Everyone deserves an education, but if you are battling to finance yours, you should look into student and study personal loans. A bit of financial assistance could give you the leg up to a bright and successful future.
What is a student loan and what will it cover?
A student loan or study personal loan is a loan that covers certain parts or all of a student’s study expenses. Some loans will only pay for tuition while others will cover everything from registration fees to books to living expenses and laptops. What your loan will cover depends on the type of loan you apply for and the amount.
Who qualifies for a student loan?
In order to qualify for student and study personal loans, an individual must have been accepted to study at a tertiary institution. Most reputable financial institutions will request that someone with a good credit history and a steady income sign as surety with the individual applying for the loan. Usually parents or guardians of the individual will sign for them.
Where to get a student loan
All financial service providers offer student loans. You will simply need to visit a branch of the bank that you want a loan from and make your application. Sometimes it is possible to apply online. There are, of course, many other financial service agencies that will provide financial support for students, but often these agencies are not the most reliable and trustworthy of businesses. Some loan shark agencies will offer student loans with incredibly high interest rates that compound quickly and leave the individual with a huge amount of debt that they have no way of paying back.
The following financial service providers offer student loans:
- First National Bank
- Standard Bank
Another place to look, if you are serious about getting a student loan, is the National Student Financial Aid Scheme. They provide loans and bursaries as well as advice to students and potential students in order to sustain education and uplift the people of our country.
What to watch out for when applying for a student loan
It is always a good idea to take out a student loan from a reputable, well-known financial service provider that has a good track record and a happy and satisfied customer base. It is never a good idea to take out a loan from a loan shark agency as it is very easy to get in over your head with debt.
You should also avoid the temptation to get a large student loan. While it would be nice to have enough of an income to sustain a high standard of living, fund clothes shopping, entertainment or an expensive laptop, but it is best to only take what you really need. You do not want to be saddled with a huge debt once you have finished studying.
Paying back your loan
Many parents or guardians who cannot afford to fund their children’s tertiary education will sign as surety for their children on a student loan or study personal loan and then pay off the interest every month for the child. If your parent or guardian is willing to do this for you, or if you could manage it yourself, it is a very good idea to try to get it done. If the debt is allowed to accumulate, the longer you do not pay, the higher your debt will be. Starting to pay it off in the very beginning is always the best idea.
Once you have finished studying the financial service provider who financed your loan will usually give you a grace period of several months before expecting payments to begin. You can then pay back your loan in small amounts every month until you are out of debt. Some students are left with mountains of debt that take years to pay off, but starting early and being smart about your debt will definitely stand you in good stead in the future.