Self-Finance vs Education Loan for abroad studies: Which is better?
Self-finance means that the students fund themselves through savings or with support from family and friends. On the other hand, students can also take loans from the government or private banks and repay them later.
In case you have saved money, it will definitely help you because you will not have to worry about the interest rate or repayment. Even family members may not ask for any interest.
The students must demonstrate their payment capability to the university. The banks can provide this letter as proof of finances if the student has taken a loan.
Taking a loan can not only improve your CBIL but also lets you save money or other important times such as emergencies.
Moreover, a student loan can provide you with a flexible period before which you have to repay. Taking a loan from a government bank can give you a payback period of up to 15 years!
Hence, it can be said that student loans are a more flexible and convenient option for students who want to study abroad!