DUO: this is how the ‘interest rate trick’ works

DUO: this is how ‘interest rate trick’ works



The Education Executive Agency (DUO) is getting a lot of questions about the trick that allows students to fix part of their student loans at the new interest rate of 0.46 per cent. DUO has posted the explanation on its website. A number of clever students, including TU Delft student Joep de Jong, came up with a trick this autumn that can save thousands of euros in interest. They have to temporarily stop their student loans from January 2023 and have them reinstated from February.


Thanks to that one-month break, their first debt – accrued before 1 January 2023 – will be subject to the low interest rate of 0.46 per cent for five years. The second debt, accrued from 1 February 2023, will get a new interest rate each year, which is expected to rise further.


  • Read how Joep de Jong’s trick works here. He created a calculation example in which you can enter your own data.


On its website, DUO takes (in Dutch) a neutral stance: “DUO cannot advise you whether you should do this. However, we are happy to explain to you what the ‘interest trick’ is. And what the consequences are.” Those who want to take advantage of the ‘trick’ must arrange this by January 1 at the latest, DUO writes. (HOP, HC)


Editor in chief Saskia Bonger

Do you have a question or comment about this article?

Comments are closed.