The four main criteria in a student loan comparison are how much you receive each month, which interest rate applies, up to what age you can draw the loan, and when repayment begins. The KfW student loan costs 6.38% effective per year for new contracts from 1 October 2026, and the federal Bildungskredit (education loan) costs 4.09% effective. Both rates are variable. Bank loans and offers from education funds (Bildungsfonds) or student services organisations (Studierendenwerke) follow the terms of each contract. Loans supplement BAföG and scholarships, they do not replace them. Information as of 20 October 2026.
Quick answer
The KfW student loan pays out 100 to 650 euros per month, costs 6.38% effective for new contracts and is open to students up to age 44. The federal Bildungskredit costs 4.09% effective but is limited to 7,200 euros. Private loans and education funds follow the contract. As of October 2026.
What matters most in brief
- The KfW student loan pays out 100 to 650 euros per month, without an income or asset check and without collateral.
- The federal Bildungskredit costs 4.09% effective, but is limited to 24 months and at most 7,200 euros.
- Private loans, education funds and loans from student services organisations differ greatly in cost and conditions.
- The table lists criteria. It does not rate the offers and does not produce a ranking.
- The student services organisations advise against financing a whole course of study with a loan. Check BAföG and scholarships first.
Which options does a student loan comparison include?
There are five common routes. These are the KfW student loan, the federal Bildungskredit, private bank loans, education funds and loans from student services organisations. The table shows the most important criteria side by side.
| Criterion | KfW student loan | Federal Bildungskredit | Private bank loans | Education funds and student services loans |
|---|---|---|---|---|
| Payout | 100 to 650 euros per month | 100, 200 or 300 euros per month, at most 24 months, 1,000 to 7,200 euros in total | According to contract | According to offer, at student services organisations often a limited budget |
| Interest rate | 6.38% effective per year, variable (as of 1 October 2026) | 4.09% effective per year, variable (as of 1 October 2026) | Fixed or variable, depending on contract | Depends on offer. Education funds have no fixed rate, loans from student services organisations are sometimes interest-free |
| Age limit | At most 44 years old when financing starts | According to the Federal Office of Administration (BVA), before the 36th birthday. Confirm this with the BVA before applying | Depends on provider | Depends on offer |
| Start of repayment | Grace period of 18 to 23 months, then repayment over at most 25 years | Four years after the due date of the first payout, 120 euros per month | According to contract | According to contract. Education funds take a share of your later income |
| Income check | None, and no collateral either | None, can be combined with BAföG | Common. Banks usually require regular income and generally do not count BAföG or child benefit | Depends on offer. Student services organisations often require guarantors |
| Status | Leaflet 11/2023, interest rate 1.10.2026 | BVA pages, page status 2024, interest rate 1.10.2026 | Depends on contract | Depends on contract |
The interest rates on the government loans come from KfW and the Federal Office of Administration. For private loans, the comparison platform studierenplus.de (as of 9 October 2026) cites an average of about 8.99%. This is an average value, not an offer.
What does the KfW student loan cost and how does it work?
The interest rate is 6.38% effective per year for contracts concluded from 1 October 2026. Before, it was 6.53%. The next adjustment is planned for 1 April 2027. How long and how much you can draw depends on your age.
- Up to age 24, up to 14 semesters are possible, at most 54,600 euros
- Up to age 34, it is 10 semesters, at most 39,000 euros
- Up to age 44, it is 6 semesters, at most 23,400 euros
After payout, a grace period of 18 to 23 months follows, which can be shortened to six months. Repayment then runs over at most 25 years or until age 67, with a minimum instalment of 20 euros. During the repayment phase you can choose a fixed rate for up to ten years. The KfW student loan can be combined with BAföG and the Bildungskredit, but you can only have one KfW student loan at a time.
Example based on the comparison site (assumptions of the source, as of 9 October 2026). 400 euros per month over four years gives a payout of 19,200 euros, about 10,730 euros in interest and roughly 29,930 euros in total repayment. The figures show how much interest weighs in over a long term.
What is the Bildungskredit and how does it differ?
The Bildungskredit is a federal loan that you apply for at the Federal Office of Administration (BVA). It is not a KfW student loan, but it is paid out through the KfW. Anyone searching for a “BVA student loan” usually means this loan.
You receive 100, 200 or 300 euros per month, for at most 24 months, and 1,000 to 7,200 euros in total. A one-off payment of up to 3,600 euros for training-related costs is possible. The interest rate is 4.09% effective and is reset on 1 April and 1 October. Repayment begins four years after the due date of the first payout, at 120 euros per month. The guide Apply for the Bildungskredit (in German) explains all steps of the application.
What the interest rate means in practice is shown by a simplified calculation without repayment and without compound interest. With a remaining debt of 10,000 euros, the difference of 2.29 percentage points between 6.38% and 4.09% amounts to about 229 euros in interest per year. With the Bildungskredit, interest starts with the payout and is deferred until repayment begins. With the KfW student loan, the grace period applies, during which you do not yet repay.
