International students who want to study in the United States will find the process of securing financial aid is much more difficult than it is for U.S. residents.
Student loans will be tough to secure without a cosigner, but we recommend trying Ascent first. Another good options for international students is MPOWER.
However, there are several international student loans available.
The guide below aims to help international students get started with the process of funding their U.S. education.
In this guide:
- Who is considered an international student?
- Why is it hard for international students to get student loans?
- Compare student loans for international students
- International student loans with a cosigner
- International student loans without a cosigner
- Additional financial aid options
- How to get started taking out an international student loan
Who is considered an international student?
Broadly speaking, an international student is any individual who’s enrolled in and attending school outside the borders of their home country, according to UNESCO. Colleges and universities may be more specific in their definition of who is an international student.
At UC Berkeley, for example, an international student is a non-immigrant visitor who comes to the U.S. temporarily to take classes. Under this definition, a non-immigrant is someone who is not a U.S. citizen or permanent resident. These students typically have F-1 student visas, though schools may also accept students with other visa statuses, such as H4 or L2.
Why is it hard for international students to get student loans?
U.S. citizens have the Free Application for Federal Student Aid (FAFSA) they can fill out to learn about their financial aid resources. International students don’t have that all-in-one approach because they typically aren’t eligible for federal assistance, which includes federal student loans.
International students generally can’t get federal student loans unless they’re eligible noncitizens, or they or their parents have T non-immigrant status. This status is granted to victims of human trafficking. Department of Education rules also disqualify students with Deferred Action for Child Arrivals (DACA) status from receiving federal aid.
Private student loans may be an option for international or DACA students, but there’s a catch. Unlike federal loans, qualification for private student loans often hinges on you or your cosigner’s credit score and income. International students who don’t have a U.S. credit history or a cosigner with a U.S. credit history may find it more difficult to get approved.
For those reasons, 73% of international students in the U.S. rely on resources outside the U.S. to finance their education, such as from family members, their home country’s government or universities, or their own personal funds, according to the Institute of International Education.
Compare student loans for international students
| Company | Rates (APR) | Eligible International Students* | Cosigner |
| Ascent | 1.64% – 12.76%1 | Permanent & temporary residents or DACA | Needed |
| College Ave | 1.19% – 12.99% | Those with a valid U.S. Social Security number | Needed |
| Sallie Mae | 1.62% – 12.85% | DACA | Needed |
| Earnest | 0.94% – 12.78% | Those with a valid U.S. Social Security number | Needed |
| Discover | 1.79% – 13.34% | DACA and those without a Social Security number | Needed |
| MPOWER | 13.98% or 15.01% | All international students | Not needed |
| Prodigy Finance | 5.00% – 8.50% | All international students | Not needed |
*May need a U.S. citizen or resident as a cosigner
>>Read more: Student loans for temporary residents
International student loans with a cosigner
Adding a cosigner to a private student loan can improve your application and lead to lower rates. For this reason, it is recommended that international students try to add a cosigner to their loan to ensure they receive the best terms.
Here are five lenders who offer private student loans for international students.
Ascent
Editorial Selection: Best for Eligibility
- Must have a cosigner that is a U.S. citizen or permanent resident
- Eligible borrowers include U.S. citizens and permanent residents, as well as DACA recipients
- Get 1% cash back upon graduation
- Checking your rate doesn’t impact your credit
Ascent is a San Diego-based company that began offering private student loans in 2015. The platform extends student loans to DACA recipients and international students, as well as U.S.-based students seeking funding for undergraduate and graduate degrees.
International students need to have a cosigner to get a student loan through Ascent. Cosigners can be released from the loan after 12 on-time payments if the primary borrower is a U.S. citizen or has U.S. permanent resident status.
Loan terms for international students range from five to 15 years, with in-school interest-only repayment available. Students can defer repayment for up to nine months after leaving school.
