Higher education, especially university careers, are a first touchstone for future adult life: work, family, mortgage, financing. Therefore, student loans are precisely a valid tool for short, medium planning and long term, or even to solve small concrete problems. In this article we make a brief review of the financing possibilities that a young student has today.
Student loans: a European solution
Although in Spain, the most common way to finance higher education has always been through public scholarships or personal savings, in Europe and in many countries around the world this is not the case. In fact, in some of the great powers, the state scholarship system is based precisely on a system of student loans.
According to these loans, the student receives aid money during the years that his higher education lasts. The amount of this aid generates a debt of the student with respect to the State, and undertakes to settle it as soon as he finds a job after completing his studies. It is a way to make the system sustainable and to link financing directly with the achievement of the objective: finding a job.
The United Kingdom is one of the countries where this system is most widely implemented, although there is also a minimum threshold below which families have other types of assistance, mainly reducing the amount of tuition. In Germany, another of the economic engines of the continent, the same thing happens, although the system of free public universities is more widespread, so that student loans (known as BAF ) are often used for living expenses. they have these young people in their early years as ‘economically independent’ citizens.
Loans for long-term students
In Spain, the concept of student loans is being implemented more and more. One of them is the one that covers the whole career, Master or higher degree cycle. Given the long duration of these courses, the amount of fees is also higher, so the amount of these loans can reach high figures, even above € 50,000 .
The entities in charge of facilitating this type of financing are the banking entities , and their approval is subject to a detailed study of the working and economic conditions of each family. One of its main disadvantages is the long-term commitment that they generate: the quota calendar is long and wide, with commissions, interests and obligations throughout that period.
Other student loans
Another type of loans for students are those that are intended for research or students considered ‘of excellence’ or ‘elite’, because they aim to finance those who accredit extraordinary notes, of honor registration. Many of these credits are granted by foundations and only finance projects that have to do with their scope of action, often the investigation of a disease or some other concept of benefit for society.
However, bank loans and loans of excellence are not the only ones available to students at present. A solution increasingly used by young university students is that of online microcredits . Their more moderate amount makes them useful if what they are looking for is a supplement for the payment of the tuition or as an aid to face the current expenses while waiting for the collection of the scholarship, which is often delayed more than usual.
In Dolly Varden , the amount of these mini-loans for students is flexible: the minimum to request is € 50, while the maximum is € 750. The deadlines are also customizable: from 1 to 30 days. The advantage of these is that they do not generate any type of long-term bond: they are requested, they are enjoyed, they are returned on time and nothing else.
In addition, it is considered a type of quick financing, since most loans are granted in a matter of minutes, while bank loans for students involve long terms, complex paperwork and very demanding requirements for granting.
In addition, these personal loans on the Internet for students have a technological component that makes them more attractive to young people, always more favorable to innovations and computer advances. In this case, they are loans that can be requested entirely by Internet, either from a personal computer or from a smartphone or a tablet with connection to the Network: both the registration and the request, the collection and the return can be carried out at a distance, without needing to approach a physical office and with the freedom to do it anywhere, anytime.