Frequently Asked Questions
What do you mean by the Auxilo Pre-admission Education Loan? What is its benefit?
With the cost of education continually on the rise and the limited availability of financial assistance or scholarship aid, higher education funding can be very challenging. At Auxilo, we understand this and hence offer a Pre-admission Education Loan, basis the preparatory exams scores and student's strength or credit worthiness of the applicant/s (parents/guardian/co-borrower/borrower). A student can use this to present the same as proof of funds while applying for admissions to different universities/institutes.
In fact, with an Auxilo Pre-admission Education Loan, an applicant can strengthen his/her case for admission, including the choice of course.
Which countries does Auxilo provide financial support for?
Auxilo funds all those countries which give the Indian student community a bright future to look forward to.
On what basis is my Education Loan evaluated?
Auxilo uses a scientific method, which measures more than 15 parameters of the student and co-applicant strength. For e.g.: Popularity of university/course, credit worthiness of the co-applicant, etc.
Does Auxilo accept multi-city/multiple co-applicants?
Yes, Auxilo accepts multiple and multi-city co-applicants. If the eligibility of the primary co-applicant does not fit the Education Loan eligibility, he/she can add more co-applicants. We support multi-city co-applicants as well.
Is a collateral mandatory for all Auxilo Education Loans?
No. We have attractive unsecured Education Loan products basis the strength of student/co-applicant/s.
However, if collateral is provided, you can avail attractive rates of interest offered exclusively for collateral backed loans.
Who can apply for an Auxilo Education Loan?
Any student who is an Indian citizen looking to pursue higher education in India or abroad.
Can the applicant transfer his/her existing Education Loan to Auxilo?
Yes, Auxilo offers Education Loan Re-Finance options at a competitive pricing and flexible tenures that match your requirements.
How much loan can I avail from Auxilo?
The best thing about Auxilo is that we don't have a higher limit. Convince us of your passion to fulfill your dreams and Auxilo will fund your total cost of education.
What does Margin Amount mean and how much is it at Auxilo?
Your own contribution to your loan is known as Margin Money. If you have the means and access to it, it is advisable to use Margin Money, but it's better to avail a No Margin Loan from Auxilo.
When should I start repaying my loan?
Auxilo provides you with several flexible repayment options and plans. You can start repaying the Principal of the loan after 12 months of your course completion or once you get a job, whichever is earlier. Until then, you just have to pay the interest on the loan.*
What are the documents required to apply for an Education Loan?
Simple documentation requirements are what separate Auxilo from other education loan providers.
- Basic KYC (Aadhar, PAN Card) documents of the student and co-applicant
- Academic Documents (SSC, HSC, Graduation, etc. whichever applicable) of the student along with a valid PASSPORT (if availing an education loan abroad)
- Income Documents of the co-applicant/s (pay-slips, bank statements, Form 16/ITR)
- Property Documents (if applicable)
What costs are covered under an Education Loan?
Auxilo covers tuition fees, examination fees, living expenses, travel expenses, pre-admission costs, any other cost related to the course.
Who can be my co-borrowers?
Your parents, siblings, spouse, parents-in-law, first blood relatives, legal guardians, to name a few.
What is the tenure of an Education Loan?
Auxilo offers Education Loans with tenures up to 10 years.
If the loan request has been rejected by Auxilo once, can the applicant apply again?
Yes, the applicant can re-apply for an Auxilo Student Loan. It is important that he/she fulfill all the documentation and required requirements before re-applying to Auxilo.
What is overdue?
An amount is treated as overdue if the Borrower fails to
make the payment on the due date fixed by the Company.
For instance: As per the Repayment Schedule if the borrower is required to pay Rs. 100 on the due date 31st March, 2021.
In case the Amount is not received by the Company by 31st March, 2021 and is arrived so under its day end process, the overdue date for the Account for the Company shall be 31st March, 2021.
How is due date determined?
Due date is the date that is pre determined for making the payment of Interest or Principal as the case maybe in terms of the Agreement executed between the Lender and Borrower.
What is SMA?
Special Mention Account (SMA) is an Account when the Amount required to be paid on the due date is not obliged with. the Account of the Borrower is then categorized into SMA Account. SMA’s are further classified into SMA – 0, SMA – 1, SMA – 2.
When does an Account be processed into NPA or SMA?
The Lender shall run a day end process in order to classify the Accounts of the Borrowers. The Accounts shall be classified as SMA or NPA and shall reflect the same at the end of that calendar date.
When does an Account fall under SMA – 0, SMA – 1 and SMA – 2?
An overdue amount is classified under SMA – 0 when the
Amount due is not paid within 30 days from the due date
fixed for the payment. Similarly if the Amount is not
paid within 60 days from the due date the same shall be
classified under SMA – 1 and if the amount is not
honoured within 90 days it shall be classified under SMA
In furtherance to the above instance, if the Amount of the loan remains overdue for a continuous period of 30 days from 31st March, 2021, then the same shall be termed as SMA – 1 i.e. on 30th April, 2021, until that period the Account shall be termed as SMA – 0. Similarly if the Amount is overdue for a period of 60 days from March 31, 2021, it shall fall under SMA – 2.
When shall an Account be classified as NPA?
The Amount of Principal or Interest of an Account that remains overdue for period of 90 continuous days from the due date shall be classified in to a Non performing Asset (NPA). In furtherance to the above instance where the Account is classified as overdue on March 31, 2021 and remains so for a period of 90 days i.e. until June 29, 2021 shall be classified as a Non performing Asset.
Until when shall an Account be classified as NPA or SMA?
An Account classified as Non Performing Asset or Special Mention Account shall be re-classified as a Standard Asset only if the entire arrears of interest and principal are paid by the borrower. Even if partial payment of Arrears is made the Account shall not be classified as Standard Asset. Hence the borrower is required to make payment of its entire obligation.
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