Here are some details about the loan:
| Ascent Cosigned Student Loan | |
| Fixed rates (APR) | 4.78% – 12.76% |
| Variable rates (APR) | 1.64% – 9.23% |
| Rate discount | 0.25% for automatic payments |
| Loan amount | $2,001* to $200,000 |
| Repayment plans | Interest-only, $25 fixed, or deferred |
| Repayment term | 5, 7, 10, 12, or 15 years |
| Fees | Late payment fee |
* Minimum of $6,001 for borrowers with a Massachusetts permanent address.
College Ave
Editorial Selection: Best Private Student Loan
- Must have a cosigner that is a U.S. citizen or permanent resident
- Must have a U.S. Social Security number as a borrow
- You choose your repayment plan and term
College Ave is a Wilmington, Delaware-based lender that offers student loans to undergraduates, graduates, parents, and for career training. International students can get loans through College Ave if they have a U.S. Social Security number and a U.S. cosigner.
Student loans can be used to pay for undergraduate or graduate studies, master’s degree programs, medical school, dental school, and law school. Loan terms range from five to 15 years and College Ave offers several repayment options, including interest-only, deferred, and flat payments.
Loans can cover up to 100% of the school-approved cost of attendance.
Here are some details about the loan:
| College Ave Cosigned Loan | |
| Fixed rates (APR) | 3.49% – 12.99% |
| Variable rates (APR) | 1.19% – 11.98% |
| Rate discount | 0.25% for automatic payments |
| Loan amount | $1,000 – 100% of the school-certified cost of attendance |
| Repayment plans | Full, interest-only, $25 fixed, or deferred |
| Repayment term | 5, 8, 10, or 15 years |
| Fees | Late payment fee |
Sallie Mae
Editorial Selection: Best for Cosigners
- Must have a cosigner that is a U.S. citizen or permanent resident
- Eligible borrowers include DACA recipients
Sallie Mae is perhaps one of the best-known names among private student loan lenders. The company was originally founded in 1972 as a federal student loan servicer.
Today, Sallie Mae offers private loans for undergraduate and graduate university students as well as financing for career training. International students can borrow from Sallie Mae if they have an approved cosigner.
Sallie Mae allows for deferred, interest-only, or fixed repayment options while in school and after graduation. International students who achieve permanent residency status can apply for cosigner release after making 12 on-time principal and interest payments and meeting credit score requirements.
Here are some details about the loan:
| Sallie Mae Cosigned Student Loan | |
| Fixed rates (APR) | 4.25% – 12.59% |
| Variable rates (APR) | 1.13% – 11.23% |
| Rate discount | 0.25% for automatic payments |
| Loan amount | $1,000 – 100% of the school-certified cost of attendance |
| Repayment plans | Interest-only, $25 fixed, or deferred |
| Repayment term | 5 – 15 years |
| Fees | Late payment fee |
Earnest
Editorial Selection: Best for No Fees
- Must have a cosigner that is a U.S. citizen or permanent resident
- Borrowers must have a U.S. Social Security number
- No origination, application, prepayment, or late fees
- Check your rate without impacting your credit
Earnest is a fintech company headquartered in San Francisco that offers student loans, student loan refinancing, credit cards, and personal loans to eligible borrowers. International students who have a cosigner, a U.S. address, and a Social Security number can apply for student loans with Earnest.
The platform is fee-friendly, with no origination fees or prepayment penalties. Earnest offers some of the lowest interest rates available for private student loans for creditworthy borrowers who enroll in automatic payments.
Once borrowers have made at least six consecutive, on-time payments toward their loans they can apply for the Skip a Payment feature. That benefit allows you to skip one payment toward your loans every 12 months.
