Arranging adequate funds is often the most crucial factor for
students looking to go abroad to study. And although it is still
considered more affordable, when compared to some of the other
popular destinations, the cost of higher education in India
is rising as well.
This is especially true for those how want to pursue professional
courses like Management, Medicine, Engineering and Law, where
the tuition fee alone can amount to lakhs of Rupees.
So far, most students found comfort in knowing that in absence
of deeper pockets, they could always make use of one of many
education loans on offer. However, the recent economic slowdown
has left them speculating on the viability of such loans. Earlier
hopes of getting a decent placement after the said course enabling
the repayment of the education loan was assurance enough for
most students. But now with the issue of placements itself coming
under question, they may no longer be the best option.
Not only has the economic slowdown made it more difficult for
students to gain access to higher education, it has also made
it more important. Earlier, a bachelor’s degree probably
would have sufficed to gain employment; today students must
leverage themselves on the basis of higher qualifications.
Money Matters
- Start planning finances for higher education from school
itself.
- A diversified portfolio of investments works better.
- A combination of equity investments and PPF give flexibility and is an ideal long term.
- Some of the sound investments option that can be considered for ones investments portfolio include post office schemes, fixed deposits, mutual funds, LIC policies , ULIPs, SIPs and fixed income instruments and equities.
Education loan can also be an option, notwithstanding the fact that tighter planning is required in terms of loan applications for higher education. Students should realise that if they invests judiciously now, they are likely to reap benefits in the long run.
