Highlights

Citizenship	South African
Age	Minimum- 18 and Maximum- 35
Academic Qualifications	Good academic record in 10th, 12th and graduation (if applicable)
University Application	Accepted with a conditional or unconditional offer by a foreign university
Co-Applicant	Parent, spouse or parent-in-law
Collateral Security	Land, house, Mutual Funds, Fixed Deposits, etc

Eligibility Criteria to Apply for Education Loans

Before applying for an education loan the first crucial step is to check if you are eligible for a student loan. Here are a few common requirements you should check off your list before applying for an education loan.

Citizenship and Age Requirements

The bare minimum and most important student loan eligibilities are the citizenship and age requirements. You must be a citizen of South Africa and a minimum of 18 years of age and a maximum of 35 years of age to apply for a student loan in South Africa to study abroad. If you are not 18 years of age, your parents will have to apply for a student loan.

Academic Qualifications 

If you want to apply for a student loan, you should have a good academic record right from your high school. Banks approve student loans of those candidates who have shown great academic achievements in their 10th, 12th and graduation. If you have a good academic record, the loan amount sanctioned to you will also meet your expectations. There is no minimum grade or percentage requirement imposed as student loan eligibility by the banks or education loan schemes. 

University Application

Another basic student loan eligibility is your university application status. You must be accepted in one of the top-ranking universities abroad or any recognized foreign university. This is a mandatory requirement for all South African students who want to apply for a student loan. An offer letter with your acceptance from the university is required. 

Co-Applicant 

A co-applicant is the person who is responsible for your student loan if you, as a student who is the main applicant, fail to repay the student loan. Your parents, guardians, spouses, and parent-in-law (if married) can become your co-applicant to fulfill this student loan eligibility. 

Collateral Security 

A student loan or any loan is granted against collateral security. Such education loans are known as secured student loans. Basically, if your expected loan amount exceeds R15000 , you must provide collateral security. Types of collateral security that you can pledge or give against the student loan are-

• Immovable property or assets like non-agricultural land, house, etc  
• Intangible assets like mutual funds, fixed deposits, life insurance policies, etc 
• Immovable assets or property of the third party (friends, relatives, etc)

Apart from the three types, the last one is very rarely accepted depending upon the student loan scheme. With collateral security, you can get a loan amount of R20000. 

Documents Required for Education Loan in South Africa

Documents to be submitted by a student who is applying for a student loan-

• Proof of Identity- PAN Card, AADHAAR Card, or Voters ID
• Proof of Residence- The electricity bill, water bill, LPG/gas pipe bills
• Valid Passport (not expired)
• All academic transcripts- 10th and 12th mark sheets and passing certificates, semester-wise mark sheet if already graduated
• Entrance Exam results (IELTS, TOEFL, GMAT, or GRE)
• Offer Letter– Conditional or Unconditional from the university abroad that has accepted you
• A statement expressing your estimated cost of studying and living expenses
• 2 passport size photos 
• Previous Loan A/C statement if taken any 

Apart from this, you have to attach your bank statements along with co-application details to your student loan application. 

Procedure for Getting an Education Loan

In order to process your application for an education loan swiftly, you can either refer to Leverage Finance, who will guide you through your entire loan application, or follow the following steps.

• First and foremost, research the course for which you are interested in applying
• Also, figure out the exact tuition fees you are required to pay for that course
• Compare the various type of student loans you can apply for and choose the one which covers your tuition fees in the maximum amount
• After choosing the suitable education loan, fill up the application form with accurate details
• The bank will contact with you all the further details as soon as your loan gets approved
• After you sign the final liability form the bank will discourse your loan to your account