Education plays a huge role in the development of an individual however with every passing year, college and university fees are rising in line with other living expenses. Today, depending on the field of study, higher education fees can go up to Rs.20 lakh. With this fact in mind, you may find it best to fund your child’s higher education expenses with an education loan. This way you can keep your savings or investments intact and still finance your child’s education without making compromises.
An education loan for higher studies may seem like the go-to option but due to its collateral, requirements extensive verification procedures and inadequate funding, it can be time-consuming and ineffective for your requirements. An alternative is a personal loan that comes with a bundle of benefits. If you’re wondering how to get an education loan easily, consider opting for a personal loan from a top-tier lender and make the most of swift loan approval.
While both offerings have their strengths, upon comparing a personal loan vs. education loan you’ll notice that a personal loan is the clear winner. To help you understand how it can work for you, here are the 5 reasons why you should fund higher studies using a personal loan.
Lenient Loan Eligibility Criteria Simplifies The Borrowing Experience
One of the main reasons why a personal loan is a superior option is because of the relaxed personal loan eligibility criteria. Thanks to this you enjoy faster, hassle-free approval. This plays an important role when gathering funds to pay fees because it lets you devote time to more pressing matters.
Ample Sanction Comfortably Covers The Fees
Unlike traditional education loans, a personal loan will give you access to a hefty sanction. This sanction is unsecured and the amount is based on your credit history and repayment ability. For example, when you opt for a Bajaj Finserv Personal Loan for Higher Education, you can get up to Rs.25 lakh as a sanction. With such a substantial amount in hand, you can comfortably pay the admission fees and take care of a range of other ancillary expenses too.
Allows For Spending Flexibility
Unlike an education loan, a personal loan sanction does not come with any spending constraints. This means you can use it as per your needs. From using a portion to admit your child to their preferred university to funding their hostel expenses and buying any technical equipment that they require, you can do it all conveniently through this one loan.
Long Tenor Aids With Repayment Efforts
The flexible tenor offered with a personal loan is a crucial element as it helps ease repayment. Typically, a longer tenor means greater interest payments but smaller EMIs. On the other hand, a shorter tenor can force you to repay hefty EMIs but clear your loan quicker. Thus, it is important to pick a tenor that strikes the right balance of affordability and convenience. With a Bajaj Finserv Personal Loan for Higher Education, you can repay the loan through EMIs over a tenor of 12 to 60 months, as per your convenience. Use the EMI calculator to gauge your EMIs beforehand and then opt for the loan terms that perfectly suit your budget.
Flexi Facility Helps You Manage Your Cash Flow Efficiently
A unique Bajaj Finserv offering, the Flexi loan facility allows you to add more convenience to your experience. With this facility you can withdraw from your sanction in parts, multiple times. Here interest is charged only on the amount you use. Added to this, you can pay interest-only EMIs and repay your principal at the end of the tenor. This will allow you to reduce your instalments by up to 45%. Thanks to this facility, you can take care of other financial responsibilities as well without feeling weighed down.
Apart from all these benefits, certain lenders even give you the advantage of instant approval. The Bajaj Finserv Personal Loan for Higher Education does this best as you can get approved in 5 minutes. What’s more, post approval the sanction is disbursed to your bank account within 24 hours. Best of all, you can hasten the entire process by checking your pre-approved offer. Use a customised loan offering thereafter to apply in minutes.