How to fund your child’s B. tech in India?
Professional undergraduate technology program designed for individuals sharing a love for machines and software. It is a 4-year program designed to build competitive intelligence, logical thinking, and technical and interpersonal skills.
How much does B.Tech cost in India?
The average cost of a 4-year B.Tech degree program in India is around 3 lakhs in Government colleges, and the fees go up to 20-30 lakhs in private colleges in India.
The numbers catch the concern - How to Fund your Child’s B tech in India?
To know the answer, read ahead.
4 Tips to Fund Your Child’s B.Tech Program in India
Finance must not be a barricade to a meritorious student. Check the below ways to fund your child’s B.Tech program in India:
1. Invest in Aggressive Funds
If your child has 3-5 years to start their engineering degree, check Aggressive Hybrid Funds. If you invest up to 75%, you may receive good returns, which are less volatile and safeguard your money.
PRO TIP: If your child is yet to think about his Engineering future or has over 7 years to pursue the degree, tap into multi-cap funds. In these, you can invest across different sectors and company sizes. It diversifies your portfolio for better returns.
2. Start SIPs (Systematic Investment Plan)
SIPs make it easier to invest and nurture the educational goals of your child. Invest a small sum every month. Some significant benefits include:
- Only a minimal amount of money needs to be put forth every month.
- It would not affect your budget and lifestyle.
The more years you have to finance your child’s B.Tech dreams, the less amount you need to invest in SIPs.
For example- If you put aside Rs.5000 every month in SIPs for 15 years, you can accumulate around 25.2 Lakhs in 15 years.
That’s huge. However, you must start it at the earliest.
3. Analyze different education loan
According To BankBazaar.com, “One in six students apply for a B-tech Degree in India.”
To finance education, guardians can check out education loan options. The tenure of these educational loans lies anywhere between 5-7 years. The loan covers –
- exam fees,
- library costs,
- admission fees,
- accommodation charges,
- tuition charges, and
- miscellaneous charges.
The repayment begins after the child’s education completion. However, you must repay the total amount within 5-7 years. You may find different interest rates from lender to lender.
If the loan is not for more than 4 lakhs, the interest rate would be less. Apart from that, some lenders do not ask for collateral as tangible security over the loan unless the amount exceeds 4 Lakhs.
Eligibility Criteria for an Education Loan:
- The applicant must be an Indian resident.
- The applicant’s age cannot exceed 35.
- The applicant must have an admission receipt from a recognized government or private B. tech University (accredited by UGC, Government or AICTE, or others)
- The applicant must have a co-applicant on loan to qualify for a credit score and repayment guarantee.
You must check and apply carefully.
Many private and Government institutions provide scholarships to aspiring engineering students. The scholarship programs launched by the Government of India have criteria to qualify.
Pragati scholarship scheme
HMRC (Ministry of Human Resource and Development) designed this scheme, especially for female B.Tech candidates. Under this, if a girl’s household income is less than 8 lakhs, she can qualify for the program. Each candidate gets Rs.4000 annually.
Apart from this, the scheme covers tuition fees of Rs. 30,000. In some mishappenings, the government takes care of the expenses and provides Rs. 20,000.
As per the latest update,
“Saint Gobain India, a renowned Glass Business company, announced Merit Scholarship for 40 girls’ students pursuing B.Tech at IITDM (Indian Institute of Information Technology, Design, and Manufacturing).”
Through this move, the company donated 2.24 crores and will support the B.Tech education of 40 girl students for 8 years.
There are a host of private and government scholarships to apply for. Some of them include:
- NTPC Scholarship program (National Thermal Power Corporation
- Tata Scholarship for engineering students
- Siemens Scholarship programs
- VIT Ignite Scholarship (Vellore Institute of Technology)
These are some ways to fund your child’s B.Tech in India. Identify your finances and plan your child’s Engineering future without any hassle.