For many students, student supports (BAföG) provides valuable financial support. However, the repayment phase follows after graduation. In this article, you will find out how BAföG repayment works, which deadlines you need to observe and which tips can help you to repay your BAföG debt.
Please note: BAföG for pupils does not have to be repaid. This is granted 100% as a subsidy.
How does BAföG repayment work?
After completing or cancelling your studies, the repayment of the BAföG loan begins. But don't worry: you don't have to pay back the full amount. As a rule, half of your BAföG is granted as a loan, the rest is a grant that you do not have to pay back.
The repayment period for BAföG usually begins five years after the end of the standard period of study. You have 20 years to pay off your BAföG loan in full, but you can also opt for earlier repayment.
Repayment deadline for BAföG 2024: When do you have to pay?
The BAföG repayment deadline depends on the date on which you finish your studies. If you complete your studies in 2024, you should start repayment five years after the standard period of study, i.e. in 2029. From this point onwards, you will receive notifications from the Federal Office of Administration (BVA) with the exact BAföG repayment dates. If you miss these deadlines, you may incur interest on arrears.
With our BAföG calculator from LeistungsLotse, you can quickly and easily check whether and how much BAföG you are entitled to. Check now!
How high is the repayment amount?
The amount you have to repay depends on your individual loan. With regular student BAföG, 50% of the funding amount is granted as an interest-free loan. The maximum repayment amount is 10,010 euros, regardless of how much BAföG you have received.
Repaying BAföG debts: What you should consider
When it's time to repay your BAföG debt, there are a few options you can use to make the process easier. For example, you can apply for a deferral of payments if your income falls below the specified income limit.
The loan is repaid in monthly instalments of €130 over a period of up to 20 years, up to a maximum of 77 instalments. Three monthly instalments are always combined into a quarterly total amount.
The option of early repayment also offers advantages: If you repay your BAföG loan in one lump sum, you can receive a discount. This can be up to 21% for a 10,000 euro repayment.
Repayment BAföG allowance: How you can benefit
If your income is low during the repayment period, you can benefit from a repayment BAföG allowance. If you earn less than 1,690 euros (net), you can apply to be exempted from repayment. The amount increases by 850 euros for spouses/partners and by 770 euros for each child.
With our BAföG calculator from LeistungsLotse, you can quickly and easily check whether and how much BAföG you are entitled to. Check now!
What happens if you don't repay?
If you fail to repay your BAföG debt or fail to observe the BAföG repayment deadlines, you may incur interest on arrears. It is therefore advisable to contact the BVA in good time if you have difficulties with repayment. There is always the option of a deferral in cases of particular hardship.
Conclusion
BAföG repayment can seem intimidating, but with the right information and good planning, the process can be mastered. Pay attention to the repayment deadlines, find out about your allowance and check the possibility of early repayment. This will help you avoid unnecessary additional costs and reduce your debt efficiently.