Are you done studying?
Then you must pay off your student loan. You do not have to start immediately: the start-up phase only starts on January 1 of the year after you have stopped studying. So if you finish studying in May 2014, your start-up phase will start on January 1, 2015. The start-up phase lasts two years and is a period in which you do not have to start repaying. By the way, you can pay off earlier if you want to: if you miss the money, it is of course useful to start paying back your student loan in advance. This means that your debt is paid off earlier and you pay less interest. You can always pay off earlier or more than you are obliged to: you do not pay a fine for this at Mio. (This works very differently from credit institutions and mortgage lenders!)
Repay your study debt: installments and interest
Of course you do not put the amount of study debt on the table in one go. That is also not necessary at Mio: as long as you repay your loan in 180 months (15 years), you will not hear them complain. With the new student finance system, this term has been extended to no less than 35 years. That does not mean that you actually have to take so long. After all, you pay interest during the time that a debt is still outstanding. The faster you pay off, the lower the amount that you ultimately pay in interest.
The interest that is calculated on your study debt is compound interest. This means that interest is also charged on your interest. The interest on your loan starts from the first month that you receive a student loan. As long as you receive a student loan, the interest rate is set annually. If your entitlement to student finance ends, the calculated interest is not determined annually, but every 5 years. The interest that you pay during the repayment of your study debt is not tax deductible.