7 Things You Should Know About Education Loans in India

 

An education loan is the financial tool that helps students acquire education and build a lucrative career. It is essential to manage the expensive courses and programmes available in the country as well as overseas destinations. With the help of an education loan, it becomes easy to manage the funding of a course or program. Here are the top seven things you should know before applying for the same.

1. An education loan can be taken by any student, irrespective of age and background. It is actually offered to all kinds of students in order to encourage development and education. It is one of the great tools to enhance the education system of the country.
2. An education loan can be taken for full-time, part-time, distance, online, and certificate courses. Irrespective of the type of education course or programme you are undertaking, an education loan can be taken by students.
3. Education loans are very affordable. There are minimal hidden charges charged by the banks and non-banking financial institutions. In order to encourage more students to come forward and take education loans, they are always kept affordable. This means there will not be any burden on the individuals taking an education loan.
4. Education loans offer tax benefits. When a student takes an education loan, the annual tax benefits on the total education loan principal amount will be exempt. This way, individuals are able to save on their annual tax benefits. It actually leads to a good savings proportion.
5. An education loan is an end-specific loan taken to meet education costs and expenses. It can only be used to pay for an education loan. It is an ideal choice to manage various education costs like tuition fees, accommodation, study materials, and other education-related expenses.
6. An education loan is very flexible in terms of repayment. It is important to know that when you take an education loan, the repayment of the principal starts after you get employment. Till the end of the ongoing course, you need to pay the monthly interest rate only.
7. Education loans are very popular. You can take an education loan from various banks or non-banking financial companies in India. There are government schemes as well that offer very affordable education loans to encourage literacy rates.

Finishing up

You can take an instant personal loan instead of an education loan to manage your education costs and expenses. When you get the best personal loan, it does not become a financial burden on you.