Knowing how to calculate education loan interest is essential as it helps to create an effective repayment plan to avoid delayed EMI payments.
How to calculate EMI?
In order to calculate EMIs, borrowers have to enter the principal amount, the rate of interest and the repayment tenor in the provided fields.
After providing all the information, the calculator will provide the EMIs along with the total amount payable at the end of the repayment period.
Some EMI calculators even facilitate other factors such as scholarships, grants, savings, accommodation charges, books and itineraries etc.
Borrowers can either include these in separate fields or add it to the principal amount to avail the necessary output.
How to avail an education loan in India with lowest interest rates?
The list of eligibility criteria includes –
- The student must be an Indian citizen.
- Must be 18 years, else the parents will have to avail the loan.
- Secured admission in a recognised educational institution.
- Good academic background.
However, the eligibility criteria associated with availing an education loan for abroad studies can be quite stringent.
If individuals don’t qualify for an educational loan, they can avail a loan against property for higher education instead. It requires easier eligibility criteria and comes with no end-use restriction. It also offers a more extended loan tenor to assist with repayment.Must Read : How to Calculate Education Loan Interest