Canada is one of the quintessential hubs for numerous international students who wish to pursue higher education abroad. The country is home to world-class universities that offer numerous courses, opportunities, and experiences. But all these come with a bucket of expenses and to overcome this hurdle taking an overseas education loan can be a great choice.
Unlike other countries, there is an essential requirement for a GIC account to be created by the student to show proof of their living CAD$ 10,000 needs to be deposited by the student in the GIC account.
Since, it is important to know about the financial lenders, eligibility, and more. This article will give you an overview to take an education loan for Canada.
Types of Education Loans to Pursue Higher Education in Canada
Basically, there are two types of Loans, one is the secured loan, which is also known as a collateral loan, where an applicant needs to pledge collateral (tangible or intangible assets) as a security. Conversely, the other type of loan is an unsecured loan, which is also known as a collateral-free loan the applicant doesn’t have to pledge any security.
After looking at the types of loans, let us move forward with the courses that are covered under the education loan to study in Canada.
Course Covered
If you are planning to pursue your education in Canada, you can apply for secured or unsecured loans for the following courses mentioned below.
Courses Covered under Secured Loans
- Undergraduate Courses
- Postgraduate Courses
- Undergraduate Diploma Courses
- Postgraduate Diploma and Certificate courses
Courses Covered under Unsecured Loans
- Undergraduate Courses
- Postgraduate Courses
- Postgraduate Diploma courses
The interest rate and loan amount vary among financial lenders, and it also depends on whether the institution is listed in the prime list of financial lenders.
Popular Financial Lenders Offering Education Loans for Canada
It is important to know the popular financial lenders that offer foreign education loan to study in Canada. Thus, to give you a better idea we have mentioned the list below.
|
Nationalised Banks |
Private Banks |
NBFCs |
|
State Bank of India Bank of India Bank of Baroda Union Bank of India Bank of Maharashtra |
ICICI Bank Axis Bank IDFC First Bank |
HDFC Credila Credenc Avanse Incred Auxilo |
These are the popular financial institutions that offer educational loans to study in Canada.
Eligibility Criteria
It is always better to be pre-prepared by knowing your eligibility and gathering all the documents to make the loan process hassle-free. Thus, we have mentioned the basic eligibility criteria and essential documents below.
- The applicant should have Indian Nationality.
- Should have secured admission to a Canadian educational Institution.
- The age of the applicant must be above 18 years.
- Must have collateral to pledge for a secured loan.
Essential Documents
Below we have enlisted the essential documents.
- Acceptance letter as proof of admission
- Proof of identity – Aadhar Card, Voter ID, Driving License
- Valid Passport
- Academic Transcripts and certificates
- Residence Proof – Electricity Bill, Telephone bill
- Bank statements or salary slips of the co-applicant as proof of income.
- Passport-size photograph
- Collateral documents (for secured loans)
Summing Up
This was just an overview of the basic essentials to apply for an education loan to study in Canada. For more details, you can book free online counselling for study abroad loan which is conducted by the top overseas education loan advisors.