The Education Loan Fund is implementing government tuition grants and student development loans to students in higher education institutions in accordance with the following relevant resolutions and orders.
It includes:
- Resolution No. 71 of the Government of Mongolia dated March 7, 2014 /read/
- Resolution No. 111 of the Government of Mongolia dated October 5, 2016 /read/
STUDENT DEVELOPMENT LOANS
The loans includes:
- Interest reduction loan /12 months/
- Short term loan /12 months/
- Long term loan /up to 120 months/
LOW INTEREST LOAN
An interest reduction loan is a loan in which the balance of a previously granted loan to pay for student tuition fees is transferred to a new loan with a new condition (5% annual interest rate).
LOAN TERMS
Conditions: | Interest reduction |
Interest: | 5% |
Amount: | Tuition fees for the academic year |
Frequency: | Up to 2 times a year |
Period /months/: | Salary, pension, livestock loan maturity period /maximum amount up to 12 months/ |
GENERAL LOAN REQUIREMENTS
- Have full legal capacity
- Must have proof of enrollment in an accredited school
- Be registered in the unified educational database
- The main borrower of the loan must be a student, and the co-borrower must be a member of the student’s family
- The main and co-borrowers should not have overdue or non-performing loan balances with banks or non-bank financial institutions
- For new entrants, IEP score 400≤, student 0≤
- Participating student development loan banks may impose additional income verification requirements on borrowers
LOAN REPAYMENT
The principal amount of the loan along with the interest shall be paid by the expiry date of the previously granted loan, maximum of 12 months.
SHORT TERM LOANS
A short-term loan is a loan taken for the purpose of paying for education and repayable within 12 months.
Terms: | Short term |
Interest: | 5% |
Amount: | Tuition fees for the academic year |
Frequency: | Up to 2 times a year |
Period /months/: | Up to 12 months |
GENERAL LOAN REQUIREMENTS
- Have a full legal capacity
- Must have proof of enrollment in an accredited school
- Be registered in the unified educational database
- The main borrower of the loan must be a student, and the co-borrower must be a member of the student’s family
- The main and co-borrowers should not have overdue or non-performing loan balances with banks or non-bank financial institutions
- For new entrants, IEP score 400≤, student 0≤
- Participating student development loan banks may impose additional income verification requirements on borrowers
LOAN REPAYMENT
This loan is subject to repayment of principal and interest within 12 months.
LONG TERM LOAN
A long-term loan is a loan taken by a student for the purpose of tuition fees, which starts 1 year after graduation and is repaid within 3-5 years.
Terms: | Long term |
Interest: | 5% |
Amount: | Tuition fees for the academic year |
Frquency: | Up to 2 times a year |
Term /months/: | Up to 120 months |
GENERAL LOAN REQUIREMENTS
- Have full legal capacity
- Must have proof of enrollment in an accredited school
- Be registered in the unified educational database
- The main borrower of the loan must be a student, and the co-borrower must be a member of the student’s family
- The main and co-borrowers should not have overdue or non-performing loan balances with banks or non-bank financial institutions
- For new entrants, IEP score is 650≤, student is 0≤. However, for students who are studying majors, they can apply for a long-term loan if their GPA is 2.3 or less.
- Participating student development loan banks may impose additional income verification requirements on borrowers
LOAN REPAYMENT
Repayment of this loan is based on the student’s future earnings. It will be paid within 3-5 years, starting 1 year after graduation. The student will pay only the interest on the loan during the period of study.
ADDITIONAL INFORMATION
- The borrower meets the requirements of the selected bank.
- Eligible bank loan applicants can approach any branch of the bank in their jurisdiction of residence
- The loan period is given for the period specified in the selected type of loan
- The amount of the loan does not exceed the amount of tuition fees for 1 year determined by the governing board of the school. It can be paid in installments twice per academic year
- Loan materials will be reviewed within 1-2 business days
- Student Development Loans will be disbursed monthly starting from the 2016-2017 school year.
Education Loan Fund provides student development loans through the following 6 commercial banks.
It includes: