Whether it is work or leisure, we spend most of our day in online activities, isn’t it? Individuals have realized the importance of online service industries, and hence most of the work is supported online, which may include your office work, online shopping, bill payments, money transactions, inclusive of online education. Even before the pandemic, many professionals opted for online education to manage both work and learning during the same time. Later, when the pandemic struck, online education became the new normal.
Students attended online lectures that encouraged online learning even more for a couple of years. This has encouraged online education loans as it facilitates learning from home conveniently. An education loan is a flexible loan and worth an investment when it is a question of your child’s future. Investing in Education loans is an assured return.
Reasons to invest in an online education loan
There are many reasons to invest in an online education loan. Few are mentioned below:
Cost-effective
Opting for an education loan reduces the stress on your savings and eliminates the need to liquidate your savings in fixed deposits, mutual funds, or bonds. Moreover, the interest rate applied on education loans is competitive and is eligible for tax rebate under section 80 E of the income tax act 1961
Apart from this, another reason to invest in online education is that you save money on travelling, library, and canteen expenses.
Saves time >Saves time & energyamp; energy
E-learning enables students to study at their own place and pace. In this way, learners save a considerable amount of time involved in travelling from college or the institute.
Global exposure
With online education, you get acquainted with global interaction and can socialize with people from diverse backgrounds and places. You can easily interact with students via chat rooms, bulletin boards, and mailing lists.
Flexible repayment tenure
Education loan offers a longer repayment period that may start from 6 months – 5 years. Repayment tenure differs from lender to lender. There are no penalty charges for prepayment and part payment. Some lenders commence the repayment after 1 year of course completion. So as per your suitability, you can repay the online education loan. It doesn’t disturb your learning period.
Quick approval
When an education loan is taken online, the application procedure is completely digital and it takes only a few seconds to get approved with real-time verification of basic documents.
Paperless procedure
The online education loan ensures a completely paperless and minimal documentation procedure. The only documents required are your Identity proof/address proof/ for education loan which is uploaded and scanned. No physical contact is required while submitting the documents and application. Some lenders may require an admission certificate as proof for loan approval.
Low Processing fees
Some lenders may charge minimal processing fees and some may charge zero processing fees. The interest rate is very affordable that may include the processing charges plus GST.
Eligibility criteria for online education loan
The
online loan apps require basic eligibility criteria for fast loan approval and disbursal. Below mentioned are the eligibility criteria for an online education loan:
- The borrower should be in an age group between 18 and above
- Lenders consider borrower’s nationality, age, academic level, and income
- Lenders require the university/college/institute confirmed offer letter as a primary document for an education loan
- Students applying for full-time courses should have a guarantor or co-applicant /parent.
