In today’s digital age, obtaining an education loan for studying abroad has become an increasingly streamlined process, all thanks to the emergence of fintech platforms offered by leading banks and financial institutions in India.
Gone are the days of bulky paperwork and long waiting times. Now you can apply and get your overseas education loan sanctioned even without visiting the bank or financial lender’s office. Yes, you read it right with just a few clicks and the right documents, students can now apply for education loans online and receive quick approvals. Thus, making the dream of studying abroad for hundreds and thousands of students more accessible than ever before.
Let’s get to know more about the leading financial providers, their popular schemes, their online services and how to get education loan for abroad studies ahead in this article.
Benefits of Applying for Education Loans through Fintech Services
The development of fintech platforms has brought about a significant shift in the way education loans are availed. Here are some fascinating benefits of using these platforms for your overseas education loan applications.
- Convenience and Accessibility: Fintech platforms of leading financial lenders offer a unified and user-friendly interface. Thus, allowing applicants to initiate and complete the loan application process from the comfort of their homes. This removes the need for physical visits to bank branches, saving time and effort, mainly for students residing in remote areas.
- Expedited Approval Process: The in-office or traditional loan approval procedures often involve extensive documentation and prolonged waiting periods. In contrast to this, fintech platforms have a much faster loan approval process. Automated systems assess the applicant’s creditworthiness and eligibility criteria, facilitating quicker decision-making and disbursement of funds.
- Specialised Loan Solutions: Fintech platforms not only offer personalized loan solutions but also serve the unique needs and preferences of individual borrowers. Whether it’s flexible repayment schedules, competitive interest rates, or specialized loan schemes for specific educational destinations, these platforms accommodate a diverse range of requirements.
Now that we have seen the benefits of taking loans from these fintech platforms, let’s proceed and discuss some specialised loan schemes that you can apply for online.
Financial Institutions Bridging the Finance Gap for Indian Students with Popular Overseas Education Loan Schemes
1. Union Education Premier Abroad by the Union Bank of India
The Union Education Premier Abroad scheme offers loan solutions to Indian students who have secured admission to any of the top and Premium University Abroad for full-time masters courses. The bank provides secured as well as unsecured overseas education loans of up to 1.5 crores. Additionally, this scheme is known for providing competitive interest rates, flexible repayment options, and a quick and hassle-free application process.
2. Udaan Scheme by Punjab National Bank
The Udaan Scheme aims to provide financial support to meritorious students by providing them the option to have a loan guarantor beyond their immediate family members. Yes, you read it right! Loan applicants can now take the collateral security of their extended family members, friends, or acquaintances as a guarantee of their secured loans to study in a foreign country. Furthermore, the loan application process is simple and offers competitive interest rates for the required loan amount.
3. Instant Education Loan Without Collateral by ICICI Bank
ICICI Bank offers instant education loans without the need for collateral, making it an ideal option for students who may not have valuable assets to pledge as security. The bank has curated a list of the top 750 universities and provides secured or unsecured overseas education loans of up to 1 crore INR. Not just this, for universities beyond this list you can get a secured or unsecured education loan of up to 50 lakhs INR as well.
4. Dollar Loan Scheme by Avanse
Avanse’s Dollar Loan Scheme is specifically designed for students planning to study abroad in countries like the USA, Canada, and Australia. The scheme offers loans in foreign currency like dollars, protecting students from currency fluctuations and providing them with financial stability throughout their education journey. The best part of this scheme is that you will get 100% loan funding and no loan co-applicant is required. With substantial funding of up to $1,00,000 and more, the Dollar Loan Scheme has become a popular choice among Indian students aspiring to study in the top countries abroad.
5. IDFC First Bank
IDFC First Bank offers various schemes related to education loan in India for study abroad depending on the university of the loan applicant. They have bifurcated the leading universities into different lists like Platinum Plus, Platinum, and Titanium. If the loan applicant’s university comes in the Platinum Plus list, then the quantum of finance is up to 75 lakhs INR, furthermore for Platinum and Titanium universities the loan amount can be around 50 lakhs INR for unsecured loans. The bank provides 100% loan funding; however, the loan applicant will have to pay partial interest of 5000 INR after loan disbursement.
6. Prodigy School We Support Scheme by Prodigy Finance
Prodigy Finance offers innovative education loan solutions for international students studying abroad based on their GRE scores. The Prodigy School We Support Scheme provides loans of up to 1 lakh dollars without the need for collateral or a co-signer. This loan scheme is an attractive option for students with limited financial resources and who are enrolled in universities supported by Prodigy Finance.
Considering that you now know about a lot of loan schemes for your foreign education, let’s have a look at some aspects that you can consider while selecting the right loan provider. Also, you can take their free online counselling for study abroad loans to understand their services better.
Aspects to Consider Before Choosing the Right Financial Lender
- Interest Rates: Compare the interest rates offered by different banks and financial lenders to choose the most competitive option that suits your budget. While a lower interest rate may seem appealing, it’s important to ponder upon other factors such as repayment terms and processing fees to make an informed decision.
- Repayment Terms: Assess the repayment terms and tenure offered by lenders to ensure that they align with your future financial plans. Look for flexible repayment terms, a moratorium period, and simple interest options.
- Processing Fees: Be mindful of any processing fees or hidden charges associated with the loan application process. While some may offer attractive interest rates, they may offset these benefits with higher processing fees. Thus, ultimately increasing the overall cost of the loan.
- Customer Service: Since you will be taking online services, evaluate the customer service offered by lenders to ensure prompt assistance and support throughout the loan tenure. Check if they have a responsive customer service team that can address any queries or concerns that may arise during the loan process or repayment period.
Summing up this article, this is everything that you must know about obtaining an overseas education loan online. The loan application process for studying abroad is now more accessible and convenient than ever with the help of leading fintech platforms offered by prominent banks and financial institutions in India.
So, find the right lender, start your loan application process today and take the first step towards a brighter future!
