Mon - Sat 10:30 - 5:30
About Us
The Rohika Central Co-Operative Bank Is A Co-Operative Institution Situated In Madhubani Bihar Established In 1909.
Get a free quote
Education Loan
Education Loan
An education loan, also known as a student loan or educational loan, is a type of financial assistance designed to help students and their families cover the costs associated with higher education.
These loans can be used to pay for tuition fees, books, supplies, accommodation, and other educational expenses.
Here are some key features of education loans:
Types of Education Loans
There are generally two main types of education loans:
Federal Student Loans:
These loans are offered by the government and come with various benefits such as fixed interest rates, income-driven repayment plans, and potential loan forgiveness programs. They are available to both undergraduate and graduate students.
Private Student Loans:
Offered by private financial institutions, these loans come with varying interest rates and terms. Eligibility and interest rates depend on the borrower's creditworthiness or that of a co-signer.
Repayment:
Education loans typically have a grace period, which is the time after graduation when the borrower doesn't have to start repaying the loan. After the grace period ends, borrowers are required to make monthly payments to repay the loan over a specified period. Federal student loans offer flexible repayment plans, including income-driven options that adjust the payments based on the borrower's income and family size.
Interest Rates:
The interest rates on education loans can be fixed or variable, depending on the type of loan and the lender.
Subsidized vs. Unsubsidized Loans:
For federal student loans, there are two types: subsidized and unsubsidized. Subsidized loans do not accrue interest while the borrower is in school at least half-time or during deferment periods. Unsubsidized loans, on the other hand, accumulate interest from the time they are disbursed.
Loan Limits:
There are limits on the amount you can borrow through federal and private student loans. The limits vary based on the type of loan, the student's academic level, and other factors.
Cosigner:
For private student loans, especially for undergraduate students or those with limited credit history, a cosigner with good credit may be required to increase the chances of loan approval and secure better interest rates.
Loan Services
Get in touch
