Bajaj Finserv Balance Transfer: Rahul took an education loan from XYZ Bank to study abroad. However, after two years of repayment, he realised that the EMIs and interest rates of the current loan needed to be aligned with his financial conditions. He consulted one of his friends who recommended education loan refinancing.
Knowing about the benefits like lower interest rates and optimised monthly payments, he was convinced to choose Bajaj Finserv for refinancing. Let’s cover the basics of education loan balance transfer with Bajaj Finserv, refinancing interest rates and other important details.
Table of contents
Bajaj Finserv Balance Transfer/ Refinancing
Bajaj Finserv is one of the best banks for education loan refinancing. It means that applicants who are facing difficulties with the repayment of existing student loans can refinance their loans or transfer the balance for reduced interest rates and monthly repayments.
It can also be availed to get longer loan tenure. On the contrary, applicants also choose shorter loan tenure during refinancing to save money on the total interest paid. Students can also avail of the following benefits of Bajaj Finserve refinance loans-
- Applicants can change the type of loan to adjust the terms and conditions that suit their requirements. A personal loan for debt consolidation can be merged into one loan for simplification of debt.
- Alternatively, an education loan with floating interest rates based on RLLR or MCLR can be changed to a fixed-rate education loan.
- EMIs on education loans can be reduced to what you were paying earlier.
- Repayment tenure can be increased or decreased as per needs, helping you ease the financial burden.
- With Bajaj Finserv, you can refinance your education loan at lower interest rates. The balance transfer will bring down the overall cost of education loan repayment.
Also Read: If you wish to apply for an education loan through fresh application, check out the details of Bajaj Finserv personal loan for education.
Bajaj Finserv Refinance Interest Rates
Bajaj Finserv features takeover loan facilities at attractive interest rates. These loans come with affordable interest rates starting from 8% to 14% p.a at floating rates of interest. Various factors determine refinance interest rates. These include credit score, income and employment history, debt-to-income ratio, loan amount and term, and lender policies.
- An applicant with a higher credit score, preferably 700 and above has a better chance of fulfilling the eligibility for a Bajaj Finserv balance transfer of education loan at low interest rates.
- Applicants with stable income and employment history secure better loan conditions.
- A higher debt-to-income ratio indicates higher monthly payments compared to monthly income. An applicant with a low debt-to-income ratio can secure lower interest rates, suggesting they can manage additional debt.
- Applicants with shorter loan terms and shorter repayment periods qualify for lower interest rates due to reduced risk.
- Lender policies on institution rank and course chosen also determine the refinance interest rates.
Process of Bajaj Finserv Refinance for Education Loans
In case you are planning to proceed with a Bajaj Finserv balance transfer, the process is quite simple. To make a good decision, start by examining several lenders and determine the best pick for you. Talk about the loan agreement and confirm the terms and conditions of the loan agreement. Here’s how to refinance your education loan with Bajaj FInserv:
- Start the process by submitting the foreclosure application to your existing lender.
- Fill out the application form for Bajaj Finserv refinance and submit all the supporting documents including foreclosure documents, previous loan sanction letters, and loan statements.
- Await for the bank’s response as they examine your application form based on parameters like creditworthiness, income, and other financial factors.
- Depending on the same, the bank will rework the loan terms and conditions and reduce the interest rates to make EMIs more manageable.
- Now that you have agreed to the new conditions, a Bajaj Finserv balance transfer is successful. You will be provided with a fresh loan sanction letter and pay off your existing education loan.
- Based on it, you can start paying off your obligations using the terms defined in the revised agreement.
Also Read: Check out the details related to education loan cancellation due to unforeseen circumstances. Learn about the process and implications.
When to Consider Education Loan Refinance?
It is ideal to consider education loan refinancing only when you are facing financial challenges with the existing terms and conditions of the education loan. Refinancing your education loan at the wrong time can lead to rejection of your application. Here’s the best time to apply for education loan refinance:
- It is ideal for refinancing a loan when the interest rates charged by the current lender are excessive and you come across a different lender offering education loans at attractive lower interest rates. This helps in lowering the monthly payments.
- When you notice an increase in CIBIL score, you can refinance your education loan to get more favourable terms and conditions and better interest rates.
- When your monthly income has increased, you can choose to shorten the repayment tenure and save money on the total interest paid.
- You can refinance your education loan if you wish you remove or add a co-applicant and add a fresh set of terms and conditions.
FAQs
Yes, applicants who wish to pursue higher education in India or abroad can apply for Bajaj Finserv education loans. Applicants can take a ‘Loan against Property’ of up to INR 40 lakhs at interest rates ranging from 8% to 14%.
Yes, you can. Bajaj Finserv is one of the best banks for education loan refinancing. It means that applicants who are facing difficulties with the repayment of existing student loans can refinance their loans for reduced interest rates and monthly repayments.
Bajaj Finserv features takeover loan facilities at attractive interest rates. These loans come with affordable interest rates starting from 8% to 14% p.a at floating rates of interest.
Various factors determine refinance interest rates. These include credit score, income and employment history, debt-to-income ratio, loan amount and term, and lender policies.
You need to submit the foreclosure education loan application with the existing lender. Fill out the education loan application of the new lender and attach the required documents. Wait for the bank to assess your loan application, creditworthiness, income, and other financial factors. If you fulfil the eligibility criteria, the lender will approve your loan refinancing application.
Absolutely. With Bajaj Finserv, applicants can change the type of loan to adjust the terms and conditions that suit their requirements refinance your education loan at lower interest rates that will bring down the overall cost of education loan repayment.
To know more about education loans, the best bank accounts for students, forex and banking experience for global students or international money transfers, reach out to our experts at 1800572126 to help ease your study abroad experience.
Follow Us on Social Media
