The Development of Student Loans
Currently, our country seems to get the demographic bonus with the many young people who grow up within 2050. One of the thorny issues in educating the children of this nation is the high cost of education, especially for those who are now going to go to college. 20% national budget allocation to the education budget as if not enough to accommodate the amount of costs to be borne when signing campus. Student loans are basically varies depending on the university itself. For the average condition of State Universities with status BHMN least just take the cost estimate consists of money coming in at 50 million, plus tuition 5 million per semester for eight semesters and living costs of 1 million rupiah per month for 48 month. So if it is summarized, the tuition fees at state universities amounted to 138 million rupiah to pass time with the college for 4 years.
Development of Student Loans
If students must pay their students with debt, then how much should be paid? Without government aid, the student must take on debt by following the bank’s policy in force, such as calculations that are circulating on the Internet with the assumption of 10% interest with no cash down payment. The interest to be paid is approximately 22 million. The total loans of students accumulated when students graduate is 160 million rupiah (138 million plus interest for four years). If the calculation is made during 10-year installments, the installment to be paid is around 2.2 million rupiah per month.
So far, there are banks known as popular financial products to appear in front by issuing student loan products. It is starting from the regional office through MOU with several campuses in the city. Unmitigated, Bank pegs the interest on the loan only 5%, including regarding the use of various banking facilities for a wide range of transactions in campus, such as payment service fees online through the account, ATM, mobile banking, loan officers, business credit student, and service CSR students. Students can utilize the services of cheap credit to finance their tuition and fees. Cheap student loan application process is not complicated. General conditions in the credit application course tailored to their position as a student with returns that can be paid in installments until the student finishes college, even to work. Because still a student, the collateral can be used in their diplomas.
Actually student loan product in the past is called student credit. Unfortunately, this loan package broke up because many students in arrears and nonpayment. This condition would make us concerned. The younger generation hopes of the nations proved to be one of the issues the emergence of bad debts. Learning from them, banks are certainly more experienced in managing a portfolio of student loans. To simplify the process, the Bank forms a partnership similar to the university in our country which is one of the largest universities. It aims to accelerate lending among the students that could be reached. This is one of the bank’s strategies to achieve the target distribution of funds planned to reach millions of dollars.
The high cost of college is certainly alarming majority of prospective students. Actually, many students want to be independent but did not know how. There are many ways by the state to help college students, one of them through the KMI program that had failed because many loans were jammed. The right of students to get a loan even reinforced is in the Higher Education Act No. 12/2012. In the Act, Article 76 mandates the fulfillment of the right of students done in three ways: scholarships, exemption of tuition fees, and loans without interest. Well, the loan shall be repaid after graduation or getting a job.
Actually the expressed willingness of the banks themselves on student education loans is legal jointly by the Ministry of Education and Culture, Ministry of Finance, and Banking. If a solution can be realized, then the student can try student loan scheme. Students actually have a lot of free time to increase income and to pay student loans. If you want more creative, there is a way to try. It is to find their own sources of income through work depend on the same side without parents or debt. Some need to try to open an online business one of them with being the author of the article or to become a translator.
Although the study is costly, it could not hurt the students to be creative and continue to work independently to maximize the potential existing to be able to finish his education at their own expense.