5 Handy Tips For Your Student Loan Application

Going abroad for further studies can open up a wide world of opportunities for you. Maintaining a good academic record is a part of the process of gaining admission to foreign universities. You also need strong finances to back you up. While bank financing can be a real blessing, you would require the right guidance when it comes to your student loan application to ensure that you get the best deal suited to you.

To help you out, we have listed five handy tips to follow for your student loan application.

Figure out your paying capacity

Before taking out a student loan, you should figure out how you plan to pay for it. If your parents are helping you with payments, do sit together and run up an approximate calculation. Also take into account the average salary that you might earn as soon as you graduate. This will help you plan your expenses and let you know how much of your salary will go into paying back the loan. Additionally, this calculation will also help you figure if you might need to take on a part-time job along with university studies.

Research all the options

With an increasing number of students heading abroad, banks and financial institutions compete to get you the best deal. So, do not make a hasty decision. Start early and research well. Compare the many options of banks and their offers on student loans to see which one is really a great deal. This might take a bit of time but will end up saving you a lot of money. When comparing banks look for low interest rates as well as how long the bank allows you to defer payments while you are studying.

Look for scholarships

Before filling up a student loan application form, do check into paying for your education through other sources. One of the best options of getting financial assistance is through scholarships. A scholarship may not pay for your entire course but it will most certainly fund a part of it. When it comes to studying abroad, even this ‘part’ can run into a huge amount. So, make sure to speak to the university you got accepted into and inquire about their scholarships. Remember that scholarships are very competitive so you have to prepare really well.

Start paying your interest early

While banks do offer a grace period before your payments are expected, remember that your interest is building up. So, consider making small payments on the interest before your larger payments are due. You could gather up money from a part-time job and make these payments. This might seem like a small effort but it will really help when your actual loan repayment begins.

Inquire about university grants

Some universities offer grants. Grants fund your studies and do not need to be repaid. Do note that grants for foreign students are fewer and usually reserved for very specialized fields of study. Still, it makes sense to look into these to save money on your student loan.

We do hope this article will prove useful for your student loan application. All the best. 

Related Blog:- 5 questions to ask yourself before you take a student loan.