According to reports, Australia draws over sixty thousand global students across the world hailing from over two hundred nations which helps in giving Australia a multicultural, linguistic, and ethnic diversity. There are several reasons why Australia is very popular and continues to hold a stronghold in the international student market. Even though Australia does not have the finest institution of higher education in the world like the United States of America or the United Kingdom, it does have universities that offer good quality education.
Admission into good universities in Australia is relatively easy. Reports state that the University of Melbourne, which is a top-ranking university in Australia, has over 20,000 international students, a figure that is close to the total number of students enrolled at Harvard University. The other factors that contribute to Australia's success in enrolling international students include the availability of two- to four-year post-study work visas thereby giving students to work in Australia for a couple of years after completing their course in Australia.
Other factors include the fact that Australia is in close proximity to major countries in Asia and the growing perception that Australia, especially the main cities of Melbourne and Sydney is welcoming in nature, and welcoming to foreigners, in addition to the fact that several restaurants and shops in Australia cater to Chinese clienteles. Thus Australia has succeeded in drawing students living outside Europe, for the most part from China. Australia has thus been advertising itself as an English-speaking country with good universities, coupled with a good climate and a welcoming culture for international students.
Australia is increasingly being recognized for the quality of education that is imparted to students and the safe study environment that it offers to international students, in addition to giving students the opportunity to assimilate career-relevant experience into their study which is extremely valuable.
With the hike in high tuition fees, and exchange rates fluctuating coupled with accommodation and other necessary expenses, an international student wishing to reside and study in Australia may require an educational loan and financial assistance to pay for tuition fees, accommodation, and other general but essential requirements.
Points to keep in mind while applying for an overseas student loan
Introspect and contemplate your career prospects and the goals that you have. Conduct a thorough and comprehensive check about course fees of various colleges and universities, the facilities they offer as well as the benefits they provide to international students. Check to see if you meet the eligibility criterion. Prove evidence of your financial standing and state the amount of liability that you can take.
Undertake research on the job market and the job opportunities that can be offered to you after you have completed your course. This will give you an idea of how to repay the loan that you have taken from the bank.
After you have finalized the course of your choice, compare the interest rate, processing fees, repayment terms, and prepayment charges among others. Check to see if you will be required to pay collateral or provide a guarantor. Understand how much the student loan will cover, i.e. if it will cover tuition fees, accommodation costs, books and supplies, study equipment, and other general and living expenses. It is important to have a clear understanding of what your scholarship will cover so as to have an understanding of how much money you have to pay from your pocket.
There is a deduction for various student loans not on the principal amount but on the interest that a student pays. This deduction is available to students if they take loans from registered banks and is available to students for a period of eight years or until the entire amount of interest is paid. Take advantage of these benefits to cut down your costs.
It is always advisable to have a back plan that you can use in case you are unable to pay your student loan. Due to some unforeseen circumstances, if you are unable to get a job after completing your course, or if you are forced by circumstances to leave an organization after being hired, you would still be required to pay back your educational role. Thus you should spend wisely, curtail your expenses and ensure that you save. Your savings will come in handy if you are unemployed for an interim period. It is advisable to save and have savings for at least six or eight months so that you are able to pay your installments in a timely manner without delay so as to mitigate the chances of having a negative impact on your credit score.
To apply for a student loan from Australia, a student has to meet the list of the following important criteria.
There are essentially three kinds of loans that students to help can avail of to finance their education and support their cost of living in Australia.
They are as follows:
The interest rate depends on the bank or the student’s chosen university or the Australian government issuing the loan. The various modes of repaying the loan include cheques, cash, draft, online payment, or demand drafts. You can either pay the loans monthly or on a quarterly as per the policies and guidelines of respective banks. Bank loans, unlike university loans, can be repaid after a student has finished the course or after a year or two after completing their course. There are some banks that do not permit early payments so be sure to check with your bank in order to prevent paying any penalties for paying the bank early.
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