We all know that Graduation and Post Graduations Studies are expensive process. The cost involves the University’s fees, Course related material and allied expenses, exam and internship related fees, accommodation and mealing expenses and other Living expenses. When you decide to apply for your higher studies , you must pay as much attention to how will you finance your education as you do to your application.
Everyone, even students who can afford the expenses, need financial assistance. With university scholarships, bank loans, and private funding from your own country as available options; you need to focus on careful and wise planning.
There are three broad categories that Financial Assistance can be divided into:
Students are eligible for Assistantships depending on their merit
Graduate Assistantships:These are specifically for graduate students. Students work with the admissions office or other department offices in administrative jobs.
Teaching Assistantships (TA):he student at the Master’s level helps the professor teach undergraduate students. The job involves taking tutorial classes, conducting laboratory experiments, grading exam papers, and helping the professor clear doubts from students. To secure a TA positions, you must have very good communication skills.
Research Assistantships (RA): The students assist with professors in laboratory work and research projects. Students selected for RA usually need to show research aptitude and analytical skills through projects, and publications.
Tuition Waivers:
The student who obtains one does not have to pay the tuition fees at the University. However, general fees (for use of University facilities like the library, computers, and health services) will have to be paid.
Universities provide financial assistance to students with exceptionally outstanding academic profiles. The awardees will have to score very well in their program to renew the fellowship/scholarship in the following year. The amount of scholarship offered differs according to the profile of the student.
Graduate Assistantships:These are specifically for graduate students. Students work with the admissions office or other department offices in administrative jobs.
Teaching Assistantships (TA):The student at the Master’s level helps the professor teach undergraduate students. The job involves taking tutorial classes, conducting laboratory experiments, grading exam papers, and helping the professor clear doubts from students. To secure a TA positions, you must have very good communication skills.
Research Assistantships (RA):The students assist with professors in laboratory work and research projects. Students selected for RA usually need to show research aptitude and analytical skills through projects, and publications.
Tuition Waivers: The student who obtains one does not have to pay the tuition fees at the University. However, general fees (for use of University facilities like the library, computers, and health services) will have to be paid.
Student loans are offered under certain terms and conditions and definitely under a set scheme of interest. Banks consider a student’s past academic record and offer the loan only if they find it satisfactory. All these conditions for financing education apply generally, but in the end, each bank follows its own scheme. All said and done, there may still be some financial aid option waiting for you that you were unaware of, so take the assistance of the Financial Counselling.
Learn about the resources that you could use to finance your education a. Find out which financing option works best for you.
The Government of India in consultation with Reserve Bank of India (RBI) and Indian Banker’s Association (IBA) has framed a Comprehensive Educational Loan Scheme. The scheme envisages a loan of up to INR 7.5 lacs for studies in India and INR 15 lacs for studies abroad. These are not stringent figures though.
However, to avail student loan of any amount, satisfying the eligibility criteria of the bank is a prerequisite. You are eligible to obtain an educational loan from any Indian bank if:
Take a peek into other important points of consideration that the Comprehensive Educational
The Allahabad Bank has the following security/collateral security requirements for granting loans to students. However, the requirements differ from bank to bank
The rate of interest is 10.75 % up to INR 4 lacs and it does not exceed the Prime Lending Rates(PLR). For a loan above INR 4 lacs, the interest rate is 11.75 % and it will not exceed PLR plus 1 percent. However, the rate of interest is subject to changes as per the specifications of RBI or the concerned bank.
Loans are repayable in 5 to 7 years. Repayment of both principal and interest will start after one year after completion of the course or six months after getting employment, whichever is earlier. Interest will be charged on simple basis during the period of study / moratorium period. At the commencement of repayment, the accrued interest is added to the principal amount and Equated Monthly Installments (EMIs) fixed on total outstanding amount. After commencement of repayment, the benefit of simple interest would be discontinued.
Most of the Indian banks do not charge any processing fee or upfront charges. The State Bank of India accepts a deposit of INR 5000 for education loan for studies abroad, which is adjusted in the margin money.
You can avail the loan from the branch nearest to the place of your permanent domicile. Disbursement In the normal course, while appraising the loan, your future income prospect is looked into. However, where required, the means of your parent/guardian can also be taken into account to evaluate re-payment capability. The loan is sanctioned as per delegation of powers preferably by the Branch nearest to the place of domicile. No application for educational loan received is rejected without the concurrence of the next higher authority. The loan is disbursed in stages as per the requirement/demand directly
The bank from which you have availed the loan can contact the college/University authorities to send your progress reports, at regular intervals.
If you are going abroad to study, some of the foreign universities require you to submit a certificate from your bankers about the sponsors’ solvency/financial capability with a view to ensure that your sponsors are capable of meeting the expenses till completion of studies. Accordingly branches can also issue the capability certificate. For this financial and other supporting documents may be obtained from you, if required.
You need to keep the following documents in place before applying for an educational loan: Mark sheets of the last qualifying examination for school & graduate studies in India.
If you are not an existing bank customer you would need to establish your identity and give proof of residence. Finally, you need to hit on the right bank with the right educational loan scheme to suit your needs. Parameters to weigh the alternatives are many; as in, whether the bank provides loan for the course you are opting for and if yes, then up to what extent, the margin and security requirements, the rate of interest, proximity of bank to your residence.