When to Use a Personal Loan for Education?

 The most vital step before kick-starting your career life is tertiary education. A degree, possibly a Masters’s, other higher accreditation, or any specific or advanced courses might be able to ensure a stable and successful career for you.

However, paying for education isn’t easy, and hence you might consider taking a loan in Singapore. While you decide about taking a loan, it is essential to know that personal loans shouldn’t be your first option in this situation. If you are a Singaporean, your first and best choice would be to opt for an education loan due to these loans’ impressive terms and conditions.

But, in some cases, you might not qualify for an education loan. That is when you should go for personal loans. Let’s have a look at when to choose personal loans!

Situations When You Should Opt For Personal Loans

1.       If you aren’t qualified enough for an education loan.

As a requirement, you should be above 21 years of age and should have an annual income of S$24,000-S$30,000 to qualify for most education loans. If you fail to fit these criteria, you can alternatively find a guarantor for you.

If you cannot seem to fulfill the requirements, perhaps a personal loan is the perfect option.

Please be mindful that personal loans would require you to start repaying immediately, unlike education loans that are to be paid after you complete your education. Therefore, personal loans might as well have higher interest rates.

2.      If your course doesn’t qualify.

When you receive the approval for your education loan, the lenders directly direct the amount to your institution. This indicates that your course needs to be offered by an approved institution. If not so, getting an education loan might get complicated.

In a situation like this, you can always go for personal loans to support yourself.

3.       If the limit on education loans exceeds.

While planning to take an education loan, it is clever to organize your budget. As an example, you will need to pay for books, stationery, lab charges, etc., with the tuition fees, and hence it might lead to exhausting the limit of the amount offered in the education loan in Singapore.

Consequently, you can aid your additional expenses with personal loans.

How to Apply For Personal Loans?

We are now aware of situations when personal loans might come in handy. Therefore, it is crucial to know how to apply for one. It can be a complex process to choose lenders, and hence comparison sites like Lendela make it easier and more convenient for us.

The process you need to follow is just so simple. Go on the website and start your application, select the best lender after receiving diverse offers, sign the agreement, and get the funds deposited!

Conclusively, a personal loan in Singapore can be advantageous when education loans aren’t available as an option to us. So pick the perfect choice with Lendela and plan your repayment wisely!

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