About Study/ Education Loan
For students who are not able to pursue their education in abroad or India, Education loans serve as financial aid to these students. If education loans were not available, millions of students could never take admission into their dream universities. However, not everyone will get an abroad study loan for Canada without collateral because the lenders reject most of the loan applications.
So, Education or study loans can help students in making their dream come true. For any information regarding study loan for Canada without security, students can visit Dialabank.
Types of Education Loan
Education Loan is further categorised into two categories, i.e. Collateral and Non-collateral education loan.
- Collateral education loan– Here, the borrower pledges collateral to take a loan against it. Also, Collateral could be a house/ a flat/ non-agricultural land/ fixed deposits/ government bonds and insurance policies. The banks offer the study loan to students according to their pledged collateral’s value and total expenses.
- Non-collateral education loan– The second one is a Non-collateral education loan. Here the lenders do not take any security/ collateral for an unsecured or non-collateral education loan, but there is a set of requirements, and they give study loan for Canada without security to only eligible candidates.
Eligibility criteria for study loan for Canada without security
- Academic Profile: The student should have scored a minimum of 60% in 10th, 12th, and degree as well. The student shouldn’t have more than 3 backlogs.
- Co-applicant or CIBIL score: It is the deciding factor for an unsecured education loan. It is because that as lenders are proceeding without security so they can assure that if a student in future fails to repay the loan, then on the student’s behalf, their financial co-applicant would pay the amount.
- Course/Degree: Courses like UG, PG in STEM disciplines are usually preferred by lenders over courses such as Public policy/ Aviation but never PhD, Mbbs, tailoring, etc.
- University: Private banks provide the list of universities for which they usually approve an unsecured loan.
Here’s the list of documents that are required for a study loan for Canada without security:
- KYC documents
- 2 Passport-size photographs
- Bank Statement of the previous 6 months
- A copy of the Offer letter of the particular Institute/university along with the fees schedule
- Mark sheets of S.S.C., H.S.C, entrance test or Degree courses.
- Income proof includes salary slips
How to apply for a study loan for Canada without security
- Students should visit our website and click on the request for a callback button
- Select the region and click on proceed
- Students should Fill in the form with basic details.
- After submitting the request, a callback will be received from our financial officer.
- The financial officer will help the student out in choosing the lender that is best for them.
- Then the financial officer will provide you with a secured link to a portal, where you have to upload all the required documents.
- Once all the documents are uploaded, the financial officer will connect you and provide you with the best deal.
✅ Can I get a study loan for Canada without security?
✅ Is any processing fee levied for applying for a study loan without providing collateral?
Yes, for availing of a study loan without collateral, a processing fee will be required. The processing fee may vary just depending on the lender.
✅ Do the interest rates increase in the case of a study loan for Canada without security?
Yes, it totally depends on lenders. They can levy higher interest on study loans without collateral.
Table of Contents
- 1 About Study/ Education Loan
- 2 Types of Education Loan
- 3 Eligibility criteria for study loan for Canada without security
- 4 Documents Required
- 5 How to apply for a study loan for Canada without security
- 6 FAQ’s