Attending a university abroad for your masters can be difficult especially in terms of the fees required to be paid which can sometimes cross 1cr. The process for securing financial aid is even more difficult for international students as federal loans are available to students who are either U.S. citizens or permanent residents.
However, in this article we will guide you about international student loans in which specialized private agencies provide education loans without much hassle. There are terms and conditions which you need to fulfill to plan for your tuition, books, fees, insurance and boarding at your university where you intend to study.
What are International Student Loans?
International Student Loans are a realistic means to get your education funded in the US. These loans are flexible and the amount of loan can sometimes cover up your entire education fees. Also these are given at reasonable rate of interest and convenient repayment terms so that you can easily pay off the loan after you graduate.
Who is a cosigner?
Most International students must have a cosigner when applying for a international student loan. A cosigner is a person who promises to repay the loan if the borrower fails to pay. The cosigner must be a US resident who has a good credit history and has lived in the US for the past two years. He/She can be a close friend or relative who can assist in gaining financial aid and is a party to the loan agreement.
Some lenders do not require a cosigner subject to fulfilment of some terms and conditions. You should research these lenders and make sure they are credible and you agree to their terms.
We are providing a list below of best international student loans in which you don’t require a cosigner:
Best loans for Undergraduate Students without a cosigner
MPower Financing
You can have your study abroad dream come true with MPower. MPower student loans are available to international undergraduate or graduate student within 2 years of graduating or who are about to begin a 1-year or 2-year program at one of the 400+ approved schools in U.S or Canada.
Students have the liberty to make interest only payments during the first six months and six months after graduating. After this time period, the student can complete the repayment (including principal and interest) until the loan is fully paid off.
Interest Rates and Terms
Min. loan amount- $2,001
Max. loan amount- $50,000 per loan and $100,000 lifetime limit
Interest Rates – Starting at 11.99% (For International Graduate Students)
Starting at 13.99% (For International Undergraduate Students)
Repayment Term – 10 years
There are additional discounts for international students mentioned below:
– 0.5% automatic sign-up discount
– 0.5% after six on time payments
– 0.5% discount for reporting proof of graduation and employment
Prepayment Penalty- None
Prodigy Finance
Prodigy Finance is another private lender that offers loans to international students without a cosigner who are looking for a graduate degree in business, technology, engineering etc which covers both tuition and living expenses.
Students have the flexibility to choose from three repayment options and the borrower can make payment any time without any penalty. There is no application fee but they charge a 5% administration fee on every loan.
Prodigy finance uses a variable simple interest rate which tracks a fluctuating benchmark rate. The interest rate includes a fixed margin tailored to each individual’s application and the benchmark rate changes throughout the life of the loan. APR starts at 9.54%. They also report payments to credit bureau Experian which helps the borrower to build credit in U.S.
APR- Variable starts at 9.54%
Repayment Terms- 7 to 20 years
Loan amount- Starts from $15,000 and above
Citizens One
Citizens One offers loans to international students for both graduate and undergraduate studies. Citizen One supports multi- year loan which means that you don’t have to reapply every year during the tenure of your education. You can even get a loan as a parent if you want to fund your kids’ education. However, for international students, they require a creditworthy co-signer who is a U.S resident.
Amount of Loan- $1000 – $350,000 (aggregate) depending on the degree.
Repayment Term- 5 or 10 or 15 years
Fixed APR- 5.99% – 12.85%
Variable APR- 5.99% – 12.62%
Students can get 0 0.25% interest rate reduction if they enroll for autopay and another 0.25% discount if you have a Citizens Bank account.
Ascent Student Loans
Ascent student loans are available to international undergraduate and graduate students students for both students who have/ do not have cosigner. These are affordable and one can choose variable or fixed APR. The payments can start up to 9 months after graduation. There is no prepayment or origination or disbursement fees and there is no penalty if you pay off your loan early.
For cosigned loans-
Variable APR- 3.39% – 12.40%
Fixed APR- 4.12% -15.31%
For non cosigned loans-
Variable APR- 7.73%- 13.65%
Fixed APR- 9.93% – 15.75%
Repayment Terms- 5,7,12,15,20 years