Education loan: An introduction
We all know how pursuing the desired education can be difficult for a young person. The situation is even worse if there is lack of funds to complete one’s basic degree and this person has to find a job or quit the college. That’s why banks are offering education loans in India.
Education loans are loans that are designed especially for students. This amount is supposed to cover all possible expenses, which would make the education period a lot easier. Education loan in Ahmedabad is available for every citizen of India. The college or the study programs are immaterial if you are an education loan applicant. Many banks are even offering special discounts to female applicants.
To get this loan you will have to gather the required documents. These documents vary from bank to bank, and you can find a detailed list of them on the website of your bank. The other requirement is the willingness to study.
This is very important for the education loan scheme.
Reasons to apply for education loan
Education loan is an easy method to cover all your student expenses. This is a good and easy solution. You will get the desired money without placing any security for the loan. That’s why an education loan is a safe solution.
There are different tenure periods, but they are all really long. This allows you to finish your education. It also gives you time to think about repayment and the required income. Along with the repayment advantage, comes the Interest Rate. In banks of India, education loan Interest Rates vary but they are all very low and affordable for students.
When people find themselves with scarce funding resources, Education loans are designed to help fund that dream degree. However, a majority of students may also use personal loan or loan against property. This is not a good choice for this type of problem. Both loans have high interest rates that could be unaffordable for students. Tenure is also an issue. Personal loan and loan against property have a tenure that can be very short. This can create many difficulties for the student.
Further information about education loans
When applying for an education loan in Ahmedabad you should submit some documents with the application. These documents are different for every bank, and you can get more information on the website of the chosen bank. However, there are some documents that are common for all of them. These documents are proofs of your education success and your guardian’s or co applicant’s annual income.
Academic excellence and annual income are very important for this application. The bank experts will use this information to calculate the amount of money that you can get. It will also be very helpful if you could deliver a detailed plan about your costs. This can help you get a bigger loan amount or it can affect the interest rate that you’ll get. However, education loan eligibility covers all students in India.
Interest Rates in banks of Ahmedabad
The interest rates offered by banks for education loan in Ahmedabad are always within a fixed range. The range goes from 9.40% to 14.00%. This is a good thing to know because it can help you with your decision.
You can find various banks in Ahmedabad that offer this loan. Some examples are:
- Vijaya Bank: Interest rate can be from 9.65% to 11.25%
- Bank of Baroda: Interest rate ranges from 9.90% up to 12.40%.
- Dena Bank: Interest Rate is 11.25%
Education loan offers in Ahmedabad
You won’t have any problem in finding an education loan scheme. Almost every bank in Ahmedabad is offering a scheme. Here are some examples:
1. State Bank of India:
- You can get up to Rs 30 lakhs while applying for the loan
- Interest Rate ranges from 9.70% to 13.45%
- The longest tenure is of 12 years
2. Axis Bank:
- The maximum amount that you can take for studying in India is Rs 10 lakhs. If you study abroad you can take up to Rs 20 lakhs
- Interest Rate for this scheme ranges from 15.00% to 16.50%
- Margin exists only for amounts over Rs 4 lakhs – 5% of the loan
3. Kotak Bank:
- You can get up to Rs 10 lakhs for studying in India, or up to Rs 20 lakhs if studying abroad
- Interest Rate ranges from 10.25% to 24%
- Processing charges are 2% of the loan amount
4. Union Bank of India:
- Interest Rate goes from 11.05% to 12.55%
- If you study in India, Rs 10 lakh is the maximum amount that you can take. Rs 20 lakh is the maximum amount for studying abroad
You can find other loan offers in Ahmedabad. Each bank has its own. However, you can also apply online. Paisabazaar.com is a website that can provide you the otpion online application. This won’t even take 10 minutes of your time. You just have to enter your personal details and details about your education. The website will then show you a list of loans in Ahmedabad for you to choose from.