Best Education Loan Options For Studying in Singapore

Before we head to the education loan options for Singapore, let us first look at the cost of studying in Singapore, so that you can estimate the average cost of studying in Singapore and plan your loan preferences around it. 
Singapore is especially popular for MBA, engineering, computer science, and law courses. So to give you an idea of the cost, we have considered three colleges - National University
Of Singapore, Nanyang Technological University, and INSEAD. We will be looking at the tuition fee of MS in CS and MBA in these colleges. 

National University of Singapore

• MS - SD 37,150 annually  (Approx  INR 20 lakhs)
• MBA - SD 65000 annually (Approx 35 lakhs)

Nanyang Technological University 

• MS- $19,600 per academic year (approx INR 14 lakhs)
• MBA - $19,250 per academic year (Approx INR 14.4 lakhs)

INSEAD

• MBA - €84,000 annually (Approx INR 71.83  lakhs)

Apart from the tuition fees, there are living expenses too to be taken into account. The living expenses in Singapore range from SD 750 to SD 2,000 a month which translates to INR 56,000 to INR 1,00,000. 

As can be inferred from the above figures, the cost of higher education in Singapore is high. Rightly so, because the quality of education and living in Singapore is excellent, and the country’s harmonious law and order situation is unparalleled. It is only evident that a study abroad experience like this is accompanied by substantial monetary investment. But an education loan can help you avoid the overbearing burden of finances and allow you to not just pursue your education peacefully but enough returns to cover the debt.  

You have two types of loans to choose from for studying in Singapore - secured and unsecured education loans. We give you a detailed breakdown of each type. 

• Secured Education Loans are also known as education Loans with collateral. Banks and NBFCs require applicants for secured loans to mortgage a collateral or asset in exchange. This asset serves as security for the bank in case the student defaults the payment. The collateral can be an immovable property or FD. 
• Secured education loans for Singapore are easily available from public and private banks.
• These loans will charge lower interest rates.
• The possibility of approval is high in these loans.

Unsecured loans do not require a student to give any collateral as a security against the loan. This is a preferable option for most students who do not have a property to give away as a mortgage. However, the downsides to unsecured loans come in the form of higher processing and interest rates.

It is hard to get unsecured education loans to study in Singapore, as can be inferred from the table below too. You get unsecured loans for only one or two colleges and that too only for MBA courses. INSEAD is one of the colleges which lenders prefer while giving unsecured loans. If the co-applicant income is high, on a case to case basis, other colleges can also be considered for an unsecured education loan. Gyandhan loan counsellor can help you the best in this matter.

Different loans and lenders require different sets of documents. However, following are the documents you are generally asked to submit along with your loan application. 

• KYC (both applicant and co-applicant)
• Proofs of citizenship and residence (applicant & co-applicant)
• Applicant’s marksheets
• Academic records
• Admission proof
• Co-applicant’s bank statements 
• Income tax return / Form 16 of the co-applicant 
• Fees structure 

Coming to which loan you should opt for to study in Singapore, GyanDhan recommends a secured loan from a public sector bank as the first preference. You can also mortgage a third property asset as a collateral in case you don’t have one of your own. However, if you cannot afford to take a secured loan from a PSU, the next option is an unsecured loan from a private bank. As compared to NBFCs, unsecured loans from private banks provide more benefits to the applicants in the form of tax benefits and comparatively lower interest rates. 
However, there are many other factors which you need to account for while deciding which loan is suitable for you. Loan preferences vary as per the convenience of the applicants; what generally works for others may not work for you. So you need to make the decision by weighing certain parameters of assessment which are as follows: 

• Processing fee
• Processing duration
• Margin Money
• Moratorium period
• Tax Benefits 
• Loan Duration 
• Expenses Covered
• Prepayment terms and conditions

If the lengthy and cumbersome process of getting an education loan intimidates you, you have us to fall back upon. Once you provide us with your education loan requirements, our team gets on to doing the work from the scratch and sees to it that all the processes till the disbursement stage are conducted smoothly. A breakdown of how we work to get you student loans in the easiest manner - 

• Help you select the best education loan deals from the most suitable banks. 
• Generate a customized documents checklist based specifically on your profile.
• Get your documents picked up from your doorstep by our relationship managers and bank officials. You can also upload the documents on GyanDhan’s website. 
• In case of any problem with the collateral documents, we come up with effective solutions and help you to fix them.
• Get your loan sanctioned within the shortest time period , and in case of any delay, we raise the issue with banks and propose solutions. 
• Get your loan disbursed on a timely basis.
• In case of pre-visa disbursement policy, we raise the matter with the bank, and ask them to disburse the loan.