You must begin repaying your loan after the grace period has ended. For full-time students, the grace period is usually the study period plus 6 months after classes end. For part-time programmes, the grace period is 3 months after the final disbursement of the funds to the school for each loan.
The monthly due amount shown on your statement is how much you will need to pay per month, over the full repayment term (the length of your loan) in order to repay all fees, principal amounts and interest accrued over time.
For the purposes of loan repayment estimates, this monthly amount assumes that the base rate (Libor index) of your loan does not change over time.
Each of your monthly repayments goes towards paying back a portion of your principal loan amount and interest accrued to date (plus any outstanding payments should you be behind schedule with your repayments).
Yes, you should. While a balance remains on your loan it serves no purpose to skip payment for 1 or more months. Based on how we calculate the monthly due amount this will only cause your minimum obligation to increase and it is best to keep it as low as possible.
However, due to expensive transfer rates from certain countries to the UK it may, in certain circumstances, be better to pay less frequently than every month and thus save on transfer rates. If you are paying from a country where this is the situation, please contact us at firstname.lastname@example.org to discuss your situation.
Payments not received by the end of the month will incur a late fee of EUR / USD / GDB 25.
Yes, you may make larger payments and there are no penalties involved for paying ahead of schedule.
There are no additional fees or penalties if you wish to pay off the balance of your loan before it is due. Please contact the payments team to confirm the amount required to settle your loan, and the best way to make the payment.
Yes. And, there is no penalty for those willing to repay in a shorter period.
No, unfortunately the terms of the loan cannot be restructured or renegotiated. Restructuring the loan will require the loan to be refinanced and this is not an option we currently cater for.
We calculate a perfect payment value at the start of your loan and then plot against time how much you should have paid in total by a certain date. This is referred to as the perfect payment schedule. If the total amount paid by you at a specific point in time is less than the total expected from the perfect schedule, your account is in arrears. The arrears value is calculated as the difference between the perfect schedule and the total you have paid.
The further your loan fall into arrears, the more directly it must be managed to try and prevent the loan from falling into default, which happens when the loan reaches a point where it is 7 perfect payments or more behind schedule.
The best option is to place your loan in a formal arrangement that will give you a bit of time to sort out your financial situation. Please contact the servicing team at email@example.com to discuss your situation so we may advise on the best route forward.
Please do get in touch as soon as you believe you may have difficulty making your loan payments. We have always been able to assist borrowers when they're in close communication with us, but if we're not able to reach you we must consider the loan as in default and turn to legal measures.
Due to the fact that we are receiving payments from all over the world we understand that different locations may offer different challenges. Irrespective of your level of arrears, we will continue to make contact with you to discuss possible options and clear up any misunderstandings.
However, once your account reaches an arrears level equal or higher than 2 missed perfect payments, we will commence with our internal collections processes which include notification to schools, investors and alumni organizations, reporting to relevant credit bureaus and formal notifications in terms of the UK Credit Consumer Act of 1974. If the loan reaches default status we will also commence with legal enforcement processes which can be enforced all over the world.
It is therefore critically important to remain in contact with us and continue to make at least some kind of payment if you are experiencing difficulties. We need to see a practical commitment from your side to satisfy your loan obligations. If so, we may be able to find solutions that prevents unwanted consequences from setting in.
An arrangement is a change in the loan repayment schedule, designed to temporarily adjust loan repayments during periods of financial difficulty. The purpose of an arrangement is to give you a bit of time to sort out your finances before resuming payments.
If you find yourself in a position where you need to adjust your loan payments for a short time, please reach out to explain your current situation and discuss an arrangement. If you'd like to do this, we'll ask you to provide full details on your current income, expenses and assets. If you are married or have an additional source of income in a communal household, we'll ask you to indicate your contribution to the household expenses.
Arrangements are not to be entered into lightly as your account will be flagged both internally and externally to the investors who have funded your loan. When we receive a request for an arrangement, it is submitted to our credit committee for approval. If approved, the arrangement will start from the beginning of the following month.
There are no penalties or fees associated with early repayment. In the case of early repayment, interest will accrue only for the time the debt is outstanding and for the amount outstanding only.
Bulk payments are treated just like any other payment. The amount received is apportioned pro-rata to interest and capital, with a portion used to settle any late fee balance if applicable.
The effect of a bulk payment is to reduce the remaining balance on your loan faster than scheduled. In turn, this will reduce the value of the required monthly payment as this value is the result of amortizing the remaining balance over the remaining term. So the faster the balance is reduced in relation to the remaining term, the smaller the monthly obligation.
Please note that a bulk payment does not create a “credit facility” against which due monthly payments can be set-off. Whilst your loan still has an outstanding balance we expect a payment every month, unless an arrangement to this effect is in place with our payments team.
There is no penalty for making larger than expected payments or for settling the loan earlier than scheduled.
It is your responsibility to ensure your payment reaches us before the end of the month. If we receive your payment late a late fee of EUR/GBP/USD 25 will be charged against your account, unless you have a prior arrangement with us to pay on a different schedule.
