Where can I view my student debt?
Did you know that in 2008 the average student debt among students was $12,000? Eight years later, this is already an amount of $15,000. This amount will increase further due to the abolition of the basic grant.
How is my student debt built up?
HBO and WO: Under the new system, your student debt is made up of the following four components:
- A loan
- The student travel product (student public transport)
- The supplementary grant
- And the tuition credit
The supplementary grant is different for everyone. This depends on the income of your parents.
When do I have to pay off my student debt?
Fortunately, you do not have to pay off your student debt immediately after graduating. Have you graduated? Then you must stop and manage your daily finances yourself. The start-up phase starts on January 1 to the following year. This phase lasts two years. After this period, you must begin paying off your student debt every month.
- Example: did you graduate in September 2016? Then the start-up phase started on January 1, 2017.
- How long do you have to pay off:
- Before 2012: 15 years or longer if you choose not to include your partner
- Between 2012 and 2017: maximum of 15 years
- From 2018: maximum 35 years
You may have received/graduated student grants under both the old and the new system. Is this the case with you? Only then can you decide whether you want to pay off your student debt under the old or unique plan.
When will my student debt be converted into a gift?
It will convert your student debt into a gift if you obtain your diploma within the agreed term (part of).
Under the new system, you can convert the supplementary grant and the student travel product into a gift. To do this, you must have obtained your diploma within ten years. The number of years converted into a gift depends on the value of your diploma.
Under the old system, you can convert the basic grant, the supplementary grant, and the student travel product into a gift. This condition is that you have obtained your diploma within ten years. Also, it depends on the value of your diploma and how many years of your student grant are converted into a gift.
Obtaining your diploma is automatically passed on to DUO. The part of your student debt converted into a gift is entered in January of the following year. You will then receive a refund of any overpaid amount from this month.
How much student debt do I have to repay per month?
The monthly amount that you must repay each month depends on several factors, including the amount of your debt and the interest rate expectation. DUO also looks at the level of your income and ability to pay and, on that basis, determines what a reasonable amount is to repay. Do you earn more? Then you also pay off a higher amount.
The income can only ensure that the total monthly amount decreases; the amount will not increase due to your income level. You can check the approximate monthly amount on the DUO website.
There are several situations where the monthly amount can increase:
- The newly determined interest rate is higher than the previous interest rate
- You choose to pay off more (and therefore faster)
You can also reduce the monthly amount.
For example, in the following cases:
- The interest rate is lower than before
- An extra repayment by you, which reduces the total amount and therefore also reduces the monthly amount
- Your income has decreased and is included in the calculation for the monthly amount so that it also decreases
Do you have a partner?
In that case, your partner’s income is also included in calculating the monthly amount and your repayment period. Notify DUO if you have a partner so that they can calculate the correct amounts for you.
Are you praying according to the pre-2012 refund rules? Then you can choose to disregard your partner. For example, do you decide not to include your partner’s income in this calculation for three months? Then the total length of your repayment period will be 15 years and three months.
How does interest work for student debt?
In addition to calculating interest on your student debt, compound interest is also used. This means that you also pay interest on the claim. The level of your interest rate depends on the last year you received student finance and is determined again each year in which you still receive student finance. The interest rate is predetermined every five years if you are no longer entitled to student finance.
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