In today’s labour market, having a Masters degree or PhD can significantly boost your career prospects. These advanced degrees can unlock higher paying positions and move you up the career ladder quickly. But these graduate degrees come at significant costs.
It’s good if you have the money to finance your graduate studies. However, shelling out a huge amount from your own bank account may not be the wisest choice. Instead, consider taking out an educational loan from banks or quick money lenders.
Here are three compelling reasons to consider an educational loan for higher education.
You will still have cash for emergencies
It isn’t wise to empty (or nearly empty) your personal savings to get an advanced degree. For one, you will have no money left to spend when an emergency arises. Let’s say while studying, you encounter an accident that puts you in hospital. Who will foot the bill? If your bank account has very little money left, your medical bills will be an additional problem to deal with.
In contrast, you will still have an ample amount of money if you finance your graduate studies with an educational loan. The loan will take care of your tuition payment; you don’t need to shell out a large portion of your savings upfront. This way, if an emergency happens, you will have the money to pay for medical bills and other related expenses.
Moreover, having cash to spare is a lot better for your living conditions while studying. For instance, rent and other costs of living may go up as you complete your degree. When prices go up due to inflation, you will have the money to keep living a decent life.
You have better chances of studying abroad
When you decide to study abroad, the costs of obtaining a graduate degree are generally higher than they are in Singapore. You may not have enough money in the bank to study in your dream school overseas.
In this case, taking out an educational loan will help a lot. The loan can help cover most of the costs of your chosen program and institution. It might not cover 100% of your tuition, but it can at least take a huge bulk of it off your shoulders. While you still have to pay the remaining tuition out of your own pocket, you will have a significant sum of money left for living expenses.
You don’t have to repay the loan right away
One good thing about educational loans is you are not obligated to start repaying the loan while you are still studying. Depending on the terms of the educational loan, repayment can start as late as two years after graduation. Ask banks or money lenders in Singapore to find out more details about their educational loans and repayment terms.
With more lenient terms, you can focus on completing your advanced degree without worrying about repayment yet. The caveat here is repaying the loan after you graduate may incur higher interest rates, so it may be better for you to start repaying the loan as soon as you can – even while you’re studying.
If you plan to take a master’s degree or any advanced education, you don’t have to fork over a large amount of your own money. Take out an educational loan from quick money lenders or banks to ease the financial burden on yourself. Having a reserve of cash while you study can save you from many headaches down the line.