The fall semester is officially here - are you prepared for it? For international students who are thinking of going abroad this year, we bring you the latest guest post from InternationalStudentLoan.com, with some tips on what you need to know as an international student applying for student loans.
Don't forget about utilizing the Study Abroad Loan Comparison Tool, and start saving on study abroad costs today!
It’s time for the new school year and many students are looking for additional ways to fund their education. If you are coming to the United States as an international student, you may be considering a student loan to help afford your tuition, travel, living expenses, books, etc.! If you find yourself in this position and are considering a student loan, here are some helpful tips to consider before you apply:
All international students who apply for a student loan will need to have a US cosigner. There are, unfortunately, no exceptions to this rule. To be eligible, you’ll want to find a cosigner who is both creditworthy and who has lived in the US for the past two years. Your cosigner will also need to be a US citizen or permanent resident (green card holder) in order to be accepted by the lender. If you are having a hard time finding one, ask your friends and family members if they know someone who would meet these criteria, and see if they would be willing to help.
Know Your Loan
There are many private loans available to international students depending on the school they’ll be attending. While understanding your loan may be tricky at first, it’s important to take the time to understand your loan and how it will work. Questions you should ask yourself include, “how much interest will I have to pay?”, “when will I need to repay my loan?”, and “when will my funds be disbursed?” We advise you to find a financial mentor who can help you review your terms and conditions. Whether it’s a family member or school advisor, getting a second opinion from someone who’s familiar with loans can be helpful in understanding and preparing you for your upcoming school year.
Know Your Earning Potential
Student loans can be an invaluable resource for many international students, especially since many financial aid options are limited to only US students. While the value of your loan may be an investment in your future, you’ll want to make sure that you can pay back your loan. Think about this strategically, how much money do you think you’ll be able to earn once you graduate? Based on this number, consider not only the principal you’ll be responsible for paying back, but also the interest rate. While a good school can translate into career advancement, no one wants to be stuck with debt they can’t afford!
Obtaining Your Loans
Student loans can be a great help for international students in the US. Loans can help you cover the many expenses of studying abroad so that you can make the most of your time overseas. It’s important to reach out to your friends and family to seek advice, take the time to understand your loan, and know how much you can afford to take out. By considering this in advance, you’ll be financially prepared and ready to make the most of your time studying in the US.
Click here to use the Study Abroad Loan Comparison Tool!