Bad Credit Student Loans

Bad Credit Student Loans

Having bad credit doesn’t bar you from attaining a student loan. Granted, the loan terms are often less than ideal but if your goal is to get an education there are lenders at hand to help.

One such option would be government sponsored loans, such as a Stafford Loan or Perkins Loan. These types of loans are often based on financial need, not your credit rating. In fact, having bad credit may even be to your benefit. Since need-based government loans are partially based on net worth, any debt that reduces your net worth will improve your chances of getting funding.

To see if you qualify, simply submit a Free Application for Federal Student Aid (FAFSA) form. The government will contact you if you’re deemed eligible for a loan.

Another option is no-cosigner student loans. If it’s actually your parent’s credit that’s hindering your attempts to secure a loan, this would be a viable option. No-cosigner loans use your personal credit rating without taking your parent’s credit rating into account.

A third option would be to pursue scholarships. Scholarships are prevalent and better than loans since they don’t have to be repaid. It’s worth the time to research government scholarships and grants, private scholarships as well as minority scholarships.
Finally, if all else fails, you can appeal to friends or family. If you have loved ones willing to support your educational endeavors, you may be able to borrow money from them.