School Fees Loans In South Africa

What is School Fees Loans?

School Fee Loans,  are loans to cover the full cost of your course, are paid directly to the course provider, and you won’t have to pay it back until after your course, when you’re earning above a certain level.

School Fees Loans In South Africa?

Find the best school fees loans in South Africa

School fees are one of life’s unavoidable expenses: From pre-school up to tertiary studies and whether you’re a student, parent, guardian, or sponsor. The costs can add up even if it’s for a good cause. Luckily, with a variety of school fees loans, you can finance any stage and type of education, including private school and college.

Getting a school fees loan in South Africa can be an easy and fruitful process if you have all the information on hand. At CompareLoans.co.za, we’ve done your homework for you. Get informed and be prepared to apply for a school fees loan that works for you today.

Types of school fees loans

We’ve come up with several options for you if you’re thinking of taking out a school fees loan:

  • Student loans. These are usually meant to cover tertiary studies. They have a flexible repayment structure where you pay back interest only while you study. Once you start working, you repay the rest of the loan.
  • Personal loansPersonal loans are a common way of coming up with school fees. They’re popular because of their flexibility when using them. You can use the cash advance to pay for tuition, uniforms, books, or any school-related expenses.
  • Home equity loan. These are also called second mortgages, and they allow you to borrow against the value you own on your house. That means you can borrow some of your mortgage payments back and use the lump sum of money to cover school fees either for yourself or your child. The good thing is, home equity loans are secured, and therefore have lower interest rates. On the bad side, you risk losing the house if you fail to make repayments as agreed.
  • Credit card. These offer convenient lines of credit but are easily maxed out so you might not be able to cover all the necessary tuition costs. It’s best to find a credit card with a low interest rate. If you shop around and research, you might even be able to find a lender who offers a 0% interest rate over a reasonable repayment period that you can easily cover.

School fees loan calculator: Find affordable monthly repayments

School fees loans provide parents and students with a way to stay on top of increasingly costly educational expenses. However, they can result in a massive amount of debt that can be difficult to manage. To help you avoid this, CompareLoans has created a school fees loan calculator to help you understand what you’re getting into in advance of your loan application.

Simply input the amount of money needed for school fees and the length of time you need to finish making repayments. The results in our comparison tables will show the expected monthly instalment for each of our featured lenders and registered credit providers. Ideally, this amount should fit nicely into your monthly budget, so feel free to keep using the calculator until you get the best results.

Ready to apply for a school-fees loan?

Once you have found an option with details that works for you, you can make your loan application for school fees by first clicking the “Go to Site” button in our comparison table. Depending on the lender and type of loan you choose, you might be required to supply the following:

  • Personal details. Include your ID number, email address and other contact details.
  • Proof of income. Usually, 3 months of payslips and bank statements.
  • Details of your assets. If you’re applying for a secured loan, you’ll need to provide proof of ownership for any assets you’re using to guarantee the loan.
  • Proof of enrolment. A letter of acceptance, proof of registration, or any other suitable official document detailing the expenses to be covered for that school year.

In addition, you must be at least 18 years of age and a South African citizen (or permanent resident) with a good credit score. If you’re adding a cosigner, their details will also be required.

What happens if you Cannot pay school fees?

Fee payment can be enforced by debt collectors. Schools can and have taken parents to court for non-payment of fees.

If a parent is in arrears by one month or more, the school governing body must investigate whether the parent qualifies for exemption BEFORE handing over to debt collectors.