Top Student Loan Requirements from Major South African Lenders

Pursuing higher education can be a significant investment that requires careful financial planning and consideration. Student loans can provide essential support to make your academic dreams a reality. These loans will help cover educational costs like tuition, books, accommodation, and other related expenses. 

In South Africa, multiple banks and financial institutions offer student loans to help students achieve their educational goals. These institutions offer student loans, each with unique requirements, interest rates, and conditions. Hence, someone looking for a student loan to pursue their education must know the requirements to choose the best loan suited to their needs and financial situation.

In this article, we will guide you through the essential student loan requirements and documentation needed to apply for student loans from major lenders in South Africa.

General Student Loan Requirements in South Africa

When applying for a student loan in South Africa, you will come across certain requirements you must meet to qualify for financial assistance. While individual lenders may have their own specific criteria, every applicant must meet a few mandatory conditions. Fulfilling these conditions is essential to move forward with your loan application process.

Here, we will outline the general student loan requirements and necessary documents required in South Africa:

General Eligibility Criteria Across Lenders: The following are the standard eligibility criteria you must meet while applying for a student loan in South Africa:

• You must be a South African citizen or permanent resident of South Africa
• You must be more than 18 years old
• The primary debtor (your parent or guardian) must have a steady income and meet the lender’s minimum income requirements
• You must be officially registered as a student at a recognised tertiary institution in South Africa

Essential Documents: To prove your eligibility for the student loan, you must submit the following documents:

• Certified South African Identity Document or Identity Card
• Proof of enrolment at a tertiary institution
• Parent’s or guardian’s ID or Identity card
• Proof of your parents or guardian’s income
• Proof of your parent’s or guardian’s residential address

Standard Bank Student Loan Requirements

Standard Bank is one of the leading financial institutions in South Africa. It offers student loans without surety to help students finance their education. So, if you are considering applying for a student loan with Standard Bank, it is essential to know their student loan requirements and documentation. Here, we have outlined the specific eligibility criteria and documents required for the Standard Bank student loan:

Eligibility Criteria: The following are the eligibility criteria you must fulfil to get a student loan from Standard Bank: 

• You must be a South African citizen
• Your annual household gross income must be less than R 600,000.
• You need to be studying at a participating university listed by Standard Bank for its student loan.
• Your course must be listed among the approved courses by the participating university for the loan.
• You must have an active transactional account in Standard Bank.

Required Documentation: As you meet the student loan requirements from Standard Bank, you must submit the following documents to verify your eligibility:

• A valid South African Identity Document
• Proof of household income
• Proof of latest academic results
• Registration letter from your university
• Statement detailing university tuition or residence costs
• Documentation of costs for books and educational materials if exceeding R6000
• Recent proof of residence (dated within the last three months)
• Lease agreement showing accommodation expenses 

Fundi Student Loan Requirements

Fundi is an education finance specialist that offers funds to students to help them pursue their educational goals. With the help of a student loan from Fundi, students can cover their educational expenses, including tuition, accommodation and textbooks. However, you must fulfil its criteria and submit documents to get this financial assistance. 

Below, we have outlined the eligibility criteria and documents required for a Fundi student loan: 

Eligibility Criteria: While applying for a Fundi student loan, you must meet the following criteria:

• You need to be a South African citizen.
• You should be at least 18 years old.
• You must not be undergoing debt review.
• You must be accepted at an accredited university in South Africa
• Your monthly income after deductions must be at least R2,500.

Documents Needed: For the Fundi Student Loan Application, you should submit the documents listed below:

• A valid South African ID document
• A South African bank account
• Proof of income, such as recent payslips or bank statements
• Official acceptance letter or proof of registration from your institution

Explore more about Fundi Student Loan

Capitec Student Loan Requirements

Capitec is a retail bank and financial service company based in South Africa that offers up to R500,000 to fund your education. To qualify for a student loan from Capitec Bank, you must meet specific requirements. Below, we have highlighted the essential student loan requirements set by Capitec and the documents you need to submit:

Eligibility Criteria: To be eligible for the Capitec student loan, you must fulfil the following eligibility requirements:

• You must be a South African citizen
• You must be 18 years old
• You must be registered to study at a recognised university in South Africa.

Required Documents: While applying for the student loan from Capitec Bank, you should submit the following documents to prove your eligibility:

• Grade 12 certificate 
• A recent invoice from the partner institution, dated within the last 30 days.
• Three consecutive months of salary deposit bank statements.
• Verified South African ID or smart ID card
• Additional documents may be requested if the bank needs further investigation.

