack of money. For this reason, an education loan facility has been started by the government in all the banks of our country today. With this, all the needy persons can be easily given higher education by taking a loan from the bank, and by this, they can make their life better and brighter.
Today, many children in our country cannot make their lives good and cannot get higher education because the lack of money stops them from moving forward. As you all know, today it is the dream of a student that he can study well and do an excellent job at an awesome post to make a promising future for his family and himself.
Conditions for taking an education loan
The bank gives an education loan for all the expenses incurred on education, which is very important for studying. When children pass class 12, they get the most considerable tension, what kind of field they will go in next, which study will be better for them, and how much cost will come under education, so by taking an education loan. You can hear the road ahead of you.
You can take an education loan from the bank for class 12 school education to graduation, post-graduation, PhD, engineering, medical, agriculture management, any computer course, CA, CS, all types of higher education. Apart from this, education loans can be taken from the bank for those who want to study in any big educational institution in any part of the country.
Not only this, you can also take an education loan for pursuing education abroad. For this loan application, you can take an education loan through a government bank, a private bank, or even through many non-financial banks. With this loan, you can make a better and better bright future by getting the proper education.
Types of Education Loan
Whenever you apply for a loan in a bank or a private bank, it is necessary to tell yourself what type of loan you want to take.
- Undergraduate Loan
- Career Professional Loan
- Post-Graduation Loan
- Education Loan for Children
1. Undergraduate Loan – This loan is given to the student for pursuing graduation. Any passing student 12th can take an education loan for graduation for the country or abroad to take this loan. It is also called an undergraduate loan because this loan is for graduation.
2. Career Professional Loan – This loan is given to those students. This type of professional loan is given to those who want to invest their career in an excellent professional field. To take this loan, ITIs are made associated with engineering and other types of technology. Any student can handle it. That’s why this loan is given only to make a career in a career professional.
3. Post-Graduation Loan – Post-graduation loans can be taken from any bank for students who want to study after graduation. Therefore, any student or any employee can take them. And by taking a loan, one can complete his further studies.
4. Education Loan for Children – This loan is given to the parents of needy children, who want to get their children’s education, but do not have money. In such a situation, all parents can take education loans for their children and give them a better future by getting them educated.
Benefits of taking an education loan
All the students, their parents can give them a promising future by taking the loan for their children’s education. What are the benefits of taking an education loan?
- Now students can do their studies according to their wish by taking an education loan.
- Education loan is given for different types of diplomas and degrees.
- With the help of an education loan, you can study in the country and abroad.
- The time taken to repay the education loan is 15 years. It depends on you, in how much time you repay the loan amount.
- If you get an excellent job within one year of completion of your studies, then you can fill your loan in the form of EMI.
- There is also a provision of a special exemption in education loans for girls.
- Apart from this, subsidy on education loans is also given by the government.
- No guarantor is required for an education loan less than ₹ 400000.
The loan amount for education loan
The loan amount for an education loan depends on the type of loan you have. What kind of loan do you want to take? The loan amount is given accordingly. Education Loan At least if you’re going to do graduation post-graduation, you can take a loan from 4 to 5 lakhs.
Apart from this, if you want to take some professional degree diploma. For that, you will quickly get a loan of 10 to 15 lakh rupees. Different types of education loan amounts are given in foreign banks. Apart from this, if you want to excel under any educational institution of our country, you want to get a good degree, for that, you will get a loan of 15 to 20 lakh rupees. You can take a loan of 50 to 80 lakhs for studying abroad.
Processing charge on interest on education loan
All the banks set different interest rates for taking an education loan. By the way, the interest charged on education loans generally ranges from 8% to 14%. Apart from this, if a student is poor or, according to an exceptionally meritorious student, the bank gives a concession on the rate of interest in his loan, and an education loan processing charge is levied from 1% to 4%.
Education loan repayment schedule
- After receiving the amount of an education loan, the repayment period is given for 15 years. Apart from this, this loan is available for study. If you stand on your feet after studying, then this loan is filled in the form of EMI.
- The instalments of MI in this loan are significantly less so that students do not face any problem paying the loan.
Eligibility Criteria for Education Loan
The following qualifications are necessary to take an education loan. Only based on this you can take an education loan. Let’s know…
- The most important thing for an education loan is that the student must be a citizen of India.
- His age should be prescribed according to the course for admission.
- School or any educational institution college should be recognized by the Government of India, State Government, abroad.
- If the loan amount is more than ₹ 400000, then the parents or any of his relatives are added as guarantors in the bank so that the loan is entirely safe.
- Apart from this, any property as security in the bank or anything in the form of protection has to be mortgaged with the bank.
Documents required for education loan
Some essential documents will also be required for an education loan, only available based on this loan.
- Aadhar Card
- College admission fee slip letter
- Marksheet of previous college school passed
- Guarantor for the loan (parent or relative with their complete details)
- Income certificate of parents for subsidy
- Papers of any property or any valuable thing as security
The process to take an education loan.
You can apply both online and offline to take an education loan. First of all, you can apply for an education loan by going to any government bank or private bank to use offline. You can go to the bank in all the necessary documents and take an education loan by applying for the loan by doing all the work based on whatever terms and conditions are thereby the banks. All your documents will be checked.
Apart from this, it is necessary for the parents or any relative to have an account in that bank as a guarantor. Apart from this, all its documents are also taken for education loan, and in the form of security also you have to guarantee something. If your loan is less than four lakhs, you do not have to give any security and only if you have more loans, you have to pledge the safety with the bank. Even after this, you will be able to get a loan from the bank.
Apart from this, for an online education loan, you will have to go to the official website of any bank and give details of all the information in it. After that, your paperwork will be checked. If all the information you provided is correct, you will get the approval for the loan, and you will get the loan within 24 hours 48 hours.
Failure to pay education loan
If you have taken an education loan from the bank and cannot repay that loan for some reason, you have put the documents of a relative or your parents in the bank as a guarantee. It will affect their civil score a lot. In future, he will not be able to take a loan for any other thing.
Either those people will have to pay the loan amount. If they don’t even fill it, then the credit rating of those people becomes negative. Apart from this, the bank can take any legal action against you. For which only and only you can be responsible, because the bank does not only have the guarantee of your parents or relatives but as a security, your things are also mortgaged with the bank, that’s why the bank has to You have every right to take any legal action against you.
Education is the basic foundation of life. Based on this, every person can fulfil their every dream. Friends, today, through this article, we have given you how to do education loans? What is Education Loan? Complete information about this is explained through this article. If you like this information, then definitely share it, and for more information or any other suggestion, you can ask by commenting in our comment box.
What type of loan is an education loan?
Loan for studies
What are the documents required for availing of an education loan?
Aadhar Card, Pan Card, Photo
Can one apply for an education loan online?