A No Cosigner Student Loan?

If you are a student, looking for a student loan but you have bad credit, the first place you should look is the federal governement.  Fill out a FASFA form to see if you qualify for financial aid in the form of money from the federal goverment or work study progams.  That is your first stop.  If you still need more money after you get financial aid, or if you have been turned down for financial aid or if you have lost your financial aid, then your next best option is a No-cosigner student loan.

 If you have maxed out your credit with your parents and they do not intend on helping you pay for college, don't dispair, you may have to make some difficult decisions, but you can still attend college.  Sometimes, you may have to defer school while you fix your credit or work to save enough money to have while you are in classes. Even with financial aid, truthfully, you will still need additional sources of money to take care of the things you will need during college.  Here are some things you can do to pay for college and or fix your current financial situation so that you can qualify for more resources.

Additional Financial Aid Resource Articles

  1. Financial Aid Appeals Letter When You Need More Money
  2. Financial Aid Appeals Letter (Financial Aid Suspension)


Improve Your Current Credit Situation

Improving your credit situation could be difficult depending on how much debt you have and just how bad your credit is.  It may take a while to clean up your credit well enough so you can qualify for low-interest loans.  However, as long as you are realistic about your situation, you should be able to clean up your credit and strengthen your credit history.

  1. Trim down your debt. If you start paying some of your debts, little by little, it can create a big impact in your credit score. You may try to borrow from some of your relatives for you to be able to do this, but in so doing, you will have a positive impact on your credit score.
  2. Have a credit card. Just use the card to purchase things that you really need and pay at the right time. Always be cautious and do not spend more than what you can afford to pay. This process is useful for students who have both bad credit and no credit. Be very careful about applying for all the credit card offers you see on campus or get in your student mailbox.  Many of these creditors prey on students because they know mommy and daddy will foot the bill. However, this economy has gotten so bad that mommy and daddy can no longer bear the burden for your careless purchases.  If you get a credit card, use it wisely and use it only to build your credit score.
  3. Attend money and debt counseling classes. You can try to speak to a money counselor at one of your trusted banks because they can advise you on proven ways to raise your credit score and get out of debt.
  4. Always pay your bills. The best and fastest way on raising your credit scores. You may have been lax about it in the past, but if you want to be able to get anything done in the future, you will take the steps now to get your credit in order.  Stop being lax about paying your bills even if it means that you have to defer school attendance to get a job and pay off your bills.
  5. Get a job. It may be hard for you to work and study at the same time, but landing a job will give you more income and also can help you pay off your previous debts. Doing so will rise your credit scores as well because it is reported to the credit bureaus and it shows stability.
  6. Spend wisely. If you say you have bad credits, then it means that you are spending too much beyond what you can afford. Review your expenses and decide which you can cut back. Get cheaper food, and clothing. Save your money.
  7. Talk With Your School's Financial Aid Office.  Students with bad credit is common. You are not alone. This happens all the time and believe it or not, your school can help you out. Some can assist you by helping you get a job on campus to help with your needs. Some of them can give you financial support for the whole semester or grant discounts for tuition fees. You never knwo what they have available unless you ask.

When All Else Fails

  • Move in order to attend a tuition free college. If you can't get a loan to pay for college, perhaps you should consider moving or crashing on a friend's couch while you attend a tuition free college may be the best option for you.  Bloomberg has a list of tuition free colleges.
  • Look into all of your optionsForbes also has a good list of things you can do to pay for college right now.


 Getting Non-Federal Student Loans With Bad Credit

  1. Apply for a copy of your credit report from the credit reporting agencies: Equifax, TransUnion and Experian. There is one free credit report every year allowed for each individual from each of the agencies. Go to AnnualCreditReport.com for your report requests, and if you need two copies, you need to purchase the second one from the website. You can also call the toll-free number or mail in the form after printing it from the website.
  2. Read the reports closely to make sure that all is well and that there are no errors. In case you find any inaccuracies, immediately contact the agency immediately. The credit scores’ ranges were 300 to 850. Credits score that are above 750 qualify for prime loans, while, scores below 620 are believed to be high-risk borrowers and may qualify for bad credit loans or sub-prime loans.
  3.  As mentioned above, apply for Federal Stafford Student loan.  They do not cover the whole tuition. The amounts increase as your grade level increases, so make sure you are getting the maximum for your grade or year or degree level.
  4. Ask for your parent’s consent for PLUS (Federal Parent Loan for Undergraduate Student). This loan is for undergraduate college students’ parents. This may not be feasible for some families since the PLUS loan cannot be deferred, it is due for payments right away and many families cannot uphold that burden.
  5. Check your college office for financial aid or loan officer. They have documents of lending agencies that can help you in your education. You might be able to find a good loan terms and student rates.
  6.  Make loan comparisons and assure the loan you wanted to apply. Note that private student loan differs from personal loan. Student loan can be deferred while personal loan starts immediately. Inquire about loan options in your local banks.
  7. Look for a consigner. You can ask your parents, or legal guardian. You can also consider any of your relatives, family friend, co-workers, or teachers and mentors. They can help you when you are having difficulties applying for a loan. In case of no consigner application, you can check online for scholarships, for a lot were offered. Government aids can also help you out (Pell Grant, FAFSA, etc.), companies that offer internship, and some local charities that are willing to sponsor for your college. Remember, it is never wrong to ask for help when your education is on the line.
  8. Apply for a no cosigner student loan.  This can supplement your current financial aid package or it can serve as your primary student loan source.


Ok, so we have learned that needing a student loan and having bad credit doesn't mean that it's the end of the world.  Your road is just a little different than other students but you can still get where you want to go with determination and perseverence. 


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