To pursue higher education anywhere in the world, students not only need good grades, but having sufficient finances is just as important. Despite good grades, most students have difficulty arranging finances to finance their higher education. To help such students, the government and private banks have introduced a scheme called marksheet loans.
What are marksheet loans?
A marksheet loan or education loan is a special scheme launched to finance students to pursue higher education. The purpose of this loan is to provide financial assistance to deserving students who cannot afford higher education. Financial institutions provide loans to students with excellent academic performance and good grades to study in top educational institutions in India and abroad.
Banks use past transcripts as a key selection criterion to provide loans to deserving students. However, it is important to note that the marksheets provided to determine loan eligibility do not act as security. No bank in India provides loans against marksheets as collateral in India.
The amount of the loan depends on the cost of higher education and the student’s academic performance. The terms of a marksheet loan are usually flexible. In addition to students, people with a job who want to pursue higher education can also apply for this loan.
Interest on marksheet loans
Banks will use different criteria to determine the interest rate on marksheet loans. Compared to personal loans, marksheet loans are offered at lower interest rates. Check out the interest rates offered by banks in India on marksheet loans.
Eligible for a marksheet loan
Please note that eligibility criteria may vary from bank to bank. The points mentioned are some common factors:
Costs covered by marksheet loan
Some of the common costs covered by marksheet loans include:
- Tuition fees
- Exam costs
- Accommodation costs
- Books and related publications
- Library fees
- Two-wheeler
- Travel expenses for students who plan to study abroad.
- Various costs related to the course.
However, the costs covered by the loan are determined by the banks based on their policies and by the student applying for the loan.
In short, marksheet loans are a way for deserving students with limited resources to realize their dream of studying abroad. But like any other loan, a marksheet loan must be repaid in the future. Therefore, choose a loan that is suitable for your financial needs.
(Please note: Taking out a loan carries its own risks. Some caution is therefore required)
