Education Loan for Studying in Netherlands: Everything You Need to Know

With state-of-the-art infrastructure and a well-appointed education system, the Netherlands is known worldwide for its wide variety of study programmes leading to various degrees. The country boasts over 90,000 international students and the number is only increasing every year. International students traveling to the Netherlands can expect an interactive and student-centered, teaching style approach. Studying in the Netherlands would mean developing oneself holistically. Students are tutored to foster valuable skills in analyzing, solving practical problems, and creative thinking.

Students from foreign countries are in for relief as over 2,100 programs are taught in English. Universities in the Netherlands offer one of the largest numbers of English-taught programs in Europe. Over 95% of the Dutch population speak English, making it easier for international students daily. The Dutch quality of education is recognized worldwide with Dutch institutions providing the best education, recognized worldwide. The tuition fees and cost of living are considerably lower than in several English-speaking countries, thus making the Netherlands an ideal study location, which provides high-quality education and value for money.

Netherlands – The Country

International students are in for a treat as there is plenty to see and do in Holland. Whether you enjoy strolling through town, lazing on the beach, making a boat trip on the canals or lakes, or walking in the woods and dunes, there is plenty to do in the country. Art lovers are also in for a pleasant surprise as major international music stars regularly play at Dutch stadiums and smaller venues. Musicals and theatre are also very popular and home to over 1,000 museums there is a lot to discover. The Netherlands enjoys a rich culture and tradition and doesn’t be surprised to see people dressed in orange and celebrating on the streets during major festivals. The country is also recognized as one of the safest and friendliest countries in the world, allowing international students to complete their courses without worrying about their overall well-being.

Cost and Work Opportunities

In the Netherlands, tuition fees are set by the state and are thus the same for all universities. The average tuition fee for undergraduate and postgraduate courses for Indian students planning to pursue higher studies in the Netherlands is between €6,000 and €15,000 for Bachelor’s Programmes, and between €8,000 and €20,000 for a Master’s Programme. International students living and studying in Holland can expect to be spending anything between €800 and €1,100 a month on their living expenses. To ease the expenses of studying abroad, international students are permitted to work for a maximum of 16 hours a week, or, instead, you can work full-time during the summer months of June, July, and August. It is vital that students do not miss out on their dream of studying at the top universities in the Netherlands. Students looking to study in the Netherlands may apply for their education loan through Shiksha Study Abroad.

Scholarship and Opportunities in the Country

Exceptional and deserving students can also apply for the numerous scholarships available on our website for Indian students wanting to study abroad. Students can also apply for the various scholarships provided by universities, which are mentioned on their official websites. International graduates can apply for a residence permit of one year to find a job, or start a business within three years of graduation as part of an initiative by the Dutch government to attract knowledge and retain talent. The Netherlands enjoys a stable economy and is home to some of the world’s biggest multinationals, including KLM, Philips, Heineken, Shell, ING, and Unilever, thus providing young graduates with an excellent platform to launch their careers.

Read: Working while studying in the Netherlands

Popular Subject areas of Enrollment for International Students

• Economics and Business
• Human and Social Sciences
• Engineering
• Agricultural.
• Finance

Read: Student Guide to the Netherlands

Top Universities in the Netherlands

• University of Amsterdam
• Delft University of Technology
• Utrecht University
• Leiden University
• University of Groningen
• Eindhoven University of Technology
• Erasmus University Rotterdam
• Wageningen University
• Maastricht University
• Vrije Universiteit Amsterdam

Read: Top Universities in the Netherlands

Eligibility guidelines to apply for an Education Loan to study in the Netherlands

It is important for students to understand the eligibility guidelines and qualify the same, to be able to apply to their preferred money lending institution/bank for their Education Loan. The eligibility criteria vary for different banks. However, some common factors that are taken into account by all money-lending institutions (banks) include

• The student (borrower) is required to be an Indian Citizen.
• The applicant should be above 18 years of age to be able to apply for an Education Loan. Students below 18 are required to apply for the loan co-jointly with their parents.
• The student is required to have successfully secured admission to a job-oriented professional/ technical Graduation Degree course/ Post Graduation Degree and Diploma courses like MCA, MBA, or MS offered by a reputed university.
• Students must have passed an English language test, while IELTS and TOEFL are commonly accepted, institutions may accept other tests as well, like Cambridge English.

