Stupid Question?

tryingtodobetter

Probably a stupid question is the interest on student loans calculated from the time you recieve it, so each instalement starts acquiring the interest at the time you recieve them or is the whole amount acquiring interest from the time it is approved?

BruceyBonus

I would assume that they charge from the time you receive the loan. If they charge from when it is approved, I would want my money immediately.

Broke_Student

Interest is charged continuously from the date of the first payment on the amount you have recieved to date. So yes, you are only charged interest on any 'new money' from the date it is paid to you.

Same goes for tuition fee loans - the Uni is paid a half installment twice a year and you are not charged interest on money the Uni hasn't been given yet.