What is a personal loan and how does it work

There is so much competition in the job industry that moving ahead is almost impossible if you are not qualified enough. One of the easiest ways of doing so is by acquiring a higher education degree. However, when you are working on a monthly salary, spending that extra money is not possible.

The answer to this ever-rising problem is a personal higher education loan. This financing service is not only conveniently available but is also a saving grace for people who want to study further. If you want to know more about what a personal higher education loan is, then continue reading.

1. What is a Personal Higher Education Loan?

A normal education loan can only be used to pay for your higher studies. However, when it comes to a personal loan for abroad studies, there is no such limitation. It can not only be used to facilitate your education, but also other expenses related to it.

Apart from this, a personal higher education loan does not have any usage limitation. It means you will be able to utilize the funds for any purpose that you consider necessary. It is even if it is related or not related to your education expenses.

2. Where Can a Personal Higher Education Loan Be Used?

  • Local Studies

One of the first ways of using a personal loan for higher education is within India. If you have any Indian university or college in mind that you want to enrol yourself in, then it is possible via the discussed finance. There is no limitation that you can only use personal higher education loan for abroad studies.

  • Abroad Studies

On the other hand, if you are planning to study abroad and trying to accumulate funds, then a personal higher education loan can come handy. Unlike traditional education loans, you do not have to deposit your personal loan for education directly into the university or colleges’ account. You can spend it whichever way you feel is right.

3. How to Borrow a Personal Higher Education Loan?

A personal higher education loan is not different than any other financing service. It can either be borrowed from banks or non-banking finance companies (NBFCs). Besides, there are various private financing agencies as well that offer a personal loan facility.

Apart from this, depending on the agency you choose, you can find a varying degree of interest rate on personal loans as well. Hence, bargaining for the best possible interest rate is also an available option.

You can even apply for a higher education loan online. Many agencies nowadays are offering online application services. This makes borrowing finance easy and less time-consuming.

4. Documents Required For a Personal Higher Education Loan

The personal loan eligibility criteria are quite simple. One is that you should be a citizen of India and must be between the age group of 23 years and 55 years. The other is that you should be a salaried employee with either an MNC, public or a private sector company.

  • KYC documents
    • Employee ID card
    • Salary Slips of the last 2 months
    • 3 months bank statement of salary account

Leading lenders such as B-ajaj F-insert can give you pre-approved online deals for financial services like business loan, personal loan, home loan, EMI finance, and credit cards. You can use these details to make the loan processing hassle-free as well as less time-consuming.

To view your pre-approved loan offers, you can start by submitting basic personal information like name and mobile number.