Pay attention! Borrowing money, costs money

Borrow money as a student

Because studying is expensive and you often have little time left for a side job during your studies, it can be difficult to make ends meet on your monthly income. That is why it can also be attractive for you as a student to borrow extra money. But how do you do that, which ways are there and what should you pay attention to?

Average costs

Type of loan Maximum amount Duration Maximum interest Debt
DUO loan US $ 858.33 p / m 35 years 0.00% US $ 41,199.84
Personal loan 75,000 us dollars 10 years 6.20% USD 82,168.75
Mini loan US $ 1,500 62 days 13.99% US dollar 1525.11
Credit card 1,000 us dollars p / m n / a 4% - US $ 4.50 n / a
Be red + - 1,000 us dollars n / a 7% - 10% n / a

Why borrow money as a student?

Since 1 September 2015, student grants have changed considerably. The basic grant, which every student received before that time, has been replaced by a so-called student loan . This is simply another name for the loan system that the Education Executive Agency (DUO) introduced in that year. Almost any student can apply for this loan, but it does have a number of conditions.

The conditions for a student loan from DUO:

  • You are younger than thirty when your student grant commences. With an MBO program you must be at least 18 years old when your student finance starts.
  • You follow a full-time or dual HBO or WO study program of at least one year at a college or university. Or you follow a full-time vocational training program (BOL) of at least one year.
  • You have a Dutch nationality, or you meet the conditions for people with a non-Dutch nationality.
  • You have not yet used up your maximum entitlement to student finance.

As a student you may not meet these conditions, but you still need extra money during your studies. Then there are a number of options that you can use.

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Opportunities for students

There are several ways to give your bank account a small boost as a student. The best-known and probably the cheapest way is the loan system from DUO. This consists of a loan, a student travel product and possibly an additional grant.

Option 1: Loan DUO

borrow from duo

As a student you can borrow an extra amount every month. This can be done via the DUO website, where you can log in to 'My DUO' with your DigiD. Once you have done this, you will get an overview of all information about your student life, including your financial affairs. This includes the loan. You can change this loan monthly: increase, decrease or stop. You can choose to borrow up to US $ 858.33 per month. DUO calls this the 'tuition fee credit': extra money to pay for your tuition.

As a student you can borrow an extra amount every month. This can be done via the DUO website, where you can log in to 'My DUO' with your DigiD. Once you have done this, you will get an overview of all information about your student life, including your financial affairs. This includes the loan. You can change this loan monthly: increase, decrease or stop. You can choose to borrow up to US $ 858.33 per month. DUO calls this the 'tuition fee credit': extra money to pay for your tuition.

It is also possible to apply for a one-off loan from DUO. It is important that you indicate this before the first day of the month, also via 'My DUO'. So don't wait too long with this. Because DUO makes no distinction between one-off loans and revolving loans, this loan is not automatically terminated. You have to do this yourself. If you don't, it will continue until the end of your studies and that can lead to unpleasant situations.

Additional DUO grant

In addition to the 'normal' tuition fee credit, it is possible for some students to apply for a supplementary grant. This is a monthly amount of up to approximately 390 us dollars per month. Whether you qualify for the supplementary grant depends on the amount of money your parents earn each year. If this is more than US $ 46,000, you are not eligible. Do your parents collectively earn less than US $ 46,000 per year? Then you can receive an extra amount from DUO. The maximum amount of $ 390 per month will only be paid out if your parents earn less than $ 30,000 annually. Above that income, the amount that you can receive as an extra grant decreases.

Loan rates from DUO

In the example below, we look at the rates that DUO uses in the 2018/2019 school year. The DUO interest rates change every year, but when you have finished your education, the interest is set for five years. You can repay a loan from DUO in 15 or 35 years. This depends on the reimbursement rules that apply to you as a student. From 2018, the repayment phase is a maximum of 35 years. In this example, we assume someone who has borrowed a fixed amount for four years and completed his or her education in 2018.

