Do you need money to pay your higher education fees?
If yes, then a higher education loan is an option that you should consider. An education loan not only covers a student’s course tuition fees but also helps them pay their competitive examination fees, the fees of exam prep classes, the cost of sustaining a comfortable lifestyle in a foreign land if they need to relocate there for higher education and so on. In other words, education loans are a one-stop-solution to finance higher education smoothly. Now, there is an online tool called the educational loan calculator that can help you understand an estimate of your higher education loan details. If you are new to this tool, you may have a few questions. In this blog, you will learn the answers to questions that students frequently ask when they need to use the educational loan calculator.
1. What is an educational loan calculator?
This calculator is a web application that uses a mathematical formula to calculate the total amount of money a student can borrow from a lender. The other type of this calculator helps a student to calculate the EMI they have to pay to clear off their education loan gradually.
2. What information do you need to feed it to get results?
The 1st kind of educational loan calculator that calculates the total amount of money a student can borrow asks the student to provide information in its 4 different fields. Those fields are:
1. Monthly income of the borrower or co-borrower
2. The total monthly obligations that the borrower has to take care of
3. Annual rate of interest charged on the loan
4. Repayment tenure of the loan
Based on information in these fields, the calculator tells the student how much money they can borrow in the form of an education loan. In other words, this calculator helps a person know their actual student loan eligibility.
The 2nd kind of this type of calculator that calculates the value of EMI a student has to give every month to repay their education loan completely asks the student to provide information in the these fields:
1. Total amount of education loan taken
2. Annual rate of interest charged on the education loan
3. Repayment tenure of the loan
Based on information in these fields, the calculator tells the student how much EMI they have to pay to finish off their education loan.
3. What are the benefits of using this calculator?
When a student uses this calculator, they save time and effort that they would have had to put to calculate the results manually. If a student were to manually calculate the education loan amount, they would make errors. The results that this calculator provides are accurate provided the information that it is fed is valid. In a way, this calculator indirectly helps a student plan the finances of their higher education and their loan’s repayment.
4. Where can I get this calculator?
Lenders provide this calculator for free on their websites. All a student has to do is visit the website of one favourable lender and use their calculator.
Now, you have fine knowledge about what is an education loan calculator, what are its benefits and where you can get it. Take an education loan: do not let money constraints stop you from taking up that undergraduate or postgraduate degree that you always wanted to earn. Have a nice day!
