International education is an attractive prospect for young students around the world. Studying in a reputed foreign university opens new horizons and takes one a step ahead towards building a dream career. But before you go ahead to explore the idea, you need to understand the financial implications. The university fees, travel expenses, and cost of living abroad can easily burn a hole in your wallet. It is unaffordable for most students, but it doesn’t mean you should give up on your study abroad aspirations.
Fortunately, international education loans have you covered, and they are available in all countries. Even as you can access a loan to follow your dream, approval is always a matter of chance. But having a viable application goes a long way to ensure it gets approval from the bank or lender. Here are some steps you can follow to improve your chances of getting a loan for studying abroad.
ENSURE THE ELIGIBILITY OF THE SCHOOL
Banks and lenders have a list of requirements for borrowers. These requirements include specific schools and degree programs they consider eligible for lending support. Some lenders may even have country-specific eligibility requirements. The checklist varies from lender to lender. So things may get complex when it comes to understanding the eligibility of your school and program.
The best way to start is by researching lenders even before deciding which study abroad destinations to consider. Research thoroughly and find viable combinations of schools and lenders before you apply. It will help you skip lenders who do not cover your school and program. Some schools even share a list of providers that have supported their students in the past. Look around, and gather this crucial piece of information.
CREATE A FINANCIAL PLAN
While international education loans make studying abroad possible, they may not cover all your expenses. For example, they may provide a certain percentage of the total education cost. You will have to think of a way to bridge the gap, whether through scholarships, personal savings, or a part-time job. Having a strategy early makes you stress-free and helps you create a feasible roadmap to graduation. It also helps manage your student loan debt repayment in the long haul.
Before making a financial plan, understand that some lenders expect you to make interest payments even while studying. You will have to budget for these payments by working part-time. Lenders may allow you to defer them, but it makes sense to stay on track to prevent the amount from capitalizing and build a credit profile. Fortunately, you can explore on-campus employment opportunities in many international destinations. Some countries, such as Canada, have student-friendly visa policies that let you work off-campus.
HAVE A VIABLE CAREER ROADMAP
Lenders want to ensure that students pay off their loans successfully. They are more likely to prioritize the ones attending degree programs with high-earning prospects for obvious reasons. If you have an apparently lucrative career path ahead, you have better chances of approval of your education loan. Having a reasonable career path that connects with your education is an assurance of success after graduation. Create a compelling narrative about your degree and career to convince the lender about your worthiness for the loan.
Further, you must have good terms with your part-time employers to support long-term career goals. It will get you strong connections and good references that can help in securing a job in the future. The same employer may even ask you to return as a full-time employee after completing your degree. If you work with a company that operates through global offices, you have even more opportunities. It will be a further validation for lenders that you have excellent employability prospects after graduation.
While lenders have unique criteria for international study loan applications, students can expect to fulfil similar eligibility requirements. Everything boils down to good research and understanding of the criteria so that you can hit the bull’s eye with the application. Further, a realistic financial plan and robust career roadmap set you up for success. Once you have everything in place, there is no reason your application wouldn’t be approved. Get the right start and move a step closer to your international education goals.
If you are considering studying abroad why don’t you discuss your prospects and opportunities with experts at Lurnable’s dedicated study abroad counselling division LurnPathways?
