A price must be paid for the life-enriching experience of studying abroad. Numerous costs are associated with studying in a foreign nation. One of the most popular funding alternatives selected by students to cover these costs is taking out an education loan.
The co-applicant, in addition to the loan applicant, also has a significant impact on the loan application process. A co-applicant, sometimes referred to as a co-borrower or co-signer, will be held accountable for loan repayment if the applicant is unable to make the required payments.
If you don't have a co-applicant for an educational loan for abroad studies and you're unsure whether you'll receive one or not, what should you do? Read on to learn the solutions.
Types of Co-applicants in Education Loans
There are two types of Co-applicants in an overseas education loan. They are
- Primary Co-applicant
A primary co-applicant is a person who bears the responsibility of repaying the loan if the applicant fails to repay. As the name implies, a primary co-applicant is required when applying for an education loan. The applicant's parents or other close relatives may be included as the major co-applicant.
- Financial Co-applicant
Financial co-applicants are also permitted for primary co-applicants. But an extra financial co-applicant would be needed if the original co-applicant had no sufficient income documentation.
How to get an Education Loan Without a Co-applicant?
It's crucial to realize that while you can apply for a loan without a cosigner, you must have a primary cosigner in order to be approved for an international education loan.
You might not require a co-applicant if you are taking out a student loan from an international lender. According to the applicant's profile, the loan will be approved.
Applicant’s Eligibility Criteria to apply for an education loan without co-applicant
To apply for an education loan without a co-applicant, the applicant needs to fulfill the eligibility criteria. Enlisted below are the criteria for education loans for abroad eligibility.
- The applicant must be submitting applications to study abroad programs in the USA, Canada, the UK, and other countries.
- The candidate must be enrolled in a master's program.
- The applicant's university must fall under the designated listing category.
- The applicant should have a strong academic background and passable admission exam results.
- The applicant's age must be under 30.
- The applicant should have at least three years of work experience and a competitive compensation package.
Now that you are aware of the eligibility criteria, let’s proceed to discuss the financial lenders that provide education loans without a co-applicant.
Financial Lenders that Provide Education Loans without a Co-applicant
Some of the leading financial lenders provide education loans without a co-applicant are
- ICICI Bank (Private Bank)
- MPower Finance (International lender)
- Prodigy Finance (International lender)
You can speak with any of the top advisors for international student loans to learn more information about these financial institutions. Your profile and eligibility will assist the loan advisor choose the best lender for you. The loan counselor will also advise you on how to obtain a collateral free education loan for abroad.
So, visit an overseas education loan consultancy and start your loan application at the earliest.
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