Student credit is a suitable solution for financing the expenses of young people during training. “Unallocated, this bank loan is used to pay tuition fees, but not only. Expenses resulting from following a course are taken into account,” explains Fabienne Amblard-Larolphie, director of the individual market at Caisse d’Epargne. This is the case for rent if you have to settle far from your parents, equipment of all kinds (house, IT, supplies), plus any costs linked to regular travel (transport subscriptions).
The conditions of access to this credit? Be between 18 and 29 years old and have a valid school certificate. All the banks offer these offers, and they are fond of this clientele because it allows them “to retain young people who one day will become active people with regular income”, explains Frédéric Figer, director of personal clientele at SG (formerly Société Générale ). Even if these loans have become more expensive over the last two years, following the rise in interest rates on the markets, their level nevertheless remains competitive compared to standard and more general public loans (unallocated loan, personal loan, etc.) .
According to the comparison of 11 banks carried out by Panorabanques for “Les Echos”, the rate (insurance included) ranges from 1.90% to 4.89%. “This APR [taux annuel effectif global] includes nominal rate and death insurance. With this loan, the application fees are zero,” explains Sébastien Nourry, director of the personal market at Banque Populaire.
Deferred repayment
From spring, the active period when students obtain their results and prepare for their September return to school, these financial establishments post promotional offers. But before entering the door of a bank branch, it is better to find out from your future school or university. The latter have often established partnerships with banking brands giving access to preferential rates. The game is worth it because the difference can be 1% with that of the scale.
The minimum amount granted for such a loan is 300 euros at Crédit Agricole Ile-de-France, but more generally ranges from 1,000 to 1,500 euros. As for the ceiling, it varies depending on the network between 35,000 euros (Bred Banque Populaire) and 120,000 euros (SG).
“We adapt to requests. To finance studies intended to become an airline pilot or for a course in a renowned business school, you can go up to 200,000,” explains Sébastien Perrigault, director of the real estate credit area of BNP Paribas.
With this type of loan, it is the parents who act as guarantors. For students under the age of 28 who do not have relatives to support them financially, the BPI offers access to a loan capped at 20,000 euros repayable between two and ten years. It is accessed thanks to the eight partner banks of this system.
Please note: BNP Paribas offers a Grandes Écoles loan reserved for scholarship holders. Not having guarantors, they are still able to access a loan without collateral for an amount of up to 20,000 euros.
Without application fees, student loans are all built on the same mechanism, organized in two distinct periods. During the studies, a first phase known as “deferred reimbursement” allows you to choose between paying only the insurance (partial deferral) or not paying anything at all (total deferral). This period with reduced or zero monthly payments never exceeds four or five years. The second phase triggers the start of the “real” monthly payments (including capital, interest and insurance). It generally coincides with the moment when the young person enters professional life and begins to receive regular income, essential to repay this loan. These two periods generally cannot exceed ten years (BNP), or even twelve years (SG).
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