Studying abroad is a dream for many students, however, the costs involved can become the dream breaker. Education loan for abroad studies, that uses property as collateral can be an effective way to fund studies abroad. The loan can be using bungalows, flats, agricultural lands, plots, stores, and shops, and other documented properties, as collateral.




Here are some of the many benefits of education loan for abroad studies against property:

  • The longer tenor for repayment: Most financial institutions in India give 20 years to repay this education loan. Long tenor reduces the burden on the borrower significantly. However, most unsecured loans provide only with a maximum tenor of10 years to repay the loan, which leads to an increase in the EMI amount.

  • No approvals required by UGC or AICTE: Unsecured loans demand the approval of the borrower from the University Grants Commission or by the All-India Council of Technical Education. This is, however, not a requirement in the case of a secured loan like loan against property.

  • No restrictions on end-use: It is not compulsory to mention the reason for applying for the loan. You can cover additional expenses if any using the same loan.

  • Disbursal of the loan amount: In an unsecured loan is unlikely that the lender will disburse the loan all at once. In a secured loan the lender disburses the loan all at a single time. It becomes the choice of the borrower to avail the loan at once or with intervals.