Where to Get Student Loans in Tanzania

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A common question: “Where can I get a student loan in Tanzania?”.Well. There are several institutions in the country that offer student loans for citizens who are planning to enroll for diploma, degree and masters programmes.The loans are offered to needy cases as well as bank account holders.

HIGHER EDUCATION LOANS BOARD

Higher Education Students’ Loans Board was established by Act No. 9 of 2004, inaugurated by the Hon. Minister for Higher Education, Science and Technology on the 30th March 2005 and became operational in July 2005. The objective of the Board is to assist, on a loan basis, needy students who secure admission in accredited higher learning institutions, but who have no economic power to pay for the costs of their education. The Board is also entrusted with the task of collecting due loans from previous loan beneficiaries in order to have a revolving fund in place so as to make the Board sustainable.

FINCA

FINCA is one of few banks in Tanzania that offer loans to students. Features of the loan include:

Education Loan

SHAPING OUR NATION’S FUTURE TOGETHER

The Education Loan is a credit facility that finances the education industry; the loan can either be for financing an education institution or for paying student fees.

Why should you apply for this loan?

  • Increase investment in your education institution for purchasing assets, renovations or construction of premises
  • For payments of fees for children or relatives
  • Flexible collateral
  1. Shule Loan

This is an individual loan for an entrepreneur who owns an educational institution, for instance a school, college, or vocational training institute. The purpose of the loan is to invest in that institution by either purchasing equipment, renovating of premises, or making any other capital injection that may be required at the time.

Feature and benefits

Get from TZS 500,000 up to TZS 10,000,000 in 5 days!

  • The freedom is yours! This loan offers a flexible loan term from 3 to 36 months
  • Flexible collateral
  • Free insurance, cover the business on unforeseen events and free life insurance for the client, spouse and 4 children under the age of 18
  • Monthly loan instalments
  • 3 months grace periods, if justified by loan purpose and investment plan

Eligibility criteria for Shule Loan

  • Applicant must be the owner of the education institution
  • Institution must be in private ownership
  • Owner must be a Tanzanian resident and at least 18 years old with a valid ID card
  • Education institute must be registered and it must have been operating for at least 12 months
  • Education institution and residence of owner must be within FINCA Microfinance Bank operating area
  1. Ada Loan

This is an individual loan for entrepreneurs with the purpose of paying school fees for their children or relatives. In this case, FINCA Microfinance Bank pays the fees directly to the education institution where the children or relatives of the entrepreneur study

Feature and benefits

Get from TZS 500,000 up to TZS 10,000,000 in 5 days!

  • Flexible loan term from 3 to 12 months
  • Flexible collateral
  • Free insurance, cover the business on unforeseen events and free life insurance for the client, spouse and 4 children under the age of 18
  • Monthly loan instalments
  • Does not restrict you to take another loans i.e. Business Loan etc

Eligibility criteria for Ada Loan

  • Applicant must be a Tanzanian citizen and should have a business
  • Applicant must be at least 18 years old and have a valid ID card
  • Business must be registered, have a TIN and must have been operating for at least 6 months
  • Business must be located within FINCA Microfinance Bank operation area

BANK OF AFRICA TANZANIA

Bank of Africa Tanzania offers school fees loans to parents who operate accounts in the bank. The loan is dubbed Back to School Loan and has the following features

This is a short term facility that offers financing of school fees for children whose parents operate bank accounts at BANK OF AFRICA – TANZANIA.

Features

Minimum loan amount   -TZS 1 million or USD equivalent

Maximum loan amount  -TZS 10 million or USD equivalent

Maximum repayment period- 10 months

Term, and conditions    

Total loan repayment should not exceed1/3 of their net salary. the interest rate is on  reducing balance basis. the bank  can revise  the interest rates depending on the market condition without prior notice to the  customers.

Open a bank account at BANK OF AFRICA – TANZANIA  employer’s undertaking to channel salary through employee bank account at BANK OF AFRICA – TANZANIA.

Benefits

Fastest and most easily available of all retail loan products

Lower required borrowing amounts.

Available of a range of  products that offer financing for personal needs.

 

1 COMMENT

  1. I am looking for education loan but I don’t know how to apply for loan. I graduated advance level in 2017 please help me I need to join law degree.