Many young people are faced with financial obstacles when they want to further their education. The parents can’t pay for their school fees so they have to find other ways to raise funds for their tuition fees. The most popular way for students to fund their school fees is by getting a personal loan. The following are the 5 best personal loans for students.
SoFI offers student loan of up to $5,000 with APR from 3.20 – 6.48%. You can choose from 5 different loan terms from 5 – 20 years. They offer soft credit check to find out what rate you qualify for. It has no origination fee and prepayment fee but they do charge a $5 late fee. It allows using a cosigner to sign up for the loan.
Sallie Mae offers loans for undergraduate, graduate, and K-12 students with APR starting from 2.75% – 10.65%. Sallie Mae is one of the lenders that offer loans to part-time students on a Credible platform. Usually, the applicants will get a cosigner to sign up for the loan. You can apply through a US cosigner of you are a non-U.S. citizen. The minimum loan amount is $1,000 and you can choose from a loan term in between 5 – 15 years.
- Discover Student Loans
Discover offers a loan from $1,000 up to the full tuition fee cost of your degree course. You can get a loan Discover loan for undergraduate, graduate, MBA, medical school, and law. The interest rate varies on the undergraduate and graduate degree courses. They offer a1 percent cash reward for students who have achieved a GPA of 3.0 and above. There is no application or late fee.
Earnest offers a personal loan from $5,000 – $500,000 for degree courses at Title IV Institutions. Title IV Institutions refer to colleges that can process federal aid. It does not charge any origination or late fee. Earnest student loans is ideal for people with a minimum of 650 FICO score. If your account is in good standing, you can skip one payment every 12 months. To qualify for Earnest loan, you must have a continuous flow of income or near to graduation.
LendKey offers a loan amount between $5,000 – $125,000 for students that are pursuing undergraduate and graduate degrees. They can approve a loan of up to $300,000 if you are studying medical, dental or veterinarian degree. There is no origination and prepayment fee but they do charge a $15 late fee of $5 – $15. Forbearance is available if you choose 15 or 20 year loan term.
Posted By Richard Whitaker
CFP, Raymond James and Associates