The student loan without bond
Even today, studies remain a privilege because of their cost. That’s why most students use student loans. However, they do not all have sufficient guarantees to obtain such credit. The student loan without a deposit can then appear as a solution.
Interest of student loan without bond
A student loan is a consumer credit granted to a student to finance his studies and / or his daily life (housing, travel, equipment,…). It allows to benefit from a sum of money, up to 75 000 €, which will often have to be reimbursed at the end of the studies. Unaffected, there is usually no need to justify expenses.
Although specific, it is treated by lending institutions as a credit. This is why a bank is never obliged to grant it. In addition, she analyzes the borrower’s file to verify that the loan will be repaid. It then examines the ability to repay, depending on the studies followed by the student including his banking history, his personal situation but also its guarantees. They make it possible to minimize the risks of indebtedness because they can not justify regular or sufficient income. The student must then find a person who is a surety to temporarily take his place in case of unpaid bills. Any person of age can in principle stand surety for a student, be it a family member or a friend.
A problem can arise. Either the student does not find anyone in his entourage who agrees to bear this burden. Either those agreeing to act as guarantors do not offer guarantees deemed sufficient by the lending institution. This is typically the case when the student comes from a low-income family who not only is unable to pay for education, but can not afford to be a collateral. In order to give exchange to everyone to access higher education, there is a possibility to take out a student loan without a deposit, that is to say without a family comes to guarantee the credit subscribed.
There are three great ways to get a student loan without a deposit:
- The guarantee by the State;
- The Student Solidarity Guarantee Fund;
- Bonding by a specialized body.
The student loan without guarantee guaranteed by the State
Under conditions, the State can provide a guarantee for a student loan without a deposit. The student does not need to find a relative or a relative willing to be a guarantor for him, or even to meet conditions of resources.
However, it must justify being enrolled in an institution in France preparing a degree of higher education, namely a university, a high school preparing for a BTS, a business school or engineer, etc… There is also a condition related to age since the benefit of such a student loan without a surety is only available to students under 28 years of age. The borrower must also be French or European resident in France for at least 5 years (specifically to have the nationality of a country in the European Economic Area).
A fundamental condition is the subscription of the student loan without surety to one of the five partner banks. If it is not necessary to be a customer in the bank to obtain the credit, the institution remains free to refuse the loan, especially in view of the personal situation of the borrower, even if the state brings its own credit. guarantee to student loan without deposit. The process consists of filing an application file with the bank, even online.
When the application for a student loan without a deposit is accepted by one of the listed banks, the amount is granted to the student for a maximum of € 15,000. The latter will generally only pay back at the end of his studies, which is why a minimum period of 2 years exists. However, it is possible to repay interest during the course. In case of non-payment, it is the Public Investment Bank which will take care of the monthly payments but only up to 70%.
Attention, an annual envelope is given to Bpifrance within the framework of the guarantee provided for the student loan without deposit. The 2016 envelope has been fully consumed, it is necessary to wait until 2017 for the device starts again. The official launch will be announced by the state and partner banks.
The student loan without a bond guaranteed by the student solidarity guarantee fund
In order to allow students to finance their lives in the framework of, and outside, their studies. This association has set up the Student Solidarity Guarantee Fund which allows to advance, without a parent’s or a third’s guarantee, for a credit.
It allows to obtain a student loan without deposit but is subject to a double-condition. First, the student must be a member of the LMDE. In addition, he must take out the loan from the People’s Bank.
In the event of a default, they takes care of unpaid debts. However, this still does not exempt from the traditional review of the financing file by the bank that is why, in case of insufficient capacity for long-term repayment of the student loan without deposit, the credit may not be granted.
Student loan without bond guaranteed by a third party surety
A student loan without a parental guarantee or a relative can also be obtained when a surety agency makes a guarantee. Most credit institutions offer this possibility through partnerships. It is often useful not to take the steps alone and to go to see a specialized broker who has the necessary contacts. It generally provides a student loan without a deposit at a rate identical to those enjoyed by students with a deposit.
In addition, partnerships often exist between banks and large schools. They then make it possible to obtain a student loan without the guarantee of a third party. Even if he does not have a clear and official affiliation with the student’s school, some banks, given the personal situation of the borrower, including his curriculum, can grant a student loan without a deposit. The idea is that the risk is limited given the future income of the borrower. This mainly concerns the major national engineering and business schools. It is in a way the chosen course which, here, will constitute the guarantee for the lender.
In short, some tips on student loan without bail
There are therefore suitable solutions for students who do not have the support of relatives to take out a student loan without a deposit. It is considered that this concerns half of the student borrowers. First, the state offers a guarantee system with relatively simple access conditions. Nevertheless, the annual budget allocated is not sufficient to satisfy all applicants for student loan on bail. This is why several mechanisms have gradually been developed: the FGSE, specialized brokers, partnerships with schools. Their vocation is to encourage the autonomy of young people by participating in the creation of their future via the student loan without a deposit.
Attention, all these devices, and in particular the student loan without guarantee with guarantee of the State, does not create a right to the credit for the students. Banks retain the freedom to deny credit and assess the personal circumstances of each borrower in light of the record in support of their claim. It should be kept in mind that even if the student contracts a student loan without a deposit, he remains responsible for the credit and its repayment.
Institutions study student repayment capacity to avoid over-indebtedness and the risk of delinquency. Curriculum and motivation are taken into account as a guarantee of future security. Especially since a student loan often has a grace period of one to several years after the subscription of the loan, allowing the young person to repay only from the moment he enters the working life. This is why the more the student is in a growth sector with strong opportunities, and where the wages are relatively important, the more his request for student loan without bail can be favorably received by the banks.
However, in the absence of a loved one’s guarantee, the important thing is to contact credit institutions and identify the different student loan opportunities without a deposit. First of all, it is necessary to clearly identify its need, analyze its ability to commit and then compare the different offers taking into account the rates charged and the terms of repayment. Also, keep in mind that most unsecured student loan agreements are concluded after negotiation. We must therefore master the few basic rules of credit and do not hesitate to directly contact a member of the borrowing agency or call a broker. Never forget to play the competition and use simulators & credit comparators online. top