6 factors that are part of student loan eligibility criteria

 

Higher education is the best way to ensure a smooth and prosperous life. It teaches the student the skills of his or her chosen course, and helps the student lay the foundation of a strong professional career. But higher education is expensive and many students have to opt for student loans to pay its fees.  Student loans are given to students based on student loan eligibility criteria. In this article, we will tell you the 6 factors that form important criteria for education loans.

 



  1. Citizenship

The student loan eligibility criteria states that to get a student loan for higher studies in India or abroad, the student should be an Indian citizen.

 

  1. Age

The age at which a student becomes eligible for a student loan in India differs from one lender to another. But rest assured, a student aged 18 years of age or above can usually get an education loan with minimum documentation. The upper age limit also changes from one lender to another.

 

  1. Academic record

A lender needs to ensure that the investment they put in a student yields them high dividends in the future. They need to know that the student will get a job after successfully completing the course and thus pay back the education loan gradually. They gauge this based on the academic record of the student. A meritorious academic record shows that the student will most likely succeed in their chosen field of study and pay back their loan.

 

  1. Educational institution and chosen course

The educational institution that a student gets admission into plays a vital role in student loan eligibility criteria. Many lenders compile a list of universities and colleges that they approve of for the student to be offered an education loan to study in those colleges. The reputation of an educational institution plays a vital role in its place in that list. The scope of the chosen course in the job-market plays an important role as well in the student’s eligibility for a loan.

 

  1. Co-borrower’s creditworthiness

The creditworthiness of the student’s co-borrower is also important. Either one of the parents or a guardian can be a co-borrower. A spouse can be a co-borrower in some cases as well. A co-borrower is supposed to repay the education loan in case the student defaults on it due to any reason. A co-borrower should have a stable source of income, he or she should have a decent credit-score and good credit-history to get a student loan for the student.

 

  1. Collateral

In case, a student opts for a secured loan then the financial assets pledged as security against the student loan amount decide the amount of money a student would get. The financial assets that can be pledged as collateral are FDs, RDs, stocks and shares, gold and other precious metals, property like a house, a flat, a land or mutual fund investment.

 


 

So, these are the 6 factors that are part of study loan eligibility criteria. We hope that after reading this article, you have finer knowledge about the eligibility criteria and factors that are part of it. All the best!

Comments

  1. Jennifer K RobertMay 14, 2021 at 9:00 AM

    Hi everyone, I saw comments from people who had already got their loan from Anderson Loan Finance. Honestly, I thought it was a scam, and then I decided to make a request based on their recommendations. A few days ago, I confirmed in my personal bank account amounting to $15,000 dollars which I applied for. This is really a good news and I am so very happy that I advise all those who need a real loan and who are sure to reimburse to apply through their email (text or call) +1 719 629 0982. There are sincere loan lenders! They are capable to lend you a loan. Contact Mr Anderson E-mail: andersonraymondloanfinance@gmail.com

    Phone: +1 719 629 0982


    E-mail: andersonraymondloanfinance@gmail.com

    Office address is (68 Fremont Ave Penrose CO, 812400).

    ReplyDelete

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