Education Loan Extension in India (Possible or Impossible?)
The world is in the middle of a global pandemic and with every passing day, life is becoming more and more uncertain for a lot of people, especially the students preparing for their higher education. With countries such as the USA, Canada, France, Germany, etc. tightening their immigration laws in order to curb the growing threat of the COVID 19 virus, there is one thing bothering the students who had already begun their education loan process to study in these countries; the possibility of an education loan extension in India.
In order to put such students’ minds at ease, the WeMakeScholars team has come up with a series of videos which are specially dedicated to answering the growing concerns of such students about various topics concerning the status of the education loan sector in these worrying times. This article will enlighten you more about how students who are already in the midst of their education loan process can still apply for an education loan extension in India.The following video will shed light on the same.
Education Loan Extension in India: Unsecured Education Loans
Students who had applied for unsecured education loans to fund their higher education abroad are in a great dilemma. With educational institutions throughout the world closing down, students who had already secured admission into international universities are either being asked to pursue one semester of their course online or to re-apply for the same, next year.
The abroad education loan terms and conditions of NBFCs and private banks state that once candidates pay the unsecured education loan processing fee and their loan is sanctioned, the first disbursement should be availed by candidates within the first six months of their course, else, the education loan stands cancelled and the unsecured education loan processing fees will not be refunded to students.
If such a thing happens, students will have to pay the unsecured education loan processing fees again. Now, it is common knowledge that a typical unsecured education loan process is not a cheap affair and NBFCs will not agree to an extension of non collateral education loan. Before trying to know how to come out of this situation, let us understand the meaning of the term ‘deferment’.
In education loan, a deferment simply refers to an extension in the date of disbursement of the loan.
In the current situation, students who have already paid their processing fees are either compelled to drop their plans of studying abroad or request their respective NBFCs for an extension of non collateral education loan. Since the abroad education loan policies of NBFCs do not allow the extension of non collateral education loans, students have no choice but to let go of their processing fees and again apply next year for the same, as mentioned above. The financial team of WeMakeScholars had anticipated this problem and were in talks with numerous NBFCs and private banks for an education loan extension in India for such students.
If you are stuck in a situation in which you may have to request your lender for an extension of education loan in India, do get in touch with the WeMakeScholars team for support.
Read more about Fall 2020 US: The Impact of COVID 19 on US College Admissions
How Do Students Stand To Gain Through WeMakeScholars?
Getting an education loan extension in India can be a tedious process for candidates who directly approach their respective lenders for one. This is where the expertise of the WeMakeScholars team comes into the picture. The financial team of WeMakeScholars had already seen a possibility of abroad universities closing down due to the global pandemic around mid-March, when the virus spread was only minimal and a few countries were affected by it.
It is for this very reason that our founders decided to talk to the product heads and managers of prominent NBFCs and private banks for student loan extension of students who had already made payment of processing fee for unsecured loan to study abroad in Fall 2020.
With the consensus of the participating heads, the core team of WeMakeScholars decided that all education loan applicants who had registered would be getting an education loan extension if their course were to start in Fall 2021 instead of Fall 2020.
So, if you have already registered for your unsecured education loan process for Fall 2020 with us and have already paid the processing fee for unsecured education loan with any of the numerous NBFCs we work with, you can be rest assured that in case if you change your mind or your university postpones the course to Fall 2021, then you can get an education loan extension in India on the basis of the previous unsecured education loan processing fee paid by you. All of this will be done at no extra cost. So register for a callback with our team today and give wings to your dreams of studying abroad.
Education Loan Extension in India: Government Bank Education Loan
The student loan extension policies of government bank education loans are not any different from those of unsecured education loan set by NBFCs and private banks. Similar to NBFCs, government banks have also set a limited time period for the disbursement of secured education loans. If students don’t avail their secured education loan disbursement within six months of getting their education loans sanctioned, it stands cancelled.
After having conducted a series of discussions with the authorities of the associated government banks, the core team of WeMakeScholars were able to convince them to extend the validity of the sanctioned education loans.
The government bank education loan sanction letters of all students whose courses have been postponed to Fall 2021 by their respective universities will be revalidated directly at the processing centers without beginning the education loan process from the start. Candidates will be required to pay only half of the processing charges and get a new legal report for the asset being pledged as collateral security. This advantage of getting an education loan extension in India on secured education loans is only applicable to candidates who have applied through WeMakeScholars.
So before you decide to drop your plans of borrowing a government bank education loan to study abroad, especially in the USA due to the current situation, do remember that by applying for an education loan through WeMakeScholars, it is possible to get an education loan extension in India.
Read more about Expenses Covered by an education loan in India
What To Do If You Are Asked To Complete A Semester Online?
A lot of universities abroad have been asking their students to attend online classes and complete one semester of their course abroad if the current situation is not resolved within the next couple of months. For students in India who have already received their education loan sanction letters, this is a matter of concern, again due to the student loan extension policies of the various lenders.
WeMakeScholars is happy to announce that as per the joint decision taken by our core team and the associate lenders, studying one semester online will not hamper the education loan disbursement process.
However, both government banks, as well as NBFCs are waiting for some clarifications from embassies regarding the visa regulations being implemented in the wake of the current pandemic. Students can still avail the concession of requesting an education loan extension in India with the help of WeMakeScholars.
If you are one of those students who has already received their loan sanction letter but is not able to travel abroad due to travel restrictions owing to the current pandemic situation, do get in touch with the WeMakeScholars for guidance on how to go about the process. The core team of WeMakeScholars has been at the center of helping students with innumerable problems in their abroad education loan process and will also support you with the same. Do request a callback today and get your student loan extension successfully.
Note: WeMakeScholars is an organization funded and supported by the Government of India that focuses on International Education finance. We are associated with 10+ public/Pvt banks/ NBFCs in India and help you get the best abroad education loan matching your profile. As this initiative is under the Digital India campaign, it’s at free of cost. The organization has vast experience dealing with students going to various abroad education destinations like the US, Canada, UK, Australia, Germany, Sweden, Italy, China, France among others