Student loans are extremely useful credit facilities that help many aspiring youngsters fulfil their dream of pursuing higher education. If you have availed of a student loan or two, you, too, may have benefited from the funds disbursed. However, if you’re having trouble repaying the debts today, have you considered getting a personal loan to pay off student loans easily?
A personal loan is an unsecured borrowing that comes with no restrictions on the end usage of funds. For this reason, you can use the funds borrowed via a personal loan to prepay your student loans if you wish to.
Both student loans and personal loans have their own advantages and flipsides. Student loans typically carry lower interest rates than personal loans and may even come with a longer repayment tenure. However, personal loans tend to have more relaxed eligibility criteria and offer the benefit of restriction-free end usage of funds.
If you have a hard time finding a job after your education, or if your income is not sufficient to meet all your student loan obligations, you can avail of a personal loan to pay off student loans quickly. This can also be helpful if you have multiple student loans to repay because, with a personal loan, you can consolidate your debt into one loan.
When you choose to obtain the best personal loans to pay off student debt, you stand to gain many advantages. Here is a closer look at how personal loans can help close your student loan obligations earlier than planned.
Although student loans may have lower interest rates, you may be able to get a personal loan at more competitive rates if you are pre-approved for the facility. Furthermore, with a personal loan of shorter tenure, you may also be able to reduce the overall interest repaid, thus saving money in the long run.
You may have availed of more than one student loan to meet the costs of your higher education. With time, keeping track of all these EMIs and computing how much you need to pay towards the principal and the interest may get more challenging. By consolidating these debts and getting a single personal loan to pay off student loans, you can streamline the repayment process.
If you have one or more co-signers for your student loan, you can release them from their obligations by getting a personal loan to pay off student loans. This will reduce the financial burden on the co-signers while simultaneously making repayment more efficient for you.
In case you have multiple student loans, keeping track of the EMI repayments and the outstanding balances can quickly become tedious. An effective way to tackle this would be to avail of a personal loan to pay off student loan dues.
One of the best personal loans to pay off student debt would be an instant loan that you are already pre-approved for. You can get an instant loan directly to your Savings Account through the Fi Money app. These are pre-approved personal loans made available to select users with good credit scores.
On the Fi app, this process is 100% paperless, and the loans are provided at competitive interest rates — where each user remains in control with complete visibility of all details. Plus, you can avoid EMI late fees by setting up automatic in-app payments. Our licensed partner bank assigns an eligible loan amount to each user (up to ₹5 lakhs).
One of the fastest ways to pay off student debt is to pay a little more than the minimum EMI each month. You can also consolidate your student debts by getting a personal loan to pay off student loans quickly.
Each type of loan comes with its own advantages. A student loan may carry lower rates of interest and have a longer repayment tenure. A personal loan, on the other hand, can help you consolidate multiple student loans and repay them easily.