More and more banks are partnering with schools to offer student loans.
What can a business school offer? Tuition fees are discouraging middle- and low-income families. At HEC, number one in the rankings, tuition costs no less than € 33,700 for three years (2009 rates).
And yet, “a student pays only a third or half of what it costs,” says Bernard Ramanantsoa, CEO of the group HEC. Grants from the Chamber of Commerce and Industry of Paris and income from continuing training can complete the budget.
For a school of quality but less prestigious, such as ESC Rennes, it is necessary, in total, to pay 22 440 € in tuition fees, plus the cost of housing and maintenance. In this context, anxious to broaden the social base of their recruits, schools try to support students in financing their studies.
“Grosso There are speaking, 18% of the stock of social criteria in our business schools, provides Andrés Atenza, CEO of the Groupe ESC Clermont and chapter president of management schools in the Conference of schools. For ten ‘years, schools have gradually put in place a number of levers to help students.’
Exemption from tuition fees is one of them. Thus, from the start of the 2009 school year, HEC management has decided to totally exempt its students from a state scholarship, regardless of the amount. At ESC Clermont, out of a promotion of 300 young people, 75 are exempted totally or partially on social criteria.
Scholarships often combining academic and social excellence criteria are distributed through different channels: the schools themselves, foundations (school, corporate, Fondation de France, Fondation Lambert …) but also by chambers of commerce, regions.
Among other initiatives, the Chamber of Commerce of Rouen grants an amount of about 200,000 euros per year to ESC Rouen students; The EM Lyon distributes, every year, between 250,000 and 300,000 euros of internships and the Jean-Goubin Foundation supports ESC RRenne’sstudents with around 120,000 euros per year, etc.
But the most common mode of financing remains the payday loan. Astrid, 23, in her third year at ESC Rennes, borrowed 13,600 euros at an overall effective rate of 2.53% in 2006.
After going around the banks she chose the BNP, which, because of a partnership with her school, offered her the best rate. This allowed him to finance his first two years of school. It will repay, from November 2010 its loan. To live, it has its stock market, about 4,000 euros per year. To have more on her resume and finance her third year of study, she made last year, a year of “break” by working in a company for a net salary of about 700 euros per month.
At ESC Rouen, the management considers that half of the students in the Grande École program use loans.
“Banks are very interested in this clientele, whose value of the diploma provides a guarantee of recovery,” says Arnaud Langlois-Meurinne, CEO of the group. In this context, school principals and student offices negotiate loans on more attractive terms than traditional student loans.
The lowest rates generally run around 2.4% to 2.5% with, as with any student loan, the possibility of a deferred refund after graduation. Bonds are not always required. Thus, ESC Rouen has an agreement with CIC and Societe Generale to grant loans without parental guarantee. For ESC Renne’s students, the HSBC bank undertakes to study loan applications, without a deposit.
Work-study training, which is being developed in higher education, can also be a way of financing one’s studies. “In the second and third years, we have about 140 apprenticeship students, their tuition fees are financed by the companies through the apprenticeship tax, and they receive a pro rata salary of about 600 students. to 1000 euros, ” says the director general of ESC Rouen.
Most of the time, high school students are poorly informed about these aids. They have to learn school by school. To make up for this lack, the eighteen business schools, members of the Passerelle proofing bank, plan to publish a brochure detailing these devices.