Can I get a student loan with no credit, and no cosigner?

Question

I'm going to be an incoming freshman this fall and I won't make 18 until July. I will not have had a job for six months or a creditworthy co-signer by the time I apply for a loan. The federal aid I have been awarded will not cover all the expenses I will incur. Is there any way I can get a private or alternative loan without a credit history, job history, or a co-signer?

Answer 1

It's unlikely. Any student loan company that will lend to such a high-risk borrower will do so at ridiculously high interest rates (i.e. pushing 20%). There are, however, companies that cater to students in your situation. Some reputable companies to consider are Campus Door, Wells Fargo, Access Group. There are, of course, some disreputable ones as well (such as many of the ones you find by searching google for "student loan bad credit" -- but I really don't recommend these.

If you must borrow such a loan for your Freshman year, make a promise to yourself that you will do everything you can to build credit by the time your Sophomore year bills come due -- borrowing a high-rate private loan for all 4 years is definitely something you would regret. The good news is that your Stafford Loan limits will increase as you advance to the next year in school, so this may not be as much of an issue next year.

Finally, if you haven't already, contact your financial aid office to see if there is anything that they can do for you. Some schools may be able to increase, say, your Perkins Loan. Other schools have their own pool of loan funding designated specifically for students who have no other financing options. It's worth asking!

Answer 2

You may have to do some part-time work such as tutoring students from elementary or high school to make ends meet.

It is not the most elegant solution, but if you work for an employer you have to pay tax and you are probably too young. Many of my friends tutoring their way through their entire university and are doing well now. But this is in Melbourne, Australia tough. Hope it helps.

Answer 3

Capital One and Orchard monetary business enterprise business enterprise both have credit collaborating in playing cards for those with damaging credit. Orchard even has secured credit collaborating in playing cards (you grant them funds as collateral for a mastercard). be careful in case you take advantage of those, their thanks to make funds is to anticipate you to debris up and fee you expenses. once you're careful they look an excellent credit revival gadget. That and time, a good number of time (7 years will fix virtually something)