Who does not want to see his children getting quality education in life and settling in a high paying job? Well, that is the dream of every parent!
But when it comes to pursuing quality education, it is expensive and may not be within reach of all.
But there is nothing to worry as there are ways you can arrange funds, including taking the higher education loan.
Read on this quick post and check out ways you can finance the higher education of your children!
- Go for Education Loan
It is the most immediate thing that most of the parents in India do – availing the education loan. However, the formalities of this mode of finance are many, and you may not be eligible for it. What’s more, the repayment starts when the course gets completed or after 6 months after getting the job. Overall, the repayment period is between 5-7 years but can be extended. Also, the loan amount may not go more than Rs.10 lakh for education in India and more than Rs.15 lakh outside India.
- Higher Education Loan
The higher education loan is an extension of the personal loan designed to meet the needs of higher education. You can get instant approval with quick disbursement if you are eligible. The repayment starts immediately with a tenor of up to 60 months. Also, the maximum loan amount is up to Rs.25 lakh that you can use without restrictions.
- Investing in assets
Many parents are also seen to have invested in assets like mutual funds and fixed deposits when the child is born. They liquidate it once they are adults and ready to start pursuing higher education. They use the lump sum amount from the ROI on these investments to pay the expenses of the education.
- Assets liquidation
Many parents liquidate their assets like gold, jewellery or take a loan against them to arrange funds for education. Many also take the loan against property to do that.
Out of all these, the higher education loan is one of the feasible options. It is an unsecured loan that is given based on your creditworthiness.