Since early 2005, when new rules regarding the tuition fees were set by the Constitutional Court, alternative loan schemes in Germany have been developed. Until that time some banks had already presented plans for student loans (German: Studentenkredite). Long after the DKB (Deutsche Kredit Bank) had implemented the first academic credit supply together with Career Concept, the world's first provider of educational funds, in October 2005 also the Deutsche Bank began to offer student loans. Meanwhile, there are several offers from other private and public banks, including the KfW.
The "dbStudentenKredit" offered by the Deutsche Bank can be granted to all students at German universities, not considering their particular study area. But the age is limited to 30 years. A further condition for the grant of a "dbStudentenKredit" the credit is the complete study preparation and plan. All topics that a student intends to study should be included in this and furthermore career plans should be summed up. Moreover, the bank requests information regarding the creditworthiness of the students from the Schufa book that contains the financial details of German citizens. Those information supply the credit institutes with a some security.
In the 1st and 2nd Semester one can get a maximum of 200 euros per month for living expenses and tuition fees. Later on at a further stage of the study one gets up to 800 euros. The interest rate is variable. After a student has finished his studies the interest and the total amount of money that has to be paid back is determined by a new contract. In the first year after the end of study no repayments have to be made. In total the students have 12 years left to repay the loan (Studentenkredit) including the interest to the German bank. But it is also possible to settle the total debt at once.
The Kreditanstalt fur Wiederaufbau (Credit Institute for Reconstruction), was founded after the 2nd World War with the aim to finance the reconstruction of the German economy. Since April 2006, the KfW development bank also offers a study loan for all students doing their first degree.
The KfW Student Loan (Studentenkredite) does not require a background check, however, it is not granted in the case of a personal bankruptcy. It is open to all German students (also EU foreigners) for all state-recognized universities available, unless the applicant has not yet completed his studies and not yet reached an age of 31. From the 1rst of April 2009 the interest rate is 4.28 percent nominal.
The "dbStudentenKredit" offered by the Deutsche Bank can be granted to all students at German universities, not considering their particular study area. But the age is limited to 30 years. A further condition for the grant of a "dbStudentenKredit" the credit is the complete study preparation and plan. All topics that a student intends to study should be included in this and furthermore career plans should be summed up. Moreover, the bank requests information regarding the creditworthiness of the students from the Schufa book that contains the financial details of German citizens. Those information supply the credit institutes with a some security.
In the 1st and 2nd Semester one can get a maximum of 200 euros per month for living expenses and tuition fees. Later on at a further stage of the study one gets up to 800 euros. The interest rate is variable. After a student has finished his studies the interest and the total amount of money that has to be paid back is determined by a new contract. In the first year after the end of study no repayments have to be made. In total the students have 12 years left to repay the loan (Studentenkredit) including the interest to the German bank. But it is also possible to settle the total debt at once.
The Kreditanstalt fur Wiederaufbau (Credit Institute for Reconstruction), was founded after the 2nd World War with the aim to finance the reconstruction of the German economy. Since April 2006, the KfW development bank also offers a study loan for all students doing their first degree.
The KfW Student Loan (Studentenkredite) does not require a background check, however, it is not granted in the case of a personal bankruptcy. It is open to all German students (also EU foreigners) for all state-recognized universities available, unless the applicant has not yet completed his studies and not yet reached an age of 31. From the 1rst of April 2009 the interest rate is 4.28 percent nominal.
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Get more information about the student loan (German: Studienkredite)situation in Germany and visit my blog about Studienkredite. Various possibilities of student funding in Germany discussed further.
