According to UNESCO, over 5.3 million students were studying outside their home country in 2017 and the figure is expected to reach 7 million by the end of 2020. More and more students are opting for a foreign education, primarily because studying abroad is not just academic growth but it’s a life-changing experience. While the benefits of global networking and an exciting social life also appeal, the educational, cultural, and career growth of studying overseas are more significant. Whichever study program you choose, it improves your life in a myriad of ways that you haven’t even thought of. Also, you get a chance to see a side of your major that you haven’t been exposed to at your local acquaintances.
However, all of this doesn’t come easy, as studying abroad is an extremely expensive affair. There are a number of scholarships but not all students can avail them. That’s why those who want to pursue higher studies overseas opt for education loans or student loans for funds.
Why Prefer Personal Loan for Education Over Education Loan For Abroad Studies?
These two kinds of loans may have some similarities but they also have major differences.
One of the biggest drawbacks of a traditional education loan is that it generally only covers tuition fees and academic costs, leaving you at sixes and sevens. Therefore, to meet all your expenses of living overseas, including accommodation, food, and other expenses, a personal loan can prove more financially suitable than a student loan for abroad studies.
The term personal loan is not tied to its intended use. Unlike a home loan, car loan or even a student loan, a personal loan can be used to fund almost anything you wish for. You can use it for a variety of purposes, including funding costs involved with higher education and dealing with other expenses like rent, food, transportation, books, and furniture. On the other hand, when you opt for a student loan, you are legally required to limit the use of the funds to academic costs such as tuition fees.
Also, sometimes banks have their own list of educational institutions as they grade them on the basis of reputation. If your college or university is not on the bank’s present list of institutes, you may not be eligible for student loans for abroad studies or education loans for abroad studies. Furthermore, some banks offer an education loan for abroad studies after considering the academic record of a student.
So, a personal loan for education is any day a preferred choice over education loan for abroad studies. With it, you will be able to manage all your daily expenses without any inconvenience. The best part is that a personal loan is unsecured in nature, where you don’t have to put up your assets as collateral. For instance, with the Bajaj Finserv Personal Loan, you can get an instant approval for funds of up to 25 lakh to pursue your dream education abroad.
Although personal loan use for education does not have tax benefit, but there are tax benefit on personal loan, read more on it only at Finserv MARKETS
Personal Loan Interest Rates & Tenors
One of the major advantages of a personal loan is that you get financial assistance at competitive interest rates and nominal charges. Everything is transparent and there are no hidden charges levied. Also, you can choose to repay the amount within a flexible loan repayment tenure over a period of up to 60 months. Your monthly installment depends upon the loan amount, the interest charged on it and the tenor you opt for. The longer the tenor, the lesser the amount you will have to pay every month. However, a longer tenor would attract higher interest charges, and vice-versa.
How To Apply For Personal Loan For Studies Abroad?
While the entire process of a student loan or education loan may seem daunting to students and their families, since it requires a lot of moving variables and a significant amount of time, a personal loan can be availed in a quick and hassle-free way. A personal loan requires minimal documentation. So the lender will not ask you for the papers related to your admission or institution.
For instance, to apply for a personal loan on Finserv MARKETS, you are only required to submit copies of Aadhar Card/Passport/Driving License, PAN Card and bank statements of the last three months. To make the process even more convenient, you get the option of submitting these documents at the nearest loan application center or uploading them online. Once the application is submitted, you can get approval for the loan within 3 minutes, following which the amount will be disbursed to your bank account, within a span of 24 hours.
With an easy application process, quick approval, affordable interest rates, and flexible tenor, personal loans will help you fulfill your dream of pursuing higher education abroad in a hassle-free manner. Choose Bajaj Finserv Personal Loan to fund your higher education and to get all your desires within reach. You can get the funds of up to Rs. 25 lakhs disbursed in your bank account within 24 hours of approval, along with exclusive pre-approved deals and promotional offers.