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Student loan
Loan for payment of study-related expenses
- Loan with state guarantee for school or university students
- Finance you studies in Estonia or abroad
- Low interest
Student loan can be used to pay tuition fees, purchase a computer or cover living costs.
The bank will admit applications for a student loan for 2019/2020 academic year from the end of August 2019.
- Terms and conditions
- How to apply
- Calculators
- Price list
- Transfer your loan to SEB
- Important to know
| Terms and conditions | |
|---|---|
| Maximum amount |
2,500 euros in the 2019/2020 academic year or 1,250 euros if the duration of your studies is less than nine months. |
| How many times is the loan granted |
The number of times the loan is granted to you depends on the length of the standard period of your studies. If you continue your studies on the same level of education or academic level (e.g. when acquiring second higher education) and have already taken out a student loan, then the number of times the loan is granted to you now is reduced by the number of times you took out a student loan before. |
| Interest rate |
5% on the loan balance per year. Interest is due on 3rd November every year or as agreed in the loan repayment schedule. |
| Due date |
Tied to the standard period of study and/or the actual time during which a person studies and is eligible for a student loan pursuant to law. |
| Loan security |
The following security must be provided to obtain the loan:
*A surety provider must be 18–70 years of age and have received a regular and documented income equal to at least the current national minimum wage in the past three months. |
| Requirements for applicant |
You can apply for a student loan if
You must also
You are not eligible for a student loan if you are on academic leave or have student loan arrears. More about the requirements set for student loan applicants:
|
| Repayment of student loan |
You have to start repaying the principal of your student loan not later than one year after you graduate or terminate your studies, unless you resume your studies before one year has lapsed from termination. After you graduate or terminate your studies, you must repay the loan principle and interest according to the schedule prepared by the bank, generally in equal monthly payments (annuity schedule). If you do not complete your studies for any reason whatsoever, you must repay the loan in a period that equals one and a half times the length of time you spent studying in the educational institution but is not shorter than six months and not longer than one-and-a-half times the nominal duration of the study programme. |
| Grace period |
You can use a grace period in relation to childbirth, military service or time spent in residency. If you would like to apply for a grace period, you must submit a grace period for student loan application (EST)and the child’s birth certificate before the child attains three years of age or a certificate issued by the military unit before the end of your military service. Please note! The grace period is applied from the moment the relevant certificate and application are submitted and not retroactively from the start date of the period of eligibility. |
| Annual percentage rate as a typical example |
The initial annual percentage rate of charge of a student loan is 5.46% under the following sample conditions:
The total amount of repayments payable by the client is €2,569.19 and total amount is €2,572.79. The annual percentage rate of charge, amount of repayments, and total amount may increase if the repayment occurs over a longer period of time. |
Applying for a student loan for the first time
- You can conclude a student loan agreement at any SEB branch or in the Internet Bank by using your ID-card or mobile-ID.
- Ask your surety providers to sign surety agreements at a branch or in SEB’s Internet Bank in the sum that is at least 1.3 times bigger than the student loan you apply for in the current academic year. The agreement can be signed in a bigger amount so you do not have to increase the sureties every year. If the income of your surety providers is not paid to accounts in SEB, we ask the surety providers to bring their bank statements for the last three months period approved by the other bank; digitally approved bank statements can be sent via e-mail to .
- If you offer property as collateral, then photographs must be presented that enable to evaluate whether the property is suitable for the bank or not.
- The student loan is paid into your account in SEB if all the conditions required to obtain the loan are met.
- If the loan or surety agreement has been entered into in SEB’s Internet Bank, a member of our staff will notify you of the need to submit additional documents.
- You will be given the loan from 1st of October (if you are a first-year student) or 15th of September (if you are no longer a first-year student).
Repeated application for a student loan
-
If you have entered into a student loan agreement with SEB, the loan amount for the next academic year will be disbursed automatically, except in cases where:
- you have declined to receive automatic disbursement
- there are insufficient sureties
- you have used property as collateral
- you study abroad.
- We ask the students who study abroad to submit the certificate issued by your school stating your study programme, form of study, whether you are a full-time or part-time student, the start of your studies, the standard period of study, and the ISCED (International Standard Classification of Education) code. You have to submit a notarised or sworn translation of the certificate if it is not issued in Estonian, English, or Russian. You also have to fill in the application for a certificate of a foreign educational institution.
- If property is used as the collateral, we ask you to provide photographs of the property that enable to evaluate the value of the collateral.
- If you do not want the bank to disburse the loan amount to you automatically, you have to submit an application for refusal of automatic student loan payments in the Internet Bank or at any SEB branch by 12th of September at the latest.
- The student loan is disbursed into your account in SEB if all the conditions required to obtain the loan are met. You will be given the loan from 1st of October (if you are a first-year student) or 15th of September (if you are no longer a first-year student).
- It is possible to receive the student loan every academic year until 1st of June (inclusive).
The conventional method of repayment for consumer loans is based on an annuity schedule. An annuity is a fixed-amount payment, consisting of both the loan principal and the interest calculated on the loan balance. When you make your first loan payments, interest represents a greater share of the annuity, but as the loan term approaches, the principal becomes proportionally greater.
