Starting studies

Many things change when you start studying. For many, it also means moving away from home and taking responsibility for oneself and one’s own finances.

  • 1. Day-to-day finances

    1. Day-to-day finances

    Order a Frank student card with the MasterCard Debit payment feature provided by Danske Bank. It is free of charge for all University and University of Applied Sciences students. Make use of your student benefits and pay your purchases with a single card. You will also become a Danske Bank customer and have the Silver service package without a monthly charge regardless of your age as long as you have a MasterCard Debit student card issued by Frank, and up to the age of 28 after graduation. The Silver service package includes the card, a current account, bank identifiers and other services and applications from Danske Bank that make managing your daily finances easier.

    MasterCard Debit student card: Order the MasterCard Debit student card by Frank
    MobilePay: Pay faster – start using MobilePay!
    Mobile application: Manage your banking easily with your smartphone. Start using the mobile application!

  • 2.  Financial aid for students

    2.  Financial aid for students

    As a full-time student, you are usually entitled to a study grant and housing supplement as well as a state-guaranteed student loan. Make use of your benefits!

    Apply for financial aid for students in time after your admission has been confirmed. Many new students apply for it at the same time, which may cause congestion in the processing.

    In addition, your home municipality or national foundations and organisations may support your studies through grants and scholarships, so do find out about them as well.

    Kela.fi: Read more about financial aid for students and applying for it

  • 3.  Student loan

    3.  Student loan

    Student loan provides flexibility to your economy, allowing you to concentrate on the studies instead of working, finance the necessary purchases or, for example, build up a reserve fund.

    Student loan is a state-guaranteed loan with lower costs than other loans, and you will not need any separate collateral for it. You will not start repaying the interest or capital of the loan until after your graduation. If you complete your studies within the determined time, Kela can even pay part of your student loan for you.

    Start by applying for study grant, housing supplement and state guarantee for student loan with Kela. With the decision from Kela, you can apply for the student loan in eBanking.

    Student loan: Read about applying for the student loan

  • 4.  Working while studying

    4.  Working while studying

    Many of us want to work while studying because of the income and work experience. Consider that the income from your work may affect the financial aid paid to you, and remember to calculate your new tax rate so that you will not later have a surprising situation with back taxes.

    Vero.fi: Calculate your tax rate
    Kela.fi: Check the income limits for financial aid

  • 5.  Finances in balance

    5.  Finances in balance

    There are always two sides to economy: in addition to your income, make sure to keep your expenses in check. There are plenty of affordable services and benefits available to students – also in banking and insurance!

    There are many useful tools for planning and monitoring your finances, such as the budget calculator and income–expenses view, which follows you everywhere in the mobile application. You can order an alert message to your phone if the balance on the account falls below a specific amount, you can have your invoices handled directly as e-invoices and you can schedule important expenses to be debited on a specific day from your account. If you have problems with invoices, contact us right away so that we can sort out the issue.

    Danske Benefit Programme: Learn more about benefits for students
    Budget tool: Plan your budget with a handy table (XLS) (In Finnish).

  • 6.  Put something aside

    6.  Put something aside

    If at all economically possible, put part of your income aside so that you can prepare for unexpected expenses and seize surprising opportunities that you may face. The most important thing about saving is that you get started and continue with regular saving – over time, even a small amount will grow to a large sum. If you are thinking about having your own home, an ASP account is a good option for growing the nest egg.

    ASP account: Read more about the ASP account and start saving

  • 7.  Protection with insurance

    7.  Protection with insurance

    When you are starting your studies, it is advisable to check if you need any insurance coverage and if the coverage you already have is up-to-date. For example, home insurance covers the movable property at home against fire, leak or theft. Home insurance is also useful if your telephone breaks or if your bicycle is stolen. Travel insurance, on the other hand, provides security during your adventures.

    Make use of benefits from Fennia for Danske Bank customers: Fennia.fi

Questions about student loan and repayment

  • 1. How do I apply for a student loan?

    Once you have received confirmation of a place of study, start by applying for study grant, housing supplement and state guarantee for student loan with Kela. With the decision from Kela, you can apply for the student loan in eBanking.

