WORK STUDY STUDENT LOANS


Eligible persons

Established permanent workers in the public service, statutory bodies and established stable private sector entities, who want to continue in their employment while pursuing studies. The study programme may not necessarily be related to their existing job.

 

Purpose/use of funds

Loans can be provided under this programme to finance up to 100% of tuition and other fees, books, purchase of computers and all other cost necessary for the pursuit of tertiary level studies up to and including Master’s Degrees.

 

Term

  • Loans up to $25,000.00 – maximum of five (5) years
  • Loans up to $50,000.00 – maximum of ten (10) years

 

Grace Period

Because persons would remain in their jobs while pursuing the programme, loans would not have grace periods therefore repayment would commence the month after first disbursement.

 

Interest Rate

8.5% on loans not secured by tangible collateral
7.5% on loans fully secured by tangible collateral

 

Security

Loans may be given unsecured, to persons with minimum job tenure of five years in their current job, up to a maximum of $10,000.00 or three times their gross salary whichever is less.

Loans up to a maximum of $20,000 may be given with two guarantors (Joint and several guarantees) In such cases the guarantors must have reliable sources of income adequate to meet the schedule loan payments if it becomes necessary. In addition their individual net worth must be at least 2 times the loan.

All loans in excess of $20,000.00 must be fully secured. Security can comprise any of the following or a combination:

  • Cash deposit
  • Assignment of shares from a reputable business institution
  • Mortgage on property
  • Any other collateral that may be deemed acceptable.

 

Cash deposit

  • Assignment of shares from a reputable business institution
  • Mortgage on property
  • Any other collateral that may be deemed acceptable.

 

Loan limits

  • Maximum loan – $50,000.00
  • Loans in excess of $50,000 shall be considered under the Bank’s regular student loan scheme subject to the terms and conditions thereof.

 

Affordability

Affordability will be determined based on the income of the applicant(s). As a general rule loan repayment (all debts in excess of 1 year) should not exceed 40% of the gross income of the applicant(s). Loans may however be considered in excess of 40% debt servicing as follows:

  • Relatively small loans repayable over a period not exceeding one year (12 months)
  • Where persons have schedule increase(s) that will reduce their debt servicing to 40% or less within one year of the scheduled repayment commencement date.

 

Disbursement

Disbursement will be done in keeping with the GDB’s regular disbursement guidelines. Payments of fees will be made directly to the university/ institution.

 

student_loan_application

financial-declaration-_form_but

general-loan-application_form_but

app