A “private education loan”, by contrast, is not a separate product. It usually means loans from banks or education funds, which you compare using the criteria below.
When do private loans and education funds come into question?
Bank loans depend on income, creditworthiness and the contract. Banks usually ask for regular income and generally do not count BAföG or child benefit. This makes approval harder for students without a fixed job. With a guarantor or a co-borrower, the chances rise, but so does the risk for the person who steps in.
Education funds work without a fixed interest rate. You repay a share of your later income for a set period. Specific percentages differ by provider, so check them in the contract before you sign. Currently only a few providers accept new students.
Loans from student services organisations are partly interest-free, but are tied to the respective university and its budget, and often require guarantors. For example, the Daka in North Rhine-Westphalia charges a one-off administration fee of 5%.
What to check before you sign
- Effective interest rate: It sums up interest and contractually agreed costs as one annual figure. Compare offers using this number.
- Interest rate commitment: Clarify whether the rate is fixed or variable and how long it applies.
- Deferment period: Ask when the first instalment is due and whether interest accrues until then.
- Special repayment: Check whether you may repay early and whether this incurs costs.
- One-off fees: Ask about processing and administration fees and any other costs.
- Guarantor or co-borrower: A guarantor is liable only in case of payment default, while a co-borrower owes the full amount jointly with you.
- Right of withdrawal: Consumer loans come with a 14-day right of withdrawal. Note the date you signed.
An open loan can lower your Schufa score at first. If you request offers, choose the Schufa inquiry “Kreditkonditionen” (credit terms) rather than “Kredite” (loans). Be wary of offers “without Schufa” and of advance payments.
What alternatives are there before taking out a loan?
The student services organisations advise using loans only to cover gaps, for example during exam phases or periods abroad. BAföG and scholarships do not have to be repaid, or only half of them, so check them first. The guide BAföG 2026, entitlement, amount and repayment (in German) shows whether you are eligible. Financing a degree without BAföG (in German) describes scholarships and other routes, and Scholarships during studies (in German) gives an overview of support that does not need to be repaid.
It also helps to calculate what you actually need. The cost of living while studying (in German) consists of rent, food, travel and insurance. On health insurance, students who are compulsorily insured pay roughly 143 to 148 euros per month in 2026 for health and long-term care insurance, with an average additional contribution of 2.9% and varying by fund. Whether switching to private insurance is an option is described in the guide PKV or statutory insurance as a student (in German). Note that the exemption from compulsory insurance applies for the whole course of study and cannot be revoked.
Frequently asked questions
What are the interest rates on student loans?
The KfW student loan costs 6.38% effective for new contracts from 1 October 2026, and the Bildungskredit 4.09% effective. Both are variable. With other providers the contract sets the rate, so the effective rate in the offer is what counts.
When is the KfW student loan an option?
It is an option when BAföG and the Bildungskredit are not enough. It requires no collateral and no income check, but at 6.38% it is more expensive than the Bildungskredit. Calculate the total repayment before you sign, and draw only as much as you need.
Can I use a student loan and BAföG at the same time?
Yes. The KfW student loan can be combined with BAföG and the Bildungskredit, but you can only have one KfW student loan at a time. BAföG remains the cheaper basis, because half of it is paid as a grant.
Is there a student loan without a guarantor?
The KfW student loan requires no collateral. With the Bildungskredit, income and assets play no role. With private banks, many institutions require regular income or security from a second person.
How quickly do I have to repay?
With the KfW student loan, repayment starts after the grace period of 18 to 23 months, and the repayment period is at most 25 years. With the Bildungskredit, it starts four years after the due date of the first payout, at 120 euros per month. Check the terms in the respective contract.
What to do now
- Check BAföG, scholarships and part-time work first, before you take out a loan.
- Calculate your real monthly need and the gap that remains.
- Compare the KfW student loan and the Bildungskredit using the current rates on the providers’ websites.
- Calculate the total repayment and choose only the sum you need.
- Read the contract carefully and note the right of withdrawal.
Related articles
- Bildungskredit, application, interest rate and repayment 2026 (in German)
- BAföG 2026, entitlement, amount and repayment explained (in German)
- Finding a scholarship during studies, types, providers and requirements (in German)
- How much money do you need as a student per month? (in German)
- Studying at 30, opportunities, financing and everyday life (in German)
Sources
- KfW, leaflet on the student loan (status 11/2023)
- KfW, questions and answers on the student loan (interest rate from 1 October 2026)
- Federal Office of Administration: Bildungskredit (page status 2024, interest figures 2026)
- German Student Services Organisation: FAQ on BAföG (January 2026)
Information, not individual advice.
Editorial team: Academycon · Last updated: October 2026
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