Student loans play a pivotal role in helping students achieve their academic dreams without the immediate burden of finances. These loans are designed to cover the complete cost of education, including tuition fees, accommodation, textbooks, and other study-related expenses. With the option to repay after completing the course, student loans provide breathing space for students to focus entirely on their studies. Furthermore, student loans come with lower interest rates, and some may even offer a moratorium period, allowing repayment only after securing employment. These loans are available for both domestic and international studies, ensuring that students have the financial freedom to pursue their aspirations.
Key Features and Benefits:
Grace Period (Moratorium): Students usually receive a grace period of up to a year after course completion before repayment begins.
Flexible Loan Amounts: Loans can cover tuition fees, living expenses, books, and other educational costs.
Low Interest Rates for Education: Many student loans offer competitive interest rates, especially for STEM courses.
No Collateral for Smaller Loans: Smaller loans may not require any collateral, making them easily accessible.
Tax Benefits: Interest paid on student loans is eligible for tax deductions under Section 80E.
Process
1.Application Submission: Submit the loan application along with admission proof and fee structure.
2.Document Verification: Required documents like admission letters, KYC, and co-borrower details are reviewed.
3.Loan Assessment: The lender evaluates the student’s and co-borrower’s financial standing.
4.Approval and Disbursement: Once approved, the loan is disbursed directly to the educational institution.