Credila offers some unique education loans features like:
We have a technology, internet and phone driven application processing system. We also have a team across many cities in India, which work with parents and students and collect application forms and supporting documents from the house of parents.
Hence, Credila’s unique services make getting a loan simpler, faster and more convenient.
Credila Vs Others
Credila’s interest rates are very competitive. In many cases, they are the lowest interest rates. Credila has multiple education loan product categories. Once a completely filled application form is submitted to Credila with the required supporting documents, Credila reviews the applications on various parameters such as the academic background of the student, the country, the institute and the course for which the student is going, co-borrower details, financial support provided, collateral security provided etc. Based on a holistic review, appropriate product group is suggested for the approved cases. The comparison between Credila and Banks in terms of Education Loan offerings is as under:
Credila funds 100% of education and living expenses
Typically, banks do NOT fund all the cost of education. Non only margin money is required, but typically banks sanction the loan only of the amount which is dependent on the value of the collateral, even if it's lower than the total cost of education
Credila funds 100% of the expenses. No margin money required
Banks require anywhere from 15 to 30% as margin money
Currently Credila is the only lender in India who can offer more than Rs. 20 lacs of education loan.
No other bank offers education loan more than Rs. 20 lacs
Credila is the only lender in India who can offer loan approval; even before the student gets any confirmed admission letter from any academic institute
Having confirmed admission is mandatory while applying for education loan at the banks. Most banks won't be able to even process the education loan application before any confirmed admission.
Credila can offer loan with repayment terms of 10 years for select cases
Most banks typically offer 7 years repayment period
Credila offers 5-6 choices of education loan products as per the requirements of the student if the creditworthiness of the student is established
Banks typically have a standard product without much flexibility
Credila offers door step service for applying for education loan
Banks typically require borrowers to visit their branches for their education loan needs
Credila is the only lender in India who offers the choice to the student to repay the loan from the USA in US Dollars.
No other bank offers this benefit
Other than origination fees and interest rate, there are no other hidden charges
Legal fees and registration charges etc. are to be paid separately by the borrower while taking education loan from banks.
Credila can accept partial collateral
Generally speaking, most of the banks require collateral more than the value of the loan
Credila can accept multi-city coborrowers
Most banks typically require the coborrower to be in the same city as the city of the bank branch
All legal fees, registration charges are included in Credila's origination fees
All legal fees, registration charges are to be paid in addition to the processing fees of most of the bank
Generally, there is no need to open a new bank account
It's mandatory to have the bank account with the bank for some period of time
Not required at all
Cooperative banks can only give loans to their members. Therefore, there is a hidden cost for the students and parents. Parents are forced to buy shares of the cooperative bank and hold it. This is additional cost and money gets locked in. Without that the borrower doesn't become eligible for any loane
By taking education loan from Credila, students and parents get tax benefit on their interest repayment as per Income Tax section 80E
It's also available from most banks.
Collateral security can be less than 100%
In most cases, collateral security has to be around 100% or more
No registered mortgage
Registered mortgage is required
Credila offers extremely competitive interest rates
Banks have a range of interest rates