Since students from many backgrounds may now obtain financial aid from lenders (banks, NBFCs, or other financial organisations) to pursue higher education at reputable professional colleges, the demand for student loans has surged significantly.
A degree from a reputable university may be your passport to your ideal career, but the data reveals that over a four-year period, the number of students requesting loans decreased from 34 lacks to 27.8 lacks (up until mid-2019).
Nevertheless, throughout the same time frame, the average loan size dramatically rose from 5.3 lakhs to 9 lakhs.
Student Loan – An Overview
Therefore, it is crucial to pay back the borrowed funds promptly each month. Because failing to do so can severely harm your credit rating, make it more difficult for you to acquire credit in the future, and may result in the confiscation of your personal belongings (for secured loans).
It is quite simple to apply for a student loan online in India thanks to Varthana’s extensive selection of secured and unsecured loan alternatives. The majority of these loans must be returned throughout a student’s academic career.
For a student to be eligible for a loan, they must already have been accepted to the university. Students repay the loan directly to the institution.
Let’s explore the numerous courses that a Varthana student loan covers before we explain how to apply for a student loan online:
India has a large and competitive education system, with several institutions providing degrees and certifications in a variety of subjects and specialities. Some of the courses that are funded by Varthana student loans include the following:
Studies in India
- graduation, post-graduation, and regular technical professional degree/diploma
- programmes offered by colleges and institutions that have been accredited by the UGC, AICTE, IMC, the government, etc.
- Regularly offered degrees and diplomas by independent universities like IIT, IIM, etc.
- courses in nursing or teacher preparation that have been recognised by the state or federal governments
- Regular degree/diploma programmes that have been approved by the relevant regulatory body
- Professional/technical graduate degree programmes (MCA, MBA, MS, etc.) as well as postgraduate degree and diploma programmes that are job-oriented.
Reasons why Student Loan is the best investment
The best method to pay for education is through student loans. An investment that offers several advantages and guaranteed returns is a student loan.
A degree from a reputable college offers up prospective professional advancement, which ultimately aids in locating better employment. For prospective students and their families, student loans have several benefits.
A student loan is very advantageous because:
- A degree from a renowned university is recognised all around the world.
- International businesses place a great priority on employing experts with degrees from renowned colleges.
- The pursuit of possibilities in some of the highest-paying nations in the world is aided by higher education.
You can apply for a student loan online for the following reasons:
- School fees and other costs
- maintenance fees, books, and other resources
- Expense of travel
- Building funds, refundable deposits, and caution fund
Types of Loans
Loan For Degree And PG Courses
This kind of student loan is offered for undergraduate study. These are some of the best student loans accessible, with straightforward repayment terms and no requirement for collateral, if you have graduated high school, PUC, or +2 and wish to continue a three-year or longer education to better your work possibilities.
Loan For PUC 1 And PUC 2
You may apply for a PUC/+1/+2 student loan if you have finished the tenth grade and want to enrol in a two-year pre-university programme. These low-interest student loans help students pursue a pre-university college degree by providing financial support. This loan has no collateral.
Loan For Certification Courses
You can apply for a student loan for certification courses if you intend to take career-oriented certification programmes, such as vocational, technical, or up-skill courses offered by institutions. These unsecured loans don’t require any kind of security.
India eligibility for online student loan applications
- Nationality: You must be an Indian citizen who has been admitted to or is applying for admission to a college, university, or institute in India in order to be eligible for a student loan for higher education.
- Coursework: You must complete your high school diploma. A student may be eligible for a loan from several banks even before they have been admitted to a university. The bank, NBFC, or other financial institution chooses the maximum age to be eligible for a loan.
- Institutions: You need to pass the qualifying test from a recognized institution in India in order to gain admission to an Indian institute to pursue further or technical education.
How to apply for a student loan online?
You must first calculate how much money you have and how much more you will need to borrow to cover your necessities, taking into consideration the tuition price, boarding and housing costs, etc., before submitting an online loan application for students.
Therefore, before taking out the loan, all potential costs should be carefully assessed.
After calculating how much of a loan you actually need to pay all of your costs, the next decision you should make is the sort of loan you should take.
Students have the option of applying for student loans online or in person at a branch. Online transactions go smoothly. To apply now, adhere to these steps:
- Fill out the application on the website of your finance provider.
- Input your contact information and property information.
- Share your salary information with the co-borrower to receive a customised offer.
- Wait for a qualified individual to contact you with further loan processing instructions after you’ve submitted your information.
A great career begins with a solid education. As a result, you shouldn’t be forced to give up on your goals because of a lack of funding. Students can continue their studies at the colleges of their choosing by taking out a loan for higher education.
Therefore, taking out an education loan is a wise choice since it eases the burden on your family’s finances and prevents the need to sell your fixed deposit, mutual fund, or bond holdings. Learn more about Varthana’s online student loan application tutorial.