For a successful life and a complete life, having a qualitative educational loan is very important. However, for many students out there, having a quality education is equivalent to graduating from a top institution. But, the cost of education is rapidly increasing. As a matter of fact, the cost of studying at reputed institutions is already very high. There are some features of education loan.
As a result, higher education are becoming costlier with each passing year. Actually, the cost of inflation in education is going way higher than the overall consumer price inflation. As a consequence of this, many students out there, have to resort to student loans in India.
Moreover, the applicant for the educational loan in India can claim a deduction for the entire interest part of a loan under section 80E of the Income Tax Act.
It goes without saying that, the list goes on and on. There are some features of education loan and some of the evoking benefits of applying for an education loan are:
- The education loan not only covers the cost of your course but almost the entire expense of your education. The majority of the banks out there generally fund up to 90% of the cost of education. Following are the expenses that will be covered under the education loan-
- Tuition fees as well as hostel expenses
- Exam, library, and lab fees if applicable
- Any refundable fees paid to the institute
- Cost of uniforms, books and other essentials
- Traveling expenses
1. Great rates
Government student loans have low-interest rates and you do not need to pay back until you are earning a certain amount. Similarly, with a private loan, you benefit from lower, capped repayments in the study.
2.Chunky tuition fees
Course costs have increased drastically in recent years. Therefore, it is highly likely you will need to take a loan – government or private – to afford your annual fees.
The costs of living for three years or even more can soon mount up, especially if you are studying in one of the big cities out there. Also, a maintenance loan from the government or a Future Finance student loan can help give you a decent standard of living.
4.Peace of mind
Instead of worrying about the rent of the next month, a good student loan can help give you a sensible long-term finance so you can stay relaxed, energized and focused on your studies.
5.Invest in the best
Higher education is increasingly seen as an investment in the future. So, instead of depriving yourself of the life and career you really want because you don’t have the money to pay for it right now, a smart, flexible student loan can help you realize your potential and achieve your goals.