7 advantages of taking education loans

Education loans have multiple advantages. Studying further is the first step towards making a good career. But the large course fees can lower the spirits of even the brightest of students. To help students fulfill their dream of studying further, many study loans have emerged in the market. Students can choose by comparing their competitive interest rates and selecting the one which is perfect for their needs.

Here are 7 advantages of education loan:

1. 100% funding available

Students taking education loan don’t have to worry about any expense related to their studies. Most education loans offer 100% finance. They cover not only their course fees but also every expense that they incur during the course of their studies. For e.g. living expense, travelling fees, library fees, medication, etc.

2. Customized solution

The study loans are different for each student. Each student is counseled by a mentor at the time of the loan application. The students are asked details about their course, how they will travel, where they will live, etc. and based on that are offer a suitable loan program. Thus the education loans are more than just receiving funds for studies; they are a personal experience.

3. Quick sanctions

When you are about to gain admissions in a college, you cannot wait for long to get money for your studies. The education loan providers understand this and therefore, do their best to approve and sanction the loan application and funds within one day of receiving your application.

4. Attractive interest rates

Education loans are offered at competitive interest rates to students. The rate ranges between 10 to 14%. Such low interest rates result in low EMIs, which the students have to pay every month to their lender to clear off the loan amount.

5. Easy repayments

Since the cost of education is so huge, financial institutes understand the difficulty level of the students regarding its repayment. So along with competitive interest rates, they also offer gradual and flexible repayment options so that the student borrowers have it easy repaying the sum.

6. Transparent and hassle free process

The aim of loan providers is to make the process of taking loans as seamless as possible. That is why most lenders provide doorstep service where they take the parents and students through the entire procedure, explaining everything in detail. They also keep the process highly transparent by being open about all the fees and charges involved.

In order to complete the application process, the students just have to submit their filled up application form, which is made available to them online, and documents. The list of documents to be submitted is also very less. It includes KYC documents, proof of residence, income proof of co applicants, etc.

7. Zero prepayment charges

It could be possible that the student gets a high paying job at the start of his or her career. With the accumulation of surplus funds, the student can pay off the debt before its due date. Normally, a prepayment charge is applicable if a loan is cleared off before its tenure ends. But not with education loans! Most top lenders do not charge for prepayment of the loan.

We hope we have you convinced you regarding the importance and benefit of study loans.

An personal loan would be the first financial help for your family in your absence.