Understanding the Cost of Education in the Netherlands

Once a student decides to pursue his higher education in the Netherlands, many factors would start looking important and cost money. Largely the cost of studying in the Netherlands would include:

• Tuition Fees
• Food and Accommodation
• Books and Stationary
• Medical Insurance
• Transport
• Telecommunications
• Visa Application
• Utilities
• Personal Expenses

(Source: https://www.studyinnl.org/)

Applying for an Education Loan

Today applying for an education loan has become extremely convenient with major financial institutions providing a loan at a lucrative rate of interest. Students should be closely in touch with their coordinators abroad to determine the expenses they would incur while abroad and apply for an education loan accordingly. With banks introducing lucrative schemes, all-around-the-year borrowers should do a thorough research of the market before settling on their choice. Factors that should determine their preferred bank are:

• The interest rate offered by the Bank
• The processing fee that would be levied
• Expenses covered under the Education Loan
• Loan processing duration
• Repayment terms and duration

Expenses covered under the loan include

The loan sanctioned by nationalized banks would be solely for educational purposes and not cover personal expenses. Apart from Tuition and Accommodation fees, the loan would also extend to examination/library/laboratory fees; purchase of books/equipment/instruments/uniforms; purchase of computer- essential for completion of the course; caution deposit/building fund/refundable deposit; travel expenses/passage money for traveling abroad and any other reasonable expenses required to complete the course like study tours, project work, etc.

Read: Does the proposal of levying tax collected at source (TCS) will make studying abroad expensive?

Bank Formalities

While the formalities vary for different banks while applying for an Education Loan, however, there are a set of formalities that are identical across the board such as documents that you would require to disclose along with your Loan Application Form. The documents primarily include but are not limited to:

For Student-applicants

• Proof of Identity (Anyone): PAN/ Passport/ Driver’s License/ Voter ID card
• Proof of Residence/ Address (Anyone): Recent copy of Telephone Bill/ Electricity Bill/Water Bill/ Piped Gas Bill or copy of Passport/ Driving License/ Aadhaar Card
• Passport
• Academic Records: 10th Result and 12th Result
• Graduation Result: Semester-wise (if applicable)
• Entrance Exam Results through which admission has been secured (GMAT, GRE, TOEFL, and IELTS)
• Proof of admission: Offer Letter or Admission Letter from the Institution. A conditional admission letter may be considered in the case of studies abroad.
• Statement of cost of study/ Schedule of expenses
• 2 passport-size photographs
• If any previous loan from other Banks/Lenders, then the Loan A/C statement for the last 1 year

For Co-applicants

• Proof of Identity (Anyone): PAN/ Passport/ Driver’s License/ Voter ID card
• Proof of Residence/ Address (Anyone): Recent copy of Telephone Bill/ Electricity Bill/Water Bill/ Piped Gas Bill or copy of Passport/ Driving License/ Aadhaar Card
• 2 passport-size photographs
• If any previous loan from other Banks/Lenders, then the Loan A/C statement for the last 1 year

For Income Proof for Salaried Co-applicant/ Guarantor

• Salary Slip or Salary Certificate for the last 3 months
• Copy of Form 16 for the last 2 years or copy of IT Returns for the last 2 financial years, acknowledged by IT Dept
• Bank account statement for the last 6 months (of Salary Account)

For Income Proof for Self-employed Co-applicant/ Guarantor

• Business address proof (If applicable)
• IT returns for the last 2 years (if IT payee)
• TDS Certificate (Form 16A, if applicable)
• Certificate of qualification (for C.A./ Doctor and other professionals)
• Bank account statement for the last 6 months

Loan and Repayment Formalities

Students traveling to the Netherlands for higher education can avail of a maximum loan amount of Rs. 20 Lacs. However, higher loan amounts for studying abroad are considered on a case-to-case basis. As mentioned earlier, international students will have the opportunity to work part-time to ease their living and tuition costs abroad. All international students holding a valid work document are permitted to work for a maximum of 16 hours a week or, instead, you can work full-time during the summer months of June, July, and August.

International graduates can also apply for a residence permit of one year to find a job, or start a business within three years of graduation. Students who have applied for an education loan from a nationalized bank are required to start the repayment process after the completion of the course period and moratorium period (Repayment commences one year after the course completion or 6 months after securing a job, whichever is earlier). However, students should understand the moratorium time varies for different loan-providing institutions.

Also read:

• Study in Netherlands: Eligibility Requirement and Admission Process
• Netherlands Student Visa Guide
• Country Comparison: France, Ireland, Netherlands, and Sweden