Best Education Loan For Singapore For to Study in 2024

As per an official report, nearly 17,000 Indian students enrolled in various courses in Singapore for higher studies – an impressive 87% rise from the previous year. This spike in figures is indicative of the growing need for newer study-abroad locations as Singapore comes out strongly as one of them. Even though studying in Singapore is comparatively cheaper than in most of the other popular study-abroad countries like the USA, UK, or Canada, it still calls for a certain degree of financial assistance; as opposed to the Indian subcontinent. This particular blog will emphasize how one can strategize on the finances needed for education in Singapore.

Cost to Study in Singapore

Before we dive into the various lending options available, let's first examine the distinct costs associated with pursuing higher education in Singapore. The cost of studying in Singapore consists of two main elements: tuition fees and the cost of living. The tuition fees for different academic programs in Singapore can be found in the table provided below - 

The next component in the cost of studying in Singapore is the cost of living. An overview of monthly expenses that you may have to bear is showcased in the table below -

Want to know how you can lower your cost to study abroad? Click here!

Education Loan for Singapore: Eligibility Criteria

Understanding the eligibility criteria for education loan for Singapore is vital for students to ensure they meet all the requirements. While each lender may have its own set of eligibility criteria, here's a general outline - 

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  The applicant must be an Indian citizen and be a minimum of 18 years old.
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  The applicant must be enrolled in a full-time program at a reputable university in Singapore.
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  The applicant needs to have taken an English proficiency test.
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  In the case of an unsecured education loan, there should be a financial co-applicant and a solid career outlook.
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  For a secured education loan, the applicant must possess collateral equal to or greater in value than the required loan amount.

Education Loan for Singapore: Documents Required

To initiate your education loan for Singapore, you will be required to provide a specific set of documents. The following documents may be necessary for your loan application:

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  Official acceptance letter from the university.
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  A filled-out loan application form.
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  Documentation outlining the expenses associated with your studies.
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  Proof of your identity.
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  Evidence of your place of residence.
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  PAN (Permanent Account Number) details of the applicant.
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  Bank statements for the guarantor, co-borrower, or the student.
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  Asset statements for the guarantor, co-borrower, or the student.
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  Proof of income for the guarantor, co-borrower, or the student.

Types of Education Loan in Singapore

Secured Study Loan Singapore

In order to obtain education loans to pursue their studies in Singapore, students are also required to provide some collateral or security. Such loans are referred to as education loans with collateral. Collateral includes but is not limited to, properties such as a house, land, or even fixed deposits, and insurance policies. However, these loans may have several benefits, such as lower rates of interest, longer repayment periods and perhaps a higher amount that one can borrow in the future.

While seeking lenders of these types of secured education loans, the more common preference is usually towards public sector banks rather than private banks and non-banking financial companies (NBFCs) because of the concessional terms and conditions. Such terms and conditions would cover bigger loan sizes, lower interest rates, and extra benefits.

Below, you'll find a table that provides a comparison of various lenders and the offerings they provide for secured education loans.

Unsecured Study Loan Singapore

An unsecured education loan for studying in Singapore is known as an education loan without collateral since it does not demand any security or pledging of assets. However, due to its unsecured nature, the interest rates may be slightly higher compared to loans offered by public sector banks.

When considering education loans for Singapore, you have three types of lenders to choose from private banks, NBFCs, and international lenders. The table below illustrates the specific offerings provided by each type of lender.

Choosing the Best Lender for Education Loan for Singapore

We understand that having a multitude of options can make the process of selecting the right lender more complex. However, do not worry! We've compiled a list of factors to assist you in comparing lenders and identifying the one that best suits your requirements. These factors will aid you in assessing and choosing the ideal lender for your needs:

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  Interest Rate
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  Processing fee and time
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  Margin Money
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  Moratorium Period
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  Tax Benefit
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  Loan Duration
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  Covered Expenses
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  Prepayment terms and conditions
   

In addition to these variables for comparing lenders, here are some additional points to consider before finalizing your lender:

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  Secured education loans offer a higher loan amount limit and lower interest rates, ensuring that most of your expenses are covered, thereby reducing your financial burden.
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  Unsecured education loans are often favored by students due to their ease of application and approval. Private banks like Axis Bank and ICICI Bank tend to offer more favorable terms and conditions. NBFCs come next in line if, for any reason, you are unable to secure an education loan from private banks.
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  In cases where you lack a financial co-applicant to support your loan application, you may need to explore options with international lenders.

Application Process: Education loan For Singapore

Securing an education loan for Singapore is a straightforward process. However, dealing with multiple lenders individually can be overwhelming. To simplify this, GyanDhan offers streamlined assistance in obtaining education loans for Singapore through the following steps:

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  Check your eligibility on GyanDhan's platform.
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  Connect with a dedicated loan expert for personalized assistance and lender recommendations.
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  Receive a tailored document checklist for convenient organization.
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  Submit the necessary documents following the lender's guidelines.
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  Await verification (typically 7 to 15 days). Once approved, sign the agreement and track progress using GyanDhan's user dashboard.
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  Initiate the loan disbursement following the lender's procedures, with funds either directly deposited into your account or disbursed to the university by international lenders.

Why choose Singapore?

Here are some reasons that can help answer the question, "Why study in Singapore?"

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  Affordability - Compared to other study-abroad destinations like the USA, the UK, Canada, and more, Singapore offers more economic tuition fees and a lower cost of living. International students can come here and complete their studies easily.
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  Safe and secure environment - According to the Global Peace Index 2022, Singapore ranks as the 9th safest country in the world. This ensures that international students can reside safely in the country.
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  No language barrier - Students willing to study in Singapore won't face any language barriers because most people in Singapore speak English, a globally spoken language. Singapore recognizes four languages as its official languages: Malay, Mandarin, Tamil, and English, thanks to its multi-racial environment.
   

Based on the information provided earlier, it's clear that Singapore is destined to become a popular destination for Indian students pursuing international education in the years ahead. At GyanDhan, the education financing expert, we are committed to simplifying your journey. Check your loan eligibility with us to discover the most suitable lender and obtain a customized document checklist, all at zero cost. With our assistance, embark on an exceptional educational journey in Singapore, transforming your aspirations into a reality. Don't miss this chance to study in Singapore with GyanDhan as your guiding partner!

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