{"id":380,"date":"2022-09-17T02:43:43","date_gmt":"2022-09-17T02:43:43","guid":{"rendered":"https:\/\/financebazaaronline.in\/?p=380"},"modified":"2022-09-15T09:43:14","modified_gmt":"2022-09-15T09:43:14","slug":"education-loan","status":"publish","type":"post","link":"https:\/\/financebazaaronline.in\/education-loan\/","title":{"rendered":"Benefits Of Education Loan In India"},"content":{"rendered":"

Education is the most important aspect of an individual’s life, and everyone has the right to get a proper education. The Indian government leaves no stone unturned when it comes to educating the citizens, which increases the importance of an education loan.\u00a0<\/span><\/p>\n

Although, there are people who aim to cover every bit of the sky and acquire the best education. But considering the expenses of education these days, many aspiring gems lose their charm and stay confined to their nutshell. Loans, then, play the role of a protagonist here and help students achieve and acquire the education they want.\u00a0\u00a0<\/span><\/p>\n

All about Education Loan<\/strong><\/h2>\n

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Irrespective of where you decide to pursue your education from, be it India or abroad, a loan will go a long way when to comes to financing your education. The stress of being aloof from the education you want because of a shortage of finances gets alleviated here. Moreover, you can complete your education independently and only pay once it is completed. This article will give you every detail to help you decide if taking a loan for your education is a wise decision in India or not. Let us now begin by discussing the benefits first.<\/span><\/p>\n

Benefits of Taking a Loan for Education<\/strong><\/h2>\n

Taking a loan for the purpose of education is far better than taking a personal loan. <\/span>There are distinct advantages of this particular loan that a student can avail of for studying in India and abroad. Let’s give it a closer look.<\/span><\/p>\n

Extremely Lower Interest Rates<\/strong><\/h3>\n

There is a massive relaxation with these loans as compared to personal loans, especially when it comes to interest rates. Therefore, while taking personal loans for financing education abroad, the interest rates are much higher than education loans. Similarly, the interest rates on study loans are significantly lower. Moreover, Government banks provide an additional concession of 0.5% to all female students. So, the opportunity for availing this loan is enormous compared to other loans.\u00a0<\/span><\/p>\n

Moratorium Holiday- Pay after your Course Completion\u00a0<\/strong><\/h3>\n

This is one of the most significant advantages of taking a loan for education. A borrower is usually expected to start paying the incurred EMIs in the following months as personal loans. The scenario of a student loan is entirely different. Hence, the scheme on this loan come with an opportunity called the moratorium period<\/a>.<\/span><\/p>\n

Furthermore, the moratorium period is known to be the time until which the EMIs don’t start, and the students are not required to make any payments to the lender. This is to help the students as much as possible. Primarily, the moratorium period includes course duration plus six months, which can extend to a year (12 months). This opportunity is given so that the students can concentrate on their studies. They can repay the loan when they have completed their studies.\u00a0<\/span><\/p>\n

Expenses Covered with Education Loan<\/strong><\/h3>\n

There are various loans available in India, each with its particular perks. For instance, a loan for education to pursue abroad studies covers almost every necessary expense. Moreover, every aspect that a student might need to complete their education is managed here. A study loan for going abroad includes tuition fees, travel tickets, university fees, house rent, food and living expenses, a laptop, or any other apparatus required for the education.\u00a0<\/span><\/p>\n

Interest Subsidy<\/strong><\/h3>\n

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As mentioned above, the government does everything that would help students to complete their education with no hurdles. Therefore, the Government of India has introduced distinct interest subsidy schemes on these loans to benefit the applicants who belong to the financially weaker sections of society. We have listed a few government schemes to give you a glimpse of the different types of subsidy schemes.<\/span><\/p>\n