Unimoni Introduces Overseas Education Loan in Association with Various Financial Institutions!

Unimoni is stepping forward as one of India’s leading education loan providers. It offers various education loans for students pursuing higher education abroad. Unimoni education loans are known for their competitive interest rates, flexible repayment options, and easy processing. Unimoni provides many value-added services to its international students, such as visa processing and foreign exchange assistance. If you are planning to study abroad, Unimoni is an excellent option for an education loan!

A customized education loan from Unimoni offers:

  • Ease of application: online & doorstep service
  • Competitive rate of interest
  • Attractive tax benefits
  • Up to 100% finance covering tuition fees & living costs
  • Unsecured loans up to INR 75 lakhs
  • Easy EMIs with repayment tenure of up to 15 years
  • No margin money
  • Loan sanction even before admission confirmation
  • Co-borrower flexibility
  • No hidden charges
  • Quick and hassle-free process

Here are some of the additional benefits of Unimoni education loans:

  • Competitive interest rates: Unimoni offers competitive interest rates on its education loans. You will pay less money over the life of the loan.
  • Flexible repayment options: Unimoni offers flexible repayment options, such as the ability to defer payments while in school or make smaller payments during the first few years after graduation.
  • Easy processing: Unimoni’s education loan process is quick and easy. You can apply for it online or at any Unimoni branch.
  • No collateral required: Unimoni does not require collateral for study loans up to Rs. 4 lakh. It makes it easier for students to qualify for the loan.
  • Coverage for all expenses: Unimoni education loans can cover all your expenses, including tuition, living expenses, travel costs, and even books and supplies

Why you should Opt for an Education Loan for your Studies Abroad?

Education loans can be a great way to finance your studies abroad. They offer many advantages, including affordability, lower interest rates, longer repayment terms, flexible repayment options, and tax benefits. If you go for self-finance, it will drain all your savings. And in the case of scholarships, it will only cover a part of your expenses. Scholarships are available only for a few, not everybody.

There are many advantages to opting for a student loan for your studies abroad, including:

Affordability and coverage for all expenses

Education loans can help you cover the high cost of studying abroad, including tuition, living expenses, and travel costs. It allows you to attend your dream school, even without financial resources. It will help you avoid taking out multiple loans or relying on other funding sources.

TCS Exception while Remitting your University Fee

Suppose you are remitting your study abroad university fee through a bank or money transfer service in India. In that case, you may receive a TCS Exception message if the amount you send is below the TCS threshold.

The TCS threshold for foreign remittances for study abroad purposes is Rs. 7 lakh per financial year per person. If you remit less than Rs. 7 lakh, you are not required to pay TCS. However, you may still receive a TCS Exception message. Because the bank or money transfer service may need to verify that the remittance is for study abroad purposes before they can exempt you from TCS.

If you’re paying for overseas education through an education loan, a Tax Collected at Source (TCS) of 0.5% will be applicable if the amount exceeds Rs. 7 lakhs. On the other hand, if the remittance is made directly through the Liberalised Remittance Scheme (LRS) and not funded by an education loan, then a TCS of 5% will be applicable if the amount exceeds Rs. 7 lakhs in a financial year. It’s essential to be aware of these regulations to avoid unnecessary penalties or fees.

Nature of Payments
Rate of Collection for TCS
LRS for education,Financed by loan from financial institution
Nil upto RS 7 lakh 0.5% above Rs7 lakh
LRS for educations,other than financial by loan
Nil upto RS 7 lakh 5% above Rs7 lakh

Income tax exception for your study abroad education loan

You can claim income tax exemption for the interest paid on your study abroad education loan under Section 80E of the Income Tax Act, 1961. This exemption is available to the borrower and the co-borrower, if any.

To be eligible for the deduction, the following conditions must be met:

  • The loan must be taken from a recognized and approved financial institution.
  • The loan must finance higher education for the borrower, their spouse, children, or legal heirs.
  • The higher education must be pursued at a recognized institution abroad.

