Many Indian students dream of studying abroad. However, it brings challenges in financial
For most streams, the cost of overseas education is higher than the cost in India. But if your dream of studying abroad can come true
You plan well. Therefore, it is important to have a good plan in place to ensure that you have the necessary funds available when you need them.
After clearing your entrance exam for foreign universities, you will have a lot of time for finance management but it is always advised to be good.
Ready to survive the last-minute crisis. Here are some important steps you can take to begin the process of preparing for arbitration.
Choose the Right Foreign Organization
There may be many foreign universities providing high-quality education for you or your child. As a first step, you
A list of such universities has to be prepared and compared on the basis of curriculum design, fees, living conditions, scholarship assistance.
Universities, Placement Standards, etc. You want to optimize the quality and potential of education without compromising your finances.
Prepare yourself for debt
An educational loan is an easiest and most convenient way to cover the cost of your study abroad. However, you can only get an educational loan
If you meet the eligibility criteria for the loan. To apply for the advance, you should be an Indian resident. Also, to be eligible for an educational loan loan
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The institute will ask you to produce the admit card from a foreign college/university. In general, banks require seamless security.
It can be almost 100% of the loan amount. Most lenders will ask for a co-applicant. They can be your parents or siblings. From
Eligibility requirements vary from bank to bank, so it is better to do your research thoroughly.
Estimate the amount required
You need to be ready with the required amount for your overseas course. When estimating the amount, college fees, living factors
and travel expenses, study material, etc. For international courses, you can get a loan of up to money. 1 crore. If you're going for a
You will also have to pay the required margin amount for the educational loan. This is a part of the cost of education that you will have to pay out of your own pocket.
The balance amount is paid by the bank in the form of an educational loan. Margin requirements are different for each bank.
Be prepared with a birthmark and a guarantor
You can choose a secured or unsecured education loan. A secured loan requires a bank guarantee or a third-party guarantor
before lending you. Generally, you will not be asked to provide a guarantee or mortgage for loans up to Rs. 4 million but as the debt gets bigger, choose a lender for your education loan
You can take an education loan from any bank or NBFC. interest rate, processing fee, max
Loan sanction, maximum sanction period, approval and processing time, margin requirement, ease of meeting eligibility criteria, suspension period, Etcetera.
Invest well in overseas education
A difference of around 5% to 15% of the total funding requirements of the bank may be required. For example, money if you need money. 50 lakhs, your margin
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The educational loan requirement is around Rs. 2.5 lakh to Rs. 7.5 Lakh You should be ready for margin money. the best way
Start investing in advance to raise the required funds. Some lenders charge a lower interest rate if the borrower contributes more.
Educational Loan Margin Money
Effect of inflation and currency devaluation on foreign education
When estimating the cost of education abroad, you must consider inflation and the devaluation of the home currency on your total funds.
Demand. For example, your child is enrolled in a university in the United States. The initial cost of the education program was $70,000.
Assuming this, the exchange rate is Rs. 75/$, you get Rs. 52.5 million ($70000 x 75). Inflation in the destination country and beyond
The cost increases to $72000 at the end of the course, which means that the total funding requirement is Rs. 54 lakhs (approximate exchange rate will remain the same)
Level Rs. 75/6) i.e. Rs. 1.5 lakh more. Now, if INR has also fallen against USD in the same period
Your expenses will increase even more. Also, let's take this example, the average exchange rate has increased from 7 to 75 to 75/s.
Rupee. 6. There has been an increase in wealth by spending on education. 55.44 lakhs (Rs 72000 x 77), which is approx. Rupee. 2.9 lakh more than the actual estimate.
When assessing your funding needs for overseas education, you should also consider the impact and potential of inflation in your destination country.
Used to prevent money crunch after a devaluation of currency at home.
give time rating
(INR / USD)
from the origin
Original estimate 70,000 75 5,250,000
due to rising costs
72,000 75 5,400,000150,000
72,000 77 5,544,000294,000
(Note: Tables are illustrative only, figures given are not realistic)
If you have a good plan to finance your study abroad, you can manage the required money without any hassle.