Students in particular have been affected by job losses during the corona pandemic. How to deal with this financial hardship was unclear for some time. Possible options included extending BAföG, but a different solution has now been reached: KfW is lowering the interest rate for the student loan to 0%, and the Federal Ministry of Education is covering the costs.
Who benefits from the new interest rate?
The 0% interest rate applies from 01.05.2020 to all those in the so-called disbursement phase. So those among the students who currently receive the student loan because, for example, income from a part-time job has fallen away. International students should also have access to the student loan. For all those already in the repayment phase or in the grace period, this interest rate does not apply; they pay the normal interest rate.
Where can I get more information?
The 0% interest rate is valid until 31.03.2021. For this period, the Federal Ministry of Education and Research will cover the costs. From 01.04.2021, the regular interest rate, which is fixed for 6 months at a time, will apply again. The student loan can be claimed up to a maximum of €650 per month, with an age limit of 44 years. Anyone who wants to find out more can find all information about the student loan very clearly listed here.