FAQs on Loans for Online Education
What is the minimal academic requirement for obtaining such a loan? To be eligible for a loan, you must be a graduate. Are there any special professional standards that must be met in order to qualify for this type of loan? To be eligible for an online course loan, the candidate must be at least a graduate and have worked for their present job for at least one year. It makes no difference what industry they work in. What kind of paperwork doyou need to apply for these loans? Documentation for KYC (Know Your Customer) is necessary. A college offer letter and income documents will also be required of the candidate (bank statements for the last six months, IT returns). What is the scope of the loan? The loan pays for the whole cost of education, including tuition, library/laboratory fees, and living expenses (if any). What is the loan's duration? This loan has a maximum term of 10 years. Is there a moratorium on this loan, as there is for conventional college loans? A moratorium period applies to regular education loans. The applicant is not required to return the loan for the duration of the course plus one year or six months after obtaining employment, whichever comes first. There is no such moratorium on an education debt for online schooling. What is the interest rate on these loans? It begins at a rate of 9.0 percent per year. Is the loan exclusively available to accredited universities/institutions or even private edutech firms? Recognized colleges are preferred, however courses offered by commercial edutech firms may be evaluated on a case-by-case basis. What is the procedure for disbursing these loans? The disbursement method is comparable to that of traditional student loans. Following receipt of a request from the institution, the loan is released immediately to the university.