Student Loans Are you committed, hardworking and want a tertiary education, but can't figure out how you are going to afford to pay for your studies? South Africa's universities and colleges are expensive, to say the least... You can expect to pay anything from R10 000 to R40 000, and more for a first year student, all depending what course you decide to take. Naturally, med school costs a lot more, for example, and if you choose to further your studies by doing your masters or a doctorate degree, these are all very costly. Do your homework really carefully before you decide to take out a loan or financial aid through one of the universities, and remember to apply for any available bursary or award that you might be eligible for. Your first stop for financial help should be the financial aid office of the university once you have been accepted to study there, as their interest rate when paying the loan back, is relatively low compared to the more formal institutions, such as the banks. You can find out more by logging onto the various university websites and informing yourself. If you have been a shining academic or a sports star, many universities will reward you for this. Applying before the closing date is imperative, though. Applying for a loan through banks is also a good option. Most of the banks follow this formula: • Student loans have a monthly debit order to pay back the interest on the loan amount borrowed. • There will be a once-off admin fee • And you would have to reapply for every year of registration All of South Africa's major banks offer student loans, both to South Africans and to non-South Africans with valid study permits. student loans will also cover studies at a private institution. When applying for a student loan, you will have to show proof of registration at an educational institution. You'll also need somebody to sign surety for you, such as a guardian or your parent or parents. Although you will only need to start repaying your student loan once you've completed your studies, you will need to keep up the interest payments throughout the term of the loan.