An education loan is a loan you take to pay for your higher studies, either in India or abroad. It helps cover your tuition fees, hostel charges, books, travel, and other education-related expenses. Different banks and financial institutions offer Education Loans to aspirants at competitive rates, to help them make quality education affordable.
Furthermore, in the case of an Education Loan below Rs 4 lakh, no collateral is required. For a loan between Rs 4 lakh to Rs 7.5 lakh, a third-party guarantor is required, while for loans above Rs 7.5 lakh, collateral becomes mandatory. When it comes to a loan for studying abroad, insurance is mandatory.
To learn about how education loan works visit- What is gold loan process?