Enter the initial loan sum, the term of the loan and the interest rate (percentage of the loan balance per year). An annuity consumer loan repayment schedule will be generated for the entire repayment period by each month. You will see the size of the annuity payment and be able to keep track of the decrease in the principal and size of the interest payments over time.
| Private person | |
|---|---|
| 1. Home loan, mortgage loan | |
| - agreement conclusion | 1% of the loan amount, min. EUR 250 |
| - agreement amendment (1) | up to 1% of the remaining loan, min. EUR 250 |
| - changing the payment date once in a year | free of charge |
| - changing the payment date as of the second change of payment date in one year | EUR 20 |
| - change of the current account(s) related to the loan | EUR 20 |
| - extending the loan disbursement period | EUR 50 |
| - grace period for the principle amount of the loan | EUR 50 |
| 2. Consumer loan | |
| - agreement conclusion | 1,5% of the loan, min. EUR 35 |
| - agreement amendment (1) | EUR 35 |
| - changing the payment date once in a year | free of charge |
| - changing the payment date as of the second change of payment date in one year | EUR 20 |
| - change of the current account(s) related to the loan | EUR 20 |
| - grace period for the principle amount of the loan | EUR 20 |
| 3. Overdraft | |
| - agreement conclusion | 1,5% of the credit limit, min. EUR 20 |
| - agreement amendment (1) | EUR 15 |
| - increasing the loan amount | 1,5% additional credit limit, min EUR 20 |
| - changing the payment date once in a year | free of charge |
| - changing the payment date as of the second change of payment date in one year | EUR 20 |
| 4. Student loan | |
| - agreement conclusion | free of charge |
| - agreement amendment (1) | free of charge |
| - amending the student loan repayment schedule | free of charge |
| 5.Endowment loan | |
| - agreement amendment (1) | up to 1% of the remaining loan, min. EUR 250 |
| - changing the payment date once in a year | free of charge |
| - changing the payment date as of the second change of payment date in one year | EUR 20 |
| - change of the current account(s) related to the loan | EUR 20 |
| 6. Limit loan | |
| - agreement amendment (1) | up to 1% of the loan limit, min. EUR 35 |
| - changing the payment date once in a year | free of charge |
| - changing the payment date as of the second change of payment date in one year | EUR 20 |
| 7. Other loan-related services | |
| -contractual penalty for the violation of the notification obligation stipulated in the agreement, incl. for not submitting the insurance policy of collateral | EUR 32 |
| - contractual penalty for the violation of any other non-monetary obligation stipulated in the loan agreement | up to 5% of the loan amount outstanding at the moment of violation |
| - re-registration of a pledge established on a building into a mortgage | free of charge |
| - reminder of debt | free of charge |
| - debt claim letter | EUR 5 |
| - certificate on paid interests (2) | EUR 4 |
| Legal entity | |
|---|---|
| 1. Investment loan | |
| - agreement conclusion | 1% of the loan amount, min. EUR 200 |
| - agreement amendment | 1% of the remaining loan /limit, min EUR 200 |
| 2. Working capital loan | |
| - agreement conclusion | 1% of the loan amount, min. EUR 200 |
| - agreement amendment | 1% of the remaining loan /limit, min EUR 200 |
| 3. Overdraft | |
| - agreement conclusion | 1% of the loan amount, min. EUR 200 |
| - agreement amendment | 1% of the remaining loan /limit, min EUR 200 |
| - increasing the loan amount/limit | 1% additional loan amount/limit, min EUR 200 |
| 4. Start-up loan | |
| - agreement conclusion | 1,5% of the loan amount |
| - agreement amendment | 1% of the remaining loan /limit, min EUR 200 |
| 5. Apartment building renovation loan | |
| - agreement conclusion | 1% of the loan amount, min. EUR 200 |
| - agreement amendment | 1% of the remaining loan /limit, min EUR 200 |
| 6. Other loan-related services | |
| - contractual penalty for the violation of any other non-monetary obligation stipulated in the loan agreement | up to 5% of the loan amount outstanding at the moment of violation |
| -re-registration of a pledge established on a building into a mortgage | free of charge |
| - reminder of debt | free of charge |
| - debt claim letter | EUR 5 |
(1) All amendments to the loan, which have not been indicated under separate clauses in the price list (incl. amendment of collateral in a notarised or other form).
(2) Commission fee applies to certificates issued at a bank office. A certificate issued automatically in the Internet Bank is free for the client (for enclosing electronically to income tax return).
Transfer your student loan to SEB
You can transfer your student loan from another bank to SEB. This is how you can transfer your student loan:
- Come to an SEB branch and submit a student loan transfer application (EST).
- A member of our staff will inform you of our decision on transferring your loan from another bank and you can agree the details of the new student loan agreement and surety agreements with them.
- It is important that you pay the interest calculated until you signed a new student loan agreement to your current bank after you have entered into a new student loan agreement with SEB. Your current bank will notify you of the exact amount payable.
- SEB will thereafter pay the amount equalling the balance of your student loan to your account in SEB and this amount is immediately transferred to your previous lender as a repayment of your student loan.
- You have now repaid your loan to your old bank in full and in the future, you only need to communicate with SEB in respect of your student loan.
Borrower’s checklist and further information for the student loan applicant
Taking a loan is an important decision, one that involves risks. We would like to help you in making an informed decision.
When applying for a loan you should do your homework:
- consider what you need the loan for and how much you need, as well as your sources for repayment of the loan;
- submit truthful and adequate information to us;
- clarify the costs involved in borrowing;
- consider the possibility that your financial situation may deteriorate and that you must also be able to repay the loan even if this happens;
- carefully examine all loan documents (agreement, information sheet, etc.) before signing;
- there are no unsolvable problems and situations, simply different possibilities – we are your partner, whom you should contact well in advance if you ever encounter problems with repaying the loan.
You have the right to request information regarding our lending terms and to receive explanations before concluding the loan agreement as well as during its term. In case you have any questions, please contact us via the general contacts for SEB Pank.