Paying a Loan for Education

The cost of furthering your studies is often not a cheap endeavour. One of the most popular methods for paying for tertiary education is by getting a loan. Many financial institutions offer finance for education in the form of student loans. Some institutions specialise specifically in this type of finance while banks may have special loan types. 

Personal Loans:

You may consider getting a personal loan from your bank or a micro lending institution in order to finance your studies. This may be a viable option for you if you can afford to make repayments at a comfortable rate. You may also need to fulfil certain qualifying criteria in order to qualify.

Many people who opt for personal loans to finance their studies choose this method because it is ideal for individuals studying part-time or those doing a short-course.

Interest rates may vary so you may end up paying an amount that is dependent on your individual credit risk.

EduLoan:

Established in 1996, this financial institution provides educational funding. Benefits offered by this institution include the fact that there are low monthly repayments, fixed monthly instalments and there are no limits on the loan amount, as long as you are employed and can afford to repay it.

After applying for this study loan, you can expect a response within 48-72 hours.

Loan amounts vary and are available from R4000 upwards and repayments are arranged via monthly debit order.

Student Loans:

These are loans that have been specifically designed for tertiary studies.  To apply, individuals may require someone to act as surety on their behalf, as well as proof of acceptance, a Grade 12 certificate and proof of identity.

Student loan amounts vary from different banking institutions. The four major banks in South Africa, FNB, Absa, Nedbank, Standard Bank, offer student loans.

Leave a Reply