There’s no doubt that obtaining a student loan from a US bank or other financial institution is challenging for an international student. International students belong to a vast pool that hopes to enroll in elite schools such as MIT, HARVARD, or UCLA. But the single asterisk accompanying this audacious dream is, how to pay for the tuition?

For US nationals, taking out student loans is almost second nature — and going through the application procedure to book a seat at the stairway of their dream can bear fruit. Only that a vast populace of American students still owes considerable sums to various banks. When venturing outside the country, however, many international students face more significant barriers — for instance, the condition that they need to have a US-based cosigner for them to be able to borrow there. However, do not fret. International students without access to a cosigner do have options. There is some good news for international students who do not have a cosigner.

For everyone in need or is looking to take a student loan without a cosigner, this guide is for you. To understand how others have accomplished this and gain inspiration, we will discuss success stories and tips and dos and don’ts to comprehensively understand the topic.

Student Loans for International Students Explained

Understanding Student Loans

In a nutshell, the term loan refers to a financial service that provides students with the necessary funds to pay for a number of the necessities of their schooling, i.e., the tuition, lodging, and even the books. In a way, borrowing from international schools differs formally from lending in the US. Incredible layouts and burdens of higher interest levels are the norm in the US.

A rough estimate suggests that outside the USA, there are mainly two categories of student loans that international students can borrow:

• Federal Loans – These are restricted to American citizens or holders of a permanent resident card and do not extend to international students.
• Private Loans – These loans may be offered to international students who meet some requirements and are provided by banks, credit unions, or fintech companies.

Why Is a Cosigner Needed?

Don’t take it personally, but many private loan providers require one or even two students on the loan because it’s quite a risk for them. The cosigner is legally liable to pay the loan if the student (the primary borrower) cannot do so. Usually, US students who are on permanent residency and with an outstanding credit rate are generally requested to be cosigners.

For international students, locating a bona fide cosigner that meets the requirements is daunting and often impossible. But don’t worry, a cosigner is not always required!

Finding Student Loans Without a Cosigner

Picture this – you will not be required to find a family member or friend in the US and request them to cosign your loan. It’s great. Here is the best part – quite a few lenders are known to provide student loans for international students with no cosigner needed.

Other Borrowing Institutions

International-friendly lenders focus on global students, and they have a class of their own. Here are some names for you to start with:

• Prodigy Finance – Prodigy Finance is focused on students pursuing postgraduate education. It provides loans to students based on the potential to earn in the future rather than credit scores.
• MPower Financing – It is one of the most reputed providers that lend to undergraduate and graduate students. MPower does not require cosigners nor one for collateral and will assess the loan on academic achievements and likely career pathways.

Future Finance

Future Finance also focuses on international students’ needs by providing favorable terms. It offers students of multiple universities completely flexible plans on the condition of no cosigner requirements!

Stilt

This lender offers loans to international students enrolled in over 200 universities in the United States without any strict eligibility conditions. You will not have difficulty getting qualified with them.

Similarly to the institutes mentioned above, a deep focus is given to international students’ challenges when applying for a student loan.

How To Apply For Student Loans Without A Cosigner

Most Institutions have a web application process allowing you to submit the following documents:

• A copy of your passport or visa

• Proof of enrollment at a university or college in the US

• Proof of Funds in the Form of Bank Statements If Your Loan Does Not Cover Certain Expenditures.

Once it is accepted, the loan will be sent directly to your school, and a loan relieves you of the necessity of thinking about transferring funds around the world because the payments are made directly to your school.

Key Eligibility Criteria

Even though these have no cosigner requirements, the loans for students may still have specific requirements that one has to fulfill:

• Requirements regarding academic performance in the university
• Proof of an incoming or potential income
• Enrollment at an educational institution partnered with the provider of the loan

Tips for Securing Loans Without a Cosigner

The journey may appear intimidating, but it is doable. Apply the following methods to improve your chances of securing a student loan.

Tip #1: Build Your Credit Profile

Begin establishing your credit immediately. Make an application for a credit card based in the United States – remember that moderation is key here, and make sure to pay your bills on time. A favorable credit history dramatically increases your eligibility for loans.

Tip #2: Look for Scholarships and Grants

Consider looking for scholarships or grants focusing on international students before considering loans. These are opportunities to get “free money” for education that doesn’t have to be repaid. Such as:

• AAUW International Fellowships
• Joint Japan/World Bank Graduate Scholarship Program

Tip #3: Demonstrate the Possibility of Your Future Achievements

Specific lenders like MPower Financing and Prodigy Finance also focus on your post-graduation earning potential. You can ensure good proceeds on your application by mentioning targeted career goals and a classy academic record.

Tip #4: Financial Planning

Preparing a well-detailed financial plan and budget can make lenders see you in a light that is less of a risk or a loss. Present a proper plan for paying the loan, mentioning unemployment rates for your field of study, future job prospects, and internships.

Real Success Stories:

From Struggle to Success with Prodigy Finance

Rajesh, an Indian Master’s student, could not get a loan from commercial banks due to his inability to find a US cosigner. He came across Prodigy Finance and got a loan by taking advantage of its strong academic profile. Without its alternative model, it would have been impossible for him to attend Stanford!

MPower Unlocks Career Opportunities for Ana

Ana, a Brazilian undergraduate, was in a fix, thinking about how she could afford NYU, which she desperately wanted to attend. The loan application with MPower, specially formulated for non-citizens, has freed Ana to pursue her fainting dreams of studying newly brought out candidacy.

Empowering Your Future Starts Here

Indeed, it is a very uphill task to get a student loan, especially as an international student. Still, having the relevant information and the necessary resources is not impossible.

You are halfway through achieving your desired education by exhibiting your educational prowess and financial responsibility through the loan provider that does not require a cosigner and applying for scholarships.

Education is meant to set a higher bar and not to place restrictions.

Begin Your Adventure Today!

Would you like to learn more about student loans that do not require a cosigner? Contact Prodigy Finance or MPower to explore other supportive services. Each one of your financial problems has an answer. Do not hesitate to take hold of your finances. Don’t wait!

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