Education Loan for PG Diploma in Canada: Interest Rate, Eligibility, Process

In Canada, do you intend to study for a Postgraduate (PG) Diploma? Thanks for taking this important step to advance your education and profession, and congrats! However, the cost of studying in Canada is a significant worry for many students. Education loans can help with that. We’ll provide you with a quick overview of Canadian school loans for PG Courses in this blog post. Learn how loans like these can help you pay for your education and realise your ambitions of attending college across the Great White North. 

Benefits of a PG Diploma

Because the PG Diploma Course is offered by Canadian institutions & a few Canadian colleges, students prefer it because it allows for simple entry into the nation and does not need applicants to have very good grades.

• Because a typical postgraduate degree curriculum in Canada can be rather expensive, many people choose to pursue a PG Diploma instead.
• Admission requirements include an appropriate undergraduate degree having a cumulative GPA of at least 50% or an IELTS English Proficiency Level of 6.5.

Also Read: Study in Canada for Indian Students – Colleges, Admission Cycle, Visa

Cost of studying for PG Diploma in Canada

The affordability of Canada’s PG Diploma programmes makes it a popular destination for students interested in obtaining such degrees. The annual cost of a PGDM programme typically ranges from 15,000 to 40,000 Canadian dollars. It is crucial to keep in mind that these numbers are approximations and may change based on the institution of higher learning or college. Furthermore, the annual cost of living in Canada normally runs from 18,000 to 20,000 CAD. The costs are broken down as follows:

Expense	Cost
Health Insurance	CAD 300 – CAD 800 per month
Travel	CAD 80 – CAD 110 per month
Utilities	CAD 400 – CAD 500 per month
Food	CAD 300 – CAD 400 per month
Accommodation	CAD 5,000 – CAD 10,000 per annum

Looking for affordable Student Accommodation in Canada? Reach out to Fly Homes!

Secured PG Diploma Education Loan in Canada

During the application process to obtain a secured education loan, borrowers are required to provide collateral as security. Collateral includes things like real estate, fixed deposits (FDs), or insurance policies. With this type of loan, you can potentially borrow more money and pay it back over longer periods of time with often cheaper interest rates. Since lenders see the collateral as an insurance policy in the case of a default, such loans are more readily available. Let’s examine the numerous financial firms that offer secured student loans and their key characteristics.

Lender Name	Amount (in INR)	Margin Money	Interest Rate
UBI	Up to 1.5 Cr	10% (listed university) 15% (non-listed university)	10.5% – 10.85%
SBI	Up to 1.5 Cr	10%	10.65% (for girls) 11.50% (for boys)

Also Read: Alberta Student Loan

Unsecured Education Loan For PG Diploma In Canada

Indian students can apply for an unsecured loan to study for a postgraduate degree in Canada without putting up any collateral. Due to greater lender risk, unsecured loans have shorter repayment durations and greater rates of interest than secured loans.

Major unsecured student loans are offered by three different types of lenders for PG Diploma programmes. For some universities and schools, private banks provide lengthier terms for repayment, higher rates of interest, and fewer loan options.

Unsecured loans from nonbank financial institutions (NBFCs) come with a 10-year repayment period, higher rates of interest, and fewer lending options. International lenders, in contrast to the first two options, offer unsecured loans with the highest interest rates but no co-applicant requirement.

Lender Name	Maximum Loan Amount	Rate of Interest	Margin Money
IDFC FIRST Bank	Up to 35 Lakhs INR	11.75% – 13.25%	Nil
Incred	Up to 30 Lakhs INR	12% – 13%	Nil
Prodigy Finance	Up to 100,000 USD	12% – 14%	Nil
Axis Bank	Up to 50 Lakhs INR	11% – 13.50%	5%
HDFC Credila	Up to 40 Lakhs INR	11.75% – 12.50%	Nil
Avanse	Up to 25 Lakhs INR	12.50% – 13%	Nil
Auxilo	Up to 30 Lakhs INR	12% – 13%	Nil
ICICI Bank	Up to 50 Lakhs INR	10.85% – 12.50%	0 – 15%
MPOWER Financing	Up to 100,000 USD	12.99% – 13.99%	Nil

Also Read: Maybank Education Loan Singapore: Application, Eligibility, Benefits, Loan Limit

How To Choose The Best Education Loan Options?

After looking into a variety of lending choices for your education loans for international students pursuing a PG diploma in Canada, you are now equipped to make a well-informed decision. On the other side, there are so many choices that it might be overwhelming. Comparing the following elements is crucial when choosing the best lender for your requirements:

• Inflation Rate
• Processing cost and duration
• Margin Cash
• Interdiction Period
• Tax Advantage
• Loan Period
• Covered Costs
• Terms and Conditions for Prepayment

You may choose the best student loan option that satisfies your needs and offers attractive terms and conditions by carefully analysing these factors.

Also Read: Student Loan Requirements To Study In The UK: A Comprehensive Guide 2023 

Eligibility

Prior to starting the loan application process, it is essential to review and meet the eligibility conditions for the lender you have chosen according to the information provided above. A nice and trouble-free experience is ensured by doing this. The following general prerequisites for eligibility apply:

• Confirmed acceptance into a reputable Canadian university.
• The applicant has to be at least 18 years old.
• The academic history must be outstanding.
• It will be necessary to take an English proficiency test and, if necessary, perform another standardised test.

Also Read: List Of Approved Foreign Universities For Education Loan

Documents Required

Following the determination of your eligibility, you can start the documentation process. When applying for a student loan to study for a postgraduate degree in Canada, the following documentation is needed:

By the applicant

• PAN/Passport/License/Voter The driver’s licence and other identification cards are permitted.
• Address: a current copy of the passport, driver’s licence, Aadhaar card, electricity bill, water bill, gas bill, or telephone bill.
• Passport
• Academic history exam results collected from undergraduate, 12th, and 10th levels (e.g., GMAT, GRE, TOEFL)
• Admissions paperwork: The acceptance letter. A letter of conditional admission is also acceptable.
• Report on costs and expenses.
• Two photos the size of a passport.
• Please submit a year’s worth of loan A/C statement if you have previously received credit from another financial institution or lender.
• The student will receive compensation for three months if they have work experience.
• Property records (for a secured student loan) 

Co-Applicant’s Statement

• (PAN and Aadhar/Any) ID and Address Proof
• A three-month pay stub or proof of a company address
• Recent six-month bank statements
• Form 16 and ITR are both valid for two years.
• Own home evidence (E-Bill)
• Photo the size of a passport

Also Read: How To Pick The Right Student Loans To Study Abroad? Here Are A Few Tips!

Application Process

Applying for a PG Diploma education loan in Canada is simple. On the other hand, managing multiple lenders could be overwhelming. To make things simpler, we’ve taken the following actions to streamline the process of acquiring a loan for education for a postgraduate degree in Canada:

• Verify your eligibility before calculating the sum of the education loans for your abroad studies. Start the application after that.
• A student loan advisor will get in touch with you and offer recommendations for the finest lenders in light of your requirements.
• Depending on the lender’s desire, submit your documents either online or offline. The process of verification begins after submission.
• You will receive an acknowledgement of loan acceptance once everything is done. After you sign the agreement based on the letter, the procedure will be finished and the funds will be released.

Also Read: British Columbia (BC) Student Loan For International Students: A Guide

FAQs

Hope this blog gave you all the necessary information regarding the Education Loan for PG Diploma in Canada. For more information on study abroad loans and international money transfers visit us at FlyFinance.