People are always fascinated by Japanese technology, but not many know the story behind it. Japan introduced the first education plan in the year 1872. They invested in human resources, took a risk and voila! They have been the leaders in technology for the last 150 odd years. Japanese growth story speaks volumes of the incentive of spending in education. In contemporary times, most of the top CEOs of Indian origin have studied in foreign universities. From Sundar Pichai of Google to Satya Nadela of Microsoft, have studied at the world’s leading universities. And, their lives are testimony to what difference does abroad education brings into a person’s life.
Abroad Education Loan- Is there a risk at all?
If a secure student admission to a world-class university abroad, there is not an iota of possibility that they will not see way more opportunity than what they already had with their existing degree. Most of the universities abroad provide excellent job opportunities post completion of the degree. However, not all foreign universities will impact a student’s career, but this holds true even for universities back home. Selecting the right educational institution is of paramount importance.
The interest rate on abroad education loans starts from 11.5% (in Public Sector Banks), 11% (in Private Sector Banks), and 12% (in international lenders). The loan amount is also significantly high, so one should weigh in all the options before moving ahead with an abroad education loan. The risk factor is only limited to the selection of the university or college. To mitigate that risk, a student must do a comprehensive research before applying to an educational institution abroad. The course selected by students may slightly increase or decrease the risk for abroad education loans. Not all courses land students in lucrative jobs. So, seeing future job prospects is of utmost importance to mitigate any possible risk that may stem from an abroad education loan.
Abroad Education Loan- An Incentive for a Lifetime
A few years back, getting an education loan abroad would have been an uphill task for people from the lower-income strata of society. But with the advancement in the financial sector and the evolving credit culture, getting an abroad education loan is way simpler than in earlier times. The advent of Private Banks, NBFCs and International lenders has eased the entire abroad education loan process. So, the first hurdle of getting access to abroad education loans is no longer an issue.
Now coming to the incentives associated with abroad education loans.
- First of all, an abroad education loan lets a student from a middle-class family get a world-class education and makes them responsible right in their college days. A student going abroad on an education loan becomes way more financially aware than others. It is the first step of students towards financial management.
- Second, the advantage in terms of repayment by lenders. Nowadays, loans are customized from one student to another to make repayment terms feasible for the students.
- Third, now loans in Public Sector Banks come with insurance that saves the borrower from repayment of the loan in case of demise of the loan applicant.
- Fourth, tax exemptions can be claimed on the interest payment of abroad education loans that helps save a lot of money.
- Fifth, loan repayment also helps students build a credit score that enables them to get future loans easily.
For a long, an abroad education loan has been seen from the lens of risk, but now is the apt time to see it from an incentive point of view. India is well known for its diaspora abroad, and it has become a reality because people went abroad for education and landed up in jobs abroad. In contemporary times India is well positioned on the global map, and being an Indian at a foreign university is seen as a sign of excellence. Indians are at the top of academia at US universities, so an Indian student can always be confident of getting the proper exposure in a friendly learning environment.
Opportunities Post the Completion of Studies
Once the degree is completed, students studying abroad have a lot of opportunities both in a foreign country and back home. Getting exposure at a foreign university helps students meet a diverse range of people that helps students build connections that last for a lifetime. Even when a student returns to their native country, taking a job abroad becomes easy in the later stages of their career. Also, students get to know a lot about further studies on means other than an education loan. But for all that to happen, one has to take the first step, and an abroad education loan is that first step that completely changes the course of life for a student.
For those looking for an abroad education loan, GyanDhan is the place to contact. It offers free education loan assistance in getting funds from top banks and NBFCs in India. It also offers a customized document checklist, doorstep document pickup service, personalized loan counsellor, and more. The best part, everything is free of cost! So if you are also looking for an abroad education loan, you can get in touch with GyanDhan and leave all your abroad education financing worries aside.