A rejected work visa can upend the post-study plans of many international students, especially those relying on overseas employment to repay their education loans. However, experts suggest that the situation, though challenging, is not without solutions.
“A work permit rejection after completing studies can be both emotionally distressing and financially daunting,” says Ankit Mehra, Co-Founder and CEO of GyanDhan, a leading education financing platform. “However, students must understand that repayment is still manageable, especially with the leverage provided by the moratorium period.”
Most education loans come with a moratorium period of 6-12 months post-graduation. This grace window allows students time to explore other career options, both within the country of study and back home, before repayment begins.
Mehra advises students to proactively communicate with lenders if they face uncertainty due to visa issues.
“Most lenders today are open to renegotiating terms in light of genuine hardships. Options like extending the moratorium, requesting temporary deferment, or switching to income-based repayment can provide relief,” he said.
If students are unable to secure a job abroad during this window, Mehra recommends looking at high-paying job opportunities in India to stay financially on track.
Explore alternatives, but stay cautious
According to Sanjog Anand, Co-Founder of Rostrum Education, students can consider deferral or forbearance options if they’re temporarily unable to repay.
“These options halt payments for a short time, but interest may keep accruing on private loans, increasing the overall burden,” Anand cautions.
He also points to alternative visa options like Day 1 CPT programmes in the US, which allow work authorisation while pursuing another academic course. But this route must be taken carefully and only after understanding the legal and financial implications.
Protect credit and future visas
Avoiding loan default is critical. “Defaulting can damage credit scores in both the US and home country, lead to legal actions like asset seizure, and even impact future visa applications,” Anand warns.
He advises students to seek guidance from university financial aid offices and nonprofit organisations that support international students.
Quality education pays long-term returns
Vinu Warrier, Managing Partner and Founder of eduVelocity, emphasises the importance of choosing the right academic programme from the start. “At eduVelocity, we measure RoI on education differently. It’s not just about getting a job in the country of study, but about gaining long-term career value and global employability,” he says.
Warrier shares that many of their students have secured employment and work permits in countries like Dubai and Singapore after graduating from top global programmes.
“Work visas in a particular country should not limit professional growth or remuneration,” he adds.
He urges students to select programmes that align with their professional goals, are globally relevant, and make them competitive across multiple markets — including their home country.
Key takeaways for students facing visa rejection:
- Use the moratorium period to explore job options or further studies.
- Communicate early with lenders for revised repayment plans.
- Explore work opportunities in home country or alternative destinations.
- Avoid default to protect credit and visa eligibility.
- Seek help from financial aid offices or education consultants.
- Long-term, invest in quality education aligned with global careers.
