The student market is of great interest to the banks, since it is from this source that future well-heeled account holders are garnered. All the major banks, including AIB, Bank of Ireland and Ulster Bank have special units dealing with student business. AIB, for example, boasts more than 30 campus banks.
Most students are financed by grants, their parents and by part-time work. If you think you may need extra cash to tide you over, you may need to consider taking out a bank loan or using the interest-free overdraft options which some banks offer students. It's worth shopping around to check out which bank will offer you the best deal to suit your needs. This year, first-year students opening student plus (current) accounts with AIB will receive a voucher for a free international student card (ISIC) from USIT and the choice of £50 off either a Sony CD/radio cassette or an Eircell Ready to Go mobile phone and a £50 call credit. Active customers will also receive a limited edition compilation CD later in the college year. When it comes to student lending, the banks tend to be conservative. They'll tell you that each loan is individually tailored, according to a student's specific needs. They discourage students building up large loans which have to be paid back after graduation. Most loans are paid back annually and parents are required to stand guarantor. AIB offers student travel loans of up to £1,000, which are interest free until June 1st in the year they are taken out. The bank, too, offers students a discounted interest rate of 1.5 per cent less than the standard lending rate on loans and overdrafts.
Details of Ulster Bank's 1999 student packages are unavailable at the time of going to press. However, Josephine Armstrong, Ulster Bank's assistant-manager student services points to last year's offers, as a guide. These included interest-free overdrafts of up to £300 and summer travel loans of up £1,000 at 3 per cent below the standard rate of interest. The bank also offered specific packages to students taking professional courses including medicine, dentistry, pharmacy, vetinerary and accountancy. These, however, may only be taken up from the second year of study only. Open an account with the Bank of Ireland and as a first-year student you'll be offered an Ericson Speakeasy mobile phone pack and a £20 Easy Key card for £49, followed by another card later in the year. The Level Three Club will enable first years to obtain discounts on a range of products from companies affiliated to the club. Loans include a six month interest free travel loan for students taking up J1 visas during the summer, an interest free advance on tax paid while working abroad and a nine months' interest free loan for students awaiting grant payments. On all other loans and overdrafts, students enjoy a 1.5 per cent discount on the standard variable rate. From September 1st, students will enjoy a freephone banking service through Banking 365, Gary Beirne, Bank of Ireland's product manager, student and graduate banking services promises.