    You need to apply for state guarantee for each academic year with Kela. A loan granted for an academic year must be withdrawn during that academic year. In the first year, file your loan application in eBanking. In the next years, file an application for increasing the loan amount, also in eBanking.

    After you file the application, you will receive a decision about the loan in eBanking. Remember to withdraw the loan that was granted to you to your account even if you do not need it immediately.

    During your studies, you do not pay interest on the loan. Instead, it is added to the capital. This means that you will not start repaying the interest or instalments of the loan until after your studies are finished.

  • 2.  How is the repayment of a student loan determined?

    The repayment plan is an agreement that is made with the bank. The repayment plan is based on the times that the interest of the student loan has been added to the capital. The more times the interest has been added to the capital, the lower the monthly payment is. In addition, the amount of the loan capital affects the forthcoming payment plan.

  • 3.  When does the repayment of a student loan start?

    Before the beginning of the repayment of the student loan, interest is added once more to the capital, in June or December following the end of the study grant period, depending on when you have withdrawn your last study grant payment. After the capitalisation, interest is paid semiannually during the next year. Interest is always charged on 15 June and 15 December.

    The repayment of the student loan capital will commence half a year after these two interest invoices, as indicated in the advance notice that you have received. We will notify you well in advance before the repayment.

    When the repayment of the actual loan starts, you will receive a monthly invoice. The least expensive option for repaying the student loan is automatic debiting from the account. The debiting cannot be converted to an e-invoice and it cannot be made from the account of another bank. You can easily change the payment method by contacting our customer service, either through eBanking messaging or by calling us and authenticating yourself with bank identifiers.

  • 4.  What does the capitalisation of interest mean?

    During your studies, you do not need to pay the interest on the student loan. Instead, the interest is automatically added to the loan capital twice a year (in June and December). If you want to pay the interest, you can wire transfer the amount of the interest directly to the loan number. A message or reference code is not needed. You will see the amount of the interest on the invoice you receive, or directly in eBanking in the loan transactions.

  • 5.  Will I benefit somehow from the capitalisation?

    Yes. As a student, you will not need to pay interest or invoicing fees during your studies as long as you are entitled to financial aid for students.

  • 6.  Can there be some negative effects from capitalisation to me?

    With the capitalisation of the interest, the amount of the debt grows by the capitalised amount. In practice, capitalisation is not harmful; instead, the payment is deferred until the repayment of the actual student loan commences. However, you will always pay interest according to the capital of the loan.

  • 7. Can I apply for a change to my student loan?

    You can apply for a variety of changes to the student loan, such as, for example, instalment-free months or changes to the repayment programme. This you can do conveniently through eBanking. The changes are always processed according to the application and are subject to a service fee according to the pricelist valid at that time.

  • 8. Can I repay the student loan faster?

    At your option, you can repay the student loan in advance by transferring money directly to the loan account as a normal wire transfer. A message or reference code is not needed. However, consider the student loan compensation and tax deduction, if you complete your degree within the target time. In this case, do not repay the loan beyond the repayment programme. Instead, check the instructions on Kela's web site, or ask Kela for assistance.
    Kela.fi: Student loan compensation
    Kela.fi: Student loan tax deduction

  • 9.  Can I have part of the student loan compensated?

    If you have completed your university degree within the target time and have started your studies after 1 August 2014, you are entitled to student loan compensation. This means that Kela pays part of your student loan.

    If you have started your studies before 1 August 2014 and have completed your university degree within the target time, you are entitled to a student loan deduction.

    This means that the amount of tax you pay is lowered by the amount of of the student loan deduction.

    Kela.fi: Student loan compensation
    Kela.fi: Student loan tax deduction

  • 10. What if I forget to pay?

    The bank automatically sends a payment reminder for unpaid interest or instalments. If a reminder about the student loan is sent, the information is also sent to Kela, which acts as the guarantor of the loan. Kela will then also send a reminder to the customer after receiving information from the bank about the delayed payment.

  • 11.  I received a paper invoice with a zero amount
    We send you information about the interest as a paper letter because we have to inform the customer of the amount of the interest. In this letter, we only state the interest, and no action is required from you.