Education Loan Eligibility Criteria For Studying Abroad

With the rapid growth in demand for study abroad approximately 2.25 million Indian students are predicted to pursue higher education in the world in 2025. As the cost of education continues to rise and international universities are renowned, it usually comes with substantial costs. Knowing the eligibility requirements for education loans for study abroad is vital to making this dream financially feasible.

Contemplating the same parents begin preparing financially for their children's educational needs as early as they're children. From Fixed Deposits to investments to a variety of other options, they attempt to save the most money possible to ensure their children get the most effective education. However, there are moments when you aren't enough to fulfill your dream of going abroad to study. In these instances, education loans to study abroad serve to be your Genie Magical Lamp to help you study abroad with no costs.

Student loans for study abroad are usually classified into secured and unsecured options. At Lorien Finance, we partner with more than 15 domestic as well as international banks, such as private and public banks as well as NBFCs, to offer students the most competitive interest rates for studying abroad. To qualify for an education loan to study abroad, it is essential to satisfy the eligibility requirements set by these financial institutions, making sure you're prepared to get financing for your study abroad.

Let's review some of the most fundamental requirements for eligibility set in these schools for those who want to travel abroad and take loans for education!

Note: The eligibility criteria vary according to the requirements of each lender. The criteria listed are some of the most common criteria used by most lenders.

Eligibility Criteria for Applying for an Education Loan for Abroad Studies

To apply to get a Study overseas loan The following guidelines on eligibility laid out by lenders must be fulfilled:

• Students must also be an Indian citizen. India.

• The borrower must be 18 years old or else, their parents would need to apply for the loan.

• The student should have gained admission to a prestigious college in another country.

• The student should have an outstanding academic record.

Eligibility Criteria for Secured Education Loan for Studying Abroad

Secured loans to study abroad are secured against security, and in the majority of instances is in the form of
of the property. If you are eligible to apply for a loan collateralized for study abroad of property, you must meet the following criteria:
We are aware of the following information:

• The property you intend to use as collateral be part of the jurisdiction of the Municipal Corporation,
  Improvement Trust property and Nagar Parishad.

• By the guidelines outlined in the Reserve Bank of India (RBI) the lands that are used for agriculture or farmhouses
  The tax that is due which is paid to Gram Panchayat or Nagar Panchayat isn't considered collateral.

• Whatever the value of your home is it is, banks only take the 80-85% mark when providing
  the loan.

• The layout and building plan of the property pledged must be approved by their
  the respective departments, and transferred to the department, and then handed over to the.

• A document chain for the property for 30 years is required by banks in order to be qualified for a loan to study abroad.

• To be eligible for a secured educational loan to be eligible, the CIBIL score for the parents of the student must be
  over 700 and must have a strong credit history.

Eligibility Criteria for Unsecured Education Loan for Studying Abroad

Unsecured loans to finance overseas education don't require the pledge of any collateral for repayment. Banks
Consider the student's and cosigner's income tax return (ITR) as well as the CIBIL score, along with the student's previous academic records to approve the loan. To be eligible for a collateral-free loan for study abroad, you need to be aware of these details:

• For a person to qualify for an unsecured loan, the income of the parents of the child must be greater than INR 6lakhs with no obligations.

• If the parents of the student are an enterprise, they will have to file their ITR together with
  balance sheets balance sheets, profit and loss as well as business registration certificates.

• To be qualified for a loan that is not collateral pupils whose parent's company is not registered
  Udyog Aadhar registration is mandatory.

• If your parents work working in the agricultural industry and don't have an ITR filed, you may apply for an ITR.
  Non-collateral collateral student credit based on your score on the GRE.

• To be eligible for an unsecured education loan to be eligible, the CIBIL scores of parent should be
  They must be over 700 and must have a strong credit score.

Documents Required for a Study Abroad Education Loan

We are now familiar with the criteria for eligibility and eligibility requirements, it's important to understand the documentation required to apply for an education loan to fund abroad studies. Let's look at the following:

For the Student:

• Education loan application form

• A valid proof of enrollment to a prestigious international university

• Scores from proficiency tests like IELTS/TOEFL/GRE/GMAT for example.

