Auxilo Education Loans for Abroad Studies: Everything You Need to Know

    Updated on: 01 Jul 2022

     


    There used to be a time when India had a very skewed credit culture that only favored a few, and a majority was left out. The financial market upheavals happened in the early 90s, and since then, India has treaded on the path of prosperity. One of the reasons for India's growth is the education sector, and the advent of new entrants in the banking world has completely turned the tables. Now education loans are not restricted to those who have high valued collaterals or come from well-heeled families. The ambit of lending has seen an exponential rise with the growth of NBFCs. And when it comes to NBFCs working in abroad education loan space, the name of Auxilo certainly comes out among the top. 

    The Auxilo education loan scheme helps students from all sections of society to have equitable access to loans for studying in their dream university abroad. Auxilo's education loan interest rates to terms of repayment are customized by keeping in mind the financial capability of the borrowers. The entire process of sanctioning the loan gets completed within a week, which is the shortest by any lender giving abroad education loans. 

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    A Brief Overview of the Abroad Education Loans Offered by Auxilo

    The abroad education loans by Auxilo are offered at pretty reasonable terms. It is clearly reflected in the Auxilo education loan reviews given by students, parents, professionals, and others who understand the abroad education loan space. Now we will provide you with a brief overview that will help you in getting a broader structure of your loan. 

    Components of The Loan

    Details About the Components Of Abroad Education Loan

    Maximum Loan Amount:

    INR 40 Lakhs for Unsecured Loans
    INR 1 Cr for Secured loans

    Rate of interest

    Varies from 12.70%- 16.0%

    Margin Money

    Nil. Up to 100% expenses are covered

    Prepayment Charges

    As per RBI Guidelines

     Moratorium period or Repayment Holiday 

    Six months

    Loan Tenure

    Up to 10 years

    Preferred Countries

    Ireland, UK, US, Australia, Canada, Germany, Singapore, New Zealand, UAE, and France.

    Loan Processing Time

    7-10 days

    Loan Processing Charges

    1.0%-2.0% of the loan amount

    Interest Payment at the time of studies

    Simple or Partial Interest rates

     

    The table above clearly substantiates the broad structure of the loan you might get for your education abroad. For those students who don't have strong financial capability, the Auxilo education loan without collateral is a boon. The secured loan option helps students with collateral take a loan with a relatively lesser interest rate. So, there is no dearth of options, and you can select one which suits you the most. 

    Eligibility Criteria for Taking Abroad Education Loan

    There are different eligibility criteria for students and cosigners or co-applicants. One must ensure that all the eligibility criteria are met so that the loan processing can be done quickly. 

    Eligibility Criteria for Students

    • The student applying for an abroad education loan must be an Indian citizen. 
    • The age of the loan applicant must be 18 or above. 
    • The student must have some sort of confirmation from the university about the admissions. Most commonly, the universities give a letter of acceptance. 
    • The education loan documents should be signed by a co-applicant who must be an earning member and preferably a closed relative. 

    Eligibility Criteria For Co-applicants

    • The co-applicant signing the loan documents must be an Indian citizen. 
    • The co-applicant could be parents, siblings, legal guardians, or a close relative. 
    • The co-applicant must have a bank account in India with the ability to write cheques. 
    • The co-applicant will have to become the primary debtor.  

     

    These criteria help Auxilo ascertain that they will be getting back their loan amount. Since investors or other banks back most NBFCs, they have to keep stringent criteria to avoid a mounting NPA situation. However, if you approach the NBFC through fintech companies working in this space, they can help you by convincing Auxilo to make amends in the loan. They can help you in getting the loan at more convenient terms and conditions.

     

    Courses for which Auxilo Abroad Education Loans can be Availed

    There is a wide range of courses for which Auxilo education loans are available. Auxilo gives you the liberty to study a range of courses for which they are ready to finance. One of the criteria that they consider is the employment prospect post completion of the course. So, if you can convince them about the employability post-completion of the course, the chances are very likely that they will sanction the loan. Here are the courses for which they readily lend:

    • If you are planning to pursue Graduation, post-graduation, and professional degree/diploma courses from a college/ university approved by the country's government. 
    • STEM courses from countries like the US, the UK, Germany, Canada, Ireland, etc. 
    • MBA courses from the countries mentioned above. 

