However, professional and vocational degrees do not come cheap but attaining a higher education is important these days. Parents have to set aside a huge part of their earnings for the higher studies of their children and sometimes it can make them feel financially overburdened. They have to arrange funds from different sources such as FD withdrawals or retirement funds to pay the higher fee structure in a prestigious college.

Therefore, to avoid such situations, one should look for other ways to fund their child’s dream of higher studies that do not stress your finances. In case, you don’t need a huge amount of funds then you can “Apply For Personal Loan“ to fund the education. Nowadays, lending sector has multiple options of Personal Loan that comes under pocket friendly interest rates as well as minimal eligibility criteria.

An education loan can also be an option but getting approved for it is not that simple as it requires an admission to good college with good ranks. There is an advantage of tax benefits as per section 80C of the income tax act on the personal loan that you going to use for educational purposes. Moreover, you don’t have to utilize your savings or emergency funds to pay the fees of the college.

Difference between Personal Loan and Education Loan:
√ If you need large amount of loan money to pay the tuition fees you may not get approved for a Personal Loan but one has great chances of approval on education loan for the same.

√ Study loan come with some in built features which means if you have any trouble in making the repayments once you graduate them you will be offered with some relief through forbearance programs of deferment by the specific lender which is not possible in the case of Personal Loan.

√ In the aspects of Personal Loan, one has to make the repayments towards the loan quantum soon after the disbursal of funds whereas study loans come with earning based repayment options where the installments can be adjusted to fit your pocket. Once your child completes his/her degree courses, you generally have a grace period of six to twelve months before starting any repayments.

√ There are no end usage restrictions on funds when you “Apply For Personal Loan Online“ but qualifying for an education loan is not that simple as it demands good college as well as good marks.

√ The disbursal time for Personal Loan is so quick that you can get the loan money within 1-2 business days while it takes little more time to get the disbursal on study loan.

There are so many options to fund your higher studies in India or abroad such as using the parent’s savings to their retirement funds or taking a personal loan or education loan, it all depends upon your budget, earnings and requirements that which financial solution suits you the best to fulfill the dream of your child to be successful in life as well as easy on your pocket.