[obelixous]

Has anyone considered / evaluated the education loans offered by Paras Education Foundation http://www.isloan.org/index.asp

What are the pros and cons of using them.

I have gathered the following:

1. They require $2500 upfront for processing of application
2. Take 4 to 8 weeks to process the loan
3. Interest rate is linked to US Prime Lending Rate
4. Repayment starts 6 months after graduation

Does someone have personal experience (self, friends, family, etc) of using them?

Any inputs will be most welcome.

[Psychodementia]

If its on the INSEAD site then I think it cannot be an outright fake/fraud:

http://www.insead.edu/mba/admissions/pel.htm

Would be great is someone can post his/her experience here.

Arun

[chandler]

Do they ask for collateral ? When you say "Interest rate is linked to US Prime Lending Rate" - can you give me some idea on what the figure will approxly be ?

[Vipin_Singh]

Co-signor's financial standing is used as a guarantee however they might review the credit rating of the co-signor. Prime lending rate is around 4.75% and the banks charge a few percentage points over and above the PLR depending on the eligibility of the university (along with its reputation) and the standing of your co-signor.

Disclaimer : This is generic information and different agencies have different policies

[obelixous]

It does not seem to be a fraud. It is on other sites too.

IESE http://www.iese.edu/en/files/6_18484.pdf
LBS http://www.london.edu/assets/documen...funding_05.pdf

Basically the terms are

1. Rs. 5000 to start processing your loan, this is non-refundable but is adjusted against the loan somehow.
2. Maximum loan upto $48000 with one US co-signor

Other terms are attractive
1. Repayment period upto 20 years
2. Interest Rate around 6.5%, floating - based on US PLR
3. 6 month moratarium after graduation before repayment starts
4. No prepayment penalty

Refer to http://www.isloan.org/faqs.htm for details.

Now the only thing remaining is getting a US co-signor, and get this thing worked out within the next 20 days or so. Both difficult and improbable in my case.

Let's see how it goes

[Psychodementia]

The US Cosignor has to be a US citizen or can a green-card holder do ? I have already mailed them and will post if I get any response. Meanwhile curious to know if anyone has the answer.

Arun

[obelixous]

US cosignor can be a Green card holder.

[uRmad]

I dont really trust my memory, but mebbe one of ya could ping simba regarding this foundation.....I recall hearing abt this foundation from her(?) a long time back...

Cheers

[obelixous]

Update, essentially both Paras Education Foundation - http://www.isloan.org/index.asp and IEFC http://www.iefc.com offer similar (same???) services.

IEFC is recommended over Paras Education Fund.

Both of them require a US Co-signor (read Citizen / Green Card Holder) with a ok / good credit history. Unfortunately this is the entity I am unable to find and hence might not be able to attend INSEAD.

[samsmart99]

Hi,


Does any body has any idea how to apply for loan from US banks, as i have a cosigner to assist me, but don't know the procedure.
Also interest rates are very high in INDIA,so i m thinking of taking a loan from US.
pls guide me.