Capitec Student Loan

Having a good education is the foundation to securing a bright future. That said, it’s important to note that education is an expensive investment. When it comes to covering the cost of education and tuition fees, students are often left in a rut. Fortunately, Capitec student loans can assist students looking to further their education.

Please note that Capitec bank only offers loans available to students attending at certain tertiary and educational institutions in South Africa.

Tertiary institutes that cover Capitec Student Loan

As previously mentioned, there are only certain partner institutes that offer Capitec student loans. Capitec has selected the following partners to assist students:

Boston City Campus
AFDA
Milpark Education
Stadio

Once a student has determined which tertiary institution they’d like to attend they can begin the process.

How it works

Unlike other loans, Capitec offers “need-based credit”. What this basically means is that the terms of the loan differ compared to a traditional personal loan. Furthermore, students can expect discounted interest rates along with an extended term.

This student loan is for up to R250, 000 and students have over 84 months for repayment.

How to apply for a student loan with Capitec

Students can apply for loans directly on the website of their chosen university campus. They will need to complete a 4-step online form to see if they qualify. Once they have qualified for a loan, a Capitec consultant will contact them. It should be noted that this process could take up to 48 hours.

Additionally, students can look out for a QR code, which can be scanned. This QR code will help kick-start the application process. The QR code is usually found in-store at the partner campuses.

Once a student has applied and been approved, the funds will be available. The funds will then be transferred directly to the institution’s bank account.

This service is only limited to online applications only. Students will not be able to apply at a Capitec branch.

Documents to have at hand

During the application process, students will need the following documents:

An invoice from the partner institute that is no older than 30 days
Last three consecutive pay slips
A bank statement reflecting the three consecutive salary deposits
A valid South African ID (students need to be 18 years or older)
No proof of residential address is required, but you may be asked for some supporting documents

What are the benefits of taking out a Capitec student loan?

There are a number of benefits to applying for a Capitec student loan. Firstly, students can the online application makes the entire process simpler. You will not need to visit any branches, which is a massive time-saver.

Secondly, Capitec is one of the largest financial services provider and credit provider which means they are able to offer some great terms for this specific loan. Students can enjoy a discounted interest rate. As a result, students will save a drastic amount of money and pay less interest compared to other bank loans. However, the interest rate is fully based on the clients’ profiles.

Capitec also allows its clients to repay the credit for education over a longer term loan. Consequently, this lowers the installment payment and improves the affordability. Lastly, Capitec saves you the time of depositing the money. Instead, they pay the money directly into the education institution’s bank account.

Taking a loan can help in building up your credit record / credit rating. As long as you know you will be able to make the repayments each month. The personal credit profile you build can help with getting loans and mortgages in the future.

Qualifying criteria

In order to qualify for a Capitec look, you will need to meet the following criteria:

The applicant will need to have a good credit history, existing credit score
Students need to be 18 years or older to apply (with identification document)
The applicant or sponsor (paying for the loan) must be permanently employed and have three consecutive salary slips
Proof of quote or invoice from the partner

As long as the applicants meet the criteria above, they are likely to be approved

Partner information

Now that we’ve covered the basics, let’s discuss how you can get in contact with the relevant partner institutes. Listed below are the details of the institutes and universities. You can visit their websites to find out more about Capitec student loans.

Boston City Campus: https://www.boston.ac.za/paying-for-your-studies/

AFDA: https://afda.co.za/admissions/study-loans/

Stadio: https://stadio.ac.za/kick-start-your-success-credit-capitec

Milpark Education: https://www.milpark.ac.za/how-to-apply/

We would advise students to look at all of these institutes before applying. Check out the courses each of the campuses offer. Decide which institute is best suited to the program you are interested in studying. Once you have this determined, you can apply. After applying and getting an acceptance letter apply for a student loan. This will ensure that you have plenty of time to get everything in order.

Conclusion

Capitec student loans are a great option for those looking to study at their partner institutes. They offer well-tailored options to students across the spectrum. Furthermore, students can apply for loans of up to R250, 000 with repayment terms of 84 months. Remember that applying for a loan is a serious responsibility and you should have a plan to make the repayments to ensure you do not get into bad debt.