Education loan for MBA Course in Canada
Posted by Rita Biswas on February 22nd, 2020
Canada is one of the top 10 countries in the world from the purview of higher education. Umpteenth international students travel to Canada in pursuit of postgraduation every academic year.
If we look at the statistics, application for education loan is in huge numbers every year and the banks are also taking interest in offering higher quantum of finance to high-calibre students. Given in this article is a brief account of education loan from an MBA point of view especially in the educational institutions of the Canada.
Cost of MBA course
The Memorial University offers full-time MBA course to international students at an annual tuition fee of CAD 4,833, which is one of the cheapest fees amongst all the other universities in Canada. The University of Regina, Canada offers post-graduation in Business Administration at an annual tuition fee of CAD 24,713 to CAD 25,195 spanning 24 months which is an average cost of MBA studies. The highest fee for an MBA course ranges from CAD 44,500 to CAD 56,328.
List of Premier Educational Institutions in the Canada
As far as a well-recognised nationalized bank is concerned, student loans for studying abroad for admissions to the premier educational institutions are granted without much ifs and buts, that too, at a lower rate of interest. A few reputed educational institutions for MBA course in Canada are given below:
Nationalised as well as private banks subsidize rate of interest by 0.5% to 1% for female candidates, an employee of the bank and the academically exceptional students.
Overseas Education Loan
As previously stated in this article, the cost of post-graduation studies in Business Administration ranges from a minimum of CAD 4,833 to CAD 56,328 at the most. The yearly living expense in addition to the tuition fee is approximately CAD 10,000 for an international student. It is hard for a student to self-finance higher education in such a developed country.
Students are free to apply for either secured education loan or an unsecured education loan as any of it accepted by the Canada immigration officer at the time of visa application process. If you’re curious to know about the best bank for overseas education loan, reach out to an experienced loan advisor or a recognized study abroad consultant.
Quantum of Finance
Under an unsecured education loan, student can get an approximate amount of 7.5 lakhs from a nationalized bank whereas private banks sanction up to 40 lakhs for MBA studies at the Prime A premier educational institutions and up to 25 lakhs for Prime B institutions. Canada immigration office accepts loan letters from NBFCs as well. A loan amount of INR 15 lakhs to INR 20 lakhs of education loan is granted by the NBFCs.
In case, a student is willing to mortgage collateral at the lender then a loan amount of 1.5 Cr or more can be sanctioned by the nationalized banks.
Generally, the marginal cost is 10% of the total expenses for the course. However, this is the minimum percentage applicable and it may vary from bank to bank. Let’s understand the concept better. Suppose the total expense is INR 50 lakhs for an MBA course and you’ve borrowed 30 lakhs only, then the marginal cost at the rate of 40% is 20 lakhs. If INR 10 lakhs is disbursed at an interval, then the marginal cost to be incurred by the applicant is INR 4 lakhs and INR 6 lakhs is borne by the bank itself.
Besides these basic factors, there are a lot many other factors to consider while studying abroad. If you want to know how to get an education loan for study abroad, do not hesitate to contact or visit an experienced loan advisor. You may also contact studies abroad consultants for any help in MBA courses.
Keep visiting the page!
Like it? Share it!
About the AuthorRita Biswas
Joined: August 13th, 2019
Articles Posted: 10
More by this author