Taking a Look at Student Loans
If you are looking to take out a student loan, it is always wise to compare several banks to determine the best solution for you. You need to look at the interest rate and repayment terms because these factors that might save you money or, cause you to spend more money. Generally, if you study as a full time student you’ll only have to repay your loan once your studies are complete, while as a part time student you’ll have to start repaying immediately. There are other benefits too, depending on where you choose to take up a loan.
FNB Student Loans
At FNB, a student loan can be given from R4000 upwards. The credit interest you will receive depends on your credit profile and affordability. It is usually prime rate of 9.25% upwards.
Only the interest rate will be paid during the time of studies each month but after completion of studies the loan and the interest rate needs to be paid each month.
To apply, you need a copy of the student’s green-bar coded SA ID, as well as the ID of the parent or person responsible for paying the account. The bank will also request the latest payslip of the parent, proof of residence if the loan exceeds the amount of R15000, proof of registration of the intuition the students is enrolling and three months banking statements of the sponsor or parent. If the parent is self-employed, FNB will need six months banking statements.
Absa Study Loans
The student loan amounts that can be granted are between R3000 and R150 000 with an interest of prime rate (9, 25%). Only the interest needs to be paid monthly during the students studies but all credit and interest must be after completion of studies. If the course is less than 12 months, the student need to start repaying the loan and interest immediately.
Standard Bank Studying Loans
The amount of the loan granted and the interest rate might vary according tot the amount you want, the credit rate and the affordability of the sponsor/parent. Only the interest rates are payable while the student is busy studying.