Here are some details about the loan:
| Earnest Cosigned Student Loan | |
| Fixed rates (APR) | 3.24% – 12.78% |
| Variable rates (APR) | 0.94% – 11.44% |
| Rate discount | 0.25% for automatic payments |
| Loan amount | $1,000 – 100% of the school-certified cost of attendance |
| Repayment plans | Full, interest-only, $25 fixed, or deferred |
| Repayment term | 5, 7, 10, 12, or 15 years |
| Fees | None |
Discover
Editorial Selection: Best Good Grades Reward
- Must have a cosigner that is a U.S. citizen or permanent resident
- Available to DACA recipients and those without a U.S. Social Security number
- Receive a cash reward when you receive good grades
In addition to credit cards, personal loans, home loans, and bank accounts, Discover also offers private student loan financing. That includes both fixed and variable rate loans for international students.
International borrowers will need a cosigner to qualify for student loan financing. Students are not required to have a Social Security number to apply, so it may be easier to get approved here versus other lenders.
Loans are available for undergraduate, graduate, and professional studies, with loan limits up to 100% of school-certified costs of attendance. Discover does not, however, extend eligibility for loans to international students who are citizens of OFAC-sanctioned countries.
Here are some details about the loan:
| Discover Cosigned Student Loan | |
| Fixed rates (APR) | 3.99% – 11.59% |
| Variable rates (APR) | 1.29% – 10.59% |
| Rate discount | 0.25% for automatic payments & 0.35 discount for choosing the interest-only repayment plan |
| Loan amount | $1,000 – 100% of the school-certified cost of attendance |
| Repayment plans | Interest-only, $25 fixed, or deferred |
| Repayment term | 15 years |
| Fees | None |
International student loans without a cosigner
If an international student isn’t able to find a creditworthy cosigner who’s a U.S. citizen, or simply does not want to use a cosigner, there are private student loans without a cosigner. Here are two companies that offer these loans.
MPOWER Financing
- A cosigner is not needed to be approved
- Available to all international and DACA students from 190+ countries
- Offers free visa support letters and career strategy services
MPOWER Financing is a private lender that offers student loans for international students who are attending college in the U.S. The company doesn’t require cosigners, credit history, or collateral on their loans. All degrees and majors are supported.
Factors MPOWER considers to determine eligibility include the school the student will be attending, their expected graduation date, their grades, and any internship or work experience they have in their field. MPOWER also looks at future earnings, so it monitors whether the student is taking on too much debt.
Loans can be repaid online in any currency and there are no prepayment penalties. MPOWER offers interest-only payments while in school and during the six-month grace period after graduation. On-time payments can help to build U.S. credit history.
Here are some details about the loan:
| MPOWER Financing Student Loan | |
| Fixed rates (APR) | 15.01% for undergraduates and 13.98% for graduates |
| Variable rates (APR) | Not offered |
| Rate discount | 0.25% for automatic payments |
| Loan amount | $2,001 – $100,000 (lifetime limit) |
| Repayment plans | Interest-only |
| Repayment term | 10 years |
| Fees | Late payment fee |
Prodigy Finance
- A cosigner is not needed to be approved
- Available to all international and DACA students
- Loans for tuition and living costs
Prodigy Finance offers private student loans to international students with no cosigner or collateral needed. Loans can be used to cover tuition costs or living expenses incurred while in pursuit of a graduate degree.
To be eligible, students must meet certain requirements, including living in a country or state that Prodigy services. They must also have been accepted into an eligible school and program Prodigy supports, and in most cases, the school they are attending must be outside of their home country.
Prodigy offers flexible repayment terms from seven to 20 years. Borrowers enjoy a six-month grace period and there are no prepayment penalties associated with paying off loans early.
Here are some details about the loan:
| Prodigy Finance Student Loan | |
| Fixed rates (APR) | 5.00% – 8.50% |
| Variable rates (APR) | Not offered |
| Rate discount | Not disclosed |
| Loan amount | Not disclosed |
| Repayment plans | Not disclosed |
| Repayment term | 7 – 20 years |
| Fees | 5% admin fee, late payment fee |
Additional financial aid options
Scholarships for international students
The internet is a great resource for finding databases that provide lists of scholarships through private, corporate, nonprofit, and government organizations for international students.
We have many resources dedicated to scholarship offerings. Here is our scholarship guide.
