Student Loan in New Zealand
A country that currently houses over 400,000 students from countries across varied parts of the globe, New Zealand ranks among the hottest study abroad destinations. A serene locale coupled with a magnificently developed cityscape, this island nation promises a thriving and vibrant university experience for students hailing from diverse backgrounds. Owing to its world-class education system, exceptional teaching facilities and student infrastructure, the country sees an average 5% increase in its student numbers each year. This rising student influx has accelerated the search for the ideal student loan in New Zealand which helps finance higher education and shoulder living costs for students in the country.
Eligibility Criteria Of Education Loan For New Zealand
Sorting out finances might be the last thing on a student’s mind upon receiving their acceptance letter to their dream university. But it should be the first. Scholarships are another popular option next to loans but a student might not necessarily qualify for one. And in addition, scholarships only cover part of the expenses leaving the student to foot the rest. In order to obtain a student loan in New Zealand, a student needs to know the eligibility criteria for the same.
- The student must be an Indian citizen.
- The student must be a minimum of 18 years of age.
- The student must have received their acceptance/admission/offer letter to a higher education institution in New Zealand.
- The financial body should recognise the course the student has been enrolled in (undergraduate degree, postgraduate degree, training or professional certification, diploma course).
- The student should possess the required documents pertaining to their previous academic record.
Documents Required For Study Loan For New Zealand
A student will be required to submit a set of documents as part of obtaining a New Zealand student loan. It is always best to have the aforementioned documents ready upon applying for an education loan in the country to save you time and energy and subtract unnecessary hassles that could delay your loan sanction. Following is a list of documents required for a student loan in New Zealand.
- Identity proof such as AADHAR card, PAN card and Passport
- Completed loan application form
- Admission letter to a higher education institution in New Zealand
- Documents pertaining to the cost of education
- Proof of residence
- Proof of income of the student and the guarantor
- Bank statements of the student and the guarantor
- Documents pertaining to previous academic records
Cost To Study Abroad In New Zealand
New Zealand lies somewhere in between when it comes to the cost of education. Sometimes cheaper than certain Western counterparts, other times it ranks as a fairly expensive study destination. A primary determinant of tuition fees is what course you are enrolled in with certain specialised degrees having costlier tuition fees as opposed to others. Another factor that determined tuition fees is the university you are studying at with renowned ones having heftier tuition costs. Roughly, tuition in New Zealand ranges from NZ$ 22,000 to NZ$ 32,000 annually.
Things That An Education Loan In New Zealand Covers
Education loans vary in terms of what expenses they cover among their other features. While some loans only help with tuition fees, certain student loans even help with living expenses in the city. To pick the right student loan in New Zealand, a student has to decide what costs they want to be covered by their education loan. Students also decide on which loans to pick based on their repayment policies and interest rates. Technicalities aside, a basic student loan should cover the following expenses.
- Tuition costs
- Student accommodation (university-run or private)
- Course Material
- Books & Library fees
- Transportation Costs
- Insurance premium
Types Of Loans Available To Study Abroad In New Zealand
When it comes to types of loans, there are a plethora of options available and even options of self-financing, fixed deposits and much more to choose from. Education loans are widely divided into two categories, secured and unsecured loans. They are discussed below.
Secured Loans: Secured loans require the student to provide an asset as security or collateral. They are usually provided by recognised public or government banks. They are a popular option for a student loan in New Zealand.
Unsecured Loans: As opposed to secured loans, unsecured loans do not require a student to keep any collateral with the bank. They are usually provided by private commercial banks and non-banking financial companies (NBFCs). They are generally opted for by students who do not have any assets to serve as collateral to secure a loan.
Tips For Choosing The Best Education Loan
Students always face a roadblock when it comes to choosing the right education loan for themselves. And, the policy of “one size fits all” cannot be applied when it comes to picking a student loan. Thorough research and combing through several options is the best way to ensure a student loan that fits your needs. Some tips for choosing the best student loan in New Zealand are mentioned below.
1. Chalk out your expenditures and let that serve as the basis for your loan amount.
2. Interest rates come into the picture, particularly during the time of repayment and research regarding the same is of immense importance.
3. It is always best to choose for a longer repayment duration which factors in time spent looking for employment post-graduation.
4. It is always advisable to conduct your operations through registered banks or NBFCs to avail of income tax benefits.
5. Check the loan’s margin amount.
6. Keep track of the processing time for the education loan.
7. The loan application should be made well in advance, preferably three months before the visa interview.
Why Choose UniCreds?
Unlike any platform of its kind, UniCreds minimises the hassles to secure a loan UniCreds, unlike any other platform, makes securing student loans easy. Here are some of the reasons why receiving a student loan in New Zealand with UniCreds is the best choice for students:
- Full financing (up to 100 %) for tuition and living expenses
- No margin money.
- Immediate sanctions in the event of an emergency
- Options for customised financing
- Comparing education loans
- Tracking of loan applications
- Loans with no collateral
- Doorstep delivery of services
- Paperless approval of loans
Frequently asked questions for student loan in New Zealand
International student loans in New Zealand are available up to the entire cost of study as assessed by the institution, excluding any additional help obtained. Tuition, housing & board, and living expenses are all included in the total cost of education.