Education Loans Based on the Course of Education
Course based education loan is offered for various degree courses as well as professional courses.
Undergraduate Education Loans: After the completion of secondary education, a student can acquire undergraduate degree. Undergraduate degrees can be a duration of 3-5 years and you can get the undergraduate education loan for the same period. To avail undergraduate education loan, a student must have passed higher secondary (12th) examination. This loan helps the students to pursue bachelor’s degree from national or international institutes.
Post Graduate Education Loans: Post graduate education loan is provided to the students those are willing to pursue master’s degree ( duration 2 year) from national or international institutes. To get the post graduate education loan a student should have passed a bachelor degree.
Career Development Loanstypes: Along with the undergraduate loan and post graduate education loan, lenders also offer the career development loans. Career development loans are offered to the students those are willing to do any professional courses or any training to enhance their skills and opportunities at jobs.
Features:
- Amount: These types of loan fixed their amount on the basis of the student’s course expenses including tuition fees, living expenses and other related expenses.
- Repayment option: Lenders provide an affordable repayment option to the students. Due to the flexibility of repayment option, there are very less burdens on students.
- Collateral: Depending on the course and expenses, a student has to provide collateral to get this loan.
Advantages:
- Low-interest rate: Lenders usually provide loans to students with affordable relatively low interest rates. So that a student can easily borrow this type of loan for their specific courses.
- Flexibility on repayment: Provide flexibility and many options for repayment. Students can repay according to their course nature.
- Provide sufficient loan: As it is a course-based education loan, so it will help the students to get higher education, especially for the students who are not able to study higher because of their financial hurdles.
Disadvantages:
- Limited type: This type of loan is very limited. As it is course-based, only selected course students will get the benefit of this loan.
- Collateral issue: Sometimes for specific courses which have a high amount tuition fee, students have to provide collateral to secure the loan. If the students can not provide collateral, they will not be able to get this education loan.
- Debt burden: Like any other loan, you have to repay the borrowing amount, so a student will always be in debt burden.
Types of Education Loan
Education loans are very important in the perspective of students’ studies, especially for the students who are willing to study higher education. Education loan is often called student loans. There are various types of education loans available in India. In this article, we will learn about education loans along with the various types of education loans and their brief discussion.
Table of Content
- What is an Education Loan?
- Types of Education Loan
- 1. Education Loans Based on Location
- 2. Education Loans Based on the Course of Education
- 3. Education Loans Based on the Security of Collaterals and/or Guarantee
- 4. Loans for Parents
- Features & Benefits of Education Loan
- List of Expenses Covered in Education Loan
- Best Education Loan in 2024
- Conclusion
- FAQs – Types of Education Loan