GLOBAL EDUCATION: EDUCATION LOAN

How to apply for student loan?

Before applying for education loan, we have to know some basic things because most of the applicants and current students required for most university. So we have to know how to do the paper work and fill the forms in order to receive the cash on time. Student loan is available to both new as well s returning students. Without testing, the tuition fee student loan is available where as for the maintenance student loan requires financial assessment (generally your parents income) these loan types are initially organize by your LEA(local education authority). Generally LEA provide paper work online to you or you have to fill up to the student loan company. if you have confusion about your LEA, just phone your local council to find out.

What form do I need to fill up?

The student loan sites will take you through the application form step by step . if you are a new student for the university and using paper form then you need form PN1. But for the returning student who qualified as home status require to fill form PR1.(in the case of Europe require forum EUPR1)

How to fill student loan application form PN1?

PN1 is the student loan application form to new university student provided with guidance notes to help All together there are 13 sections. For new student they required to fill 1 to 6 section as well as loan form (applicants must have to sign at the end of the form). But if you are applying for maintenance loan, then you have to fill all with your income information.

To apply for student loan the list of documents varies from bank to bank. They also need your proof identity and residence. As you know you can apply online also but still it contains several steps such as application, discussion and supporting documents; before they sanction the loan. Anyway the student loan has made easier the academic courses without the liabilities of guardians. The process and the stapes may vary form bank to bank but still some fundamental steps are similar like followings steps

1) First fill up the loan application form:

Here you have to fill up about your contact details, academics details etc but be sure to fill up accurate information.

2) Personal Discussion:

Here they may ask you various question related to your academic work and performance about the subject you choose for study or and the institution you selected. the answer should be clear about your choice of subject and institution and its further potentiality of generating income. it is not necessary to have an excellent academic record but be sure to answer to those mishaps that occurred during academic life.

3)provide only validated supporting documents

In case of student loan , documents relating to admissions are much more important even than the loan application form. they verify it from concerned institute before loan sanction. In case of more than $8000 they may ask for papers related to property to be mortgaged.

Frequently ask documents

a. Mark sheets of the qualifying examinations for school and graduate studies in India.

b. Proof of admission to the course.

c. Schedule of expenses for the course.

d. Copies of letters confirming scholarship, etc.

e. Copies of foreign exchange permits, if applicable.

f. Passport-size photographs.

g. Statement of the borrower's bank account for the past six months.

h. Income-tax assessment order not more than two years old.

i. Brief statement of the borrower's assets and liabilities.

k. If you are not an existing bank customer, you will also need to give proof of identity and residence.

4) Approval or denial of loan

For student loan guarantor is compulsory. the guarantor may be applicant's parents or guardians. the bank will thoroughly check of the credit history of the guarantor before mortgaged. after this process the student loan may be approved or denied.

5) Sign of borrower's on promissory note

Though the parents or guardians are the guarantors but the actual borrower is the student so he has to sign on the promissory note to the bank

6) Disburse of the loan

After completion of all the formalities, the bank may disburse the fee directly to the concerned institute .

Some links for banks of different countries

For USA

Eligibility criteria

1) Borrower and co signer must be US citizens or a permanent resident alien.

2) Borrower and co signer must be 18 years of age or the age of majority in your state of permanent residence.

3) Borrower must be enrolled at least half time and in an eligible program.

4) Both borrower and co signer are subject to credit approval. Additional documentation may be required.

5) Applying without a co signer typically results in a higher rate and/or fees.