Do Not Rule Out Getting a No Cosigner Student Loan

If you are in high school and you would like to attend university in the near future, you have no doubt given the matter of financing your studies some thought. If you have already started making inquiries, you have undoubtedly also already found out that getting a loan is no longer as easy as it used to be. If you can't secure a cosigner due to your credit issues you are probably going to have to look for a student loan without a cosigner.

The problem that you face as a student is the fact that you most likely have no credit record. Not having debt is not good in a society where the economy runs on credit. Someone with a good credit record going back for more than twenty years is a much lower credit risk for the lending institutions than someone with no track record, and without good credit a lender will therefore need a credit-worthy cosigner to approve a student loan.

How should you go about getting the funding you need then? The reality is you still have many options regardless of how bleak your financial credentials are. You can try funding yourself with a part-time job. You could ask friends and family. Or you could apply for a Stafford loan, as this is probably your best bet, as these kinds of loans won't require a credit check and you'll also not have to produce a cosigner.

Unluckily for you a Stafford loan is only issued for a very limited amount. If you are a freshman, the amount will be particularly low, around 3500 dollars per year. During later years, once you have proven yourself, the maximum amount becomes higher.

Another type of loan that you could consider is the so-called PLUS loan. The bad part of this type of loan is that you will have to involve your parents. In fact the loan is not actually issued to you, but to your parents. If they are therefore not willing (or unable to) take up a loan to finance your studies then you are out of luck here.

There are also various government and private grants and scholarships available. Your academic record will play a large role in your eligibility for one of these. Your school should be able to advise you in this regard.

There are also numerous private companies that grant loans directly to students. Some have stringent credit requirements. Others only require that you be a permanent U.S citizen, have a checking account, and have parents that work on a full-time basis. Some companies charge exorbitant rates to students, while others are more realistic. Be careful as there is a difference between a payday loan, and an authentic private student loan, and not having good credit or a cosigner will prevent you from getting most private student loans.

In the end you should not let your financial situation, and lack of a cosigner prevent you from locating the funding you need for your college education. There are no cosigner student loans present in the marketplace, as well as a number of other alternatives that you can pursue and if you are really determined you won't let anything stand in your way.