If you are a recent graduate and would like to pursue higher education abroad, you must be surely thinking about an to cover the expenses related to your abroad education. Once you dive deep into the education loan process, you will encounter terms like secured or collateral education loan and if you are unclear about it, then this article is just for you.

Collateral Education Loan Collateral Education loan is a loan where you are required to guarantee a property or any other eligible financial assets to take the loan against. Banks that offer Collateral Education Loan Collateral Education Loan is usually provided by the Government banks like SBI, Bank of Baroda etc. NBFCs can be chosen over public banks only if the collateral is of lower value when compared to the actual loan amount required. How much Collateral Education Loan can be obtained? The amount of Collateral education loan you could get is in the range of Rs. 10 lakhs to Rs. 1.5 crores. The interest rate on Collateral Education loan is usually between 9.4% to 10.3%. Types of Collaterals There are three types of collateral that the bank accepts for the abroad education loan. Immovable Property: Immovable property which includes Flat, house, lands with clear demarcation or commercial properties Liquid Securities: which includes Fixed Deposits, insurance policy, Government bonds etc Third party Collateral Education loan: collateral placed can be anyone's property (Family, Friends etc). Read More: https://www.wemakescholars.com/blog/collateral-education-loan