1Calculate the full cost of study
Include tuition, examination charges, books, equipment, travel, accommodation, deposits and day-to-day living costs. For overseas study, allow for exchange-rate movement and visa-related expenses.
2Understand the moratorium
A moratorium delays regular EMI payments, but interest may continue to accrue. Read whether interest is simple or compounded during the study period and what happens when repayment starts.
3Estimate post-course income carefully
Use realistic entry-level salary ranges, not only the highest campus package. Consider the location, cost of living, job-search period and whether the qualification is accepted by target employers.
4Compare contribution and loan amount
Family contribution, scholarships and part-time earnings can reduce borrowing. A smaller principal can make the first working years much easier.
5Create a repayment backup plan
Keep documents organised, track interest statements and plan how payments will continue if employment is delayed. Avoid taking additional consumer debt during the transition.
Practical checklist
- Verify course recognition
- Calculate living expenses
- Read moratorium interest terms
- Estimate realistic starting income
- Keep a repayment contingency
Frequently asked questions
Does interest stop during the moratorium?
Not always. Interest commonly continues, so check the lender’s exact terms.
Should living expenses be included?
Yes, if they are essential and cannot be funded separately.
Is future salary guaranteed?
No. Use conservative career assumptions when deciding the loan amount.
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