The tax deduction for loan interest is available for a maximum of 8 years, starting when the borrower begins repaying the interest on the loan. The maximum deduction allowed is Rs. 1.5 lakh per fiscal year.

To claim the deduction, you will need to submit the following documents to your income tax officer:

  • Form 10E, which can be downloaded from the Income Tax Department website.
  • A copy of the loan sanction letter.
  • A copy of the loan repayment statement.

Form 10E is a form that is required to be submitted to the Income Tax Department of India by individuals who are remitting foreign currency for study abroad purposes. The form is required to be submitted for remittances that are above the TCS threshold of Rs. 7 lakh per financial year per person. If you are claiming the deduction on behalf of your child, you must also submit a copy of their birth certificate or any other proof of relationship.

Here are some additional things to keep in mind about the income tax exemption for study abroad education loans:

  • The deduction is available only for the interest paid on the loan, not the principal amount.
  • The deduction is available for a maximum of 8 years, even if the loan repayment period is extended.
  • If you repay the loan in full before the end of the 8 years, you cannot claim the deduction for the remaining years.
  • The deduction is available to individual taxpayers and Hindu Undivided Families (HUFs).

If you have any questions about claiming the income tax exemption for study abroad education loans, consult a qualified tax professional.

Eligibility for Unimoni Education Loan

The eligibility criteria for an education loan vary from bank to bank, but there are some general requirements that all borrowers must meet. These include:

  • Citizenship: To be eligible, the applicant must hold Indian citizenship.
  • Age: The borrower must be at least 18 years old and not more than 35 at the time of loan application.
  • Admission: The borrower must be admitted to a recognized educational institution abroad.

In addition to these general requirements, some banks may also require borrowers to meet additional criteria, such as:

  • Collateral: You may require borrowers to provide collateral, such as a property or a bank deposit, to secure the loan if your loan amount exceeds 4 lakh.
  • Academic record: Some banks may also consider the borrower’s educational history when approving the loan.

Things to Remember While Taking an Education Loan for Studies Abroad

Here are some things to remember while taking an education loan for studies abroad:

  • Compare different lenders: Many other lenders offer education loans for studies abroad. It is essential to compare your various loan offers before deciding. Consider each loan’s interest rates, repayment terms, and other fees.
  • Please read the fine print: Read and fully understand all the terms and conditions before signing any loan agreement. Make sure to review the contract thoroughly to avoid any confusion or misunderstanding. It includes the interest rate, repayment terms, prepayment penalty, and any other fees associated with the loan.
  • Borrow only what you need: Don’t borrow more money than you need to cover your educational expenses. Making lower monthly payments will help you to repay your loan more comfortably once you graduate.
  • Have a plan for repaying the loan: Before taking out an education loan, ensure you have a plan after graduation. Consider your job prospects and earning potential when creating your repayment plan.
  • Consider getting a cosigner: If you have a good credit history, you may qualify for an education loan without a cosigner. However, if you have a limited credit history or a low income, getting a cosigner may help you qualify for the loan and get a better interest rate.

    Here are some additional tips:
  • Start planning early: Remember that the earlier you prepare for your education loan, the better. It will give you more time to research different lenders, compare loan offers, and complete your paperwork.
  • Be organized: Having all your paperwork in order is essential when applying for an education loan. It will help you avoid any delays in the loan processing process.
  • Ask for help: If you have any queries or uncertainties regarding education loans, seek help from a financial advisor or education loan counsellor without hesitation. They will assist you in comprehending the various loan options and selecting the ideal loan that meets your requirements.

Visit our website or apply online for an education loan today:

Please note:

The decision to grant an education loan is at the sole discretion of Unimoni Financial Services Pvt. Ltd. (Unimoni). Unimoni reserves the right to decline an education loan application for any reason without providing any explanation. Unimoni may require additional information or documentation from the applicant before deciding on the loan application. The terms and conditions of the education loan, including the interest rate,