Common Student Loan Myths – Busted!
Several banks and financial institutes are now providing an education loan that will satisfy all your requirements.
The financial aid like the education loan has now become an important tool for students to ensure that their dreams to study abroad now become a reality. Today, banks and financial institutes are providing this student education loan through an easy process. Through this process, you can get the financial aid without the requirement of approaching friends, family or even selling your personal belonging to get the finances you need.This article contains verified and updated information that will help you dispel some of the popular myths that surround this loan.
Top Grades Equal To High Principal Amount
Many students believing that getting the highest grades will get you the principle amount when applying for the student education loan. However, this is not the case for most of the banks. Several banks will ask for certain grade or percentage to qualify for the education loan. If you satisfy these criteria, then you will be eligible for the loan you would want to apply for. However, in order to get the principal amount you want, you will need to satisfy other important criteria like collateral provided, education institute you are applying for apart from the many more. Even your field of education is taken into consideration when the application for the loan is verified
Impossible To Study Abroad
When studying abroad, there are certain things you must consider. Apart from the tuition fees, there are other factors that need to be considered. This includes the hostel or rent fares, travel fares, library fees, purchase of stationary or notes amongst the many others. This makes it nearly impossible to study abroad, after considering all these factors. However, most of the institutes who provide the student education loan have incorporated these factors in the loan. Several banks provide foreign education loan that is up to Rs. 10 lakhs to Rs 15 lakhs for education abroad. This sizable amount will provide you with sufficient funds to ensure that your basic fares are covered which include the tuition fees, stationary needs and even the rent or hostel fares.
Loan Vs Scholarships
An education loan is completely different from a scholarship. This loan that is sanctioned by the bank is completely independent from the scholarships that you can apply for. Most of the scholarships are sanctioned by the government universities and private trusts and companies. Eligibility for the scholarship and the loan are similar, however the major difference is that, with a scholarship, you need not repay the borrowed funds. So you can apply for both financial aids at the same time. If you get a scholarship you want, this will go a long way to ease the burden on your loan for education.
Neha Sharma is a finance student who loves to write in her free time. She has considerable experience about the foreign education loan. Through her work, she has provided valuable information that dispels the common myths that surround the education loan for studies abroad.
