Education Loan

From Financial Literacy Wiki

Education Loan are taken by students to finance their tuition fees, purchase of books and personal computers, hostel charges and living expenses. The tuition fee loan is a special education loan provided by the government to students studying in local polytechnics and universities. These loans are administered by some local banks. It is interest-free during the borrower's years of study. Once the borrower has graduated, interest will start to accrue and the borrower has a fixed schedule to repay loan.

Some banks do offer loans for students pursuing overseas studies. But these loans will usually require collateral or personal guarantees from students' next of kin.