Australia has become a popular study-abroad destination for international students. The diverse culture and welcoming local community contribute to making Australia a top choice for students leaving behind the US, UK, and Canada.
Every year, Australian universities receive over 800,000 admission applications, which have seen a significant increase of 4–5% in enrolment. However, the educational and living expenses in Australia have seemed to add to the burden on students. So, to lower this financial burden, students seek education loans. In this article, we will focus on the process of obtaining student loans, its eligibility criteria, the documentation required, and many more.
Students applying for a student loan in Australia have to satisfy eligibility requirements established by the financial organisations offering the loans. Some common prerequisites for participation are as follows:
- Admission to a recognised Australian university
- Must possess both Indian citizenship and a successful academic history.
- The main focus of your studies should be getting a job.
- Co-applicants are required for an exceedingly large loan.
- IELTS scores must be above 6.5.
- The minimum age of the candidate must be 18 years.
Look for education loan options in Australia:
It is highly recommended to begin the education loan process by looking for education loan options. Usually, students have three options to select from, including Indian nationalised Banks, NBFCs, and Private Banks. A new platform has been developed to ease the education loan process for students, i.e., Education Loan Guru.
Indian Nationalised Banks: Usually, these banks provide education loans but, in return, require collateral. Choosing an Indian government-owned bank has many advantages. These include lower interest rates, fewer processing fees, and no hidden costs associated with interest. However, in this case, the application processing time and any subsequent operations may be delayed.
Private Banks: Getting a loan from a private bank in India is quicker and easier than from a government-run institution, with better follow-up services and a specialised relationship manager. Private banks may provide lower interest rates on deposits, but their processing fees and other charges are often much higher.
NBFC: Non-banking financial companies (NBFCs) like HDFC Bank’s Credila education loan and Auxilo should also be considered by students looking for educational loans to study in Australia. After receiving final approval from the Australian High Commission, these institutions then grant money to students.
Documents required for an education loan in Australia:
To get an education loan, an individual needs to present certain documents, including the following:
- IELTS score
- Academic Transcripts
- KYC (Know Your Customer) paperwork
- Collateral Document
- CRICOS (Commonwealth Register of Institutions and Courses for Overseas Students) Confirmation of Enrolment (CoE) for studying in Australia
If students are looking for an education loan, they can get assistance from Education Loan Guru.