Studying abroad was once reserved for the wealthy, but now it’s accessible to anyone with the help of financial institutions and sponsors. Many students with big dreams face financial struggles, but there are options available. KC abroad education loans in Vizag, and it’s important to be aware of these opportunities in today’s world where education is vital for a successful career.
Types of Education Loan in India for Study Abroad
Education loans are crucial for students pursuing higher education, including those studying abroad due to the high cost of tuition fees and living expenses. Luckily, India offers various education loans that cater to the specific needs of these students. Here are the different types of education loans available in India for students studying abroad.
Loans with Collateral
The first type of education loan is categorized as a loan with collateral. This secured loan is where applicants submit collateral as assurance for payback. Collateral can be any asset, and repayment is required to retrieve it.
Houses are common collateral for this type of loan, but it can take time due to detailed analysis by the bank. The loan has a longer repayment period and lower interest rate compared to other types, and the applicant doesn’t need to pay back the loan during their study period.
Loans without Collateral
A loan without collateral is the second primary kind of education loan. It requies no collateral for obtaining money. It’s an excellent option for those without collateral or from lower-income backgrounds. However, it’s challenging to obtain, and the approval process takes longer than a loan with collateral.
Unsecured loans are rare and have higher interest rates and shorter repayment periods than secured loans. Students must begin repaying the loan during their study period, and a co-applicant with a regular income is required. The co-applicant’s income details are recorded, and the bank can acquire their money in case of default until the primary applicant is ready to repay the debt.
What are the Property Documents Required for Education Loans?
Loan processing is faster for a loan with collateral due to its strict submissions. If collateral and proof are valid, education loan approval can be quick. Find out what property documents are necessary for a collateral education loan.
What is the Process of Non Collateral Education Loan for Abroad?
To apply for a non-collateral education loan for studying abroad, applicants must go through a lot of paperwork and need to have patience. Despite the requirements, we recommend starting with an education loan for studying abroad.
#1 Planning
Plan and choose the best education loan programs available from reputed banks in India that offer different loan programs to help people find the most efficient option.
#2 Co-applicant Preparation
Acquire a co-applicant before contacting the loan provider to ensure you have a backup when needed.
#3 Approaching
Approaching the chosen loan provider can be done online by filling in basic information, but it’s important to ensure their authenticity.
#4 Submission
This step involves submitting the required documents, as mentioned earlier in the article. You can either submit them online or in person, depending on the lender’s requirements.
#5 Verification
After submitting the necessary documents, the credit team will verify your CIBIL score and credibility. If approved, a loan officer will contact you and you will need to pay a processing fee before signing the loan agreement. Once signed, you will receive the money according to the agreed terms.
Education Loan for Abroad Studies without Collateral
Education loan for abroad studies without collateral assists people below the average income line without collateral. Modern banks offer this service to help students succeed in their study plans. More details on non-collateral loans are in further sections.
Documents Required for an Unsecured Education Loan
Approaching quality education counsellors like the KC Overseas education is a smarter move here in order to make these tasks much simpler and hassle-free.
How to Apply for an Abroad Education Loan without Collateral?
You can apply for a non-collateral education loan in-person or online through the bank’s website. Although, paperwork is involved, which might be complex. Seeking the help of educational consultants like KC Overseas Education – best education consultancy company in Vizag can help you get the job done faster and professionally.
ELAN- The Educational Overseas Loan Division of KC
ELAN, a division of KC Overseas Private Limited, helps students achieve their study plans abroad, and has helped over 250,000 aspirants. ELAN has trained professionals who assist in finding the best loan option and has tie-ups with multiple banks.
How to Apply ELAN Education Loan?
- You can start off by contacting Elan through online or offline means. Online includes their website, and offline includes their offices (which you can look up on google).
- Next, you will have to create a profile for yourself in the ELAN organization. You can know your eligibility for different loans from different offerings made by multiple banks after creating a profile.
- Later, you must submit certain documents after selecting the loan option you chose (from the list advised). It is also necessary for you to fill in an application for ÉLAN.
- And at last, you will get a notification as soon as you get your loan approved and disbursed.
Professionals of ELAN will not let you go after creating a profile. Instead, they will stay with you till the disbursement of your loan amount, till the whole job is done correctly. Isn’t that amazing?!
KC Abroad Education Loans in Vizag
Look at the tie-ups we have with various reputed banks in India, here are some of the Top Overseas Education Loans in Vizag.
SBI Education Loan for Abroad
Bank of Baroda Education Loan for Abroad
Axis Bank Education Loan for Abroad
Auxilo Finserve Pvt. Ltd Abroad Education Loan
Avanse Financial Services Limited Student Loan for Education
HDFC Education Loan for Abroad
Incred Finance Student Loan for Abroad Education
ICICI Bank Abroad Education Loan
Mpower Finance Abroad Education Loan
Bank of India Abroad Student Loan
IDFC First bank Aborad Education Loan
Credenc Aborad Education Loan
Prodigy Finance Abroad Education Loan
FAQs
Can I get a collateral free education loan?
Yes, you can get a non-collateral education loan by approaching banking institutions. A lot of them have opened their ways towards financing the students for their studies, and they do welcome people who are struggling to get collateral.
What are the eligibilities for secured education loans?
Primary eligibility for secured education loans is that a person or an applicant must be at least 18 years older. At the same time, they must not be older than 35. Also, they must have collateral which must be legally available. Furthermore, all students or those applicants must be residents of India.
Why are applications for loans without collateral rejected?
If an applicant has poor CIBIL scores or if their academic performance is lower than the standards set, it might lead to rejection. It might even be rejected if the documentation submitted is not up to the mark or proper.
How much do I get from an SBI education loan for abroad?
SBI has the policy to offer up to a maximum limit of over ₹ 1.5 crores for the purpose of financing studies abroad. Overseas education loans mostly fall under the specified limit. Requests above that specified limit will face rejection.
How long does it take to process an SBI abroad education loan in Vizag?
If a person requests an educational loan in Vizag, especially in banks like the State Bank of India, it would typically take about 6 – 7 days for the whole process. In this time period, you can finish all the paperwork, and your loan will be disbursed.
Which bank gives education loan without collateral for abroad?
There are many benefits of applying for an education loan without collateral. Some of the best lenders to apply for an education loan without collateral are SBI, Bank of Baroda, Axis Bank, Auxilo Finserve Pvt. Ltd, HDFC, ICICi bank and more.