Education Loan: With the help of education loan, students can apply for colleges both in India and abroad, which can fit in their budget.
After the completion of college, students can repay their loan. However, it is important to keep some things in mind before taking an education loan.
Education Loan: In the midst of inflation, education is now weighing heavily on the pockets of many people. In such a situation, instead of compromising on the quality of education, education loan provides a solution. With the help of this, students can apply for studies abroad as well as in such colleges, which come in their budget. At the same time, after the completion of college, students can repay their loan. However, it is important to keep some things in mind before taking an education loan. If you are also thinking of taking an education loan, then keep these things in mind –
1) Education loan covers tuition fee, accommodation fee, travel expenses etc. In such a situation, before taking a loan, you have to find out with your lender whether he is providing all this to you or not.
2) You must be an Indian citizen to take an education loan. At the same time, you should have taken admission in a recognized college. If the person is not earning then parents can become co-applicants.
3) Education loan scheme allows students to avail loans for a longer tenure of up to 10-15 years.
4) Education loans are available in the range of 6.75% to 14% depending on the bank you choose.
5) Income tax benefit on loan is allowed under Section 80E of the Income Tax Act. The interest amount paid on your education loan is eligible for deduction from your total income.
6) The loan repayment period starts after the study period plus a moratorium of 6 months or one year after getting the job, whichever is earlier.
7) If for some reason a student is not able to find a job within the stipulated time, he can apply for extension of tenure.
read this also
.