Monthly loan Duration Borrowed totally Interest in 2018 Total debt
100 us dollars 35 years US $ 4,800 0.00% US $ 4,800
250 us dollars 35 years 12,000 us dollars 0.00% 12,000 us dollars
575 us dollar 35 years 27,600 us dollar 0.00%
27,600 us dollar
858.33 us dollar (maximum) 35 years US $ 41,199.84 0.00% US $ 41,199.84

Payment dates for student finance

DUO has a fixed payment date every month. The money you are entitled to, or the loan you have applied for from DUO, is paid out every 24 th of the month. If this day falls on the weekend, this usually happens on the Friday before. For example, in November 2018. This month is the 24th on a Friday, so your student is paying on Friday, November 23rd.

Option 2: Personal student loan

personal loan

In addition to the option to request a loan from DUO, as a student you can also simply go to the bank. It is also possible for you as a student to apply for a personal loan. With a personal loan you get a bag of money deposited into your account in one go, where you pay off a fixed amount every month, including interest. This interest and the duration of your loan, also called the term, are fixed with a personal loan.

A personal loan is a loan from US $ 2,500 to US $ 75,000. This therefore concerns relatively large amounts. In principle, you can take out such a loan with any bank, but as a student you also have to meet many conditions if you want to be eligible for such a loan.

For example, you are absolutely not allowed to have a negative BKR registration . You will receive this registration if you have not paid a loan or other high bill on time. You must also have a fixed monthly income and you must be over 18 years old. In some cases, banks only grant loans to students over the age of 23.

Before you take out a loan with a bank, it is good to compare the different providers. This can be done very easily and quickly via You indicate what you want to borrow and we immediately show you which loan has the lowest interest. Perfect for students.

Personal loan rates

In the example below, we compare four different personal loans from our comparator. We use the lowest possible amount of money that can be borrowed: US $ 2,500. This is because students often need money quickly for a short-term investment and therefore a much higher loan is not attractive. We give a term of 3 and 5 years as an example.

Provider Amount Duration Interest Total debt Monthly costs
Samboan 2,500 us dollars 60 months 8.80% US $ 3,059.17 USD 50.99
Onebank 2,500 us dollars 60 months 9.20% USD 3,084.58 51.41 us dollar
Samboan 2,500 us dollars 36 months 8.80%
USD 2,839.17 78.87 us dollar
Onebank 2,500 us dollars 36 months 9.20% US $ 2,854.58 79.29 us dollar

Option 3: Mini loan for students

mini loan as a student

As a student, do you need money quickly, but is 2,500 us dollars too much? Then it is also possible to request a mini loan. Such a loan is also known as flash loan , mini credit, micro credit and flash credit and these names actually say enough. A mini loan is a small loan of a minimum of US $ 100 and a maximum of US $ 1,500, and you must repay it within a short period of time. In many cases this is only a period of thirty or sixty days.

Advantages of the mini loan

There are some advantages to a mini loan, compared to a personal loan. Where with a regular loan you in many cases have to be 21 or even 23 years, the minimum age of a mini loan is 18 years. Because many students are not yet 23 years old, they are not eligible for a personal loan or revolving credit. This is therefore the case with a mini loan. Even if you are not yet 21 or 23 years old, you can request such a loan from a bank.

When you have done this, you will have the money in your account in no time. Often within 24 hours, where you often have to wait longer with a normal loan. This is due to the fact that there are no tests when applying for a mini loan.

For example, when applying for a mini loan, a possible registration with the Credit Bureau foundation is not considered. Students often already have current loans or debts and are therefore registered negatively with the Credit Bureau. It is also not necessary to send a payslip with your application. This is the case with a normal loan. In addition, you can request a payday loan without any financial documents, which saves a lot of paperwork. The last advantage is that you can meet your financial obligations due to the fast amount of money you receive with a mini loan. You may have to incur unexpected costs during your student days; a broken laptop, a new schoolbook or a new bicycle. By borrowing a small amount, via a payday loan, you can continue to pay your monthly costs and these unexpected costs will not pose a problem for the coming month.

Rates mini loan

Mini-loans can be requested in amounts of 100 us dollar or a multiple thereof. The maximum amount that can be borrowed with such a payday loan is 1500 us dollars. The shortest term is 15 days. This is usually used for small amounts. The greater the amount, the longer the recommended term.

