Auxilo Finserve Pvt. Ltd. has established itself as a reliable provider of education loans, especially for students aspiring to study abroad. Offering a wide range of services and customized loan options, Auxilo aims to make higher education more accessible for students across various countries. In this review, we will explore the key features, benefits, drawbacks, and overall user experience associated with Auxilo education loans.
Auxilo Education Loan Review
Auxilo Education Loan is a promising option for students looking to finance their higher education, both in India and abroad. As an NBFC (Non-Banking Financial Company) registered with the Reserve Bank of India (RBI), Auxilo offers a range of student loan products tailored to different needs, including options for vocational and skill education courses, as well as traditional undergraduate and postgraduate programs.
Apply for Auxilo Education Loan Online
One of the standout features of Auxilo’s education loans is their flexibility. The loan amount can go up to ₹20 lakhs for studies abroad and ₹10 lakhs for domestic education, with no collateral required for loans below certain limits. The interest rates are competitive, starting around 12-14% depending on the loan amount and whether collateral is involved. However, students should be mindful of the processing fees, which can range between 1-2.25% of the loan amount, depending on the loan size.
Auxilo Education Loan Approval Process
The loan approval process is typically fast, with some users reporting a processing time of about 3-4 days. Auxilo’s customer service has received praise for being responsive and helpful, making it easier for students to navigate the often complex loan application process. Additionally, the option of refinancing loans and top-up loans provides students with some degree of financial flexibility post-approval.
In terms of eligibility, Auxilo is accessible to Indian students of all ages (18 years or older), and the loan can be granted in the student’s name, with a co-borrower (usually a parent or guardian) required. Moreover, the lender provides full financing for courses at recognized institutions and offers special loans for various categories, including defense personnel and girl students.
Overall, Auxilo appears to be a solid choice for those seeking educational funding, with a streamlined application process, a variety of loan options, and a focus on customer support. However, it’s important to review the specific terms, including interest rates and processing fees, to ensure the loan matches your needs.
Advantages and Drawbacks of Auxilo Education Loan to Other Banks
Advantages of Auxilo Education Loan
- Quick Processing and Disbursal: Auxilo is known for its fast loan approval process. Many students report that loans are processed within 3-4 days, making it a great option for those who need funds urgently.
- No Collateral for Small Loans: Auxilo offers education loans without requiring collateral for amounts up to ₹7.5-10 lakhs, which is a significant benefit for students who don’t have valuable assets to pledge.
- Flexible Loan Amounts: For students pursuing education in India, Auxilo can finance up to ₹10 lakhs without collateral, while for international studies, loans can go as high as ₹20 lakhs. This flexibility helps students access higher amounts of funding.
- Wide Range of Eligible Courses and Institutions: The loan can cover a variety of academic programs, from undergraduate to postgraduate courses, and includes training programs and vocational courses. It applies to courses from recognized institutions in India and abroad.
- Additional Features: Auxilo provides a few unique benefits, including special loans for defense personnel, full financing for the course, and special concessions for girl students.
- Concessions and Benefits: Some attractive terms include 100% financing with no margin money for certain loan amounts, and a 1% concession on the interest rate if the borrower services the interest during the moratorium period.
Education Loan Without Collateral
Drawbacks of Auxilo Education Loan
- High-Interest Rates for Large Loans: While the interest rates are competitive, they can range from 12-14% depending on the loan amount and whether collateral is involved. This can be relatively high compared to some government-backed loans.
- Processing Fees: Auxilo charges a processing fee ranging between 1-2.25%, which can add to the overall loan cost. While this is not uncommon in the education loan sector, it could be a drawback for students who are already financially strained.
- Collateral Requirement for Larger Loans: Loans above ₹7.5 lakhs require tangible security in the form of assets like property or fixed deposits. This may pose a challenge for students without valuable assets or family support.
- Limited Government Subsidy Options: Auxilo does not offer government-backed interest subsidies (such as those available for SC/ST students under certain government schemes). This could be a disadvantage for students who would otherwise benefit from these subsidies.
- Eligibility Constraints: While there are no upper age limits for applicants, the loan requires a co-borrower (usually a parent or guardian), which may not be ideal for students without family support.
