The option to avail of an apprenticeship loan is particularly worthwhile for pupils and students who come from families who are rather financially weak and who may have difficulty financing their education or studies. Apprentices have had this opportunity since April 1, 2001, when the federal government launched the so-called education loan program. The most important prerequisite for being able to use the training loan is that the trainees or students receive Nice credit lenders. The low-interest loan is in principle granted in addition to the Nice credit lenders.
The characteristics of the training loan
Trainees can apply for a training loan of between USD 1,000 and a maximum of USD 7,200. Monthly payments are possible between 100 and 300 USD and – if a larger purchase such as a used car is due – a one-time payment of up to 3,600 USD can also be made. As of April 1, 2016, the interest rate was set at an effective interest rate of 0.87 percent, whereby a guarantee is given to the lending financial institution through a federal guarantee. The training loan is paid out over a maximum of 24 months, making it particularly worthwhile in a later phase of the training. After all, moving to another city is often necessary for the final entry into professional life, which of course also entails corresponding costs.
The repayment modalities for the training loan are also extremely moderate. The apprentices concerned only have to start repaying the training loan four years after the first installment has been paid. The borrowers then have to repay monthly installments of at least 120 USD. You also have the option of repaying the loan in any amount without incurring additional costs.
The training loan offers particular advantages due to the fact that the borrowers do not have to provide proof of performance after the loan has been paid out and the loan is granted regardless of the parents’ income and the assets of the applicant. Follow-up and second courses as well as second degree courses, supplementary and postgraduate courses can also be funded. However, the training loan cannot be used indefinitely, but only by applicants who are between 18 and 36 years old.
These requirements are important
Important criteria when taking out a loan is proof of being an apprentice or student – however, if you want to take advantage of the training loan, you should bear in mind that this is an educational loan program with a budget. Unlike the Nice credit lenders, applicants have no legal right to have the amount actually paid out.
Students can only apply for a training loan if they are of legal age and have already completed vocational training. Alternatively, they can receive the educational loan in the penultimate or last year of the respective approval period, provided they have a professional qualification.
Students wishing to apply for the education loan must be at an advanced stage of their studies. This means: you must have successfully completed the intermediate examination. Bachelor students, on the other hand, only have to provide evidence that they achieved the usual achievements in the first academic year. Additional, advanced and supplementary studies are also considered advanced. If no intermediate examinations are planned, the university must confirm that the student has actually achieved the required performance.