Student Loans in Germany

College is usually very time-consuming and demanding. Besides the large time commitment, college is also a question of money. Food, rent, internet and books all have to be paid for, even though you have no regular income. That is precisely why so many students take out a student loan. BAföG (German federal student aid) is often not enough and parents can't always support you financially either. A part-time job isn't always the ideal solution either, since you should be concentrating on exams and term papers. So as not to neglect your studies, a student loan often makes sense

With a student loan, the sum isn't paid out all at once, but in monthly installments. The idea behind this is that living costs can be financed and that you can budget the money rather than spending it on something else all at once. Repayment of a student loan usually only begins months or even years after you finish your studies. That way you can calmly find your feet in working life and earn a bit of money before you start paying off the student loan.

Lenders usually grant a student loan only to students who study at a state-recognized university. As a rule, you don't get a student loan for part-time study. You can't take out such a loan for a second degree either. A well-known provider of this form of loan is KfW. Such a loan naturally comes with costs, too, and if you drop out of your studies early, repayment naturally becomes critical. Sometimes it also makes sense to use such a loan only for the exam-intensive years, since in the time before that you can get the money you need through a part-time job. You also only get a loan for the standard period of study. The monthly payout is between €100 and €800. The upper age limit for this loan is usually 44 years. Creditworthiness doesn't play a role here. You also don't have to prove a minimum income. No collateral has to be provided either. You must be at least 18 years old and have lived in Germany for 3 years. Once the financial matters of your studies are settled, you can concentrate completely free of worry on the important things and make sure the focus is on your studies. You absolutely have to compare offers from different banks, since you can save a lot of money that way. If you can finance your studies without such a loan, you should do without it. You always have to keep in mind that you will have to pay interest as well, and not a little.