Since abroad countries provide unmatched educational quality, studying abroad is a fantastic way to further your profession and objectives. However, because the cost of living and tuition in foreign countries are so exorbitant, many Indian students are reluctant to embrace this chance.
All banks, commercial and public, offer student loans for international education to help students get out of this bind. Simply knowing the application procedure is all that is required to obtain a student loan. Before submitting a student loan application, make sure you read this material.
Education loans for international studies should always fit the needs of the candidate, according to experts, and before accepting an offer, you should consider several other factors in addition to your financial situation, such as the country, college, course and its duration, and interest rate, among others.
Similar to this, relying too heavily on loan advisors may put parents in a bad position. Education loans for international studies should always fit the needs of the candidate, according to experts, and before accepting an offer, you should consider several other factors in addition to your financial situation, such as the country, college, course and its duration, and interest rate, among others. Here are five considerations that experts advise people to make when applying for an education loan.
What should students understand about International Money Transfers?
The complete course pricing structure should be carefully examined by students. To understand all that is included in one’s total fees, one must carefully read the prospectus. Careful analysis and cooperation with the relevant authorities in the event of any uncertainty assist prevent undesirable situations like needing emergency cash. Additionally, this aids in locating the many scholarship funding options.
Students can utilise online forex trading platforms to send money. Monitoring the exchange rates closely is crucial. Different online forex exchange platforms offer real-time forex rates and let users freeze them for three business days so they may transact when their desired rate is available (rates can be frozen only during working hours of the Indian market). The difficulty of transferring foreign cash has been greatly decreased thanks to online forex markets. Customers may use them to send money overseas quickly and without paying any bank processing fees.
The first thing to consider is whether or not you qualify to apply for the loan. All banks adhere to the following general qualifying requirements.
- You ought to be an Indian citizen.
- You need to have a good academic history.
- To be considered for admission, you must be pursuing a professional, technical, or other course of study. The majority of banks feel that the chosen course should be career-focused.
- You must already have received admission to a foreign university.
- If you are under 18 years old, your parents may apply for the loan on your behalf.
Do’s Applying for an Education Loan for Abroad Studies
1. Examine Interest Rates
Banks in India provide student loans for international study at various rates. But there are other loan provisions that must also be taken into account, such as the inclusion of tuition fees, travel costs, the price of the hostel, the price of the books, and so on, which are a part of the loan stipulations. It is necessary to acquire the loan that best fits your needs overall.
2. Be careful when choosing a Course
A better job is not necessarily guaranteed by a higher degree. It is crucial to select a course that fits with your future goals and interests. Remember that your profession is something you’ll have to do for at least a good 20–30 years of your life, even though STEM courses provide greater career and wage prospects than arts or social-sciences-based courses. Many institutions now offer programmes that integrate the finest of the arts and sciences, and some even provide combined degrees for such courses. Choose a degree that will help you achieve your job goals while ensuring that you won’t need to rely on your parents for money until you’re 30 years old.
3. You’ll require a Co-Signer
A co-signer is required for any student loan that is worth more than Rs. 5 lakh. This person, who will be a joint owner of the loan and be required to agree to pay the debt in the event that you are unable to repay it on time, is typically a parent. For your loan to be approved, the co-signer will need to have a solid credit history and provide specific supporting documentation.
4. Inquire about Discounts from Banks that work with your Prospective Institution
A student loan liaison exists between a few of the nation’s top lenders and a few internationally renowned colleges. Always double-check this before accepting the loan. Additionally, keep in mind that due to variations in currency exchange rates, the loan amount you request for might not really be the same as the amount you get. To protect yourself from market swings, always use a currency exchanger that offers live rates when you need to buy or sell foreign currency.
5. Check for Repayment Period Clause
The majority of loans include a moratorium period after which you must make EMI payments to repay the loan. Examine this provision carefully because you must make arrangements for the money to be returned once the allotted period has passed. You may do this by making the necessary arrangements or by finding a part-time employment.
Don’ts Applying for an Education Loan for Abroad Studies
1. Choose a course because there are Loans available
Another error to avoid is enrolling in a course just because the college has financial partnerships and would provide inexpensive and accessible loans. In India, many colleges, particularly the ones that provide education of poor quality, frequently make an effort to recruit students by highlighting their partnerships with financial organisations. Instead of choosing a course just because a loan is available, students should make their decisions on the institution and course that they are most interested in.
2. Considering Top-Up Loans
Many students who choose to take out an education loan for their graduation also use the top-up option to finish their post-graduate studies. This is a poor idea since it will only make your liabilities grow. It is usually preferable to pay off your student debt first before taking out a second loan.
Where to get a Education Loan for Abroad Studies?
Why Choose Loans from Omozing?
Omozing helps make Smart Money Moves for a Lifetime. We’ve made business lending smarter, faster and easier by transforming the approval process from stumbling blocks to stepping-stones. This enables borrowers to not just get access to capital, but also understand what areas they need to work on in order to enhance their credit profile. Omozing ensures that Borrowers get a secure, safe and reliable application process that be tracked online.
5 Reasons to choose Omozing
1. Loans from INR 10k to INR 10 lakhs
Personal Loan Interest Rates starting from 0.8% p.m, and Loan amount ranging from INR 10,000 to INR 10,00,000. The Minimum and maximum repayment period ranges from 1 month to 48 months. CIBIL 600+ all company categories (including LLP, Self Employed, Proprietorship)
2. Cutomised Tailor Options
- Depending on your demands, we may provide quick financing of varying quantities at affordable interest rates.
- You have the freedom to utilise your loan anyway you want, whether for business or for immediate personal needs.
- Flexible repayment options depending on your specific cash flow and budget, as well as conditions that is beneficial to your position.
3. Lower CIBIL
While most lenders require borrowers to have a CIBIL score of over 750, at Omozing.com provide loans even with 600. Besides the CIBIL score, we also considers your age, employment status, and net monthly income.
4. Ways to apply
You can apply for a personal loan through us by 2 ways:
1. You can download our Mobile Application from Google app store.
2. Apply on portal using out Personal Loan link
5. Prompt Loan Disbursal
An easy online application process facilitates speedy verification and disbursal of loan. Get KYC verified from the comfort of your home and have our loan manager take care of an instant transfer of funds to your account.