Education Loan for Hotel Management Know How to Repay It in Details

If you are dreaming of studying professional courses like Hotel Management, but are worried about fees, then there is no need to worry now. Banks and finance institutions provide education loans for courses like hotel management, so that you can not only complete your studies, but you can also repay it in easy installments after finishing studies.

How much is education loan?

Many major banks of the country and NBFC hotel management give education loans ranging from 4 lakh to 25 lakh rupees. You can get this loan to study both India or abroad. The loan amount is fixed keeping in mind the institute’s fees, hostel expenses, books, laptops and other important expenses.

What are it important to take care of?

To take education loan, it is necessary to first see if your college or university is recognized by UGC/AICTE. Apart from this, the student has to get minimum 50% marks in 12th standard. Some banks process only after admission, while some can give approval even before getting admission letters.

What is the guarantee to give?

No guarantee or collateral is usually asked for education loan up to Rs 4 lakh. But if you take a loan of more money, then the bank can demand a guarantor or security. This security can be in the form of income, property or fixed deposit of your parents.

How is the interest rate and EMI fixed?

The interest rate of education loan for hotel management courses is usually between 8% to 12%. Banks give students the option of not taking any EMI during studies and after 6 to 12 months, which is called ‘Moretorium Period’. After this period, the loan of the loan starts when the student gets a job. If you want, you can repay EMI comfortably in a time of 5 to 15 years.

How to apply?

Applications for education loan can be made online or by going to bank branch. At the time of application, you have to give admission letter, marksheets, Aadhaar card, PAN card, fee structure and certificate of parents’ income.