For those of you who want to continue their education to Higher Education, but do not have enough funds, can now take advantage of loans for students.
The loan can not only be used for tuition fees but also other costs such as research fees, thesis fees, and so forth.
Student loans are loans provided by financial institutions to meet various educational needs needed by students while studying in college. This loan is provided by several financial institutions, both banks and non-banks, such as:
Student Loans from Banks
Loans for students from banks are generally reserved for postgraduate and doctoral students at all Indonesian national tertiary institutions. This low interest loan is given to students who have taken a maximum of 10 years of education.
The loan limit provided is on average adjusted to the educational needs according to the level of the chosen tertiary institution. The amount is between USD 70 million to USD 150 million with low interest rates, which is around 0.65% per month.
Each bank gives different installments according to the product offered. Keep in mind, not all banks have this kind of product. So, it is necessary to distinguish between student loans and ordinary non-collateral loans.
Installments can be paid even if the student has graduated from college.
Conditions for applying for a student loan from a bank
For students who are interested in applying for a loan, it is sufficient to prepare certain conditions. If approved, the funds raised will be directly transferred to the borrower’s account.
- Photocopy of student card.
- Photocopy of KTP.
- Photocopy of Family Card.
- Salary slip.
- SK of employee.
- Letter of recommendation from the university.
- Work place recommendation letter.
Student Loans at Fintech
Some financial technology (fintech) companies specifically provide loan funds to students. The purpose of this loan is not much different from that provided by the bank, which is to meet the needs during the study.
However, there are also fintech who provide loans in the form of multipurpose loans or unsecured loans (KTA) online. The interest given also varies, ranging from 0.88% per month to 1.5% per month with a tenor of 12-60 months.
Requirements for applying for a loan are much easier and can be submitted via the official fintech application or website that you choose, namely:
- ID CARD.
- Certificate of domicile.
- Statement of income per month.
However, you need to be careful when borrowing through fintech. Because, at this time there are still fake fintechs that have not been registered or have obtained permission from the Financial Services Authority.
Student loans from pawnshop
Pawnshop is a state-owned financial institution whose product offers loans with collateral or collateral. This guarantee can be in the form of gold, motorized vehicles, or other valuable electronic goods.
This function can be used by students who need education funding. However, you still have to submit a loan guarantee. The collateral can be redeemed by paying off the loan and paying venture capital (interest) in accordance with the credit agreement agreed at the outset.
Loan tenure through pawnshops is very limited because the time given is a maximum of only four months, although it can still be extended with the consequence of paying additional capital rents.
Which is Better to Choose?
Loans from banks are considered more profitable. In addition to lower interest rates, all transactions are also safer and more secure.
Online loans can be used as an alternative to short-term loans with a nominal that is not too large. If you need a higher education fee, you should choose a bank.
On the other hand if you don’t mind the terms of submitting collateral, then please choose pawnshop. The loan method from pawnshop also follows the Lite Lenders financing system, making it free from usury.
Those are some things you need to know about student loans. It needs to be reiterated that student loan products are different from KTA loan products or online credit cards.
This is because student loans generally have lower interest rates to ease the payment of tuition fees.
Apart from that, carefully consider all of your choices. Also take into account your savings, especially if you have monthly boarding / apartment rental expenses, transportation costs, and others. Do not let the loan installments make things difficult for yourself.