Here are the key features of the Capitec Education Fund

Lack of finance doesn’t have to be a stumbling block when you want to study further.

Students who enrol for any one of Moonstone Business School of Excellence’s accredited qualifications have the option to apply or pre-qualify for four different funding options via partnerships formed with Capitec, Fundi, Manati Alternate Student Funding, and Student Hero.

Each of these leading education funding providers brings a different offer to the table, tailor-made to suit a student’s individual needs. In the next few weeks, Moonstone will explore each of these options, starting with Capitec Education Fund, to give prospective students a better understanding of which one may be best suited to them.

Divan van Wyk, relationship manager at bursary and educational finance administrators SmartFunder, explains that the main difference between Capitec education finance and a “traditional” student loan is that, with Capitec, the applicant repays the capital and interest from day one.

“In other words, there are two parties involved – the student and the applicant. The student can be the applicant provided that they earn an income (as is the case with adult students),” says Van Wyk.

In the case of a traditional student loan, parents repay only the interest while a student is studying. Once the student graduates, he or she “inherits” the loan and must repay capital and interest.

Van Wyk says there are several problems with this model, which have led to low approval rates and the funding of only certain degrees at specific institutions. Capitec funds any NQF level qualification at both private colleges and public institutions.

“With Capitec Education Finance, we only focus on the applicant who pays back capital and interest from day one. This means that the student can study anything at any accredited institution and get financing, as opposed to traditional student loans that focus on certain institutions and specific qualifications.”

To get the ball rolling, applicants simply need to click on the link on MBSE’s website. They can either apply directly or check whether they qualify. The process takes roughly five minutes to complete online. On completion, applicants are informed whether they were successful or not, their monthly repayments, and the interest rate for which they qualified.

“They are able to recalculate or accept this estimate. Once they accept the estimate, Capitec will get in touch with them within 48 hours to collect their ID, bank statements, and proof of income. As soon as the bank has those documents, a final credit offer will be sent for the client to sign, and the money is then immediately released,” says Van Wyk.

Applicants do not have to bank with Capitec to apply. They must be older than 18, earn a monthly income, and have a South African identity number to qualify.

Students can apply for up to R500 000 at a discounted fixed interest rate with up to 84 months to pay. According to Van Wyk, Capitec’s educational loan offers discounted interest rates and better payment terms than, for example, a normal personal loan.

“The interest rate starts at prime, which is incredible, and then goes up depending on the applicant’s risk profile but is always discounted. The period is determined by the applicant, and if they do not qualify for the period they applied for, Capitec will give them the maximum possible term.”

Students enrolled at MBSE can apply for the exact amount that is outstanding on their account at Moonstone. Van Wyk says, because Capitec pays Moonstone directly, the amount is verified, and the student is not able to have a loan paid out to Moonstone for more than is owed on their student account.

However, if additional funds are needed for books or accommodation, Capitec does provide the option (if a student qualifies) to take out either a credit card or an access facility (revolving loan) to cover these expenses.

Where a student does not qualify for the full amount outstanding on their Moonstone account, Capitec will show them the maximum amount the bank is willing to lend when the student completes the estimate.

“This means that they would still be able to finance, for example, 80% of their fees and won’t be turned down because the amount is larger than what they qualify for,” says Van Wyk.

Click here to find out more about what these four funding providers offer.

See whether you qualify and get a free estimate in three easy steps, or apply online today.

Accredited qualifications

A reminder that there’s still time to apply to study for one of MBSE’s accredited qualifications in the first semester of 2024. These qualifications are:

• Postgraduate Diploma in Financial Planning (NQF 8)
• Advanced Certificate in Financial Planning (NQF 6)
• Occupational Certificate: Compliance Officer (NQF 6)
• Higher Certificate in Wealth Management (NQF 5)
• Higher Certificate in Short-term Insurance (NQF 5)

Applications for the first semester close on Monday, 29 January 2024.

Apply today at www.mbse.ac.za

For more information, contact us at help@mbse.ac.za