Auxilo Education Loan vs Other Banks
Here’s a comparison table between Auxilo Education Loan and other major banks offering education loans, based on several factors like interest rates, loan amount, collateral requirements, and processing time. This will help you evaluate the options and choose the best fit for your needs.
| Feature | Auxilo Education Loan | SBI Education Loan | HDFC Bank Education Loan | ICICI Bank Education Loan |
|---|---|---|---|---|
| Interest Rates | 12-14% (floating) | 8.65% to 10.65% | 10.25% to 13.75% | 10.50% to 12.50% |
| Loan Amount | Up to ₹10 lakhs (India), ₹20 lakhs (abroad) | Up to ₹30 lakhs | Up to ₹20 lakhs | Up to ₹20 lakhs |
| Collateral Requirement | None for loans up to ₹7.5 lakhs (India), ₹10 lakhs (abroad) | No collateral for loans up to ₹7.5 lakhs | None for loans up to ₹7.5 lakhs | None for loans up to ₹7.5 lakhs |
| Processing Time | 3-4 days | 15-30 days | 15-20 days | 15-20 days |
| Repayment Tenure | Up to 15 years | Up to 15 years | Up to 15 years | Up to 15 years |
| Moratorium Period | 12 months for most courses | 12 months for most courses | 12 months for most courses | 12 months for most courses |
| Co-borrower Requirement | Yes, required | Yes, required | Yes, required | Yes, required |
| Processing Fee | 1-2.25% | 1-2% | 1% | 1% |
| Special Benefits | 100% financing, special offers for girls & defense personnel | Interest concession for girl students & government schemes | Concession on interest rates for female students | Interest rate concession for female students |
Key Comparisons:
- Interest Rates: Auxilo’s rates tend to be higher (12-14%) compared to SBI’s 8.65%-10.65% and other banks like HDFC and ICICI which offer interest rates ranging from 10% to 13%.
- Loan Amount: While Auxilo offers up to ₹20 lakhs for studies abroad, other banks like SBI provide higher loan amounts (up to ₹30 lakhs), which could be more beneficial for students planning expensive courses abroad.
- Collateral: Auxilo does not require collateral for loans up to ₹7.5-10 lakhs, similar to other banks like SBI, HDFC, and ICICI for certain amounts. However, for larger loans, all banks (including Auxilo) require collateral.
- Processing Time: Auxilo’s processing time of 3-4 days is faster compared to the 15-30 days typically required by the other banks.
Top Government Education Loans for Abroad Studies
Benefits of Auxilo Loan
Auxilo offers quicker loan processing and flexible loan amounts, especially for smaller loans, with no collateral required for many. However, its interest rates are generally higher compared to SBI, which offers competitive rates and larger loan amounts with collateral-free options up to ₹7.5 lakhs. Banks like HDFC and ICICI also provide similar features, though with slightly different interest rates and benefits.
It is important to carefully review the interest rates, repayment conditions, and processing time to make the best decision based on your financial situation and educational needs.
Key Features of Auxilo Education Loans
- Loan Amount
Auxilo offers education loans of up to INR 65 lakh for students planning to study abroad. The loan amount varies depending on the course and country, with specific limits for different regions (e.g., up to INR 40 lakh for the US and INR 30 lakh for Canada). - Interest Rates
The interest rates offered by Auxilo range from 11.25% to 14%. The rates depend on various factors such as the loan amount, academic performance (especially GRE scores), and the co-applicant’s financial profile. For instance, higher GRE scores may qualify the borrower for a lower interest rate. - Processing Time
Auxilo is known for its efficient processing time, typically taking around 7-10 days to approve and disburse the loan. This quick turnaround makes it a great option for students who are under time constraints and need funds in a short period. - Flexible Repayment Options
Auxilo offers a range of repayment options, including a moratorium period (course duration + 1 year), which allows students to start repayment after completing their education. The repayment tenure can extend up to 15 years, giving borrowers ample time to repay the loan. - No Margin Money
One of the key advantages of taking an Auxilo education loan is that it does not require margin money, which means students can secure the entire loan amount without needing to contribute a percentage of the cost upfront.
Benefits of Auxilo Education Loans
- Wide Range of Countries Covered
Auxilo offers education loans for studies in popular destinations like the US, UK, Canada, Australia, New Zealand, France, Germany, and Ireland. This gives students access to funds for a variety of courses across the globe. - Pre-approved Loans and Doorstep Service
Auxilo offers pre-approved loans to eligible applicants, making the process quicker and more efficient. Additionally, they provide doorstep services to make the documentation process more convenient, especially for those unable to visit a branch in person. - Tailored Loan Solutions
Auxilo assesses each applicant’s financial situation and academic profile to provide customized loan packages that suit their needs. Whether it’s the loan amount, repayment period, or interest rate, students get flexible solutions based on their unique circumstances. - No Collateral for Loans up to INR 40 Lakh
Auxilo does not require collateral for education loans up to INR 40 lakh, which is a significant advantage for students who may not have valuable assets to offer as security. This makes it an appealing option for many.
