How Students can Get Loans with Bad Credit?
- Human life is bound to ups and downs. It is not the end of the world if you have the bad credit scores. In the world of open market, many people may be facing these kinds of difficult situation. Your education should never be delayed just because have bad credit.
- All of us need money at some point or other of life. Difficulty is not just for specific stratum. One of the easy options here to borrow loans from the lenders is to meet unexpected and unavoidable expenses and return the amount as soon as the conditions start turning positive. This system is a part and parcel of life.
- It is very natural that students need money to meet their usual expenses of food, travelling, tuition, projects works etc. Some students have ready made source of fund from their parents however, every student doesn’t have this facility and they also need money.
- Student may ask for these loans to purchase a bike or a bicycle to save money which they would have to waste on transport. And this saved money can be used for educational purpose.
All the above factors are considered while deciding the credit score of students. The intensity of need, other sources, substitute options available, financial conditions of the family etc are considered here.
If you get a low credit score, it will affect your chance to get the loan but is doesn’t make it impossible. You can surely get finance for your studies.
Private Student Loans with Bad Credit
- You can search for a Co-signer from your family who has a good credit score. He/she can help you getting loan in spite of your bad credit score.
- Contact various banks and other private institutional lenders and explain your situation to them. In some cases, you can get a loan from them but there is a possibility that they charge high interest rates to you. The interest rates are normally decided on the base of your credit score, amount of loan and payback period.
- Apply for a combined loan which consolidates the existing loans as well as new tuition loan. It may be necessary in some cases to have a co-signer to get your approved from the lenders.
Is it Possible to Get Loans with Bad Credit and No Cosigner?
- You can fill a FAFSA form to apply for a federal Perkins loan. These loans are with low rates of interest and for both; graduates and under graduates who affiliate to financial aid. It would be the best option to apply for a loan if you can fulfill the conditions. Each school and college has their own institutional Perkins lender. These loans are given from the government granted education fund and it is one of the best financial help to students who are eligible for the financial aid.
- The financial aid department of the institute will interview you. Once you meet them you have to make them understand your needs and situation.
- The student loans are paid in several ways like loans and savings, banks, private funds etc. You can apply for the federal guaranteed loans as well. Federally guaranteed loans comes under three categories
- FDLP (Ford Direct Lending programs )
- Campus loan programs
- FFELP(Federal Family Education Loan Program)
Guys, ultimately the moral is that you have to work hard and be fully prepared to apply for a loan. It is the question of your future and you can not take it lightly. So do as much you can do, apply to as many possible lenders you can and be ready to do a lot of research. Don’t let your career be delayed just because of bad credit scores. You can ask any questions whenever you need.