    Documents Required For Auxilo Abroad Education Loan

    There is an elaborate list of documents that a student must keep handy in order to avoid any last-minute trouble. The documents submitted to Auxilo must be authentic and up to date, as any discrepancy at the verification stage will lead to the rejection of the loan application.

    Documents Required For Proof Of Identity (Both Student and Co-applicant)

    • Pan Card
    • Voter Card
    • Aadhar Card with a consent letter and masking the first eight letters. 
    • Valid Passport
    • Driving License
    • NREGA Card (National Rural Employment Guarantee Act)

     

    If the documents mentioned above don't have an updated address, then the applicant can use the following documents:

     

    • Utility Bill.
    • The municipality or Property Tax receipt. 
    • Pension or Family Pension Orders for retired government employees. 
    • Letter of allotment of accommodation from the employer(Central Govt, State Govt, PSU, Regulatory Bodies, Banks, listed companies). 


    Documents related to academics 

    All the academic details must be furnished to the bank to initiate the loan process. The following sets of documents are required:

    • All the relevant transcripts, e.g., HSC, SSC, Graduation, etc. 
    • Degree certificates and diplomas or any other applicable document of this type. 
    • Letter Of Acceptance from the university. 
    • Any other document that Auxilo loan officer might ask, depending on your case. 


    Documents related to income
    Income-related documents are one of the most crucial documents that the loan applicant has to submit. Income-related documents play the most important role in determining the loan quantum of the applicant's eligibility. 

    • The income pay-slip of co-applicants. 
    • The bank statements of the last one or two financial years vary from one case to another. 
    • Form 16/ITR.

    Other Documents

    • Copy of the valid passport.
    • Documents related to the collateral which the loan applicant pledges. 
    • Any additional document that Auxilo might ask for loan processing. 
    Check Your Education Loan Eligibility Click Here

    Advantages of Abroad Education Loan from Auxilo

    There are several advantages of getting a loan from Auxilo, making it a better alternative to traditional lenders. Some of the salient features of a loan from Auxilo are:

    Best alternate for those who don't have access to traditional lenders

    It is one of the best alternatives for many students who are denied loans from traditional lenders. If you don't have a great academic record or don't have collateral to pledge, Auxilo is perhaps the best alternative. It helps students in getting an abroad education loan irrespective of their financial condition. 

    Customized Loan Experience 
    This feature is premised on the fact that every student has a different need. What might be an ideal loan scheme for you that might not be the best choice for the next student? The customization of loans helps students get loans without having the need to fit into criteria. 

    Flexible Repayment
    Auxilo gives utmost liberty in loan repayment by moulding the terms and conditions in coherence with your financial capability. The cost of borrowing shouldn't be the same for everyone, and Auxilo takes care of this by giving EMI options that fit your pocket. 


    Multi-City Co-applicants 
    It is an excellent feature of loans from Auxilo as it allows loan applicants to have co-applicants residing in different cities. The difference in location of applicant and co-applicant isn't a bar for taking a loan from Auxilo. It also allows more than one co-applicant to be added so that a student can take the required amount of loan if one co-applicant doesn't suffice to cover the loan.

    Loan Sanction Before Admission
    There are several universities wherein your admission pivots on your ability to furnish the "proof of funds." In countries like Germany, Canada, New Zealand, you have first to furnish the loan sanction documents for issuance of visa. Auxilo understands this concern and helps students by early disbursal of loans coupled with living expenses. It also enhances your chances of getting into your preferred university. 

    Repayment of loans 
    Repayment of a loan is a big task, and it starts a considerably large monetary transaction. The repayment of the loan in EMIs starts six months after the completion of the course or after you secure a job. The terms of repayment are pretty flexible and adjusted according to the repayment ability of the loan. In the course of your studies, you will have to pay a partial interest rate on the loan amount. 

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