Auxilo Education Loan Sanction
Drawbacks of Auxilo Education Loans
- Higher Interest Rates for Lower GRE Scores
For students applying with lower GRE scores (below 300), the interest rate can go up to 14%, which is on the higher side compared to other education loan providers. This may increase the overall cost of the loan for certain applicants. - Co-applicant Requirement
Auxilo requires a co-applicant with a steady income and a good credit history. While this is standard practice for education loans, it could be a hurdle for students who may not have access to a suitable co-applicant. - Processing Fees
The processing fees for Auxilo education loans range from 0.5% to 1.5%, which may seem reasonable, but it can still be an additional cost that borrowers need to account for. The exact fee depends on the loan amount and other factors. - Limited Coverage for Some Countries
While Auxilo covers many popular destinations, it may not offer loans for every country where students wish to study. This limitation may make it less suitable for students planning to study in regions outside of those listed.
Customer Experience and Feedback
Overall, Auxilo has garnered a positive reputation for its customer service and ease of loan disbursement. Many students appreciate the personalized approach to loan approval and the efficient processing time. The provision of doorstep service is especially valued by those who face challenges in traveling to a branch.
However, some borrowers have expressed concerns about the relatively high-interest rates for those with lower GRE scores, which can add to the financial burden in the long run.
Conclusion
Auxilo education loans offer a solid option for students looking to finance their education abroad. With a range of benefits like no margin money, flexible repayment options, and loans up to INR 65 lakh, Auxilo provides competitive offerings.
While the interest rates may be on the higher side for some, especially those with lower test scores, the loan approval process is efficient, and the personalized service makes it a strong contender in the education loan market. If you’re planning to study abroad and need financial support, Auxilo is worth considering for its tailored loan solutions and quick disbursement.
Frequently Asked Questions (FAQs) on Auxilo Education Loan Reviews:
What do people generally say about Auxilo Education Loans?
Auxilo Education Loans are generally well-reviewed for their quick approval process and flexible loan options. Many students appreciate that the loan can be processed in as little as 3-4 days, making it a viable choice for urgent financing needs. However, some users have mentioned that the interest rates (around 12-14%) are slightly higher compared to traditional banks, which can be a drawback for students seeking lower-cost loans.
How is the customer service of Auxilo?
The customer service of Auxilo has received positive feedback, with many users praising the responsiveness and helpfulness of their support staff. Students have found that the representatives are knowledgeable and provide guidance throughout the loan application process, which can be complex.
Is the Auxilo Education Loan a good option for studying abroad?
Yes, Auxilo Education Loans are considered a good option for studying abroad, as they offer financing up to ₹20 lakhs for overseas education. This loan amount is sufficient to cover tuition fees, living expenses, and other related costs for many international programs. Additionally, Auxilo provides 100% financing for eligible courses without requiring margin money.
What are the pros and cons of taking an Auxilo Education Loan?
Pros:
Quick processing: Loans are typically approved in 3-4 days.
No collateral required for loans up to ₹7.5-10 lakhs.
100% financing for certain courses.
Flexible repayment options and a moratorium period of up to 12 months after course completion.
Cons:
Higher interest rates compared to some government-backed loans, ranging from 12% to 14%.
Processing fees between 1-2.25% of the loan amount.
Collateral requirement for loans above ₹7.5 lakhs.What is the feedback on Auxilo’s interest rates?
The interest rates offered by Auxilo (around 12-14%) are considered competitive but can be higher than those of government-backed education loans. While the rates are flexible (floating), some borrowers feel the rates may be on the higher end, especially for large loans. Students with good credit scores and financial backing may find better rates elsewhere.
What are the eligibility criteria for an Auxilo Education Loan?
To apply for an Auxilo Education Loan, students must:
Be an Indian citizen with a minimum age of 18 years.
Have secured admission to a recognized institution (domestic or abroad).
Provide a co-borrower, typically a parent or guardian, who must meet certain income and credit criteria.
Submit necessary documents such as Aadhar card, PAN card, admission letter, and income proof.Are there any hidden fees with Auxilo Education Loans?
Apart from the processing fee (1-2.25%), some students have noted that there may be additional charges for services such as loan pre-closure or delayed payments. It’s advisable to read the loan agreement carefully and inquire about any potential hidden costs before committing.
