Digital Lending now bringing Education dreams to life!
Higher education financing in India is complex for many reasons. Approval rates for education loans dropped to 24% in India.
Student loans from traditional institutions are arduous and daunting. What are the challenges, you may ask?
1) Many factors contribute to rejection rates, including a lack of collateral,
2) An insufficient credit score or CIBIL,
3) A co-borrower with insufficient earning capacity,
4) A student’s average academic performance,
5) Documentation gaps,
6) Very few public sector banks offer student loans,
This process can take up to 3 months involving physical documentation and visits.
Besides, education became costly both at the national and international levels, accentuating the need for an education loan.
How can the new-age digital education lending help solve these challenges?
1) Funding the entire cost of education
2) Parental co-applicants are not required, as the loan is approved solely on the student’s potential, creditworthiness and repayment capability.
3) Application and disbursement of loans are easy, quick, and transparent, with no intermediaries.
4) Flexibility in repayment options, such as low-cost EMIs, extended loan terms, and flexible foreclosure charges.
5) There are no collateral requirements.
6) After-disbursement services provided by experts
Student loans are more accessible with technologies like these. What are your thoughts?
#manispeaksmoney #studentloans #fintech #digitallending