Join my Insta❤Fam: https://Instagram.openinapp.co/aravin...
Join my Telegram channel: https://t.me/aravindsuriya
What is the repayment holiday in education loan?
The moratorium period is usually the course duration plus 6 months or 1 year where the lender allows a student to take adequate time to sort out their finances and prepare for loan repayment accordingly.
Banks generally charge interest for the moratorium period, which is later added to the principal.
Tax benefits
There are no tax benefits on personal loans. However, spending on education through an education loan helps borrowers save on income tax.
Borrowers can claim a deduction of interest paid on a loan taken for pursuing higher education under section 80E of the Income Tax Act, 1961.
Not only this, under the Liberalized Remittance Scheme (LRS), the Tax Collected at Source (TCS) on amounts in excess of INR 7 lakhs is only 0.5%, if the funds are remitted through an education loan. The TCS on funds remitted through any other source is 5%.
Moreover, education loans come with an additional interest concession for girl borrowers of 0.5%, which is not available in personal loans.
Hidden videos to grow your YouTube Channel: https://vidiq.com/planfree
Learn how to analyse your YouTube analytics for FREE: https://www.tubebuddy.com/learn100
My Kit:
MAONO AUA03 Condenser Mic (Black): https://amzn.to/3YIdnaa
Ring Light with Tripod Stand: https://amzn.to/3Z4RstL
Boya M1 Mic: https://amzn.to/4158XMc
Poco X3 Pro: https://amzn.to/3KiQzJR
3 Books you must read:
The Disciplined Trader: https://amzn.to/3EjxpQi
The Psychology of Money: https://amzn.to/3lNsYXj
The Richest Man in Babylon: https://amzn.to/3IvqQMV