subject: Helpful tips to apply for a Student Loan with Bad credit [print this page] With today's sinking economy, not only the businessman but also the students are being affected. And with high priced college fees, they have to take an education loan to pay off their college tuition fees. But sometimes having a bad credit can put an obstacle in continuing your education as some companies just don't allow student loans if a student who's applying has a bad credit or no credit at all. So here are some tips for applying a bad credit student loan.
First of all you have to file a FASFA ( Free Application for Student Federal Aid). This document will help you seek some free federal aid from government regardless of your credit. You may qualify for free program where you don't have to repay your fees or very low interest rate will be offered to you which you have to repay. Before filing for FAFSA you must have all the required documents ready with you. Fill in the correct information on the document and submit it online. You can check your result online and make corrections that you think are needed.
Look out for loan lenders who offer bad credit student loans and compare their offers. There are many factors that you will need to keep in mind before finalizing a lender. They could be interest rate, change in interest rate with time, repayment time etc. Gather all the information and pick the best suiting offer.
Arrange a co-signer to sign for your bad credit student loan. Co-signer should have a good/healthy credit and should be a trustworthy person. Having a co-signer with good credit will help you obtaining the loan at lower interest rates.
College financial aids are another option to consider as they have some programs to help students with poor credit. If you are not able to get student loan or co-signer to apply for a loan, and then you can seek help of college financial aid program which offer free college progragms.
Credit lenders would sometimes offer you more loan than required in which you will have to pay interest for longer period of time. So check out in advance the appropriate amount of student loan required and apply for that much loan only.
So in order to get higher quality education you have to pay for that also. After qualifying for a bad credit studentloan you have to make sure to re-pay the student loan on time as this will help you to build good credit.
