The amount of the repayment installment may change from year to year and is valid until December 31 of the specific year. The Student Loan Centre informs all its clients about the amount of the current repayments in a newsletter by December 15 of the previous year.
The first two repayment years
For the first two years when your repayment obligation applies, your installment is based on the minimum wage. The amount you have to pay for this period is typically 6% of the minimum wage of October 31 of the previous year.
Students in the self-financed scheme who ever received the highest loan amount (currently at HUF 50,000 a month) available only to them shall, for the first year of their payment obligation period, pay each month 8% of the minimum wage of October 31 of the previous year.
Important: the first two years of your payment obligation period means that if you started to make your payments beginning in October 2008, you enter the third payment year on 1 January 2010, from which time your payment is based on your income.
From the third year of repayment
As a rule of thumb, from the third year of repayment your repayment is calculated based on your income of two years before. For instance, your monthly repayment in 2009 will be 6% of your gross average income in 2007 (including all taxable income such as bonuses and rewards). If your average income in 2007 was less than the minimum wage, your monthly repayment in 2009 equals 6% of the minimum wage.
Students in the self-financed scheme who ever received the highest loan amount (currently at HUF 50,000 a month) available only to them shall pay 8% of their average monthly income of two years before. If their average monthly salary was lower than the minimum wage, their monthly repayment equals 8% of the minimum wage.
All income data required to determine the repayment amount are supplied to the Student Loan Centre by the Tax and Financial Control Administration.
Note:
In accordance with the amendment of a government decree effective 13 February 2009, those clients whose parents are job seekers, or they themselves are orphans or have a single parent and the living parent is a job-seeker, may request for up to two semesters a monthly amount of HUF 50,000 under the state-funded scheme or HUF 60,000 under the self-financed system. Read more about the topic here!
Those who took the opportunity to request a higher amount also agreed to make a higher repayment. This amount is 8% (for state-funded students) or 9% (for self-financed students) of the minimum wage of October 31 of the previous year for the first two years of repayment. For the third year on, it is the same percentage of their average monthly income of two years before (or if the income is lower than the minimum wage then it is still the minimum wage).
