With the high price tag often attached to a college education, student loans are not an option; they are a necessity for most. A common problem for college students is having a lack of credit or having poor credit, which can make obtaining certain types of student loans difficult. Securing student loans with bad credit is not easy, but it is not impossible. Below you will find 5 Ways To Get Student Loans With Bad Credit, which will provide you with some useful information on obtaining student loans with bad credit.
1. File a FAFSA.
By filing a FAFSA you will become eligible for federal student loans, which are not based on credit, but rather on financial need. You may also find that you qualify for certain federal grants, which is money for college that will not have to be repaid. The best tip for “student loans with bad credit” is to file a FAFSA!
2. Non-Credit Based Loans.
Depending on what you are going to college for, you may be eligible for certain non-credit based student loans. Those going to college for nursing and other health related fields, may be eligible for non-credit based loan programs such as the Nursing Student Loan Program or the Primary Care Loan Program. For more information check with the financial aid office at the school you are attending or plan to attend.
3. Obtain a Creditworthy Cosigner.
You can try applying for private student loans with bad credit on your own, but most of time you will not qualify without the help of a creditworthy cosigner. If you have bad credit or little credit and still qualify for a private student loan, obtaining a creditworthy cosigner will often times secure you a much better rate.
4. Check with Your Schools Financial Aid Office.
If you are unable to secure student loans with bad credit, and/or are unable to obtain a creditworthy cosigner, do not forget to check with your school’s financial aid office. Some schools and colleges have programs in place to help those students who are in poor financial situations.
5. Peer-to-Peer Student Loans.
Much like private student loans, peer to peer student loans are privately funded loans, with the difference being a person(s) instead of a bank or credit union funds them. What sets peer to peer student loans apart from private student loans is that peer to peer student loans may be easier to obtain for those with little credit history, and may offer lower interest rates to qualified borrowers.