Introduction

The United Arab Emirates (UAE) stands out in every aspect of life as it is not just famous for Burj Khalifa and Desert Safari, it is also famous for its boat parties, iconic hotels, malls and a lot many things pouring in. It is a regional hub of businesses where people acquire a style of living that is known worldwide. This attracts a lot of international students to pursue their higher education in the UAE. Studying in an economically and academically thriving country like the UAE will relish the academic experience of the student and will also encourage them to explore different cultures.

But such experience always comes at a cost. The overall cost of living in the UAE may seem a little overwhelming to students coming from different economic conditions. This is when an education loan comes into the picture. But do you ever wonder is it even possible to get an education loan to study in the UAE from India?  

If you are looking for the same, then you have stumbled upon the right article. Let us find out in the course of this article whether it is possible to get a student loan to study in the UAE from India, and if not, what would be the possible reasons behind the same. Before we delve into the entire debate of whether financial aid can be made available to candidates who wish to study in the UAE, here is a small glimpse of the type of abroad education loans that are available in India.

Types of Abroad Education Loans in India

Majorly education loans in India depend on collateral security. Collateral security is a security pledged by the student with the lender in order to avail an education loan. In India, education loans are further divided into two categories i.e. secured or collateralized loans or unsecured or non-collateralized loans. In order to obtain a collateralized loan, students are required to pledge collateral security i.e. some sort of assets like a flat, house, fixed deposits, insurance etc. On the other hand, in non-collateralized loans, students are not required to pledge any collateral in order to avail an education loan. In fact, students encounter a hard time to get an unsecured education loan as these loans are offered on the basis of a student’s academic profile and their co-applicant’s financial profile. In India, unsecured education loans are provided by Non Banking Finance Companies (NBFCs) and private banks. 

Eligibility Criteria to avail a student loan to study in UAE

Students who are seeking an education loan to study in the UAE, it is very important to understand a few things. First and the foremost thing, unsecured education loans are not necessarily accommodated by the financial institutions for the students who are willing to study in UAE i.e. the chances to get one is pretty low. Therefore, in this case, Government banks are the only source who are offering secured overseas education loans to study in the UAE. However, students must not rely on this completely as government bank education loans come with its own set of terms and conditions.

• The student’s academic profile has to reflect excellent performance throughout their academic career. This means that students having backlogs in their academic profile will not be deemed as eligible for an education loan.
• The value of the collateral being pledged as security for a Master's education loan should be higher or at least equal to their actual education loan requirements.
• Individuals who possess a strong financial background should be named as co-applicants for an education loan for Master’s study.
• For students who are willing to fund their higher study courses in the Middle East, there are special rules and regulations. For eg. SBI education loan, which is considered to be the best bank for education loan in India, requires students to take a country deviation to be able to fund their courses in such countries.

But the chances are bleak to get an education loan to study in UAE if you approach Government banks directly as they do not accept and take such cases into consideration. Therefore, we recommend you to connect with our team at WeMakeScholars as our financial team will help you find out how you can successfully get an abroad education loan for courses in different countries abroad.

Why Don’t NBFCs Risk to Grant Unsecured Abroad Education Loan To Study in UAE?

One of the prime reasons why students usually face difficulty in getting an unsecured education loan to study in UAE from NBFCs is that the financial requirements stated by each emirate in the conglomerate is different. Also, UAE is one of the countries which does not fall under the list of countries set by the NBFCs as most universities in UAE are not very highly ranked. One of the main eligibility criteria set by the NBFCs is that they pay very close attention to the university ranking and are very particular about the country a student has opted for. 

Besides that, the UAE Government requires the university or a resident sponsor to directly apply for a student visa or approval of the relevant General Directorate of Residency and Foreigners Affairs (GDRFA) is required. A student cannot individually apply for one. At present, a student visa for study in the UAE is given for a duration of one year. It can be renewed if the student is able to produce an official proof of continuation from the relevant higher educational institute in the UAE where he/she is admitted. With this, NBFCs are a bit skeptical on granting loans for study in the UAE. 

When students directly approach banks, their application might get rejected directly as banks generally do not accept such cases. Therefore, we recommend you to connect with our team at WeMakeScholars as we share a professional affinity with the banks which makes it possible for us to push the applicant’s profile a  little harder from student’s end to get a UAE student loan. So, if you are looking for a student loan to study in UAE, get in touch with our financial team at WeMakeScholars today. 

Conclusion

As we know now, lenders thoroughly examine a candidate's profile who has requested an abroad education loan for study in the UAE. For eg: students who requested an education loan for pathway courses, lenders decide according to the rate of success of a particular course or university/college. Let’s say, the success ratio of the applicants who have applied for pathway programs in the USA is almost 100%. As the USA is one of the most preferred destinations for higher education by Indian students, most lenders consider universities based in the USA to be reliable.

But the same cannot be promised for courses in the Middle East. This is because most universities located in the middle eastern countries of UAE are not present on the eligible countries list of many government banks in India. It also depends on whether the student meets the criteria mentioned in the education loan details of the respective bank. In this case, not many lenders can provide student loan to study in UAE. 

But do not worry, WeMakeScholars will come to your rescue as we can make it possible only if you apply through us. As we share a professional affinity with the lenders, our financial team can push your application a little further and get it done. Therefore, if you find yourself stuck in such a situation, do request a callback with our team. If your profile meets all the criteria of the particular lender, our team will ensure that you get your UAE student loan application approved.

Note: WeMakeScholars is an organization funded and supported by the Government of India that focuses on International Education Finance. We are associated with 10+ public /Pvt Banks/ NBFCs in India and help you get the best abroad education loan matching your profile. As this initiative is under the Digital India campaign, it’s free of cost. The organization has vast experience dealing with students going to various abroad education destinations like the US, Canada, UK, Australia, Germany, Sweden, Italy, New Zealand, France among others.