Student loan - options and alternatives

STUDENT LOAN VIA BANK OR BUILDING SOCIETY

The loan amount for a student loan is not paid out all at once by banks or building societies, but is usually transferred in monthly installments. In this way, the tuition fees and any other costs for the course can be bridged and quickly repaid once the student enters working life. Repayment is usually only made after the loan has been paid out in full.

Important: Student loans from banks or building societies are usually paid out for a specific purpose and certain requirements must be met - for example, you may only spend the money on tuition fees, education fees, stays abroad including accommodation and travel, teaching materials or similar.

REQUIREMENTS FOR A STUDENT LOAN FROM BANKS OR BUILDING SOCIETIES

In order to actually receive a student loan, you must fulfill the following requirements:

• Residence in Austria

• Proof of studies

• Maximum age of 25 or 30 years (depending on contract)

• Maximum loan term of 3-5 years (depending on the bank or building society)

• No negative credit rating (entry in the debt register)

• Maximum payout amount of 700 euros per month

PAWN LOAN FOR STUDENTS

A pawn loan is particularly suitable for short-term bridging - for example, if an unexpected payment needs to be settled before the next summer job.

REQUIREMENTS FOR A PAWN LOAN

All you need for a pawn loan is collateral that you can use as security. This is deposited in the pawn shop until the money is repaid. You will be lent between 70 and 80% of the current market value.

This is how it works:

1. Offer: Check online here how much money you can borrow for which item.

2. Handover: Bring the collateral to a CASHY store in Vienna, Linz, Graz or Innbruck, send it by post or have it picked up.

3. Payout: You will be paidout your money immediately in cash or as a transfer to your PayPal or bank account.

4. Extension or repayment: At the end of the 30-day term, you can either extend or repay your pawn loan online. You can also reduce the amount at any time, allowing you to pay the amount in installments.

If you have collateral that you no longer need, you can also get an offer to buy it here withoutwaiting and receive money that is immediately available to you.

FINANCING VIA CREDIT CARD

Credit card providers such as Diners Club also offer cards for students that enable short-term financing or financing via partial payment. The credit limit for the Student Card in our example is up to €3,000 and the annual fee is €24. Find out more about the benefits and conditions here.

Prerequisites:

• Minimum income of EUR 300 net per month

• Confirmation of enrollment

PAYMENT OF TUITION FEES FOR WORKING STUDENTS

Many companies, such as VW, pay the tuition fees for their working students and support employees right from the start in order to build them up within the company - find out more here. If you are considering working as a student trainee, ask your chosen company about this option.

Prerequisites:

You must fulfill these requirements in our example for VW - these may of course differ in other companies:

• You are enrolled at a university and have not yet completed your studies.

• You need at least 89 credit points, as you are already enrolled in a Master's degree program.

• Your academic performance should be good to very good.

CHECK SUBSIDIES

There are also a variety of grants available to help you finance your studies. In principle, your parents are obliged to provide for your financial needs - but if neither they nor you are in a position to do so, the study grant can also intervene.

Find out all about scholarships and funding and the requirements you need to fulfill.

If you are in social need and have a cooperation with the local university representation, you can receive additional support from the ÖH Social Fund.

Prerequisites:

• You don't live with your parents

• You do not receive the full study grant

• You have successfully completed your final year of study

• You have not exceeded twice the minimum period of study

REQUIREMENTS AT A GLANCE

Find out which options are best suited to you:

All information without guarantee according to research from August 2022. Errors and omissions excepted.