Personal Loan for studying abroad is a good option for individuals looking to take their academic and professional development to greater heights. With education abroad, you can achieve your educational goals and set up the blueprint for a successful professional life ahead. In this blog, we will learn more about how a Personal Loan can be used for Education in Abroad. Keep Reading!
What is A Personal Loan for Education?
You can apply for a Personal Loan for education to cover your educational expenditures. It is unsecured and thus, requires no kind of security, collateral, or guarantor. Lending institutions take into account factors like your income, CIBIL score, repayment capacity and financial history before approving the loan request. The payback period starts one month after you take the loan.
Why Take A Personal Loan For Education?
Let us now highlight some of the advantages of opting for a
Personal Loan for Education:
1. All Expenses Under One
Loan – Once approved, a Personal Loan for study abroad can
cover all study-related expenses abroad. Use the borrowed amount to
pay library fees, or for books, travel, a laptop, housing, health
insurance, and other miscellaneous expenses in addition to tuition
fees.
2. Adjustable Loan Amount and Loan Tenure
– Borrowers have the flexibility to choose a payback term and
loan amount for a Personal Loan based on their budget, overall
expenditure, and repayment capacity. Refer to a Personal Loan EMI
Calculator to calculate the payable EMI.
3.
Hassle-Free Application Process with Good Interest Rates
- NBFCs have simplified the online Personal Loan application
process, additionally extending attractive interest rates. You simply
have to fill out the loan application form with updated information.
Without you having to visit the lender’s office physically, the
application process will be completed in a few minutes from the
comfort and privacy of your own home.
4. Quick Approval
- Online applications use technology which streamlines the
entire application process. As a result, you can get approval in just
a few minutes. Due to a lack of collateral and paperwork, the process
has been expedited even further.
Personal Loan Interest Rates and Tenure
A Personal Loan grants you financial assistance at competitive
interest rates and nominal charges. Borrowers can choose to repay the
borrowed amount within a flexible loan repayment tenure of up to 60
months.
Your monthly instalment value will depend on the loan
amount, the interest charged on it and the tenure you opt for. The
longer the tenure, the lesser amount you have to pay per month.
However, a longer term will incur higher interest charges and vice versa.
ALSO READ :- Check Your CIBIL Score Today To Get A Personal Loan
What are Personal Loan Interest Rates and Tenure to Study Abroad?
Thousands of people across the country dream of pursuing higher
studies under renowned institutions abroad. However, these dreams are
associated fees which might be overwhelming for most. Personal Loan
pave a secure road to realise such education goals.
There are two
factors to think about before opting for a Personal Loan for
international studies, namely:
1. Interest Rates
- The cost of borrowing is determined by the interest rate.
It’s important that you conduct thorough research on different lending
institutions and interest rates offered by them before opting for
one.
2. Tenure - The time period, beginning when
the loan amount is disbursed and stretching over the period by the end
of which the amount is duly repaid - is known as the loan tenure.
Understanding the time frame during which you must return your loan
balance is crucial. NBFCs like Poonawalla Fincorp offer flexible loan
tenure of up to 5 years.
Why Prefer a Personal Loan for Education Over an Education Loan?
A major advantage of a Personal Loan which gives them an edge over an education loan is the flexibility they allow in fund-use. Education loans or student loans are typically disbursed directly into the preferred educational institution fund. However, a Personal Loan allow students the freedom to use the loaned amount as they deem necessary.
Comparison Between Personal Loan and Education Loan for Studies
Here are some other differences between a Personal Loan For Education and an Education Loan so you can pick the more suitable one for yourself:
| Education Loan |
Personal Loan For Education |
| Usually only covers tuition and educational expenses, while you have to arrange for other expenses. | Funds can be used to cover costs of housing, food, rent, transportation, books, furnishings and others |
| Lenders often shortlist educational institutions and grade them based on their reputation/ranking. So, in case your college/university of choice is not on the lender's list of establishments, your student /education loan may not be approved. | Reputation/ranking of the concerned University does not play a role. Instead, the credit score, repayment pattern and overall financial capabilities are taken into account before the loan is granted. |
| May be secured or unsecured. | They are unsecured loans so you do not have to pledge an asset. |
To Conclude
With an easy application process, quick approvals, affordable interest rates and a flexible tenure - a Personal Loan for study abroad will help you fulfil your dream of pursuing higher education abroad without any hassle. Choose a Poonawalla Fincorp Personal Loan for your higher education and to achieve your education-related goals.
Frequently Asked Questions About Personal Loan for Study
1. Can I use the Personal Loan amount to pay for
living costs?
Yes, you can use the Personal Loan
amount to cover living costs. It comes with no use restrictions.
2. Will I be able to leave India with a Personal
Loan?
Yes, you can use the funds to meet your personal
requirements, be it to leave India or anything else.
