In recent years, an increasing number of Indian students have opted for Australia as their destination for higher studies. In fact, the country has seen a rise of 71% (from 2014-2019) in the number of Indians studying there.
Well, in this blog, we take a look at some of the reasons behind this. We also discuss how expensive an Australian education is, and how students can finance their higher studies through an education loan for Australia. So, without further ado, let us dive right into the discussion.
Why is Australia a Popular Study Destination for International Students?
Some of the distinctive features of an MS program in Australia are as follows:
- Quality of Education – Australian Universities are known for their excellent quality of education. According to the World University Ranking, two Australian Universities are ranked among the top 50 global Universities. And 8 of its universities are ranked amongst the top 150. This speaks of the country’s excellent quality of education.
- Cost of Education – The cost of studying a Masters in Australia is considerably lower than that of other popular international study destinations such as the USA and the UK. Even though the cost of living in Australia is higher, international students are allowed to work up to 20 hours per week to earn extra, through which they can fund a part of their living expenses. International students who choose destinations other than Brisbane, Melbourne, and Sydney also become eligible for various scholarships.
- Post-Study Work policy is a major attraction for Indian students looking to pursue an MS abroad. Indian students can get a Temporary Graduate Visa that will allow them to work in Australia for 2 years after they complete their MS. They can even bring their immediate family members to stay with them.
- Some reasons for the popularity of MS in Australia are the excellent job prospects, high standards of living, opportunity to settle down, etc.
What is the Cost of Education in Australia?
Even though the cost of higher education in Australian Universities is lower than that in other universities in some popular countries, it is certainly much higher than in that of Indian universities. Let us take a look at the tuition fee of some popular programs in the country.
- The tuition fees for international students at The University of Melbourne, ranked 32 in the world by The World University Rankings 2020, for a Masters of Management program is $AUD45,824 (about INR 22, 54, 999) per year for the academic year 2020. International students who are studying Masters of Computer Science, Masters of Engineering, Masters of Information System, Masters of Science (Computer Science) have to pay $AUD 44,736 (about INR 22, 01, 458) in 2020.
- Australian National University, ranked 50th in the world university rankings, has an annual tuition fee of $47,880.00 (about INR 23,56,174) for Masters of Engineering in Electrical Engineering for 2020. Students enrolling for Masters of Applied Data Analytics had to pay an annual tuition fee of $45,864.00 (about INR 22,569,67).
- The University of Sydney, another top Australian University, has an annual tuition fee of $46,000 (about INR 22,63,660) for Masters of Data Science as well as Masters of Engineering (Electrical Engineering). Students who pursue MBA have to pay $49,000 (about INR 24,11,290) per year.
Apart from the tuition fees, students also have to pay AUD$298 (about INR 14,664) towards the Student Services and Amenities fee at some Universities. Living cost is another major expense when studying abroad. “Study in Australia” says that international students should expect to spend AUD$21,041(about 10,35,427 INR ) a year towards living costs.
Why Education Loans are the Best Way to Finance Education in Australia?
We can clearly see from the above numbers that studying in Australia is certainly not cheap. However, Indian students desirous of studying in Australia should not get deterred by the high tuition fees. An education loan for Australia in India is one of their best options for students to fund their education in Australia. Most Public Sector banks, private banks, and NBFCs give education loans to study in Australia. Let us look at some reasons why an education loan is a feasible option.
- Taking an education loan will safeguard your personal savings, which can be used for other things.
- Students can also get top-up loans to meet unexpected study-related expenses, which might have been difficult in case of personal savings.
- Students can also avail tax-benefits under Section 80E of the Income Tax Act of India if their lender comes under the list of gazetted financial institutions.
- An education loan is a first step towards building their credit score. Repaying the loan timely will help them be in the good books of the lender and subsequently get another loan easily.
What are the Types of Education Loans for Australia via GyanDhan?
Let us also discuss the kinds of loans that students can opt for with the help of an education loan with the help of GyanDhan.
- Secured Education Loans – It is also known as an education loan with collateral. Students who take this kind of loan have to attach a security with the loan. The security or collateral offered is used by the bank in case the borrower fails to repay the loan. The security attached can be any tangible or intangible asset such as land or other immovable property, LICs, FDs, etc. This kind of loan takes a longer time for approval as the bank has to verify documents related to the collateral being offered. However, this kind of loan also has many benefits such as a higher rate of approval, lower rate of interest, and longer repayment time.
- Unsecured education loan – This is also called an education loan without collateral. In this loan, the borrower does not have to attach any security while taking a loan. Education loan for Australia without collateral is thus perfect for students who are unable to furnish any security to take an education loan. This kind of loan has a higher rate of interest, shorter loan repayment time, and lower rate of approval. Also, public sector banks have an upper limit of INR 7.5 lakhs for such loans – an amount that would not be sufficient for an MS in Australia. Private banks such as Axis Bank and ICICI Bank have an upper limit of INR 40 lakhs for such loans, while NBFCs do not have an upper limit on such loans.
Why Take Loans from GyanDhan for Studying in Australia?
Now that our readers are armed with information about education loan options for MS in Australia, they must be wondering how to get an education loan for Australia. Well, they can directly approach the lender and apply for a loan. However, GyanDhan says that a majority of students do not compare various loan options available prudently and end up taking education loans with terms and conditions that might not be favorable to them. And many times, their loan application ends up getting rejected because of various reasons like lack of documents, or incomplete information. To avoid all such pitfalls, we suggest our readers take an Education loan via GyanDhan. Let us see how GyanDhan can help students with their education loan application and sanction-
- GyanDhan has a “check your loan eligibility” feature that lets students know if they are eligible for an education loan or not and how much loan amount they are eligible for. Alternatively, they can also request a callback.
- They assign a diligent loan counsellor to each student. The loan counsellor studies the profile of the student and discusses all possible loan options available to the student. They also suggest the best option for them. However, the final decision is left on the student.
- Once the student has finalized the lender and the kind of loan they wish to take, the loan counselor gives them a customized list of documents that have to be submitted with their loan application. This step is very important as missing any document will lengthen the loan sanction time or even lead to rejection of the loan application.
- Once the student has arranged all the relevant documents, GyanDhan helps them submit the application. If the student has applied for an education loan from a Public bank and lives in a metro city, GyanDhan collects their application and documents from their home. In case of other cities, they arrange a meeting with the respective branch manager. If a student has decided to apply to a private bank, their banking partner’s relationship manager will collect their documents. And those students who are applying to an NBFC simply need to upload their documents on GyanDhan’s website.
- The bank then goes through the loan application and accepts it if it meets its criterion. The bank may also call the borrower for additional documents, if needed. GyanDhan helps the students here by getting the loan sanctioned as fast as possible. They also come to the rescue of students who need a longer repayment time and negotiate with the lender on behalf of the student.
- The bank then sends the loan offer to the student, who has to accept the offer by signing it.
GyanDhan does not leave the student at this stage. Rather, they are there for the students till the last disbursement is made.
Wondering how much does GyanDhan charge for the above services? Well, you will be surprised to know that they do everything for free!
Which Education Loan for Australia is the best option as per GyanDhan ?
GyanDhan recommends a secured education loan from a public sector bank. Some reasons for this are its lower rate or interest and longer repayment time. However, those students who do not have any collateral to offer and have to pay a tuition fee of less than INR 40 lakhs should opt for unsecured education loans from private banks.
GyanDhan is committed to helping students with their study abroad dreams and has helped numerous students in achieving their dream of studying in Australia. Go to them right now to rise above your financial constraints and fly off to Australia for a great education and career..