The virtue of an education loan to study in Canada, New Zealand & Singapore or in any foreign country has its own degree of trust, dependence, and validity for any student nourishing in their dream the aspiration of attaining a higher education overseas.
Reasons as to how an education loan can help you achieve your dream education abroad have been jotted down in the following manner for the purpose related to improving your understanding of how adequate finance can serve your foreign education needs greatly.
WHY EDUCATION LOANS?
Means to cover up your miscellaneous cost
Besides covering up the cost of the course, the education loan is a great financial support for funding the entire expense of your education in an overseas country. It is believed that such financial support can cover up to 90% of the cost of your study compared to what an individual student with low budget can ever afford.
Education loans help you greatly to deal with expenses like –
- Tuition fees, hostel expenses.
- Fees related to exam, lab and library.
- Study materials.
- Traveling expenses.
- Accommodation/cost of living.
Relief to Parents
Parents looking for adequate financial support to fund the cost of education of their children get immense relief from the education loan, considering a larger fraction of their cost is sufficiently compensated with the loan. This, in turn, accommodates parental needs, especially in a time when their existing financial situation is not healthy enough to afford the exorbitant higher education abroad for their children.
Exemption to tax
Indian taxation law 1961 permits the borrowers of the education loan to enjoy tax exemption under its section, 80 E. The tax benefit earned thus helps the borrowers to easily pay back the principal part of the loan excluding the interest rate.
Improves Your Creditworthiness
Students borrowing education finance can have a better likelihood to earn creditworthiness in the eyes of the bank sanctioning the loan. Repayment of the borrowed loan as stipulated by your lender will not only improve your credit score but also the relationship with your lender, thus facilitating your chance to avail the further loan in future.
Affordable Loan At Easy To Pay Interest Rate
Education loans these days come at an attractive rate of interest. They are affordable to an extent that parents or students can avail the necessary funding under a flexible repayment schedule, which means – no chance to strain your nerves with repayment cycle to your lending bank.
An education loan is arguably one of the most important means for a student to fund the cost of his/her dream education abroad. It is particularly beneficial for the students whose financial condition is not healthy to afford the cost of higher study abroad. This explains as to why adequate financial aid can help you actualize your overseas education.
Need an education loan?
Consult team Saphairs India. We will be glad to assist you in whatever professional manner feasible. We have financed the “interest-simplified” education loans to many Indian students. How about you being the next recipient?