Educational Loan Calculator

Thousands of students apply for a student loan without using even a single educational loan calculator. Though it might not be mandatory to use such online tools, they sure help in better preparing you for your journey through debt. And like they say, preparation is everything – especially when it comes to the repayment of such a large loan amount. That’s why the following article will highlight 3 of the most important calculators you must use when applying for a study loan and why using them is so essential.

1. Education loan eligibility calculator.

As far as education loan calculators are concerned, this is probably one of the most important ones. It tells you the rough loan amount a lender will be comfortable to provide you with based on your current financial statue. You will have to provide the calculator with some basic details such as your monthly income, your monthly expenses and the rate of interest of the loan. Once you’ve submitted these details, the calculator will display a loan amount you are eligible for.

It’s important to know your eligibility because, if you unknowingly apply for a loan amount that’s above your eligibility, there’s a high chance your application will be rejected. Not only is this a disappointment, but it could also result in the loss of your processing fee that you pay whilst submitting your application. This fee is usually around 1 or 2 percent of your loan amount is non-refundable – even your application does not go through.

2. Educational loan calculator for EMIs.

Repaying the loan is probably one of the most crucial phases of your education loan journey. It’s also the part of your debt journey that requires the most amount of planning and preparation. However, you can make light work of your arithmetic by using an education loan calculator. Just type in the loan amount, tenure and the interest rate and voila, you will have the entire break-up of your repayment schedule before you. Based on this information, you can chalk out a budget and look at ways to accommodate the EMI with your monthly expenses.

Knowing the EMI amount beforehand also gives you a fair of your affordability. If the EMI amount is too high, you’ll need reassess the loan amount and apply for a smaller student loan.

3. Education loan repayment calculator.

Now you might have some plans to repay the loan before time and this is always a good idea. However, wouldn’t be great to know much you would save in advance? Well, with the education loan repayment calculator you can do exactly that. Enter in the detail of your loan and then choose how would like to prepay the loan – either with additional EMI amounts or with one consolidated amount. Upon submitting the details, the calculator will tell you how much you money you’ll save and how much quicker you’ll be done with the loan process.

So there you have it, 3 of the more important educational loan calculator and why it is essential you use them before making any concrete moved in regards to your student loan. Most of these calculators are easily and freely available over the internet, the best part is that they take just a few minutes to use.

Good luck and all the best!

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