The Covid-19 pandemic not only caused health scare and deaths, but also pushed scores of people down the poverty line due to loss of livelihood due to prolonged lockdowns and travel restrictions. Apart from hitting the tourism sector hard, the travel restrictions have shattered the study abroad dreams of many aspirants.
“The pandemic had affected all spheres of life in some way or the other. Education sector all across the world was no different and underwent significant transformation too. Many students in the recent past had to reconsider their study abroad plans as a result of international travel restrictions and university closures all across the world. In the post pandemic era, alternative learning options have arisen with access to a variety of courses which can be pursued remotely,” said Prashant A Bhonsle, Founder, and CEO of Kuhoo, a student loan fintech NBFC platform.
While education loans are provided by banks to cover the burden of tuition fees, some Non-Banking Financial Companies (NBFCs) are trying to reduce the financial burden of travelling abroad and staying there to pursue their higher studies by providing additional loans.
“NBFCs are emerging as promising participants in India’s banking and financial industry, which is undergoing rapid development. By addressing the requirements of the underserved segments of society, NBFCs are playing a crucial role in bridging the gap left by traditional banks, and taking a very young population towards financial inclusion,” said Bhonsle.
“Through their loans, NBFCs are covering expenses like college and tuition fees, library fees, book purchases, laptop purchases, and college and education-related travel expenses, hence these platforms are getting immense traction from students and their parents,” he added.
“Our focus is on students’ needs and their financial situation. We offer co-borrowers and collateral free loans which cover living and other expenses as well, apart from tuition fees. We offer a complete digital process for faster and hassle free loan processing,” Bhonsle further said.