Only 13,000 new contracts left: KfW student loan offer “at zero point”

Düsseldorf. The number of new student loan agreements has declined dramatically over the past ten years. In 2024, just under 13,000 new contracts were concluded, compared to almost 60,000 ten years ago. This is according to the latest student loan test conducted by the CHE Center for Higher Education Development. The Handelsblatt newspaper first reported this.

The state-owned KfW is particularly hard hit. Its student loan offerings are approaching "zero," said Ulrich Müller of the CHE management. He cites "unattractive conditions," particularly the current interest rate of 6.3 percent, as the main cause.

Although the federal government intends to promote fair lending conditions and provide a product with fixed interest rates, according to the coalition agreement, concrete implementation plans have not yet been announced. A request to the Federal Ministry of Education and Research remained unanswered, according to the report.

The consequences could be serious: "Since non-governmental providers can only close the gap selectively, many students are left behind," says Müller. "The KfW is leaving them in the lurch – effectively forcing them to take on a part-time job, extend their studies, or, in the worst case, drop out."

RND/dpa