ABSA Student Loan Requirements

ABSA allows you to apply for a minimum of R15,000 to cover one year’s tuition fees and other educational expenses. The student loan from ABSA finances undergraduate and postgraduate qualifications, helping learners achieve their educational goals. However, the learners must meet certain eligibility requirements to access the student loan from ABSA. The following are the specific eligibility criteria and required documentation for the ABSA student loan:

Eligibility Requirements: To be eligible for the ABSA student loan, you should fulfil the following student loan requirements: 

• You must be a South African citizen or a permanent resident of South Africa.
• You need to earn more than R3,000 a month.
• The loan is available for students studying at:

• Accredited universities, universities of technology, agricultural colleges, and TVET colleges.
• Private institutions registered with a Sector Education and Training Authority (SETA) and accredited by the South African Qualifications Authority (SAQA).
• Online courses that are accredited by the US Department of Education or the UK’s Quality Assurance Agency (QAA)
• Aviation training from an approved training organisation (ATO) recognised by the South African Civil Aviation Authority (SACAA).

Required Documentation: As an applicant, you must submit the following documents to verify your candidacy for the student loan from ABSA:

• A valid South African ID document or Smart card
• Recent proof of residential address, such as a municipal or rates bill
• Payslips or bank statements for the last three months
• Proof of enrolment, such as a final acceptance letter or registration letter
• Documentation of course costs for the year, including invoices or statements for tuition fees, accommodation, textbooks, study-related technological devices
• For returning students, proof of the previous year’s academic results to confirm the continuation of studies

FNB Student Loan Requirements

First National Bank (FNB) is one of the leading South African banks that offer student loans to help students cover tuition fees, accommodation, equipment and study materials. However, to get the student loan from FNB, you must submit the necessary documentation and meet eligibility requirements. Below, we have outlined the requirements and documents you need to submit for FNB student loans:

Eligibility Requirements: If you are interested in applying for the FNB student loan, you must meet the following criteria to avoid the possibility of disqualification:

• You should be 18 years of age or older.
• You need to be a permanent resident of South Africa
• You must have enroled at a tertiary institution accredited by the SAGA
• Your principal debtor must be permanently employed or self-employed, with a minimum monthly income of R3,000
• Your debtor’s salary must be deposited directly into their bank account

Necessary Documents Required: To make your FNB application process progress smoothly, you must submit the following documents to the providers. The document requirements are different for FNB customers and non-FNB customers, as given below:

• If you are an FNB banked customer, you must submit the following documents:

• South African green bar-coded ID or Smart Card ID
• Proof of enrolment/ proof of registration from the educational institution 
• If you are a non-FNB banked customer, you should give the documents listed below:

• South African green bar-coded ID or Smart Card ID
• Proof of enrolment/ proof of registration from the educational institution 
• Proof of residence dated within the last three months
• Recent three months’ bank statements showing salary deposits
• The latest six-month bank statements and a Personal Tax Assessment (ITA 34) if you are self-employed.

Comparing Student Loan Requirements Across Lenders

While you look for a student loan in South Africa, you must choose one that meets your financial needs and academic goals. Moreover, you must compare the various student loan requirements in South Africa based on their interest rates, repayment options and loan flexibility. 

Below, we have provided a comparison of the leading student loans in South Africa, highlighting aspects such as interest rates and loan limits to help you find the best fit for your needs.

Student Loan	Coverage	Interest Rates	Loan Amount
Standard Bank Student Loan	– Tuition fees- Accommodation- Textbooks and equipment	9.75%* (T&Cs apply)	-No maximum amount on tuition fees (based on affordability)-R60,000 for Accommodation -R20,000 for Textbooks and equipment
Fundi Student Loan	-Tuition fees -Textbooks and other study material -Accommodation -Technological devices	—	—
Capitec Student Loan	-Tuition fees-Educational expenses like textbooks	An interest rate from prime	Up to R500 000
ABSA Student Loan	– Tuition fees- Accommodation- Equipment- Textbooks	—	Minimum loan amount of R15,000
FNB Student Loan	– Tuition fees- Books, equipment, other study material- Accommodation	Tailored rate from prime less 0.5%	-Up to R300,000-Additional funds are available annually for studies longer than one year

Conclusion

When searching for a student loan in South Africa, it is important to understand the different loan options and their specific requirements. Each lender offers distinct loan features, including varying interest rates, repayment terms, and eligibility criteria. Understanding these differences is crucial to making an informed decision. In this article, we have outlined the student loan requirements and necessary documentation of Standard Bank, FNB, Fundi, Capitec, and ABSA. By thoroughly comparing each option and ensuring you meet the necessary criteria, you can select a student loan that best supports your academic journey and financial stability. 

For more information about student loans and personalised assistance, contact Regenesys today. Our expert team is ready to help you with all aspects of your student loan application, including Fundi student loan. Visit our Student Loans Page or reach out to us directly for guidance and support.

FAQs on Student Loan Requirements: How to Qualify for Funding in South Africa?