From experiencing different cultures to learning new language skills, studying abroad can open doors to endless possibilities. However, overseas education usually comes with a heavy price.
Fortunately, today, students can fulfil this dream via an easy education loan for abroad studies! And if they have a good GRE score, the process of availing the loan can become a lot easier. How? Read on to find out.
First things first: what is the GRE score all about?
Education loans are big loans. And so, lenders must take into account various considerations before sanctioning them. Among these considerations is the GRE score that they use to determine the student’s potential. While there may be no direct correlation between a high GRE score and a student’s ability to repay education loans, some lenders still consider it to safeguard the repayment of the loan.
Developed by the Educational Testing Service (ETS), the GRE test is a standardised admission test that measures applicants’ skills and qualifications for graduate-level academics.
The main areas assessed via a GRE test typically include basic arithmetic, geometry, algebra, data analysis, and college-level vocabulary. As such, the exam aims to evaluate the applicant’s critical thinking skills. And assess if they are ready to handle the pressure of graduate-level academics.
To this end, GRE scores are assigned for three main sections – Analytical Writing, Verbal Reasoning, and Quantitative Reasoning. Further, the Quantitative Reasoning and Verbal Reasoning sections are each scored on a scale from 130 to 170. But the Analytical Writing section is scored on a scale from 0 to 6.
Abroad studies: Does the GRE score really matter?
Is it mandatory to take GRE for abroad studies? Well, it depends entirely upon the country you’re choosing for your higher education. At present, over 160 countries across the world accept the GRE score. In some countries like the United States of America and Canada, GRE scores are also considered for admitting international students into business schools.
Nonetheless, to be on the safe side, it is always better to check with your university whether they require a GRE test for enrolment or not.
How the GRE score impacts your chances of availing education finance
You can readily convince the lender to sanction you a personal loan for education with a good GRE score. Because besides the age criteria, most lenders check your academic record, including your class X and XII marksheets, consistency in performance, and more, to advance the loan. This also includes your performance in the admission tests.
And since many overseas institutions use GRE scores as indicators of a student’s potential, a good score can improve your chances of getting a good education loan interest rate for overseas studies favourably. Find out how else GRE scores help you in improving your chances of availing of a loan.
A higher score can provide better prospects.
Apart from educational institutes using GRE scores as a measure for enrollment, some lenders can also use them as a prerequisite for disbursing loans. With a good GRE score, your chances of availing of low student loan interest rates are higher as it indicates more trust in the lender.
More credibility for experienced individuals
There may be some people who consider studying abroad after gaining some work experience. If you are one of those people, a good GRE score can amplify your efforts for more credibility. As an education loan is substantial, a higher GRE score can give lenders more confidence in working professionals in addition to their experience and future potential. This can help bring down your education loan interest rate and make it easier to manage your finances.
Using the indirect advantage
As a higher GRE score helps you get into a high-ranking institute abroad, the chances of availing of a comfortable education loan interest rate are higher. This is because lenders check the institute as well before granting a loan, and the more reputable the institute is, the higher your chances of availing of good student loan interest rates. By using an indirect advantage, you rank higher in the eyes of lenders.
To sum up
While an essential criterion for availing overseas education finance, your GRE score is not the all-in-all criteria. You/your co-applicant must also have an excellent credit history or a high CIBIL score. Lenders will also consider your/co-applicant’s income stability to review your application for overseas education finance.
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