Parenthood brings lot of joy but also ushers in responsibilities.
A nationwide survey conducted by Aviva has suggested that most parents view education as the most important milestone for their child and try saving for it. The survey also revealed that most parents were unaware of the rising cost of education.
The good news is that there is a plethora of financial instruments available which can help you do this.
Education loans are very common among students largely looking at professional courses in India as also education abroad. These loans cover the tuition fees as well as the living expense (if required) of the student while he/she is studying.
However, these loans are mostly offered for select, well-known, credible universities. Furthermore, loan repayment is an added burden for the child. Investing and saving over a longer period makes it easier to accumulate corpus and to choose what or where he/she wants to study.
Plan for uncertainty
Among the various investment options, mutual funds and fixed deposits work on the premise that you are going to be alive through the product term and invest regularly.
So, unfortunately, if the parent is unable to continue investment due to sudden death or a critical illness, the nominee can get only the total corpus available on that date
This is where a child education insurance plan comes to your rescue. Child plans ensure that the corpus for education will be available as planned.
The policy is not terminated in the event of the policyholder’s untimely death, disability or critical illness as all future premiums are paid by the insurance company (as lumpsum). Additionally, interim expenses, such as school fee, are provisioned through a regular stream of income till the child turns 18. Investing in such plans can give you the peace of mind and the assurance that your child’s dreams will be met, whether or not you are around.
So invest early and gift your child a bright future for Education Loan to Study in USA.
abroadstudyloan 