Student Loan Calculator is a free tool and is specially designed to calculate Student Loan-related details. With the help of this tool, you can simply find out the monthly EMI and Interest to be paid on the loan.
How to use Student Loan Calculator?
A student loan calculator can be simply used by following the steps given below.
- First, enter the amount that you wanted to take from the bank for your studies.
- Now provide the rate of interest charged by the bank on the loan amount under the Interest Rate section.
- Now provide the time period up to which you will repay the student loan.
What is Student Loan Calculator?
A student loan calculator is a free tool that will help you to calculate the EMI and interest on the Student Loan that you have taken from Bank. With the help of this tool, you can calculate your interest amount on the principal amount over the long period that will be paid by you.
This tool will also help you to decide up to which limit you can borrow student loans.
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Why is Student Loan Calculator Important?
There are a few reasons why student loan calculators are important.
- The Student Loan Calculator will help you understand how much you need to borrow? This is much important because it will help you stay within your budget.
- The student loan calculators will also help you to understand the repayment process of the loan, that you have taken. And it is essential because it will help you to make sure, you are making progress towards paying off your loan.
- Also, with the help of student loan calculators, you can compare different loans available in the market. That will literally help you to select the best available option for you.
Criteria Required to get Student Loan from Banks
There are some criteria that should be followed to get a Student Loan in India.
- The student who is willing to get a student loan in India from any bank must qualify for the entrance exam of that college and secure a seat for himself.
- You should be a Permanent Resident or Citizen of proud India.
- You have to disclose your institution fee and also need to demonstrate your financial need to your Bank Manager.
- In most cases, the student secured a seat in government colleges like IIT, IIM and also in top private colleges like BIT Mesra, VIT Vellore, and BITS Pilani have a greater chance to get a Student Loan from any public or private sector bank.
Benefits of Student Loan Calculator
Let’s check out some possible benefits of a student loan calculator.
- After providing some basic information, you can exactly get the data that how much amount you have to return every month.
- Later on, these details will help you to budget your future expenses.
- You can check, up to which limit you can make your repayment.
- This tool will make it possible for you to compare different Student Loans at different interest rates charged by banks.
- Based on the information provided by the Calculator, you can plan the Student Repayment Plans.
- Last but not the least, based on the information calculated by this tool. Possibly you can make your unique decision.
Final Words
The purpose of the Student Loan Calculator is to help the student community to calculate their EMI for the loan they have taken. You have also gone through some major benefits of using this tool. Further, if you have any doubts, suggestions, or any query related to this tool, then let us know by commenting down below.
FAQs
Q: How is Student Loan EMI calculated?
Ans: EMI amount = [P x R x (1+R)^N]/[(1+R)^N-1]
Q: Which bank is best for an education loan?
Ans: The bank which offers low-interest rates with longer repayment duration is the best bank to get student loans.
The Article written by the indoGeeks Team is well researched from different sources. Do let us know any typo or other kind of error by commenting down below. It will help us to make this internet a good and error-free source of information for the community.