Student loans are a helpful solution for all those who need extra cash to meet school expenses and their university and post-university fees. Loans for study, school loan, university student loans: these are all loans that fall into the category of student loans.
But how do student loans work? Loans for students are classified as targeted loans, or as forms of consumer credit that can be requested for the purchase of a good/service, in this case a service aimed at supporting the studies and training of young people.
Generally, these are subsidized loans for young people. Student loans are intended for those attending three-year or specialist degree courses and also for those who would like to enrol in a university master's or post-graduate course (student loans for master’s).
The purposes of student loans may also include credit solutions aimed at financing a period of study abroad (loans for university students abroad), the purchase of a study tool (a computer or textbooks for example), the payment of an off-site rent, and much more.
Non-repayable student loan and honorary loans
Among the most affordable student loans we point out the non-repayable student loans and student honour loans. In both cases, these are subsidized loans which aim to economically support the educational path of the most bright students. Therefore, they are linked to the progress of the student's university career and are only provided to those who have certain characteristics of merit.
Loans to working students
There are also loans for working students with advantageous features such as being able to start repaying the loan once the course of study is completed. In this case it is necessary to present the documentation relating to one's income situation to one's university.
If you do not have an income, on the other hand, to obtain student loans, it is also possible to present a person (for example a parent) as a guarantor who takes responsibility for the repayment in the event of non-payment of the instalments.
How to get a student loan?
For young people who want to obtain a student loan, it may be useful to contact the secretariat of their university to find out if the University, the Region or their Municipality provide benefits for students, such as scholarships, student loans, etc.
Is there an unsecured student loan?
When we talk about study loans, or a loan for students without a paycheck or loans for university students without income, however, we must be careful not to delude ourselves that requesting a solution of this kind from the bank is equivalent to receiving a student loan without guarantees. .
As with most forms of consumer credit, the banks, before disbursing the loan, check the applicant's income situation. By doing so, the credit institutions ensure that the latter is able to pay off the debt contracted within the time frame established in the contractual phase.
It follows that if the holder of the loan is a young person without a paycheck or in any case a student with no income, it will only be possible to obtain a student loan with guarantor. In other words, the loan will be granted only in the presence of a guarantor, or a third person (for example a parent) who guarantees the repayment of the loan if the holder is not able to pay the loan instalments. On the other hand, non-repayable student loans or student honour loans to which we have mentioned previously are another thing.
Online Student Loans
Once the possibility of obtaining a student loan has been ascertained, to navigate among the numerous student loan solutions is to find a source for cash loans. You can compare student loans online, or request a quote on a comparator via the web in order to identify the most suitable student loan.
Students, you can pay off the loan early
Pay off in advance a honour loan required to support university studies: is it possible? Of course. For this type of concession, in fact, the same rules apply in force for all loans: the honour loan can be partially or totally extinguished, if possible, at any time prior to the deadline set by the contract.
As for the total repayment, there are two conditions that cannot be ignored: the availability of the sum that allows the extinction or the replacement of the loan with another cheaper. Let us consider the first of the two cases.
If you get hold of a sum of money, two options are automatically triggered. Spend it for other purposes and continue to repay the honour loan in instalments and with interest as already established; or use it to get rid of the loan in question.
Any choice is valid. However, it should be considered that the early repayment of the loan takes away a thought, makes the personal or family budget more sustainable and saves money which, along the way, should still be paid for interest.
In general, the honour loan for university students is used to face the path to the university without anxiety. It is in fact intended for those who attend three-year or specialist degree courses, university masters or post-graduate courses.
You can choose it by consulting the products made available for this purpose by the bank or by the trusted financial institution, evaluating the various possibilities on the market through a specific search on online comparators or by asking directly at the university.
In fact, many universities have specifically launched specific agreements with banks over the years. Reimbursement times and methods change according to the product and the presence of a partnership of public bodies. The repayment, in instalments, begins when the student ends his or her career or when he starts working.
In general, this type of financing has more advantageous conditions than traditional loans, precisely because it is linked to agreements between banks and universities or to social initiatives. Being designed for people who have no income, it is connected to the curriculum of studies and also granted on the basis of merit requirements.