What you need to know for your Lancaster University - Management School loan
- No co-signer, collateral or guarantor required
- 150 nationalities eligible
- Loans available for current and incoming international/domestic students
- No up-front fee
- 6 month grace period after classes end for full-time programs
- No fees for early repayment
- Get a provisional loan decision within 5 business days
How much can I borrow?
- For MBA Students, up to 100% of Cost of Tuition, less scholarships (as provided by the school).
- Loans are available in GBP or USD
- Minimum loan size is £10,000 or $15,000
Important Additional Information
The loan size you may be offered will depend on your specific application. If your total payments to the school exceed the amount of tuition due, the remaining amount will be disbursed directly from the school to your local bank account.
All preliminary lending decisions are subject to:
- A full credit and background check
- Your acceptance into the program specified in your loan application
What is my rate?
- 5.5% - 8.5% (fixed) over the 3-month GBP Libor (GBP Libor is variable over the duration of the loan). Rates are dependent on individual applicant profiles.
- APR (Annual Percentage Rate) can be used as a tool to compare the actual cost of two (or more) loan offers. It is the annual rate that is charged for borrowing shown as a single percentage number. APR represents the total cost of borrowing funds over the entire term of a loan. It includes any fees and the effects of compounding interest. Note that it is not the rate at which interest accrues on a loan. See below for representative APR and representative example. Why is APR important? Details here.
Are there fees?
Administration fee: Fee of 2.5% of the loan amount (minimum of £500 or $500) . Fee is fully amortised and added to the loan amount.
How do I repay the loan?
- The loan is repaid in monthly payments after your grace period has ended.
- For full-time students the grace period is 6 months after classes end.
- For part-time students the grace period is 3 months after the last disbursement.
- The repayment period is either 7 or 10 years, depending on your programme and application.
- There are no fees or penalties for early repayment!
- What are my repayment options?
Representative Example 1
The below provides an example of a Prodigy Finance loan for the MBA programme in GBP:
Loan size: £20,000
Interest rate: 7.5% over 3-month GBP Libor (Libor varies over the duration of the loan. As of October 8, 2017 it is 0.354%)
Representative APR: 8.75% variable APR, factoring in all fees and the effects of interest.
Fees: Administrative fee of 2.5%, or £500. This fee will be added to the total loan amount and fully amortised for a total credit of £20,500.
Duration: Repayment period of 7 years, plus the study period of 12 months and a grace period of 6 months = 102 months.
Total amount payable: £29,690.49
Amount of each monthly repayment: £353.46
Representative Example 2
The below provides an example of a Prodigy loan for the MBA program.
Loan size: $40,000
Interest rate: 7.50% over 3-month US Libor (Libor varies over the duration of the loan. As of October 8, 2017 it is 1.356%)
Representative APR: 9.54% variable APR, factoring in all fees and effects of compounding interest.
Fees: Administrative fee of 2.5%, or $1000. This fee will be added to the total loan amount and fully amortized for a total credit of $41000.
Duration: Repayment period of 10 years, plus the study period of 21 months and a grace period of 6 months = 147 months.
Total amount payable: $ 73,169.25
Amount of each monthly repayment: $ 609.74
Please note the following when you consider taking your loan: Loans denominated in a currency other than the currency of your tuition and/or the currency of your post-Master degree salary, may be affected by fluctuations in foreign exchange rates. Prodigy Finance is not responsible for any differences in amount that these currency fluctuations may cause, and does not benefit from any currency appreciation or depreciation.