An education loan is a tailored financial offering that provides financial assistance to those pursuing academic goals. Because of the rising cost of education, funding expenses related to higher education can be expensive.
An education loan helps you get enough money to fund a top course at a reputed university. You can get an education loan from leading banks in India. You can also take an education loan to study in India. Check the tenures and other terms to plan your repayment better. The best way to do this is to use an education loan calculator.
Here are some details about education loan you must know about.
Education loan benefits
You can get high-value funding, even over Rs.1 crore with certain lenders
The loan covers a majority of the education costs, including tuition, hostel, exam, library fees and travel expenses
The interest rates are low
The interest component of the education loan can qualify for a deduction under Section 80E of the IT Act
Subsidies on the loans are available, such as a 0.5% lower rate to female applicants
You get a moratorium period of 6 months to 1 year after course completion
Repayment tenure is 12 to 15 years
Education loan eligibility
You must secure admission to a professional course, such as a PG, doctoral, PhD, technical or diploma course at a recognised institution, such as recognised government colleges, private institutions, international universities, etc.
You must provide collateral for loans above a particular amount, generally Rs.7.5 lakh