Expenses Covered By An Education Loan in India For Study Abroad
If you plan to fund your higher studies abroad with the help of an education loan in India for study abroad then you must have surely wondered about the expenses which are covered by a typical abroad education loan scheme. A lot of students who wish to study abroad rarely have the right idea about the nature of expenses that an abroad education loan covers. This article aims to elaborate on the same topic.
Every episode of the Loanflix web-series gave in-depth information about the various education loan details. Loanflix Inshorts is a miniature version of the same. The episodes of Loanflix Inshorts focus on the lesser known aspects of the education loan process, one among which is the topic of discussion of this article. You may watch the first episode of Loanflix Inshorts below.
Funding their higher education is one of the major concerns of most students from India who wish to study abroad. An education loan ensures that all the financial requirements of the abroad education process are fulfilled within the stipulated time frame. When it comes to the funding of higher education abroad, the major subject of discussion of most students is regarding the expenses which are covered by an education loan in India for study abroad. The information provided in this article is applicable to both secured as well as unsecured education loan in India to study abroad.
Total Expenses of a Typical Course Abroad
There is a very common misconception that an education loan does not cover all the expenses which are likely to be incurred by students during their course of study abroad. This, however, is not true. Any education loan, be it secured education loans from government banks or unsecured education loans from NBFCs, cater for the following list of expenses which are crucial to the higher education process.
The tuition fees quoted by universities abroad constitute one of the two major elements of both the types of education loan in India for study abroad. The aim of an education loan in India for study abroad is to help students pay their tuition fees. All abroad education loans in India cover tuition fees. Hence, while deciding on the total education loan amount, tuition fees should be your number one priority.
A lot of factors can be included under this term. Living expenses of a student majorly comprises their accommodation cost, food and expenses related to other day-to-day activities such as transportation from your home to the university, caution money deposit for accommodation, etc. So, you can also include your living expenses while calculating your total expenses for the course abroad.
A lot of universities abroad require international students to purchase health insurance. All education loan in India for study abroad cover this particular expense which is one of the requirements of studying abroad for a lot of students. Hence, the health insurance also can be considered in your education loan details while applying for one.
Flight tickets to the destination of your choice is another major expense in the abroad education loan process. This component can also be included in the education loan amount while quoting the same to your bank.
If the offer letter from your university abroad mentions that you pay for field trips and other miscellaneous activities in the duration of your course, this can also be added to the education loan details. Apart from that students can also mention the cost of items such as books, laptop and other study materials in their total expenses while applying for both types education loan in India.
Important Points to Note Before Declaring Expenses to The Bank For Education Loan in India For Study Abroad
Although we have covered almost all the expenses which are likely to be incurred during the course of higher education abroad, it is still possible that some of you may forget to include all of them while submitting the final list of expenses to your respective banks. Hence, it is very important that you take note of the exact number of expenses before applying for an education loan in India for study abroad.
For example, if you forgot to include your flight ticket cost in the estimated list of expenses to be covered by your abroad education loan, then it is highly possible that you will not be able to apply for a reimbursement of the same after having taken your education loan disbursement. If you approach your bank with this concern of refunding your flight tickets after having taken your first disbursement, they can rightly deny you the same. Hence, it is extremely important to have a clear understanding of the exact expenses and make a list of the same before applying for an education loan in India for study abroad.
When students approach nationalized banks or private lenders asking about the list of expenses which are likely to be catered by their abroad education loan, it is highly likely that they will not be able to give you a detailed explanation of the education loan details related to the same. This is where the services of WeMakeScholars comes into the picture. The financial team of WeMakeScholars tries to understand every student’s basic financial requirements before suggesting education loan options. So, if you are wondering about how to get education loan easily, request a callback with our team and let us help you in clearing any confusion surrounding your abroad education loan process. They have a good knowledge of how education loan works in India. A lot of students are often misguided about the education loan process by their respective bank officials. WeMakeScholars bridges the gap between banks and students by providing the correct guidance and information to students.
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 is 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