Looking to study abroad? Here’s a checklist for choosing your financial partner | The Financial Express

Looking to study abroad? Here’s a checklist for choosing your financial partner

With international universities bringing practice-based learning, global exposure and state-of-the-art facilities, students have always aspired to join the global workforce.

Looking to study abroad? Here’s a checklist for choosing your financial partner
The degree is designed in collaboration with Accenture.

By Mayank Sharma, Country Head India, Prodigy Finance

Studying abroad has always been an aspiration for students across the country. With international universities bringing practice-based learning, global exposure and state-of-the-art facilities, students have always aspired to join the global workforce.

However, preparing to study abroad can be hectic for students, owing to application processes, deadlines and arrangements. While planning to study abroad, financial planning is of criticality to students. There are several aspects that include loans, scholarships or any other aids that help students fund their studies. Hence, students need to strategically choose a financial partner that will help them with easy access to loans, grants and also enable flexible repayment of those loans.

Here’s a checklist for students to choose their right financial partner –

Country choice

Every country has its own ordinances and structure when it comes to international student loans. For instance, some countries don’t accept loans from NBFCs and some countries tend to favour secured education loans. The role of a financial guide here is to educate students on types of loans that are accepted in different countries and ultimately empower them to make the right choice based on their finances.

University choice

Financial partners should also ensure that they guide students on the kind of university the students are applying to. The choice of university also plays a role in financial planning; the fees, return of investment and cost of living also adds up to the student experiences.

Provision of different types of loans

Students should look for financial partners that provide both secured and unsecured loans, allowing students to opt for loans even without collaterals or any guarantor. A partner that helps students optimize payment methods by directly engaging with the university, enabling a seamless experience to students would be ideal.

Interest rates

Another key aspect for students to look at is interest rates. Interest rate is one of the factors that dictate repayment. Students should always have clarity on interest rates, loan tenures and monthly installments. This will help them map out their financial plan better. Furthermore, students should avoid the lenders who charge any additional fees for their servicing.

Access to grants and scholarships

As most scholarships are merit based, it becomes important for students to look for consultants that will go beyond limited funding and grants. An easy way to fully unlock the benefits of an aid is to apply for multiple grants. While scholarships are difficult to obtain and grants are sometimes limited to only a few countries and top universities, students should look at avenues through financial partners that will help them give access to unlimited options in terms of loans, the choice of universities, etc.

Modes of repayment

Students should have the flexibility when it comes to repayment of loan. Students need to assess their options of what will happen if they default, can they repay while studying and should be aware about all other policies. This would allow students to plan their financial journey better.

Tenure of re-payement

Varied financial partners offer different tenure of loan repayments. It is vital for students to do thorough research to find partners who are willing to extend the repayment to a maximum number of years.

Student support

The burden of repaying a loan right after graduation can look overwhelming. There are various things that a student navigates post completion of the degree. Thus students should evaluate their decision carefully while choosing a financial partner. The financial partner should be approachable and accessible at all times and should be able to support the student when required.

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