Old Student Loans
Old Student Loans
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Help us reach €2,000/month to secure a Bank Loan
Student loans offer a way to develop the pāramī of Dāna by providing money to the centre for development work. Such loans allow a centre to borrow money at much lower rates than commercially available loans, thereby saving considerable Dāna. The interest students forego is their donation. For IVT, these Loans would help us to pursue property acquisition sooner than waiting for Dāna to accumulate.
All information will be handled confidentially and with care, shared only with the small team directly involved in the finances for the project.
Loan Terms
Loan Terms
Student (“The Lender”) loans will be accepted starting at a minimum amount of €1,000. The loan tenure is a minimum of 5 years. Exact time frames will be agreed based on the requirements of IVT and the lender at that time. Most loans are expected to be interest-free at 0% fixed rate, to help reduce the interest costs. Only under exceptional request from a student offering a large loan amount (>€10,000), IVT may consider offering a low interest rate (up to 2% fixed rate).
Amount: Starting from €1000 & above in multiple of 100’s
Fixed Interest Rate: 0% (default) up to 2% (exception) per annum
Tenure: Option A: For loan amount less than €10,000, choose from either 5, 10 or 15 years fixed.
Option B: For loan amount greater than €10,000, choose between 5 to 15 whole years.
Repayment: Loans are repaid in their entirety at the tenure-end, including interest (if any)
All loans will be accepted and repaid in Euros (€). For loans provided in other currencies, the equivalent Euro amount will be determined based on the exchange rate on the date IVT receives the funds.
If either IVT or the lender wishes to extend the loan tenure, discussions should begin at least 6 months prior to the original repayment date. Similarly, if IVT is in a position to repay a loan earlier than scheduled, we will proactively reach out to the lender to discuss and agree on the terms of early repayment.
If the lender’s contact number or any other details change, the lender must notify the IVT so that records can be updated.
Guidance for Potential Lenders (Students)
Guidance for Potential Lenders (Students)
The IVT kindly requests that individuals considering participation in the loan program carefully assess their financial strength and capacity before extending a loan. We strongly advise that only disposable and excess funds be used for lending. Please avoid using retirement savings, daily living expenses, or funds earmarked for significant life events such as university tuition or home purchases.
It is important to note that IVT is not a financial institution, and loans should not be treated as savings accounts with immediate liquidity. There may be times when IVT does not have access to large reserves of liquid funds. While we will always strive to accommodate our lenders, early repayment requests may not be feasible and could impact IVT’s operations. IVT is committed to repaying all loans as they become due. However, we ask that only those with financial flexibility consider lending.
The Lending Process and Next Steps
The Lending Process and Next Steps
If you are interested in participating in the Old Student Loan Program, please email to: finance@ie.dhamma.org to discuss loan terms and how to proceed. Generally, once loan terms are finalised, and a formal loan agreement is entered into, the student will send funds to the IVT bank account. Any payments of interest or capital may be subject to any deductions (of tax, withholding tax or otherwise) as required by the Irish law.
FAQs
FAQs
What is the difference between a Donation and a Loan for IVT Property Acquisition? Can I convert a Loan into a Donation later?
What is the difference between a Donation and a Loan for IVT Property Acquisition? Can I convert a Loan into a Donation later?
A donation is a financial gift that does not require repayment. Donation receipts can be issued, and for Irish tax-paying donors, IVT may be able to claim up to 45% tax relief on donations of €250 or more in a calendar year (once the relevant form is submitted). Donors from other countries may also be able to use donation receipts for tax purposes, depending on local regulations.
A loan, on the other hand, is a financial agreement between you and IVT that will be repaid according to agreed terms and timelines. Loans are used specifically for IVT’s Site Acquisition and Maintenance purposes and do not qualify for donation receipts. Instead, a formal loan agreement serves as the legal document, which may be used for your own financial or tax records.
If you decide to convert a loan into a donation at any point, please let us know. A donation receipt can only be issued after the loan has been officially converted, and the loan will then be considered closed.
What benefit does IVT Gain from this loan program?
What benefit does IVT Gain from this loan program?
The loan program provides IVT with access to funds that are typically interest-free, which is the default and most common arrangement. In rare cases, larger loans may carry a low interest rate of up to 2%, which is still significantly below market rates. These favourable terms result in substantial savings on interest costs, allowing IVT to allocate more resources toward purchasing and operating the centre, and supporting its long-term mission.
Has the Irish Vipassana Trust (IVT) borrowed money from old students in the past?
Has the Irish Vipassana Trust (IVT) borrowed money from old students in the past?
No, IVT has not borrowed money from old students in the past. However, many Vipassana centres around the world have used this method to fund their programs. IVT has drawn on the experience and resources of our nearest neighbours at Dhamma Dipa in the UK, and we have adapted the approach to comply with Irish law and IVT’s specific circumstances.
Are there risks associated with lending to IVT?
Are there risks associated with lending to IVT?
Lenders should be aware that IVT is not a financial institution and currently does not hold significant assets. In the unlikely event of default, there may be no assets to claim against — at least until a property is acquired. This is why we ask lenders to only use surplus funds and to carefully consider their financial position before lending.
What if a student has an emergency and would like to withdraw their loan?
What if a student has an emergency and would like to withdraw their loan?
While early withdrawals cannot be guaranteed, if an emergency arises, please contact us. IVT will do its best to work with the lender to find a suitable solution.
What if interest rates go up in the market?
What if interest rates go up in the market?
Interest rates are fixed at the start of the loan term and remain unchanged for the entire duration, as outlined in the Loan Agreement—unless a new formal agreement is made, and the previous one is closed.
Are short-term loans useful for IVT?
Are short-term loans useful for IVT?
Generally, no. Short-term loans (e.g., less than 5 –10 years) are difficult to utilize effectively for property acquisition, as they require IVT to retain liquidity for repayment rather than investing in long-term assets. Loans are typically repaid through future fundraising or new loans, so having staggered, longer-term commitments are essential for IVT financial stability.
Will all loans from students be accepted?
Will all loans from students be accepted?
No, IVT reserves the right to decline a loan
Who should I contact to initiate a loan or ask further questions?
Who should I contact to initiate a loan or ask further questions?
Please email us at finance@ie.dhamma.org
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