You must familiarize yourself with your country or locations’ regulations and process on foreign exchange.
You must pay at least the minimum amount shown on your monthly statement as monthly amount due.
You must only include the Prodigy reference number on your payment advice – this starts with PDG, then followed by either EU, GB or US, and a number. This Prodigy reference number is unique to you and allows our systems to automatically allocate your payment to your account.
E-mail us a copy of your payment details to firstname.lastname@example.org
Our alumni now have three different repayment options. These are all neatly outlined for you in your monthly loan statement, including the bank accounts to pay in to and any transfer codes that you'll need to make the payment. The bank details on your statement are specific to your loan and the investors who helped fund your education.
Please only use the details provided to you on your statement, otherwise we won't be able to credit the payment to your account. As a refresher, here are your top three ways to make payments:
1. Flywire: Click on the URL in your statement - we've customised it to send you to the correct payment portal for your loan. You can access the payment portal from anywhere in the world, with any device that has an internet browser (plus an internet connection, of course). Once you are on the Flywire payment portal, select the option that corresponds to the currency of your loan. From most countries you'll be able to pay in local currency and Flywire will take care of the currency conversion (they'll also handle any regulatory requirements for the transfer). Using flywire, you'll be able to pay using direct bank transfer, Master or Visa Credit or Debit cards or with country-specific local payment services. If you have questions about the payment options for your country, please get in touch with Flywire using the details on their site.
2. Direct bank transfer: If you'd like to pay directly from your own bank, first convert your payment into the currency of your loan and then make the transfer. We'll only be able to accept direct payments in the currency of your loan. To find the bank details where the funds should be sent, have a look on your monthly loan statement. Please be sure to follow any specific routing instructions shown in your statement.
3. International payment vendors: You can also make use of international payment facilitators like Worldpay, Transferwise, CurrencyFair and more. There are many to choose from, so be sure to check that yours allows transfers into the UK, where our bank accounts are held.
Our system automatically identifies your payments based on the reference number included in the payment's reference notes. Your reference number is the “PDG…” number that is shown on your statement in red. If you don't use this number as the payment reference, we won't be able to allocate it to your account. Please use this reference number with all payments that you make to Prodigy, to avoid being charged late fees for payments that you've actually made.
If you're not sure what your reference number is, please get in touch so we can send it to you.
It's not possible to change the currency of your loan. Your loan is essentially an asset that is denominated in a specific currency. The investors who helped to fund your education have invested in the same currency.
Our alumni live all over the world and it's very common for them to earn in a currency that's different to the currency of the loan. For more details on how loan payments work across currencies, please have a look at the section on Where should I make a payment?.
Because of the enormous complexity around live exchange rates (not to mention regulatory environments), we'll only send your monthly repayment or settlement amount in the currency of your loan. You'll be responsible for managing the currency exchange and any calculations related to a currency other than the currency of your loan.
Some alumni will be able to make loan payments with a credit card, using the Flywire payment platform. To check if credit cards are accepted in your country, please log on to the Flywire platform using the URL given in your loan statement. Next, select the country from which you wish to make a payment to find out what your options are for payment methods.
We are unable to receive loan repayment via PayPal, as it is against their policy.
Should you wish to set up a monthly debit order for your loan repayments, you will need to arrange this with your bank directly. We are unable set up debit orders from our side; however, you can set up an automatic transfer debit order from your bank. You are advised to ask your bank to set the amount higher than your monthly amortised amount to allow for fluctuations in the base rate.
At Prodigy Finance, we use a legal model that enables tracking and enforceability in 150 countries. This means that we're able to pursue any of our borrowers who are not making payments on time.
If you're not able to meet your payment schedule, it's best to get in touch with our payments team to discuss your situation.
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.
Watch this video and listen to one of our colleagues explain what FX Risk is and how it might impact you.
Investing - Risk Policy
Investment is restricted to high net worth and sophisticated investors who can demonstrate that they have sufficient knowledge and experience to understand the risks of investing. Risks include the potential loss of capital and limited liquidity. Capital at risk. Investments are long term and it may not be possible to sell your investment prior to maturity. See our full Risk Warning and Terms and Conditions.
© Prodigy Finance Limited 2007 - 2017. All Rights Reserved. Prodigy Finance Limited is incorporated in the United Kingdom (Company Number 05912562) with its registered address at Palladium House 1-4 Argyll Street, London, W1F 7LD and registered with the Office of the Information Commissioner (Reg. No. Z9851854). Prodigy Finance is authorised and regulated by the Financial Conduct Authority (firm registration number 709641) for certain consumer credit activities and for investment activities for investors who have agreed to its terms. Prodigy Finance loans are offered to eligible borrowers who are studying outside of their country of residence and the loans are governed by English law.
Prodigy Services Limited is incorporated in the United Kingdom (Company Number 10201413) with its registered address at Palladium House 1-4 Argyll Street, London, W1F 7LD. Prodigy Services is an appointed representative of BriceAmery Capital Limited which is authorised and regulated by the Financial Conduct Authority. Prodigy Services Limited promotes offers of securities for third party issuers to eligible investors.