This guide details the main options for students when paying for university in Europe and their requirements. It includes links to scholarship and grant databases.
Starting college is an exciting time. But first, you have to answer the question: “How am I going to pay for it?”
Many students do not have financial support from their families, nor are they able to balance a full-time job with their classes.
This is where student loans, grants and scholarships come in, which can cover everything from tuition fees to living costs and learning resources.
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Whether you’ve just finished high school or have decided to start university after a few years off, don’t miss this guide on how to pay for university tuition.
How to pay college tuition: the three main options
Student loans, scholarships, grants… You’ve probably heard of these terms, but do you know the difference?
If you don’t have the support of your parents or a guardian to finance your studies, we recommend that you familiarize yourself with these three options to find out which ones you might be eligible for and how to apply.
Scholarships: Recognition and reward of academic achievements
Getting a scholarship is good both financially and for your CV. When it comes to paying for your university studies, a scholarship is a great option if you have a good academic, sporting or musical record.
But there are also scholarships that are awarded based on financial need and personal or social circumstances. Important data:
- Scholarships can offer full or partial funding, and unlike student loans, there is no need to repay the money.
- Payments vary by program, you may receive the entire amount at once or at regular intervals (e.g., semi-annually or annually).
- Your university’s website probably includes a section listing available scholarships. In addition, some companies offer scholarships, for example, to encourage diversity in their workforce or invest in talent for the future.
- The application process varies widely. Depending on the type of scholarship, you may be asked to perform a piece of music, write a dissertation, or submit a portfolio of your designs. In some cases, you may only need to attend an interview or fill out a form.
Fun fact: The German Academic Exchange Service (DAAD) provides financial assistance to more than 100,000 German and international students each year, making it the largest funding organization of its kind.
Grants: Assistance for a student’s financial needs
Governments and other institutions provide grants to help students pay for college expenses based on financial need. Typically, need is determined by family income from the previous year.
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However, if your personal situation has recently changed, you may be eligible for assistance. Important data:
- Grants do not need to be repaid. As with scholarships, the money can be received in a single payment or periodically.
- Grants are also called “sponsorships”, “subsidies”, or simply “aid”.
- In addition to family income, a grant may take into account nationality, personal circumstances, residential situation and chosen career.
Fun fact: in France, scholarships for studying are called « bourses scolaires » and grant amounts from €1,032 to €5,679 each year.
Student loans: borrow now, pay back later
Of the three options we present in this guide, student loans should be your last resort, since, unlike scholarships and grants, in this case you will have to pay back the money you receive (sometimes with interest).
Please note that, unlike other European countries, some countries do not have a centralised student loan system, so this method of financing is not yet so widespread.
However, students who need it can obtain private loans from banks or other financial institutions, usually with fairly favourable conditions. Important information:
- A student loan is money you borrow to pay for your studies, with the understanding that you will pay it back when you graduate and have a job.
- The amount you can claim depends on where you live, your family’s income and your personal circumstances. This is known as the ‘suitability test’.
- Student loans typically fall into two types:
- Maintenance loan, covering accommodation, food, bills, etc.
- Tuition loan, which covers only university tuition fees.
- Although some lenders offer interest-free student loans, sometimes an interest rate may apply which could increase the amount you need to repay.
- The repayment terms of loans depend on the bank and the agreement made. Sometimes, installments are set proportional to your salary, but there is no set standard.
- Unlike scholarships and grants, student loan applications are usually not time-limited. This means that you can apply for a loan at any stage of your studies.
- You decide what to pay with the money you receive: tuition, rent, food, books, subscriptions, leisure activities… Of course, just because you have that money doesn’t mean you have to spend it all. If you have some left at the end of the year, think carefully about whether you want to spend it on a vacation or if it’s better to save it for the following year (or to start paying it back).
Fun fact: In the UK, over £17 billion is lent to around 1.3 million students every year. According to recent data, the country’s government is still awaiting collection of around £141 billion, and the figure is expected to reach £560 billion by mid-century!