We all have a right to an education. However, there may be occasions when your financial situation prevents you from enrolling in the school or schools of your choice. But there are lots of awards that might assist you in getting over this issue. Education loans, often known as student loans, are sums of money given to students by financial institutions to help them get over the obstacle of their financial situation and enroll in the course of their choosing.
Talented individuals from the nation who have strong academic credentials are given financial aid to attend top schools both in India and overseas. Such loans are typically provided by Indian banks to suitable customers at low interest rates with flexible terms.
In addition to all of these benefits, the documentation procedure for these loans is made simple and uncomplicated so that students can get their education loan cash quickly.
Since these loans are used to finance education, having a strong academic record is one of the requirements for eligibility. The following are additional considerations banks make before extending you a loan.
- The applicant must be an Indian national.
- They must have completed high school at a recognised institution of higher learning in India or overseas.
- A candidate for an education loan in India must be between the ages of 18 and 35.
- A graduate or postgraduate degree programme or a postgraduate diploma must be in progress.
- They ought to have been admitted to a university that is affiliated with the UGC, AICTE, government, etc.
- Full-time students must have a co-applicant, who may be either a parent, a guardian, a spouse, or a parent-in-law.
- The candidate’s or guardian’s income should be stable enough to ensure education loan repayment on time.
If you meet the qualifying requirements listed above, you should first submit a education loan application. You will require a list of documents for this. The list of documentation that banks require when they process your application is listed below.
- Your properly completed and signed application form with attached photos comes first.
- two photos in passport size
- copies of the 10th and 12th grade or most recent certificates of completion mark sheets
- Statement of your study costs, also known as a statement of your course expenses.
- Student and parent/guardian Aadhar and Pan cards.
- A copy of an Aadhar card, voter ID, passport, or driver’s licence may be used as proof of age.
- Copy of voter ID, Aadhar card, driver’s licence, or passport as identification
- Rental agreement, 6-month bank statement of the borrower or co-borrower, guarantor, copy of ration card, gas book, electricity bill, and telephone bill are acceptable forms of residence evidence.
- The following documents may be used as income evidence:
a. The parent, guardian, or co-Form borrower’s 16 or most recent pay stubs.
c. A six-month bank statement from the borrower or an up-to-date bank passbook.
c. An updated ITR (Income Tax Return with Income Computation) for the last two years or the last two years’ worth of the parent’s or co-loan parent’s or guardianship assessments.
d. Records listing the parent, co-borrower, or guardian’s assets and debts.
The combination of the following factors is one of the deal-making factors that can guarantee you will get your education loan once the necessary steps are taken.
- student’s academic background
- The nature of the founder borrower’s and financial situation.
- the kind of collateral being offered.
- the reputation, rankings, and ratings of the university where the student was accepted.
You should always speak with the bank staff where you have your account for more information, and you can learn more on their website. Here, we’ve given you a broad overview of the conditions and documents needed to apply for a student loan. Various banks may have different nuances. Research is therefore crucial when making a decision like this. We now offer our warmest wishes for achievement in your academic endeavors.