BOI student loan (getting another).

DeadMoney

Hi, I took out a student travel loan with BOI last summer and the interest will begin this April. I will have this loan fully repaid by May but I am looking to take out another one of the same amount for this summer as I am going away again. I did not have an account with BOI at the time and they opened one for me when I applied for my loan. The thing is my main bank account is with AIB and I have been using this all year to lodge withdraw money from working. It probably would have been smarter to use the BOI account so as to keep the account looking active. I'm just a bit worried that it might not be as easy to just be granted another fresh loan with BOI after paying back last years. Should I just withdraw everything from the AIB and start using the BOI account so that when I apply in May it will look better, or does it really matter since it is a student loan and they usually throw them at you without much questioning anyway?

Thanks

Formal shorts

DeadMoney wrote: »

Hi, I took out a student travel loan with BOI last summer and the interest will begin this April. I will have this loan fully repaid by May but I am looking to take out another one of the same amount for this summer as I am going away again. I did not have an account with BOI at the time and they opened one for me when I applied for my loan. The thing is my main bank account is with AIB and I have been using this all year to lodge withdraw money from working. It probably would have been smarter to use the BOI account so as to keep the account looking active. I'm just a bit worried that it might not be as easy to just be granted another fresh loan with BOI after paying back last years. Should I just withdraw everything from the AIB and start using the BOI account so that when I apply in May it will look better, or does it really matter since it is a student loan and they usually throw them at you without much questioning anyway?

Thanks

Are you saying you were interest free for the year up to April? If I'm reading that right, BOI have made a loss on their loan to you and you bank elsewhere. There is little incentive to them to continue lending to you.

They will consider it provided you haven't missed any payments and your AIB statements are satisfactory, but it would certainly help your case if you started doing your day to day banking with them.

Toots

The student travel loan is a special offer that is interest free for 9 months, and has to be paid in full at the end of that period. You can either lodge random amounts to it during the 9 month period, or can pay it off in one lump or 'bullet' repayment at the end. As far as I know, you can only avail of it once. Give your branch a ring and see can you take it out again, and if you can, ask what are the best things you can do to improve your chances of being approved. I'd say starting to use your current account again couldn't hurt. If you are able to take it a second time, they will probably ask for an indemnity from a parent or relative.

stepbar

Lets put it this way....

Life (in terms of lending) is a lot easier if you borrow money from the bank where your primary income comes into. Otherwise, you're just asking for lots of questions and proof of income etc.

Make life easy for yourself.

Toots

Just a slight correction to my post, you can only have 1 student travel loan at a time, so if you've paid this one off, there's nothing to stop you applying for another one. The only thing is you can only avail of them during a certain time of the year, I think the closing date this year is in may or june.

Michael1987

You obviously dont have to intend travelling though right? : ) I'm going to need the loan just for college, so the travel loan is just a name or do they ask you about that?

Toots

Yes, they do ask, and they can also look for proof of your travel plans.

Besides, you can only apply for it at certain times of the year, namely approaching the summer, when students would be sorting out their J1 trips etc.