Legal analysis: compensation given by the state means that the state helps the lender repay the loan. If you apply, you don't have to pay back a penny, and the state will help the lender pay back all.

Legal basis: Interim Measures for Tuition Compensation of Compulsory College Graduates; Article 2 Since 2009, the state has compensated the college graduates who have been drafted into the army for the tuition fees paid during their school days.

If you get a national student loan at school, the tuition compensation must first be used to repay the principal of the student loan and the interest generated before it is fully repaid.