Education Loan for Study in Canada

Canada is the favorite destination center for higher education among international students. It is known for its quality education, high standard of living, and diverse culture. The cost of living here is high compared to other countries. So, students need to make their budget before going to Canada. Living and studying in Canada may not be financially possible for every student. In that case, the bank will help you. Getting an education loan to study in Canada has helped many candidates fulfill their dreams.

In this article we will discuss the entire process of obtaining a study loan for Canada, covering eligibility, the application process, and the necessary documentation required. Additionally, we will also want to know what the expenses covered by the student loan for studying in Canada.

Documents Required for Education Loan for Study in Canada

In recent years there has been a substantial increase in the number of international students looking for education abroad. So the demand for loans is also increased to process these loans banks verify candidate's details with a specific set of documents for study loan approval. Here is the list that the candidate needs to submit to the bank to obtain a study loan. 

• Admission letter from University

• Loan application form

• Passport size photographs

• Academic documents

• Documents of qualifying exams (like GMAT, IELTS)

• Resident proof of the student 

• Statements of borrowers' bank accounts

• Income proof of the guarantor

Education Loan for Study in Canada: Eligibility

There are certain criteria that students need to follow before applying for an education loan. These criteria include.

• Having proof of acceptance from a Canadian institution.

• The candidate's age should be more than 18 years old.

• Your academic record should be good.

• The chosen course should promise career opportunities.
  

How much Money is Required to Study in Canada?

To calculate how much money is required to study in Canada you have to calculate both course fees as well as your living expenses, Studying in Canada cost also includes transportation and accommodation. Here are some lists with the average cost. You should include it in your budget.

• Canada College Application Fee: INR 11,000

• Canada Visa Application Fee: INR 4,500

• Entrance Exam Fee: INR 14,000

• Post-Graduate Courses Fee: INR 9,54,000

• Undergraduate Courses Fee: INR 6,46,000 – 16,15,000

• Study Permit Fee: INR 11,123

• Flight Expenses: INR 1,00,000 – 2,00,000 per flight

• IELTS Test Fee: INR 15,500

• Accommodation: INR 2,67,000 – 5,39,000 per year

• Travel Costs: INR 4,300 – 6,000 per month

• Health Insurance: INR 17,000 – 44,000

• Food: INR 17,500 – 23,350 per month

• Entertainment: INR 43,700 per month

How much Cost to Study in Canada?

The cost of tuition fee depends upon the type of course and university you selected. The average amount you need to pay is between CAD 15000 to CAD 40000 annually. Typically, humanities, education, and art courses are more affordable compared to medicine and Engineering. Some of the course and their fees are listed below:

Here are some undergraduate-level courses and their average cost in CAD.

Expenses Covered by Education Loan for Study in Canada

While applying for an education loan the bank will provide you with different schemes. It is advisable to know which scheme aligns best with your requirements because different schemes cover varying expenses. You also enquire with a bank, what the additional expenses covered under the loan scheme, besides the tuition fee. 

The study in Canada cost includes the following lists.

• Travel expenses

• Tuition fee

• Cost of buying books and study material

• Laboratory fee

• Hostel fee

• Expenses for project work
  

Work Permit after Study in Canada

The work permit after study in Canada offers Candidates the opportunity to gain valuable work experience in the country. Students who graduate from certain designated learning institutions(DLIs) are eligible for post-graduation work permits (PGWP). The graduation work permit is totally dependent upon the course and its duration. The maximum validity of PGWP in Canada is 3 years.

Duration of Post-Graduation Work Permit in Canada

The duration of PGWP depends upon the duration of the study

• If the duration of the study is less than 8 months you are not eligible for PGWP.

• If the duration is less than 2 years but more than 8 months. then you will get a work permit equal to your course duration.

• You will get 3 years work permit. If the course duration is 2 years or more.

Education Loan for Study in Canada FAQs

1. Can I get an education loan to study in Canada?

Yes, if The candidate should have received acceptance from a foreign university, and the applicant's age must be above 18 years.

2. Who is eligible for a student loan in Canada?

Candidates who get an offer letter and fulfill all the requirements that the bank needs are eligible to apply for a loan in Canada.

3. What is the interest rate for an education loan in Canada?

The interest rate is between 9.2% to 10% for education loans in Canada.

4. Which bank is best for a Canada study loan?

HDFC, SBI, and ICICI Bank are the best for Canada study loans.

5. How much bank balance is required for study in Canada?

CAD 20,635 per year bank balance is required for study in Canada in the year 2024.

6. What are the 3 main requirements for being eligible for a Canada student loan?

Age, academic record, and acceptance letter are the 3 main requirements for being eligible for a Canadian student loan.