It is now a general idea that, after high school, the learner continues to study in higher education. The state-supported headcount decreasing year by year means that more and more people pay for education every year. For many families, this is an insurmountable task, so they have to turn to student loans. Now let’s look at how to get rid of this bad credit as best as possible?
Student loan is the worst kind of loan, because the interest is included in the capital debt and the capital debt increases with interest from year to year…
How does Student Loan Work?
Student loans can be granted to all students in higher education in a simplified manner. This means that there is no need to prove income or provide cover. She goes to the Student Loan Center, signs a few papers and already gets the credit. You can choose from a loan for student tuition and free-to-use versions.
It is customary to take the maximum amount of free-to-use student loans and swing (housing, meal, party)
It is worth noting that due to its easy accessibility, not only those who would not be able to cover the tuition fees would be taken. In the same way, student loans are admitted by scholars, state-sponsored or those who have any money. Maybe it is attractive to a young person because they don’t have to be paid back, just after school and even a part of the salary. This sounds very good, but somehow everyone misses out on the fact that the student loan interest is included in the capital debt, and even in our school years our capital debt is increasing year after year. In addition, it often happens that the debt is not reduced despite the minimum amount to be paid, as the interest rate is higher.
What does a Student Loan Calculator Say?
From the student loan official calculator you can see that the student who is
- the maximum amount of 250 000 HUF every six months
- 10 times
- 5 years at school
- after that br. You start working with HUF 300,000
the amount of HUF 2 616 902 included in the loan is already HUF 2 972 250 in 2024 (when it starts to be repaid). If interest is not increased for student loan 1 (we do not get a state guarantee, our interest may be 10%…), we paid 47 years old (with the date of birth: 1999, ie 19 years old) in the monthly payment of HUF 16,834. the credit. Our full repayment is close to HUF 5,000,000 !!!!!!!
It is not the case that the minimum amount to be paid in this case is not around 20,000, but about 8-10,000 HUF. So, who pays back the minimum, he can’t clear himself up in life, but he pays in exchange for a 5-10M fortune…
Is the personal loan better?
If we think better, then even with a family reunion, even a personal loan is not an impossible solution under today’s interest rates. Interestingly, if you enter in any of the loan comparisons that you want to raise $ 2,500,000 for 84 months, you will receive the following information:
38,901 HUF / month
3 267 876 full refund! So, by borrowing personal loans instead of student loans, we can make our liabilities more predictable, guaranteed to be repaid by 1.8 million forints less than if we had made a student loan. This is a brutal difference, and the personal loan also has a deterrent effect!
People are afraid of credit, personal loans. If possible, do not feel that it is free money. The exception is the student loan, which we “entrust to the child”, who writes contracts with young people who are not aware of their long-term effects. In this sense, I am almost certain that in the case of higher education financed by a personal loan, this money will not be taken up by people who would have any money and would not spend their money.
What if we already have a student loan?
The 200 forint rule
Make every day $ 200 consistently set aside. It’s a coin that flips into our wallet. Exactly the amount that we are sure to spend on a daily basis in the car park, for the coffee, the extra boxed drinks or anything else. I think an adult with an average income is able to drop 200 pounds a day… or two 100 or 10 twenty forints into the piggy bank…
If you enter this into the student loan calculator, then you are surprised…
- We’ve saved 9 years
- we had to deposit less than HUF 1,000,000
Isn’t that the personal loan solution?
I didn’t tell you directly that the math would obviously be different in the case of student loans, if you would not take 16 thousand forints a month, but for 38 thousand forints… look…
And we’ve been losing another 6 years and half a million forints!
You can repay your student loan the best if you put more than you expect. Unless you are a woman and you have a child, you will release half or all of the debt. This is a huge opportunity, since the last calculation in this case is smoothly supported by the family budget, while the wife’s student loan is no longer due to the discount. In this case, it is worthwhile to redirect the wife’s repayment to the husband’s credit immediately and get rid of this construction as soon as possible!