Funding Your Dreams: Understanding Abroad Education Loans
Studying overseas is a common desire for many students, as it opens up several opportunities for growth and development. However, paying for this dream may not be very easy. An Abroad Education Loan is a source of funding that can enable a person to achieve this dream. Here is a quick guide to how much one can borrow for an Abroad Education Loan, whether one needs collateral, and the best banks to apply for the loan from.
How Much Abroad Education Loan Can I Get?
The amount of money you are likely to be given in an Abroad Education Loan depends on factors such as the course, country, and policy of the lending institution. Generally, the banks as well as the financial institutions provide loans starting from INR 20 lakhs up to INR 1.5 crores or more. But one has to note that there are various requirements that are offered by these companies and the maximum loan amounts that applicants can be granted.
How Much Abroad Education Loan Can I Get Without Collateral?
It is possible to obtain an overseas education loan without a guarantee, but the amount might be lower than in the case of applying for a secured loan. Non-collateral loans are typically between INR 7 and 9. It ranges from 5 lakhs to INR 40 lakhs. It varies depending on the student’s past academic performance, the ranking of the university, and the credit history of the co-applicant.
Overseas Education Loan Provided by the Indian Government
The Indian government has provided different scholarships for students intending to study at foreign universities.
Padho Pardesh Scheme: This scheme provides interest subvention to education loans availed by students belonging to minority communities.
Dr. Ambedkar Central Sector Scheme: This scheme offers interest subvention for students coming from other backward classes (OBC), scheduled castes (SC), and economically weaker sections (EWS) to study in foreign countries.
Abroad Education Loan Banks
A number of banks across India are providing overseas education loans at nominal interest rates, including easy EMI options.
SBI Bank
SBI is the largest commercial bank and also the largest among the nationalized banks in India.
SBI Global Ed-Vantage Scheme: Provides loans for up to INR 1.5 crores for students who are enrolled in full-time regular courses in foreign colleges and universities.
Interest rates: beginning at 9.30% per annum.
HDFC Bank
Offers education loans up to INR 20 lakhs without collateral for studies abroad.
Interest rates: Beginning at 9.50% per annum.
Punjab National Bank (PNB)
PNB Udaan Scheme: Provides loans from INR 1 lac to INR 1 crore against collateral and up to INR 7 lacs against gold ornaments. 5 lakhs without collateral.
Interest rates: Beginning at 8.90% per annum.
Axis Bank
It provides loans up to INR 75 lakh with simple securities to pledge.
Interest rates: beginning at 13.70% per annum.
Bank of Baroda
Baroda Scholar Scheme: Offers education loans up to INR 80 lakhs for students enrolled in premier foreign universities.
Interest rates: Beginning with number 8, 85% per annum.
ICICI Bank
It offers loans up to INR 1 crore against security and up to INR 40 lakhs without security.
Interest rates: Beginning at 10.50% per annum.
Conclusion
Applying for an Abroad Education Loan is one of the most decisive steps in the process of funding your education abroad. Knowing the loan possibilities, such as how much you want to borrow, what security is required, and what precise government programs exist, will assist you in achieving your academic goal. Regardless of whether you decide to take a loan from a government-approved scheme or a private bank, you should make sure you compare the requirements of the schemes and select the option that is best suited for your needs. An Abroad Education Loan can help you unlock the world of academics and careers, so you can achieve your dreams.
Count on Masters Visa Overseas Education Consultancy for expert guidance on education loans, free of charge.
