Is co borrower compulsory for education loan?

Is a co-applicant for education loan needed? Yes, for all full-time courses a co applicant is required. The co-applicant can be Parent/Guardian or Spouse (if-married).

Can education loan take without co applicant?

It is not possible to get a loan without a co-applicant. As far as the collateral goes, for loans above ₹7.5 lakh, the parent has to be a joint borrower. We need a tangible collateral security, along with assignment of future income of the student for payment of instalments.”

Who is a co applicant in education loan?

A co-applicant is the only person to whom the banks may turn to if the loan applicant (student) fails to repay the education loan within the scheduled time period. Different lenders refer to co-applicants using different terminologies. A co-applicant or a co-borrower or a co-signer, all refer to the same person.

How can I get a student loan without my parents in India?

How to Take Out Student Loans Without Your Parents

1. Take out a federal student loan as an independent student.
2. Pursue unsubsidized loans without your parents’ information.
3. Find another relative or friend to co-sign a private loan.
4. Find private student loans that don’t require credit or a co-signer.

Is ITR mandatory for education loan?

Also required are the income documents such as salary slips or income-tax returns (ITR) of the co-applicant. The banks can finance up to 100\% of the loan depending on the amount. For loans above Rs 4 lakh up to Rs 7.5 lakh, a third-party guarantee is required.

What is the difference between co-applicant and guarantor?

In case you choose a co-borrower, the lender will thoroughly analyse both your and your co-borrower’s financial history to ensure that both of you are eligible for the home loan. However, when you have a guarantor, the primary responsibility of repayment of the loan still rests with you.

Does parents cibil affect education loan?

In such cases, when they apply for an education loan, the lender checks the credit history of the guarantors who usually are, their parents. Thus, if the parents have a poor CIBIL score, there are high chances that the loan can be denied.

What are the document required for education loan?

Documents required for Education Loan

• KYC documents.
• Bank Statement / Pass Book of last 6 months.
• Optional – Guarantor Form.
• Copy of admission letter of the Institute along with fees schedule.
• Mark sheets / passing certificates of S.S.C., H.S.C, Degree courses.

Is Form 16 necessary for education loan?

In case you wish to file your income tax returns without Form 16, you will have to refer to your bank statements, payslips, home loan or education loan certificates, tax-saving investment proofs, Form 26AS, etc.

Is HDFC credila part of HDFC?

HDFC Credila Financial Services Limited (Formerly known as HDFC Credila Financial Services Private Limited) is a part of the HDFC Group Companies, and itself gives education loans.

Who is eligible to apply as an education loan co-applicant in India?

Individuals earning at least INR 30,000 per month are considered eligible to be named as education loan co-applicants. Lenders do consider individuals who earn lesser monthly salaries as education loan co-applicants.

Can an NRI be a co-borrower/guarantor for an education loan?

Yes, he can be a co-borrower/guarantor provided he has an NRI account and the collateral is in India. In either cases additional co-borrower is required. Education loan for students going to: USA

Do banks ask for co-applicant details for collateral free education loan?

Banks generally ask for co-applicant details when you apply for a collateral free loan. Not only this, banks also ask for the income documents such as salary slips or income-tax returns (ITR) of the co-applicant before sanctioning the education loan.

Why can’t you be an education loan co-applicant?

If your co-applicants’ CIBIL score had gone down because of reasons such as a loan write-off, a loan settlement, etc., lenders will strictly not allow them to be education loan co-applicants. A low CIBIL score is considered to be one of the pointers of a bad education loan co-applicant profile.