• Identity evidence in the form of an Aadhaar Card or PAN Card, Passport, Driver's License or
  Voter ID card

• Affidavit of address in the shape of a recent copy of your phone bill electricity bill, or even water bill
  or piped gas bill, or Driver's license, or Aadhaar card

• Mark sheets for academics from classes 10th,12th, and bachelor's

• Statement of expenses, as paid by the university

• Statement of bank account

• Statement of the loan account

• 2 passport-size photographs

For the Cosigner:

• Identity document in the form the form of an Aadhaar Card or PAN Card, Passport, Driver's License or
  Voter ID card

• Affidavit of address in the shape of a copy of your phone bill electricity bill, or even water bill
  or piped gas bill, or driver's license, or Aadhaar card

• Statement of bank account for the last six months

• If there is an ongoing loan, you must check the loan account statement from the last one year

• 2 passport-size photographs

Salaried Cosigner:

• Salary slips from the last 3 months.

• Statement of bank account for the past 6 months

• A copy of Form 16 from the past two years

• A list of the assets and liabilities.

Self-employed Cosigner:

• Tax Returns on Income for the past 2 years

• TDS certificate

• Statement of bank account for the last six months

• A list of the assets and liabilities.

• Proof of address for business

• Certificate of qualifications

Extra Documents Required for a Secured Study Abroad Loan

To secure a loan collateral to finance your study abroad, additional documents regarding the asset you promise are required. These documents comprise:

• Registered Sale Agreement

• Property Title Deed

• Original Registration Receipt of Sale Agreement

• The previous sequence of Sale Deed

• Affidavit of Government sanctioned Allotment Letter

• The most recent Property Tax or Electricity Bill with the same address

• Approved building plans for the project

• Mutation Document

How to Improve Your Education Loan Eligibility for Studying Abroad?

In providing loans for your education abroad Banks scrutinize every aspect and
Document documents that are shared. There's always a method of increasing your chances of getting the loan you need for studying abroad. To be able to get a higher score on the chart of lenders, here are the steps you should follow:

• Keep a solid academic record

• Find a cosigner who is financially stable

• Confirm admission status for an eminent university

• Get high marks in proficiency tests

• Show a high probability of future job opportunities.

Documents Required for First Disbursement of Study Abroad Loan

• A Demand letter from the University

• Signed Loan Agreement

• Signed Sanction Letter

• Signed Disbursement Request Form

• A proof of the amount of margin that was given to the University

• Documents for collateral security (in the case in the event of secured loans)

• Signed Form A2

Documents Required for Subsequent Disbursement of Study Abroad Loan

• Demand letters from the University

• Signed Disbursement Request Form

• A proof of the amount of margin that was that was paid to the University

• Sheets of marks from the previous semester

• Signed Form A2

After passing the test on loans for education it's important to consider things like
academic qualifications, accessibility of collaterals, trustworthiness, and creditworthiness. When you know these standards and determine the right one, you can begin the process of applying for a loan to finance your education abroad and let your goal of getting an education in the world.

If any part of this procedure seems difficult and you're not sure how to proceed, when you contact us at Lorien Finance We are available to help you through your journey. When you apply for a secured or unsecured student loan a secured professional helps you navigate through the entire process and assist you locate the most favorable rates of interest available to pay for your education abroad dream. We're alongside you every moment of the process to ensure you can have a smooth journey and stress-free.

FAQs

Do I need to be admitted before applying for the loan?

Most lenders will require a valid or conditional admissions invitation from your school in order to approve the education loan.

Do you have any minimum academic score needed?

Yes, lenders generally require an aforementioned minimum percentage or GPA however, it can vary according to the lender.

I don't believe my course is suitable for a loan to study. How do I proceed?

The lenders usually have a list of the courses and universities they can cover for the world of education loans. Get in touch with us to assist you in finding the most suitable lender for the course you want to study.

Can I qualify for an education loan when I already have an already existing credit card?

A previous loan will not affect the chances of getting an education loan to fund studying abroad, however, it could impact the amount you can borrow. Creditors look at your total ratio of income and debt to ensure that you can manage any additional loan payments. Get in touch with our loan counselors to find out the amount you can get to fund your overseas education.