The educational boom in Poland is coming to an end, and universities are beginning to feel the effects of demographic change.
Despite this, student loans are still quite popular
Over 387 thousand students and doctoral students have benefited from this form of support since 1998. In the new academic year, this number of beneficiaries may increase by another 5000 – 6000.
Persons interested in a student loan should be aware of important changes that apply from now of each academic year. The first of these is the shortened deadline for submitting credit applications and other necessary documents.
Instead, several modifications have been made that are beneficial to students. Credit help from the state is now higher and more flexible. After the changes, candidates for students can also use it.
This time the student must complete all formalities by December 31
Changes in the rules for providing financial assistance to students were introduced by virtue of the ordinance of the Minister of Science and Higher Education of July 5, 2016 (Journal of Laws item 1013). The aforementioned legal act reduces the time for applying for a preferential loan.
In the 2016/2017 academic year and subsequent years, loan applications together with the necessary annexes can be submitted from August 15 to October 31, 2016. Earlier, the deadline expires November 15 new academic year. Another change concerns the time to sign the contract with the bank. This deadline was unfortunately shortened to 31 December 2016. In the previous year, the conclusion of the preferential student loan agreement was possible until the end of March.
I wonder what new the Ministry of Science and Higher Education (Ministry of Science and Higher Education) has introduced is the possibility of applying for a student loan by persons who do not yet have the formal status of a student or doctoral student.
I am talking about students / doctoral students submitting an application before the beginning of the academic year. Such applicants will conclude an agreement with the bank after confirming their status as a student or doctoral student. Earlier, the bank will consider their application on the basis of a document confirming participation in the recruitment or admission to the studies (first, second or third degree).
From this year, the bank will pay a student up to USD 1,000 a month
Other changes in the rules for granting student loans relate primarily to the amount of the monthly payment. It must be mentioned that from the 2016/2017 academic year it is possible to choose one of four loan amounts paid out throughout the duration of education:
- 400 USD / month (reduced amount)
- 600 USD / month (basic amount)
- 800 USD / month (increased amount)
- 1000 USD / month (increased amount available from the 2016/2017 academic year)
Do you need more credit?
The payment of the highest monthly loan amount will be possible if the bank decides that the student’s collateral is sufficient (the collateral evaluation deadline is November 20). If the collateral for each of the possible amounts (up to USD 400 / month) is not accepted by the bank, then a loan application from a competitive institution can be submitted by November 30, 2016. Importantly, the new rules for the payment of student loans provide for the possibility of changing the monthly amount during the term of the contract. Thanks to this, a student or doctoral student can adjust the amount of credit assistance to their needs (e.g. reduce it after starting work).
It is worth mentioning that from the 2016/2017 academic year there is also another income limit per person in the applicant’s family. This change is only of a formal nature, as the limit is exactly the same as the year before. A student loan can be applied for by people whose family earns up to USD 2,500 / month per member. The vast majority of students and doctoral students interested in credit will not have a problem with meeting this income criterion.
As a summary, it is worth adding that the remaining rules for student loans did not change (related to, among others, payment of funds, preferential guarantees of BBS and BBA, establishing interest rate and debt cancellation). We discussed all these issues in our last year’s article in the series ‘Discounts, subsidies, exemptions’.