Hungarian government to encourage language exams with credit — Will it work?

Students in higher education who do not have the required number of language exam certificates in order to get their degree can get a student loan of €1538 in the name of a language learning student loan — the government decree about this was published in Magyar Közlöny.

The legislation providing this new opportunity will come into effect on October 1, reported napi.hu.

The government added the language learning student loan to their legislation about the student loan system, which they made in 2012. People with active and passive student statuses as well as people who have taken their final exam at their college or university but because of their lack of a language exam, they have not received their diplomas yet can apply for this credit. The loan has to be requested from the Diákhitel (student loan) organisation. It is not a problem if someone has turned 45 by the time of their request (as it does make one disqualified to request a regular student loan).

The Diákhitel organisation will verify if one is eligible based on the documents and the certificate of student status the potential borrower hands in.

The maximum amount for the language learning student loan will be 500,000 HUF, that is €1538, which can be accessed at once. The credit’s interest rate will be the same as the free-use student credit’s established interest rate until December 31, 2021. From January 1, 2022, the legislation’s rules will regulate the interest rates and their establishment and publication in the subsequent interest periods.

The repayment of the language learning student loan should start 12 months after the date of the credit’s admission, in equal monthly instalments. The borrower may choose the duration of the repayment when they sign the loan agreement, as long as this time period is between one and five years.

Source: www.napi.hu