Canada stands out for its exceptional education system and vibrant cultural immersion. There is a huge influx of students who step into this incredible country for their higher education. However, the MBA programs are some of the most sought-after degrees to study in Canada. MBA is a gateway to umpteen career prospects in Canada and other countries as well. But studying abroad comes with a substantial price tag and not every student can afford to spend such a hefty amount.
As it is rightly said perseverance pays off if you wish to find the right solution for it. And one of the easiest solutions to fund your MBA degree in Canada is to opt for an education loan. We know that you might have a lot of queries, like how, where and what. But don’t worry, we are here to help you by providing all the essentials to take an education loan for Canada, so let us move ahead.
Cost to Study MBA in Canada
If we talk very specifically about the cost of education for MBA, it includes tuition fees and the cost of living which includes accommodation, food, transportation, utility bills, etc. However, the cost varies depending on the educational institution and location. To simplify it in numbers, refer to the below table.
|CA$ 21,100 per year
|Accommodation and Living Costs
|CA$ 20635 per year
With the cost of education to study in Canada, one of the most important things that you must know is a Guaranteed Investment Certificate. So, let us discuss it further.
Guaranteed Investment Certificate (GIC)
The Guaranteed Investment Certificate (GIC) presents a strategic financial avenue for students. It is a pivotal component of the Canadian student visa application, it is mandatory to invest a predetermined amount of $20,635, into a GIC. This investment serves as a tangible demonstration of sufficient funds to sustain a comfortable lifestyle during the initial stay in Canada. Unlike traditional funding methods, GIC funds are disbursed in installments, establishing a reliable financial support system for international students. Beyond meeting visa requirements, participants in the GIC program access a reasonable financial solution, ensuring a smooth transition into their academic endeavors. Now, stepping ahead let us explore the types of education loans in brief.
Secured & Unsecured Loans
Secured education loans for MBA studies in Canada require applicants to provide collateral, such as property insurance policies, or FDs, enhancing the loan application. This type of loan offers a favorable package, featuring low interest rates, a long repayment period, and the potential for higher loan amounts.
Conversely, unsecured education loans or non collateral education loan for abroad or MBA studies in Canada don’t require collateral. Without the need for any security, these loans have a higher interest rate and a comparatively shorter repayment tenure. Students opting for unsecured loans prioritize accessibility over the longer-term benefits associated with secured loan options.
Key Factors to Consider Before Opting for an Education Loan
To avoid any blunder in the future it is important to know some of the essential factors. So here we go.
- Interest Rates
Evaluate the interest rates offered by lenders. A lower interest rate can significantly reduce the overall cost of the education loan, making repayment more manageable.
- Repayment Terms
Consider the flexibility and terms of repayment. Choose a plan that aligns with your future financial projections, ensuring a smooth and stress-free repayment process.
- Loan Amount and Eligibility
Determine the maximum loan amount available and ensure it covers your educational expenses. Check eligibility criteria, as they may vary based on academic performance, course selection, and other factors.
- Grace Period and Deferment Options
Inquire about any grace period before the repayment begins and potential deferment options. A grace period provides breathing room after graduation, while deferment options can be crucial during financial hardships.
In a Nutshell
Pursuing MBA in Canada is a promising venture, but the financial aspects require thoughtful consideration. Education loans offer viable solutions. Understanding the loan types and crucial factors ensures a well-informed and successful academic journey. Thus, if you wish to find some of the most popular lenders for education loan in India for study abroad, you can reach out to some of the top overseas education loan advisors. All the Best!