What you should know – Benefits and Importance of Student Loans in Australia
Education is an essential aspect of a person’s life. Although it does not indicate how far you can go, it does open up a lot of opportunities for an individual. In most cases, once you hit the age of 18, you are expected to go out and be independent. Now, education does not come cheap, so if you consider the estimated annual cost of living, including things like accommodation, food, bills and clothing, you can already tell that it is not a price that students can always handle on their own if they’re unable to work full time while completing their studies.
Students in Australia might have other expenses to cover including for moving, furniture and bond, and when those unexpected expenses pop up, students can benefit from access to fast funding – Just Fundo it!
Wondering what I should know before getting a student loan? Read on!
What is the best education loan for a student?
The best type of loan for an individual can be determined with – you guessed it – research!
If your loan is to pay for the course fees, it’s best to consult with your local education authority to see if you may qualify for their loan type, or any financial assistance if it is offered.
If the reason you need a loan is to cover expenses which cannot be covered by an education or student loan from your government, school or college, you may need to consider other loan types such as a personal loan for a student, or a short term loan if you can’t borrow from family members.
What is a personal loan for a student? Is it different from a student loan?
Depending on the lender, a loan for a student may be different to a student loan. For some lenders, a student loan may be a loan taken with the government to assist with the cost of course fees and accommodation, whereas a personal loan for a student would be a regular personal loan, that is tailored to suit the lifestyle and expenses of a student.
Can students get loans in Australia if we’re only working part time or casually?
Many students work part time jobs in their free hours to help with some of the expenses related to student life, like boarding and accommodation, course fees, transport costs and computers, but sometimes it can happen that we need to access cash fast to pay for these things.
Yes! There are many lenders in Australia that can lend to students on low incomes that are working part time or casually – not working full time shouldn’t be a punishment, we all have to balance things in life. At Fundo we understand that even if you are working and well supported by your school or family, sometimes we just need a little extra help.
For a Fundo loan from $300-$2000, if you’re 18 years or older and can prove your identity and employment earnings of $500 a week, you can apply for a short term loan up to $2000 – the best part is that once approved, you can have the funds at your disposal within minutes!
What is a personal loan for a student? Is it different from a student loan?
Depending on the lender, a loan for a student may be different to a student loan. For some lenders, a student loan may be a loan taken with the government to assist with the cost of course fees and accommodation, whereas a personal loan for a student would be a regular personal loan, that is tailored to suit the lifestyle and expenses of a student.
What are the negatives of student loans?
Having a loan to repay is another expense that you need to factor in to your budget. Loans can be expensive. If you can borrow from mum or dad or another family member, you can save yourself a lof interest and fees. If you’re not able to borrow from family and need to get a loan, do your research to make sure you understand how much the loan will cost to repay. Consider the interest, fees, charges, and any other conditions the lender will apply, including collateral.
How long do I have to repay student loans?
Student loans have varying repayment terms. A Fundo loan for a student could be repaid anywhere between 5 and 20 weeks, for an amount up to $2000. If you’re needing to borrow a little bit more, a personal loan with your bank may have terms longer than a year. If you have a student loan for your course fees, those will generally take many years to repay. For full details on the repayment period, discuss this with your lender.
Are student loans for education free of interest?
Whether interest applies to your loan or not will depend on the lender and the loan type. If you have a government loan for your course fees, this loan type may be interest free. If you are taking a personal loan as a student with a bank or non bank financial institution, generally these loans will have fees and interest applied.
Being a student in Australia is great, but it can get expensive.
If you’re working part time and earning $500 a week in regular income, and in need of up to $2000 to finance some unexpected expenses, just Fundo it!
FAQ
Why would I choose a Fundo loan as a student?
Fundo loans from $500 to $2000 can help you in a pinch. The application process is super fast, and can all be done online from your phone in just a few taps. Once approved, the funds are deposited to your account within minutes and you can spend the funds on course fees, bond, furniture, clothing and even to repair or register your car, and you repay it a bit at a time on your pay dates
How can I contact Fundo if I have any questions about their online loan for students?
Give us a call on 02 9066 9660, chat to us online here or send us an email to hello@fundo.com.au and our friendly customer service team will be more than happy to help you with any questions you may have about online loans for students, and talk you through the process.
Do I have to wait long for a small loan for low income earners with Fundo?
Once you’ve got all of your information at hand, the entire application process takes around three minutes. We are also able to tell you whether you’ve been accepted almost immediately. Once approval has been confirmed, we can transfer your funds to you within a few minutes!
I’m already a Fundo customer, do I have to apply for a new loan?
Yes, you will have to complete a new application for each loan you want funding for, so we can assess your current circumstances. For our returning customers we make this super easy — you can apply in just 3 clicks via your Fundo dashboard.
Disclaimer: The opinions expressed in the Blog are for general informational and entertainment purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific investment product. It is only intended to provide education about the financial industry. The views reflected in the commentary are subject to change at any time without notice.