Loan on Certificate: Understanding Education Loan on Marksheet

Not every bright student in India has the chance to realize the dreams of studying at a university of their choice. And, the reason is very clear, financial constraints. The cost of pursuing higher education in India or abroad can be very high, and to cover these expenses, education loans are available. A special education loan as a loan on certificate or marksheet loan, which is a loan against educational certificates and they can help you manage costs associated with studying abroad. The process of getting a loan on the certificate is simple. Let us first understand what a marksheet loan is, how to apply online, and how to make the process even simpler.

What is a Loan on Certificate or Marksheet Loan?

A loan on certificate is also known as a student loan or education loan, given to a bright student based on their exceptional academic performance. It is also called a marksheet loan or education certificate loan. Various public and private banks and non-banking financial companies (NBFCs) offer these loans based on your marksheets and certificates. Please note that there is a usual misconception that you have to give your certificates as collateral, which is not right. No bank or NBFC in India takes your certificates as collateral. They are submitted just to check your academic performance.

Let us understand with an example, you can get a 10th-class certificate loan or a loan against educational certificates to fund your education. These loans cover tuition fees, travel costs, books, and more as per the requirement.

Key Features of Marksheet Loans

Marksheet loans are of great help to students who are academically bright but unable to afford higher education due to financial reasons. Let us understand the features of marksheet loans in detail:

Easy Eligibility:

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  Banks check your marksheets and academic records.
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  Admission to a recognized university is required.

Covers Many Courses:

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  Undergraduate, postgraduate, and diploma courses.
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  Specialized fields like engineering, medicine, and management.

Loan Amount:

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  Up to INR 10 Lakhs for studies in India.
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  Up to INR 20 Lakhs for studies abroad.
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  Please note that depending on the bank’s discretion, the bank may offer higher amounts.

No Collateral for Small Loans:

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  No collateral for loans up to INR 4 Lakhs, however, parents as co-borrower is required.
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  For higher amounts, a security or collateral is required which should be equivalent to 100% of the loan amount

Quick Disbursement:

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  Certificate Loans are disbursed quickly, thus saving time.
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  Money will be deposited in the institute’s account.

What are the Reasons for Choosing Marksheet Loan?

A loan on certificate in India has many benefits. Bright students can take advantage of these loan on educational certificates. Here are the advantages:

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  No Financial Worries: With a marksheet loan, you can focus on your studies without worrying about expenses.

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  Student-Friendly Terms: Repayment starts after you finish your course or get a job, which is a big plus for students as they do not get pressured into repayments, instead, they can focus on their studies.

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  Lower Interest Rates: Marksheet loans offer competitive interest rates.

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  Apply Online: You can apply for a marksheet loan online from the comfort of your home.

Eligibility Criteria for a Loan on Certificate

Let us understand the eligibility criteria for a marksheet loan. To get a loan against marksheet, you must meet the following criteria:

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  Age: 18 to 35 years.

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  Citizenship: Indian resident.

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  Admission: Confirmed admission to a recognized university.

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  Co-applicant: A parent or guardian as co-borrower.

Documents Required for a Loan on Certificate

To apply for a loan against educational certificates for personal use, the following is the list of documents that are required:

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  Completed loan application form.
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  Copies of marksheets (10th, 12th, and latest certificates).
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  Proof of admission.
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  Identity and address proof.
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  Bank statements and income proof of the co-borrower.

Interest Rates for Marksheet Loans

Here are the latest interest rates from banks and NBFCs on GyanDhan:

How to Apply for a Marksheet Loan Through GyanDhan

Applying for marksheet loan online is simple and easy. You can apply for a marksheet loan from a bank or an NBFC (Non-Banking Financial Company), through GyanDhan, here is how:

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  Check Your Eligibility: First, you need to check your loan eligibility and a dedicated loan counselor will be assigned to you.

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  Submit Your Documents: Upload your marksheets, admission proof, and other required documents as communicated to you by your loan counselor.

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  Multiple Loan Tracking: Multiple marksheet loans will be applied and you can live track each of them on your dashboard

Tips for Getting a Marksheet Loan

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  Good Credit Score: A good credit score is very important when it comes to any kind of loan. Any lender will check your credit score before loan approval. Maintaining a good credit score increases your chances of education loan approval.

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  Stable Income of Co-applicant: A parent or guardian with a stable income will strengthen your application.

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  Apply through GyanDhan: GyanDhan simplifies the loan process and helps you get the best deal by searching for the best loan for you.

Why Choose GyanDhan?

GyanDhan is India’s first education financing marketplace. Let us know why thousands of students trust GyanDhan when it comes to education loans for abroad studies:

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  Easy, quick, accurate and free comparison of loans from multiple lenders by data-backed tools.
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  Expert guidance by a dedicated education loan counsellor throughout the loan process.
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  Faster approvals and disbursement as we have connections with almost all major lenders.
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  Absolutely free service right from application to approval.

Check your loan eligibility and start your study abroad journey!

Frequently Asked Questions