Financial aid from educational institutions
Not many educational institutions provide direct aid to international students, but some will. Typically that aid will be based on academic accomplishments, special skills, talents, or abilities.
Colleges that want to attract top talent across the globe will give direct assistance to international students. Check out our study of which colleges give international students the most financial aid to see some of the best options.
When an international student has a particular college in mind, they should contact the school’s admissions department to see what financial aid options are available.
If an international student is already enrolled in a U.S. university, but they need more financial assistance, they should contact the international student advisor or the financial aid office.
School discounts for international students
International students may save money on education expenses by attending a school that offers tuition reductions or other discounts. These discounts can take the form of need-based tuition waivers or reduced housing rates for international students who are required to live on campus.
Reaching out to the school’s financial aid department can be the best way to find out what discounts, if any, might exist for international students. That’s also an opportunity to ask about any scholarships or grants available to incoming students from other countries.
How to get started taking out an international student loan
International students planning to attend school in the U.S. should first understand what the estimated costs might be. That includes researching education expenses, such as tuition, fees, and books, as well as day to day living expenses for different schools and locations.
The next step is weighing different options for financial aid, including scholarships, grants, and private student loans. Scholarships and grants generally don’t need to be repaid so it’s important to explore those avenues first to minimize the amount that may need to be borrowed. Keep in mind that many scholarships and grants have deadlines to apply.
If student loans are necessary to pay for school, international students should take their time to compare lenders. Find out whether a cosigner is required, how much you can borrow, the interest rates, and what fees may apply. If a cosigner is required for an international student loan, it’s better to know that sooner rather than later so there’s time to find a suitable candidate.
Securing financial aid as an international student is challenging, but it’s entirely possible. The most important thing to remember is not to wait until the last minute.
More specific student loan resources for international students:
FAQ
Can I use international student loans outside the United States?
No, international student loans are not intended for use outside the United States. After the government sends the funds to the educational institution and all applicable tuition and fees are settled, the remaining funds are meant to cover the student’s living expenses and other educational costs during their studies in the U.S.
Do international student loans cost more than traditional student loans?
Yes, international student loans are more expensive than traditional student loans due to higher interest rates, which are often higher than the rates on federal loans available to U.S. citizens.
Origination fees might also apply, and currency exchange fees or fluctuating exchange rates can further affect the total cost of the loan.
Private student loans can be an option for international students, but unlike federal loans, eligibility for private student loans depends on the credit score and income of the student or their cosigner. This makes it more challenging for international students without a U.S. credit history—or a cosigner with a U.S. credit history—to get approved.
Are there multiple types of international student loans?
Several international student loans are accessible to those planning to study in the United States or other countries. These include foreign government loans, international private loans, institutional loans, and study abroad loans. These loans are tailored to support international students and aim to cover the expenses of studying abroad.
Are students from every country eligible for international student loans?
Each lender has unique policies, so we recommend checking with several student loan companies.
1 Ascent’s undergraduate and graduate student loans are funded by Bank of Lake Mills or DR Bank, each Member FDIC. Loan products may not be available in certain jurisdictions. Certain restrictions, limitations; and terms and conditions may apply. For Ascent Terms and Conditions please visit: www.AscentFunding.com/Ts&Cs. Rates are effective as of 10/01/2022 and reflect an automatic payment discount of either 0.25% (for credit-based loans) OR 1.00% (for undergraduate outcomes-based loans). Automatic Payment Discount is available if the borrower is enrolled in automatic payments from their personal checking account and the amount is successfully withdrawn from the authorized bank account each month. For Ascent rates and repayment examples please visit: AscentFunding.com/Rates. 1% Cash Back Graduation Reward subject to terms and conditions. Cosigned Credit-Based Loan student must meet certain minimum credit criteria. The minimum score required is subject to change and may depend on the credit score of your cosigner. Lowest APRs require interest-only payments, the shortest loan term, and a cosigner, and are only available to our most creditworthy applicants and cosigners with the highest average credit scores.