Education Funds Help Students Pay for Tuition with P2P Lending Services

The difficulty of paying for college is generally always a scourge of problems that overshadows students, especially for those who are less well off. The absence of financial service institutions that provide targeted services for students is an opportunity for Dipo Satria to establish a p2p lending startup Education Fund.

This startup specifically targets students who want to pay for their own tuition with light installments, and has been around since mid-2015. In the spirit of helping students, the loan repayment scheme is also slightly different from other p2p lending platforms.

Students are given the freedom to pay off loans after graduation or even earlier with a more equitable calculation scheme. From a business model perspective, students can apply for a loan of a maximum of IDR 10 million 12-18 months before graduation.

If before the graduation period and/or the student has not earned an income, the student is able to repay the loan, they can get 0% interest relief. Meanwhile, for those who are already earning, the scheme adopted is profit sharing with a range between 10% -30% depending on the amount of student income later. As for the tenor, it is at least 30 months after graduating from college.

"So this really student loans which is not a donation. However, even though it is in the form of a loan, the Education Fund and sponsorship started with wanting to help students responsibly," said Dipo when contacted. DailySocial, Tuesday (1/8).

Currently, Dana Didik is one of the participants of the Plug and Play Indonesia Batch I accelerator program.

The existence of a different return scheme, he continued, is one of the risk management steps that are feared to have the potential to become bad loans.

Before selecting students, the Didik Fund develops internal credit assessments based on the student's job potential after graduation. It carries out a verification process for each student, starting from the school background and the condition of the parents.

Regarding the achievements so far, Dipo claims that his party has received around 5 thousand applications that have entered the Education Fund so far located in Kalimantan, Bali, West Java, East Java, to Bangka Belitung.

As for the number of students who were successfully funded around 40 people with a total value that was not stated. Dipo targets that by the end of this year it will be able to fund 300 students.