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Meeting the skyrocketing costs of abroad education has become quite challenging nowadays. The exorbitant tuition fees, living expenses, and other associated costs can quickly burn a hole in anyone\u2019s savings.<\/p>\n\n\n\n
Nevertheless, with the wide availability of personal loans<\/a> for education, students can feasibly fund their abroad studies<\/a> without running their savings into the ground. However, before you apply for a loan, you must know what expenses the loan covers and what it doesn\u2019t.<\/p>\n\n\n\n Understanding what expenses are covered in education loan in India helps students budget effectively.<\/p>\n\n\n\n These items clearly explain what does education loan cover in practical terms. Overall, expenses covered in education loan include both academic and essential living costs, ensuring education loan covers for students throughout the duration of their course without financial strain.<\/p>\n\n\n\n Expenses covered in education loan include:<\/p>\n\n\n\n Tuition fees amount to over half of the total education expenses of a student. So, these expenses are covered under all education loan lenders, regardless of whether they are NBFCs<\/a>, public banks, private banks, international lenders, etc.<\/p>\n\n\n\n From accommodation and utility bills to food and travelling, living expenses are a broad category that includes various little costs associated with day-to-day life abroad. However, there\u2019s no uniformity in how living expenses are covered under education loans.<\/p>\n\n\n\n Lenders usually put a limit on monthly living expenses, which is a percentage of the total loan amount. So, it\u2019s best to discuss what the education loan covers for students, especially of living expenses at length with your lender before making the deal.<\/p>\n\n\n\n Most universities abroad require students to have health insurance<\/a> before flying to the respective country. As a result, most education loan lenders cover the costs of health insurance. However, it\u2019s best that you check with your lender, as the coverage of insurance costs varies from lender to lender.<\/p>\n\n\n\n Travelling abroad can itself be a considerable expense and one which can easily run into lakhs. Taking this into account, many banks now offer the provision to include travelling costs in the education loan coverage, allowing you to keep your savings intact.<\/p>\n\n\n\n With that said, it\u2019s important to note that lenders don\u2019t usually include the travelling costs as a default part of the loan. You may have to explicitly request this inclusion to enjoy this benefit.<\/p>\n\n\n\n As a side note, before you add more to your loan, run it through a personal loan EMI calculator<\/a> to get hold of your future EMIs and interest payable.<\/p>\n\n\n\n Not all your study-related costs are covered in your tuition. Many other expenses are associated with your academics, such as buying books, library subscriptions, field visits, trips, etc. Covering these costs out of your pocket may be a bad move, as they all carry a huge price tag.<\/p>\n\n\n\n Fortunately, many education loan covers for students cover these costs as well. But it\u2019s still best to clear it out with your lender before moving forward.<\/p>\n\n\n\n While understanding what expenses are covered in education loan in India is important, knowing the exclusions helps avoid confusion. Generally, beyond the expenses covered in education loan, the following are not financed:<\/p>\n\n\n\n Understanding what does education loan cover also clarifies what it doesn\u2019t. While education loan covers essential academic needs, education loan covers for students are limited to course-related costs only, as defined by lender guidelines.<\/p>\n\n\n\n To make the most of your loan, start by clearly understanding what expenses are covered in education loan in India and plan your budget accordingly. Follow these practical tips:<\/p>\n\n\n\n By aligning spending with approved categories, education loan covers for students can effectively support both education and essential living needs throughout the course duration.<\/p>\n\n\n\n Now that you\u2019re aware of all the education loan inclusions, you can make an informed decision and get a loan in line with all your needs.<\/p>\n\n\n\n Looking for an education loan at attractive interest rates<\/a>? End your search with Tata Capital\u2019s<\/a> bespoke loan offerings. From competitive rates and a seamless application process to swift disbursals, we offer unmatched affordability and convenience.<\/p>\n\n\n\n Start your application process by checking your\u00a0personal loan eligibility<\/a>\u00a0today!<\/p>\n\n\n\n <\/p>\n\n\n\nDetailed list: Expenses commonly covered in Indian education loans<\/strong><\/h2>\n\n\n\n
Typically, education loan covers the following:<\/strong><\/h3>\n\n\n\n
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What does an education loan cover?<\/strong><\/h2>\n\n\n\n
1.\u00a0Tuition costs<\/strong><\/h3>\n\n\n\n
2.\u00a0Living expenses<\/strong><\/h3>\n\n\n\n
3.\u00a0Health insurance<\/strong><\/h3>\n\n\n\n
4.\u00a0Travel expenses<\/strong><\/h3>\n\n\n\n
5.\u00a0Other study-related expenses<\/strong><\/h3>\n\n\n\n
What is not covered in Indian education loans?<\/strong><\/h2>\n\n\n\n
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Tips: Maximising education loan benefits for Indian students<\/strong><\/h2>\n\n\n\n
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Conclusion<\/strong><\/h2>\n\n\n\n