Education Loan, Study Loan in India
Education is what helps an individual to rise higher in life, the word education itself has been derived from a Latin word “ed-u-care” which means “to raise”. Over years, right from The Mahatma’s and The Guru’s, what has remained common is the impartation of knowledge and skills to others. However unlike that era, education is no longer free. Eklavvya had to relinquish his thumb as “Guru Dakshina” but in our day we need not bestow “Guru Dakshina” as Education now comes in exchange of money, today we can buy education for self and children whether or not we have enough funds to spend on the desired education and that is where ‘Educational Loan’ comes into picture.
As you are reading through this article, it is more likely that you are seeking to get an Educational Loan, popularly know as Study Loan. Now, before applying for study loan we need to have certain facts branded already, the few broad points are here under.
One will not get an Educational Loan unless until one has already acquired admission into an institute or a course. Today, Educational Loan can be taken for almost any kind of courses, right from Graduation to Post-Graduation or other skill based courses. At times banks and/or financial Institutes will provide Educational Loans to students based on their academic details from the past also looking into the creditability on the respective institution/course which has been taken under by the student.
Another point with respect to the loan funding intuitions which one has to keep in mind is that many a times the institutions will not finance the entire sum of the course fees and in other cases entire amount will be funded. In the adverse cases one will have to make arrangements for the residual amount, this is more likely in the cases where the total desired loan amount is fat.
Legal Documentation
The primary documents such as identity proof, course details, fee structure and academics mark sheets are some documents which will be asked to be produced, if required the institution will also give a list of documents to be produced.
Repaying Educational Loan
The Loan amount after a period has to be returned to the respective institution, the criteria can be based on the policy of the institution and your bargaining skills. Typically, this will be six months to a year after the course is completed and in other cases it can be until you find a sheltered earning for self but in no situation this can be protracted.
Students Loan Repay - Duration.
This will largely differ from institution to institution and is also based on the amount which will be funded as loan. The larger the amount, the longer duration you have on hand to repay the loan. Ideally, a sum of Rs. 5 Lakh (1/2 million) loan will have a duration of around 5-6 years.