How much education loan can be availed for MCA studies? Know how much will be the EMI and how can you make an easy payment.

In today's time, MCA (Master of Computer Application) has become an excellent option for the youth making a career in the field of technology and computer science. If you want to do MCA but are holding back due to fees, then do not panic. Now many banks and financial institutions provide you the facility of education loan so that you can complete your studies without worrying about money.

If you are doing MCA from a recognized college or university, then you can easily get an education loan. Most banks give education loan up to Rs 10 lakh. Some private banks and NBFCs also give loan up to Rs 20-25 lakh, if the college is private and top ranking. While the fee for MCA in government colleges is between Rs 1.5 lakh to Rs 3 lakh, in private colleges this fee can go up to Rs 4 to 10 lakh. In such a situation, education loan becomes a big support for the students.

Interest rates and repayment process

Banks usually charge an interest rate of 8% to 12% on education loans. This rate can change according to the student's college, course and loan amount. Most banks do not charge any EMI during studies, that is, as long as you are doing the course, you do not have to pay EMI on the loan. This is called the moratorium period. During this time you can focus on studies. EMI has to be started within 6 months to 1 year of completing studies.

How does EMI become easy?

Suppose you took a loan of Rs 3 lakh and have to repay it in 5 years, then the EMI becomes around Rs 6,000 to Rs 7,000 per month. If you take a loan of 7-8 lakhs, then the EMI can be between 12,000 to 15,000 rupees. If you want, you can also extend the EMI period to 7 years, which will reduce the monthly installment a little more.

What documents are required?

College admission letter
Fee structure
Mark sheets of previous class
Aadhar card, PAN card
Proof of income of co-signer (parent)