1, welfare. Student loans can ease the family's economic pressure and help students successfully complete their college studies; Students can enjoy interest-free loans while in school, and the interest is fully borne by the state finance.

Self-repayment of loan interest after graduation is very low for the loan industry, with little pressure; The principal of the student loan can be repaid in a five-year grace period, and the repayment period is very loose; Applying for student loans can also help students study higher degrees, such as second bachelor's degree and postgraduate degree.

2. Disadvantages. Although the loan is interest-free during school, students always need to pay extra interest; As long as it is a loan, whether the interest is overdue or the principal is overdue, there will be the risk of overdue repayment; If it is overdue, it may affect students' personal credit and damage personal credit.

Consequences of breach of contract

1. If a student who borrows a national student loan fails to repay the loan within the time limit and amount stipulated in the repayment agreement signed with the handling bank, the handling bank will charge a penalty interest on the amount of default repayment.

2. The handling bank will enter the default information into the basic database of personal credit information of the People's Bank of China for all financial institutions in China to inquire according to law. Take restrictive measures against defaulting borrowers who maliciously default on loans and refuse to provide financial services such as housing loans and auto loans.

3. For borrowers who have been seriously in arrears in repayment, relevant administrative departments and banks will publish their names, citizenship numbers, graduation schools and specific breach of contract through news media, internet and other information channels.

4. Lenders who seriously breach the contract will also bear relevant legal responsibilities.