Borrowing as a student, usefulness or necessity?

As a student you want to borrow money, but what should you pay attention to? This file will help you on your way, borrowing through the IB Groep, your parents or perhaps your employer: comparing pays off.

If you have a lot of costs as a student and these costs are difficult to reduce, you can consider taking out a loan. Nowadays more and more students borrow money and it seems to be getting easier. By increasing tuition fees for slow students, the money problems do not seem to decrease any further.

These student loans are often characterized by being cheaper and more flexible than regular loans. Because of its flexibility, a student loan most closely resembles a revolving credit. It is possible to borrow money for a few months, and then reset the loan when it is no longer needed. It is important to make a well-considered choice in advance. In any case, it is important to avoid overdrafting. It is better to borrow something and not be in the red, than not to borrow and be in the red. Banks quickly charge 16% interest when you are in the red. In addition, the interest rate of a flash loan or mini loan is much higher and there is a relatively short term.

Parents

The cheapest way to borrow is through your parents. You can make agreements with your parents about how to repay and with what term. Moreover, you often pay no interest or, in consultation, a small percentage. When you make the choice to borrow money, this could be a 'cheap' way.

DUO - IB Group

If we look at the lenders, the cheapest way of borrowing for students is DUO - IB group. In addition to the basic grant and supplementary grant that you can apply for as a student, a loan can be taken out. Interest must be paid on that loan, the interest rate for 2011 is 1.5%. This amount can be paid after the study and it can take you 15 years. A minimum of $ 45.41 per month must be repaid. If you have problems with a refund, there are options to refund a period less or even nothing.

Borrowing from employer

Nowadays it is also possible to borrow money at a low rate in consultation with the employer. This will be cheaper than the bank, but more expensive than with the IB Groep. However, the employer is not obliged to provide a loan.

What are the options for student loans at ABN AMRO?

You have the option of taking out a student limit via the ABN-Amro website. With this student limit, you will be in the red for a lower price between $ 1,000 and $ 5,000. This student limit is a revolving credit and is different in size. For example, MBO students can have a maximum of $ 1,000 in the red and first-year HBO / WO students a maximum of $ 2,500.

You borrow at 8.6% interest for a maximum of six years, after six years the limit (with normal use) is continued at the then applicable interest rate of a Private Limit Plus.

How can I borrow from Infra Bank as a student?

You can opt for a Student Credit at the Infra Bank. Repayments will take place after you have finished your studies, for a maximum of 1 year. During the study, the interest due is credited to your credit. If you have a windfall in the meantime, you can repay part of it without penalty. With an amount of $ 2,500 you pay 10.9% and with a maximum amount of $ 6,000 you pay 10% interest. The interest rates become 9.8% and 8.9% when one of your parents becomes a contracting partner.

Borrowing insured

If you have nevertheless made the choice to take out a loan, it is wise to request insurance for this. After all, the question is whether you will be offered a job immediately after your training or you could become incapacitated for work, for example. When these kinds of situations happen to you, you are no longer responsible for the loan. Take a good look at which cases this is valid!

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