It is well-known that studying in the United States is paid for everyone:
for Americans, and especially for foreign citizens. Of course, there are also opportunities to get free higher education. Both can study for free at any U.S. educational institution if they receive a sponsorship, scholarship, or grant, whether from a government, private, or from the institution itself. But not all applicants can get such privileges. However, it is still necessary to finance the training. In this case, educational loans may give you a chance to get higher education.
In the US, the practice of providing educational loans to students and their parents has existed for long time already. This form of financial support for education is popular, as the average American family does not have enough money to pay for at least one year of study, even in the most inexpensive College, not counting the cost of accommodation (if the student is studying in another city), food, textbooks and other necessary things. For foreign students, these amounts increase several times.
In the US, there are three forms of educational loans: a federal student loan, a parent loan, and a private student loan. And only one of them is available to foreign students – a private loan, which is called Private International Student Loan.
Private International Student Loan
This is a special kind of financial aid for students who are not citizens or residents of the United States, who wish to study in one of the American colleges or universities located in the United States.
The loan is issued by investors and creditors, which may be banks. Such an educational loan is difficult to obtain, but it is possible under certain conditions.
The conditions of the private loan
The full list of conditions and requirements for a student applying for a private educational loan may vary depending on the lender. However, there are a number of basic and mandatory conditions that must be met when applying for a loan.
First, it must be a prospective student over the age of 18. Secondly, the applicant must be admitted to the selected College or University and have the appropriate confirmation of the University.
You will also need documents confirming the availability of any funds from the applicant. This can be Bank deposits, wages (if the applicant works), income received from the rental of real estate, the total income of parents and so on.
This issue should be treated with particular attention, as properly selected documents and the availability of own funds of the student not only increase the likelihood of approval by the Bank of the loan, but also can slightly reduce the interest rate.
Advantages of the loan program
Like all loans, the private loan is not a grant and is subject to interest. But the system of private educational lending is quite flexible, and interest rates are lower than with a conventional loan, which allows you to make a fairly convenient payment schedule.
There is also an option of deferred payment. Moreover, not for one year, like many Federal lending programs, but for the entire period of training.
This means that the first payment on the loan the borrower must pay soon after graduation. Typically, the loan term for such a program is 10 years. Most lenders do not charge a fee for early repayment of the loan, if the graduate will be able to do so.
In addition, unlike most grants and scholarships, a private educational loan is issued to cover the cost of both the training itself and the costs associated with it (housing, transportation, training AIDS, etc.).
How to get a loan?
If the applicant has already entered an educational institution in the United States, the first thing to do is to contact the Financial Aid Office at the selected University.
The staff of the center will help to calculate the full cost of training and the amount that the future student can request as a private loan, taking into account other costs associated with training. In addition, the center of financial assistance provide information about the banks with which the University cooperates and to which you should apply for a loan application.
In addition, there is a special organization (International Student Loan Services) that provides assistance to foreign students. Employees of the organization provide the necessary information, help to choose a lender and find a guarantor, as well as create a convenient schedule of future payments.
There are also several websites dedicated to education in the United States in general and foreign students in particular. On these resources you can find all the necessary information, the lenders, find out which financial institution the University cooperates with, compare all the proposed programs and even apply online.