Advice 2: How to take out a student loan
Loan for education in Russia
Unfortunately, lending institutions that issued trust loans for education in our country, not so much. The fact that the Russian system of education on a commercial basis has not yet reached the European level, and among Bank clients, this service is not popular demand. Not contribute to the process and the banks themselves, setting quite a high fee for the use of educational loan of about 15-17%. After all, if you consider that the amount given on such loans is quite impressive, it becomes clear that to use this offer may not all. In addition, many financial institutions prefer to lend only to applicants to commercial colleges, where tuition is much higher than in state schools. For comparison, in the United States and Europe a student loan is a very common phenomenon, and the interest rate on such loans is 3-4 times lower.
You need to take out a student loan?
When you make an educational loan between the borrower and the lender, usually consists of two types of contract. One of them involves the loan is intended directly for payment of training. The second is the issue of funds for other, related needs (accommodation, food, etc.). Apply for the educational loan can any citizen of the Russian Federation who has reached 14 years of age and enrolled in any accredited Bank institution.
For the registration of education loan the borrower will need to provide the following documents:
- the passport of the citizen of the Russian Federation;
- a copy of the contract with the University to pay tuition;
- the expense for tuition.
If the credit is issued to receive the second higher education, then we need to provide the lender with a certificate of average earnings. If the borrower is a minor citizen, then when obtaining a loan required to issue the guarantee or provide the Bank guarantee. In the role of guarantors are usually parents of the borrower, and the collateral could be a property or a car.
It is worth noting that in addition to the interest rate in the cost of education loans can also include the additional Bank commissions and fees. Student loans are issued for a period of 10-15 years, while the repayment of the principal amount of the debt will occur only after the borrower will receive a diploma. While training is paid only the interest for using credit funds.
The advantages and disadvantages of student loan
Because not all banks engage in the issuance of targeted loans to education, limited choice creates certain inconveniences. Quite often, the UNIVERSITY is working with only one particular Bank that the rights of the monopolist raises its own credit terms. The same principle is carried out and credit insurance – insurance is possible only in the accredited Bank insurance companies. Besides, the obligatory requirement of the Bank that issued the credit for training will be the successful completion of the session. If this clause is violated, the lender unilaterally terminates the loan agreement and stop payments.
Often there are situations when the Bank does not issue the amount sufficient for full payment of training. The reasons may be very different, for example, insufficient income of the guarantor or low value collateral. In this case you have to "desanimado" the remaining amount, making another loan.
The main advantage of education loan is the deferment of repayment. This means that when the time comes to pay the loan, the family has become on of the working person more and to repay the loan will be easier. However, those students who wish to study and work at the same time, banks are willing to go to the meeting and can include the part of principal in the monthly payments from the first payment.
The advantages of the trust student loans also can be attributed to the fact that the tuition takes place by means of transfer to the account of the institution, which means you do not face expulsion from the University for debt. In addition, when making educational loan borrower can expect to receive compensation from the state in the amount up to 50% of the loan amount.