Private Education Loan for International Students

[cyy123]

Hi everyone,

 

I have recently been admitted to a Master's program in American and they only provide me with very little financial aid. So I am thinking about getting a private education loan for international students in America.

 

Does anyone has any experience on this issue? There are quite a lot of loan programs and I really dun know how to choose.

 

Sorry if there were already similar posts.

 

Thanks in advance.

[roguesenna]

DON'T DO IT.

 

let me say this again:

 

DO NOT GET A PRIVATE STUDENT LOAN.

 

I got one for 15,000$ in 2007. It is now worth over 70,000$. My payments are too expensive and I can't get them reduced. They will not work with you to lower payments, extend repayment period, anything. The only thing you can do is refinance and that only works if you have good credit. Do I have to say this again?

 

 

ABSO-FRAKKING-LUTELY DO NOT GET A PRIVATE STUDENT LOAN.

 

at least not from an American bank.

[Inka dreams]

DON'T DO IT.

 

let me say this again:

 

DO NOT GET A PRIVATE STUDENT LOAN.

 

I got one for 15,000$ in 2007. It is now worth over 70,000$. My payments are too expensive and I can't get them reduced. They will not work with you to lower payments, extend repayment period, anything. The only thing you can do is refinance and that only works if you have good credit. Do I have to say this again?

 

 

ABSO-FRAKKING-LUTELY DO NOT GET A PRIVATE STUDENT LOAN.

 

at least not from an American bank.

Is that really that bad??

 

Wow.. An annual interest rate of close to 25%?? Thats insane!! I was told its usually around 7-9%!!! 

 

How is this rate even possible???

[cyy123]

Wow 25% is really high!!!!!

 

I actually found a few private education loans online, and the rates they show are between 3 to 10%. However, I do not know do the same rates apply to international students too.

 

I would like to get a loan at my home country too, but it seems we do not have such education loan here. We do have personal loans, but the repaying period is kind of short (the longest i saw was 72 months). How I am supposed to repay it all in 6 years, given that the Master's program last for 2 years.../_\

[aberrant]

i think it is known to be notorious that the international students should be financially "prepared" when they plan to study in the States, whether it be a Master's program or an undergraduate program.

 

As far as I know, there are no banks in the U.S. would offer student loans for non-residents. They are not willing to take the risk of lending money to someone who can easily runaway with the debt.

 

I would also speculate the legitimacy of these private "education loan", especially when % APR is higher than the regulated number.

 

Your best shot is private loan from your home country, relatives, friends, or getting scholarships/fellowship from your home country / Fulbright.

[spunky]

 

As far as I know, there are no banks in the U.S. would offer student loans for non-residents. They are not willing to take the risk of lending money to someone who can easily runaway with the debt.

 

 

i know this can work IF  (and i know that's a big if) you have a co-signer who's a U.S. citizen or has a green card (so that they're basically on the hook for your loan).

 

But yeah... for us, int'l students, our best bet is usually our home country (OR if you're in a high-demand, usually STEM area it's not unusual for some corporation to fund your education. i know a friend of mine who went to school on Wal-Mart's dime XD

[ExponentialDecay]

One important thing to consider is that interest on private loans begins accumulating immediately. Basically, 7% a month is a shit ton of interest over a 2-year master's program.

[paladin_av]

I would like to add another perspective to this thread. It sounds like roguesenna used a credit card instead of a personal loan.

 

I took out a private loan from Citibank and they gave it to me 7% interest with a co-signor. There are several factors that matter: 

 

1- Your credit score (NEVER miss a payment, borrow too much on credit cards, etc)

 

2 - Co-signors credit score (ideally between 700 to 800 - should also do the same as above)

 

3 - Which college you are attending (Makes a difference which state/city you are in, and which college you will be graduating from)

 

4 - Make payments on interest when in college (If possible)

 

I found city bank extremely cooperative. They have a six month grace period after graduation, and when I told them I had difficulty finding a job, they extended the grace period for another six months. 

 

Good luck! 

 

Though before you get a loan, I would suggest exhausting all other means of financing your education, including looking for on campus work (residence life is great at giving free accommodation). 

[DeleteMePlease]

Will you get a visa being on a loan? I cannot imagine that this would be approved.

 

( i wonder why people don't go to tuition-free programs in europe instead though ... )

Edited March 25, 2014 by GermanStudent

[cyy123]

i think it is known to be notorious that the international students should be financially "prepared" when they plan to study in the States, whether it be a Master's program or an undergraduate program.

 

As far as I know, there are no banks in the U.S. would offer student loans for non-residents. They are not willing to take the risk of lending money to someone who can easily runaway with the debt.

 

I would also speculate the legitimacy of these private "education loan", especially when % APR is higher than the regulated number.

 

Your best shot is private loan from your home country, relatives, friends, or getting scholarships/fellowship from your home country / Fulbright.

  

i know this can work IF  (and i know that's a big if) you have a co-signer who's a U.S. citizen or has a green card (so that they're basically on the hook for your loan).

 

But yeah... for us, int'l students, our best bet is usually our home country (OR if you're in a high-demand, usually STEM area it's not unusual for some corporation to fund your education. i know a friend of mine who went to school on Wal-Mart's dime XD

  

One important thing to consider is that interest on private loans begins accumulating immediately. Basically, 7% a month is a shit ton of interest over a 2-year master's program.

  

I would like to add another perspective to this thread. It sounds like roguesenna used a credit card instead of a personal loan.

 

I took out a private loan from Citibank and they gave it to me 7% interest with a co-signor. There are several factors that matter: 

 

1- Your credit score (NEVER miss a payment, borrow too much on credit cards, etc)

 

2 - Co-signors credit score (ideally between 700 to 800 - should also do the same as above)

 

3 - Which college you are attending (Makes a difference which state/city you are in, and which college you will be graduating from)

 

4 - Make payments on interest when in college (If possible)

 

I found city bank extremely cooperative. They have a six month grace period after graduation, and when I told them I had difficulty finding a job, they extended the grace period for another six months. 

 

Good luck! 

 

Though before you get a loan, I would suggest exhausting all other means of financing your education, including looking for on campus work (residence life is great at giving free accommodation).

  

Will you get a visa being on a loan? I cannot imagine that this would be approved.

 

( i wonder why people don't go to tuition-free programs in europe instead though ... )

Thanks for all your advice and suggestions

Seems like getting a private education loan in america is not a great idea lol

I am trying to find any possible financial sources at my home county

Fingers crossed for that coz the school and program is my first choice