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Applying for a Personal loan for Your Child's Further Studies? Here’s How You Can Do It!

You’ve given your child the right head start in life by sending them to the finest of educational institutions. Your child, too, has gone on to ace every milestone with flying colours. Your child has now secured admission for further studies in one of the most prestigious universities in the world. There is much cause for celebration; it is a moment of pride and joy. Yet, there is a nagging worry in the corner of your mind as to how you will secure funds at such short notice.

There are various avenues to finance your child’s further education. You could always liquidate your savings and make the payments. However, it may not be prudent to spend a sizeable amount of your savings on only one expense. In case of a financial emergency, you would not have any backup. A wiser move would be to obtain credit to finance this expense. There are various kinds of loans that you could obtain, but the ideal one would be a personal loan. .

A personal loan for higher studies would be an excellent source to fund your child’s further education. This kind of a loan does not need any assets or collateral to be hypothecated. They are easily accessible as many banks and financial institutions offer such credits. Such credits are not dependent on any underlying purchase, and you can apply for any amount as per your needs and eligibility. The loan tenure is also flexible and ranges from 12-48 months. Depending on your financial profile, you can also negotiate and obtain a competitive interest rate.

Applying for a personal loan is a rather simple and straightforward process. You also have the convenient option of applying for a for it from the comfort of your home. You can quickly obtain an instant eApproval; and salaried, as well as self-employed individuals, can apply for it. All you would need to do is fill out an online application and attach some supporting documents such as:

  • A recent photograph
  • Proof of identity, address and age
  • Bank statements
  • Evidence of business existence, Company’s financials and Duly certified income tax returns (business and individual) in case of self-employed applicants
  • Form 16, Income Tax returns and pay-slips in case of salaried applicant

After evaluating your income and other relevant parameters, your eligibility will be calculated. In the case of a salaried individual, the credit eligibility could be as high as Rs 20 lakhs and a self-employed business owner Rs 30 lakhs. Depending on principal granted, interest rate and loan tenure, an equated monthly instalment (EMI) will be arrived at. An EMI is a monthly amount that comprises of the principal and interest spread that facilitates easy repayment over the tenure of the loan. You could also pre-close your personal loan if you have the sufficient funds.

A personal loan for higher studies could be your gateway to fulfil your dream of sending your child for further studies. Do opt for a reputed financial institution that has a wide reach throughout the country and an influential network of branches. A good loan provider will tailor your loan to suit your requirements and offer exclusive benefits and features.

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