When it comes to higher education, studying at a reputed institute comes at a price, especially if the college is situated abroad. Destinations like the U.S. continue to be favorites among Indian students, where yearly costs tend to be upwards of Rs.8.5 lakh. This means that your savings may not suffice for the entire range of expenses involved. To cater to the tuition and lodging fees you should seek out a source of funding like an education loan well in advance. Read on to know how you can fund your higher education with ease with these 4 options.
Apply for an educational grant
The best feature of an educational grant is that in most of cases, you do not need to repay the amount at the end of the course. However, qualifying for an educational grant can get tough. A grant is generally a need-based offering and so, you will have to demonstrate your financial necessity while making an application. You will also have to prove academic excellence. Grants also come with certain conditions; for instance, a particular one may apply to only a certain demographic and for courses in colleges within a specified area.
Aim for a merit-based scholarship
Scholarships tend to be merit-based and so are dependent on the marks you have secured in entrance examinations. That said, some also take financial needs into account. They are similar to grants in which to you do not need to repay the amount at the end of the course. Sometimes, universities offer merit-based scholarships midway during the course to top-performing students. Scholarships are a good way to fund your higher education, even if only partly; as along with the finances, they serve as an incentive towards exceptional performance.
Avail funding via an education loan
In terms of formal borrowing, opting for a personal loan for higher studies make for a smart decision. You can obtain one from a financial institution and use the funds to cover the tuition fees. Further, the moratorium period that comes with a higher education loan helps you repay the amount easily, once you have secured a job. Additionally, the interest rates on such loans are low and you can claim tax benefits under Section 80E of the Income Tax Act. The drawback with an education loan is that is can be hard to get as approval hinges on factors like admission to a reputed college and high academic performance. Additionally, this type of loan usually covers only the tuition amount and does not allow you to fund other expenses, be it travel, accommodation, and living costs.
Access a personal loan on simple eligibility terms
A personal loan makes for a great choice as in contrast to the above options as the eligibility terms are relatively simple here. When it comes to a personal loan, the parent is normally the borrower. So, the question of having to secure stellar entrance exam marks or admission at a college belonging to the approved list does not arise. To get funding, all you need to do is apply with a lender that has a compelling offering. In addition, there are no restrictions as to how you use the funds, which means you can cover the whole gamut of higher education costs with a personal loan.
For instance, when you opt for the Bajaj Finserv Personal Loan for Higher Education, you get access to a sanction of up to Rs.25 lakh without collateral, and for a tenor ranging up to 60 months. What’s more, you can also avail the flexi loan facility, a feature that allows you to withdraw from your sanction on the go, as per your needs, and only charges you interest on the amount withdrawn. This helps you to tackle semester fees easily. It also helps you reduce your monthly outgo by letting you pay interest-only EMIs through the initial part of the tenor. To obtain funding quickly, check your pre-approved personal loan offer from Bajaj Finserv. Doing so gives you instant approval via a customized deal.
Now that you know about these top funding options, avail a personal loan, education loan, a grant or a scholarship and make your higher education dreams come true.