Current SituationandUse of Preferential Loan by Students of Vietnam National University of Agriculture

In order to clarify the current situation and use of preferential loan, data were collected from 255 students and alumni at Vietnam National University of Agriculture, who had borrowed and not borrowed preferential loans from the Vietnam Social Policy Bank in the period of 2014-2016. Results showed that nearly 67% of students borrowed 4-8 times, of which 30% borrowed in 6 semesters, accounting for the highest proportion of loans. Ninety four percent of students used the loan for tuition fees, living expenses, housing, and materials. Tuition fees accounted for the highest proportion (90%) while living expenses such as lodging, and eating accounted for 44.25%. The average student loans increased but it only met 49% of the cost for education. The study also showed that the loans had a positive impact on students’ education, learning outcomes, extracurricular activities and employment. Based on theses results, three main solutions were proposed: (1) Considering loan grant to non-policy students; (2) Lending with the maximum amount according to the state regulations; (3) Continuingto raise the annual maximum loan amount.