Fortunately, today, the country and the world are brimming with institutions that offer excellent higher education. But studying there often comes at a price! What if you get through one such place, only to realise you are falling short on ample funds required to enrol?
If you’re in such a fix, apply for an education loan from NBFC, and attend the college you truly deserve. A study loan falls within the domain of personal finance and is quick to avail.
Pros of taking a study loan from an NBFC
Here are the benefits of taking an NBFC study loan.
Quicker application and fund disbursal
NBFCs, as opposed to banks, are quicker to accept loan applications, verify and approve them, and disburse funds.
Since NBFCs are not as heavily regulated, they extend customised, multi-purpose services when providing a study loan or a personal loan for education. These services might include negotiable repayment tenures, EMI structure, etc. Besides, you can tailor the loan as per your needs to finance hostel charges, tuition fees, cost of books, etc.
Have more colleges under their purview
NBFCs often cover a diverse range of colleges in India and globally, which means you can quickly get a loan, even if you wish to study at a relatively new destination or institution.
Flexible upper caps at minimal paperwork
NBFCs have the authority to fix the upper cap or total loan amount based on every student’s requirement. They typically base how much loan to award on custom course requirements and collaterals provided. Additionally, certain NBFCs like Tata Capital don’t require hefty paperwork, making your application process quick and hassle-free.
Additional Read: How to Write a Letter for Education Loan Application in India
Cons of taking a study loan from an NBFC
To begin with, the pros of availing of a study loan from an NBFC far outweigh the cons. Here’s what we mean.
Relatively higher interest rates
An NBFC education loan might come at relatively higher interest rates as compared to banks. But, if you have a healthy financial foothold, the final ROIs from both NBFCs and banks might end up being very similar. With a good CIBIL score and an excellent academic background and qualifications, you can easily qualify for competitive interest rates, ease of application, and fast processing.
Excluded from government subsidies, if any
Whenever the central government announces subsidies on study loan interest rates, eligible borrowers can avail of them by taking a loan from a public-sector bank only. NBFCs don’t qualify for such government subsidies until specified.
Additional Read: Things You Need to Know about Education Loan Sanction Letter
Parting thoughts
Are you looking for personal finance or a study loan to fund your education? If yes, then choose one of India’s most trusted NBFCs – Tata Capital. We offer easy-to-fulfil personal loan eligibility criteria, flexible repayment terms, and quick processing so that no institution is outside your grasp.
Start your application by visiting our website and checking your potential EMIs with the help of our study loan EMI calculator. You can also apply online by submitting minimal paperwork! Moreover, avail of the most affordable personal loan interest rates starting at 10.99% with us.
So, why wait? Apply today!