Amount Duration Interest Total debt
100 us dollars 15 days 13.99% 100.53 debt
300 us dollars 30 days 13.99% 303.24 debt
600 us dollars 45 days 13.99% 609.76 debt
1000 us dollars 45 days 13.99% 1015.02 debt
1300 us dollars 62 days 13.99% 1321.70 debt
1500 us dollars 62 days 13.99% 1525.11 debt

Option 4: Credit card for students

credit card

With a credit card you have the option of having money that you don't actually have yet. This debit card is often used by people in the business world, but a credit card can also be attractive to students. Because as a student you sometimes have to make large purchases in the short term, sometimes abroad, it may be that you need the same amount of money. If you do not have this money, you can choose to take out a loan. But you can also apply for a credit card.

A credit card is a type of debit card that you can get through the bank. With this card you can make online purchases, withdraw money and even withdraw cash in the store. The money that you spend with a credit card is not collected by the financial institution until a month later. An advantage of this is that you can spend money that you do not yet have. A disadvantage is that you 'simply' have to repay this amount a month later and therefore have to have it.

Credit card rates

There are numerous credit card providers, some more expensive than others. Some credit cards offer the option to request an additional card. In the example below, we assume one credit card, because additional cards are almost exclusively used in business life. We look at the annual fee for the credit card, the spending limit per month, the cost of withdrawing money and the required income.

Credit card Annual contribution Spending limit Costs withdraw money Required income
ANWB Visa Card Jongeren US $ 14.50 500 us dollars 4% 500 us dollars
RaboCard for Students USD 15.00 1,000 us dollars 4.50 us dollars n / a
ABN Amro Student Credit Card US $ 14.00 500-1,000 us dollar (depending on income) 4% n / a
LPN Student Credit Card USD 12.50 1,000 us dollars 4.50 us dollars 250 us dollar (student grant)
SNS Student Credit Card 11.25 us dollar 500-1,000 us dollar (depending on income) 4.50 us dollars 500 us dollars

Option 5: Red

are red

Is it still difficult to apply for a loan as a student? Then there is another way to have 'extra' money. It is possible to be in the red at a bank. This offers a solution if you want to make a purchase, but you have just too little money in your bank account. In many cases, being in the red is more advantageous than taking out a so-called flash loan.

To be in the red, you must meet a number of conditions at most banks:

  • You are over 18 years old
  • You live in the Netherlands
  • You have a student account with the bank in question

As a student you can often be up to 1000 us dollar in the red. This means that you can spend 1000 us dollars without it in your account. In many cases, such as with the Rabobank and LPN Bank, you can adjust this limit yourself down, up to, for example, 500 us dollars. At other banks it is again possible to be in the red up to more than 1000 us dollars.

Being in the red is generally seen by financial institutions as revolving credit, which means that you can pay off whenever you want. However, this also means that interest rates can change at any time. You never know in advance exactly how much interest you will have to pay on the amount that you are in the red.

Costs are overdrawn

Being in the red is not free. You pay a penalty percentage on the amount that you are 'in the minus'. This differs per bank and can even differ per week, month or year. The annual cost percentage for students in the red is currently between 7% and 10%.

Student Loans Tips

Borrowing money seems very attractive, especially during your period as a student. Going out, buying new clothes and maybe even a new laptop; with some borrowed money you can suddenly do a lot of things. Yet there are also risks to borrowing money. So keep these tips in mind when you decide to borrow money.

Tip 1: Don't do it when in doubt

Borrowing money, costs money. Are you therefore not sure whether you can repay the borrowed money at the end of the term? Then don't. You can of course take out a new mini loan to pay off debts, but in the long term this will only cause financial problems later.

Tip 2: Do not borrow more than you need

It is nice to receive a large bag of money, so that you can do whatever you want. Especially as a student this is not wrong. Keep in mind that you have to pay back all the money you borrow. Do you only need $ 100 for a short term purchase? Do not borrow more than is necessary.

Tip 3: Compare different loans offers you the opportunity to compare different loans. No matter how attractive a loan may sound, it is always good to put several providers against each other and, for example, compare the interest rates and conditions. This way you avoid unexpected costs or unpleasant situations in the future.

Tip 4: Avoid multiple loans

Do not take out new loans before you have paid off an old loan. If you do this, you will only create problems for yourself. If you are in a situation that you really need several loans, first contact an expert from, for example, a bank. This can often help you with your financial situation.

Frequently asked questions about student loans

In the overview below you will find the five most frequently asked questions about the student loan. If you have a substantive question about the personal loan or about the mini loan , view the pages of the relevant category.