United States of America, home to the technological hotspot, ‘Silicon Valley’ is one of the most preferred destination among study abroad aspirants. Popular for being a culturally diverse country with a strong presence of highly ranked universities and a plethora of career opportunities, the US is the first choice of students planning to pursue MS abroad.
Reports states that, out of 193 countries in the world, USA is ranked at 10th position among nations with the highest cost of living. Further, the country is the 3rd most expensive study abroad destination with an annual total cost of $36,564. Despite being an expensive country, a larger number of students choose to pursue their higher studies in the USA. So, even if you are not financially sound, you can fund your MS in the US with Student Loans for Studying Abroad. In this blog post, we will look at the important aspects of funding an international degree in the USA for a MS Degree. So, without any further ado, let’s get straight into it!
Types of Overseas Education Loan Options for the MS in the USA
Aspirants willing to apply for an overseas education loan for studying MS in USA can opt for either a Secured Education Loan or an Unsecured Education Loan. These loans are offered by the Nationalized Banks, Private Banks, International Lenders and Non-Banking Financial Company (NBFC). The secured education loan option is available for all kinds of MS courses whereas an Unsecured Education Loan option is only available for the students applying for the STEM courses. In the next section, let us look at the top financial institutions offering education loan to study in the USA.
Education Loan Providers to Study MS in the USA
Mentioned below is the list of financial institutions offering an overseas education loan to study in the USA:
- State Bank of India
- Bank of Baroda, India
- Axis Bank, India
- HDFC Bank
- Punjab National Bank, India
- Canara Bank, India
- Avance Financial Services, India
- IDBI Bank, India
- MPOWER
- Prodigy Finance
To apply for the education loan without collateral and with collateral, students are required to meet a certain eligibility criteria. Let us learn about it in the next section.
Eligibility Criteria for Secured and Unsecured Education Loan for MS
To apply for an unsecured or secured education loan, students are required to meet the following eligibility criteria:
For Secured Education Loan
- Student should have scored a minimum of 55% in their previous qualification with less to no backlogs.
- The CIBIL score of the co-applicant should be above 650 with a strong credit history.
- The co-applicant should have their own property within the city limit areas. It can be in the form of residential house, shop, flat or open land space.
- The agricultural land is not acceptable for the secured education loan as it falls under rural area.
For Unsecured Education Loan
- An applicant should have scored a minimum of 60% in their previous qualification with less to no backlogs and no academic gap.
- Student should have scored acceptable scores in the English Language Proficiency Test.
- Student should be applying for STEM and management related programs
- Student applying for Master’s and PG courses are eligible to apply for Unsecured Education Loan
- The CIBIL score of the co-applicant should be above 700 with a strong credit history
- The student should be less than 28 years of age
Process to Apply for a Student Loan for MS in the USA
Once you finalize the specialization and the university to study in USA, you need to calculate the cost of studying in USA including the tuition fees, living expenses, visa costs and other miscellaneous charges. Mentioned below are the steps to be followed to apply for an education loan to study MS in the USA:
- Step 1: Choose your intake for US education and start the loan process before applying to universities.
- Step 2: Compare various lenders based on loan amount, interest rates, repayment terms, processing time, loan margins, and fees.
- Step 3: Submit the essential documents for loan consideration.
- Step 4: Upon receiving a conditional loan offer letter, use it as “proof of funds.”
- Step 5: Present the “proof of funds” letter to obtain approvals from your university, visa office, and financial aid institutions.
- Step 6: After showing these documents to the bank, you will need to sign the loan agreement.
- Step 7: Wait to receive the loan amount.
Once the amount is disbursed in the bank account of the university, you can complete your dream of pursuing MS In the USA. So, now that you have understood the important aspects of funding an MS in the USA, reach out to your nearest education loan advisor to begin your education loan process. It is advisable to apply for the education loan at least three month prior to the visa interview. Book an appointment today and take the first step towards your dream!
