Types of Loans

KOSAF loans vary by type, but they share a common characteristic of having built-in repayment support for borrowers and, taken together, having selection criteria that aim to provide student aid for students from a wide range of backgrounds.


Living Expense Loan (for during-study living expenses)

Undergraduate students and graduate students may borrow living expenses during their study. They must meet qualifications for either ICLs or DLs.

Loans must be used for necessary living expenses during the academic year that may include room and board, books and supplies, and transportation costs. Students may borrow Up to KRW 3M(1st semester in 2018).

A Living Expense Loan can be made on its own or in combination with a tuition loan.

Transition Loan (from DL to ICL)

Students who previously borrowed through DL may convert their loans to ICLs, if they meet criteria for ICLs. However, terms and conditions are not retroactive. For all previous semesters during which the borrower received the DL, the terms and conditions of the DL fully apply (e.g. the interest accrued on the loan principal each month while the borrower was receiving the DL loan must be repaid).

KOSAF Loan Conversion Plan

Borrowers who took out student loans from Fall 2005 to Spring 2009 can convert them into KOSAF loans with a lower interest rate. This program applies to government-guaranteed loans from Fall 2005 to Spring 2009, and direct loans taken out in Fall 2009. By reducing the interest rate from an average of 7.0% to 2.7%, the KOSAF Loan Conversion Plan aims to ease the burdens of interest payment. Moreover, borrowers who qualify for the KOSAF Loan Conversion Plan can consolidate their previous loans into one single loan for easier management and reschedule their payment plans. The maximum grace period is 3 years followed by a repayment period for up to 10 years.

Grants & Scholarships
Types of Grants & Scholarships
Application and Disbursement
Student Loans
Types of Student Loans
Application Process and Repayment
Sharing & Volunteering
Types of Volunteer Programs
Cheong Wa Dae, Office of the President
Government of the Republic of Korea
Ministry of Education
Education, Culture, Sports & Tourism Committee
The National Assembly of the Republic Korea
The National Assembly of the Republic of Korea
Ministry of Strategy and Finance
Download relevant legal texts
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