You want to go to school but your credit is bad, looking for bad credit student loans can be tricky. In general, private student loans are available to everyone, even student loans for people with bad credit.
However, the disadvantage of bad credit is although you can find bad credit student loans, you most likely will pay a higher interest rate than a person with good credit and/or you may need to find a co-signer with good credit.
If you are okay with the possibility of a higher interest rate and/or having to find a co-signer, then your next step would be to search for a lender who offers student loans for students with bad credit. The following lenders will possibly offer bad credit student loans depending on your personal situation and circumstances. The best step to take is to apply to multiple lenders and see what the response is and make a decision based on the responses.
http://www.chasestudentloans.com/
Chase is a reputable lending house so the chances of getting ripped off by inordinate interests is minimal, not to say that your interest rate may not be high if your credit is bad, there is just less chance of a scam type situation when working with a reputable lending institution. While Chase does not look at student loans with a blind eye, they do offer bad credit student loans with options.
Typically students applying for student loans with Chase need to have a co-signer and bad credit student loans would almost certain need a co-signer with good credit.
https://www.wellsfargo.com/student/cosign
Wells Fargo has lots of great information on their website and almost certainly with this private lender, student loans with bad credit will need a co-signer. Having a co-signer does not mean certain you will obtain a student loan with bad credit and the only way to for out for certain is by applying for a student loan. Wells Fargo does state on their website that after making the first 24 consecutive monthly payments on time and meeting certain credit requirements, the student can request to remove the cosigner from the loan.
www.astrivestudentloans.com
Astrive encourages it student loan borrows to get a co-signer so this most likely be the case with bad credit student loans. Astrive also gives a better rate when a credit worthy co-signer is on the loan with the borrower. There is a chance that if you are denied a loan that it may be conditionally, Astrive states on their website that If you apply for an Astrive Student Loan on your own and are conditionally denied, you can add a creditworthy potential co-signer to your loan within 60 days-you won’t have to fill out the entire application again.
http://www.studentloan.com
Citibank states on their website that there are several options available to get a competitive interest rate on a student loan and this would be especially important for bad credit student loans. Federal Stafford Loans, with a fixed interest rate of no more than 6.80%, don’t require any credit checks. Federal PLUS Loans for parents, which feature a fixed interest rate of 8.50%, do only a limited credit check. If the parent is denied for a Federal PLUS Loan based on credit, the child is likely to be able to borrow additional funds through an unsubsidized Federal Stafford Loan. Students can also apply for a private student loan like the CitiAssist Loan. Private loans are credit based, but do not require a student to use his or her parents, or spouse as a co-signer. A creditworthy co-signer added to the application may help students may receive more favorable loan rates.
Bad credit student loans are possible but it is a matter of doing a lot of research and looking into the pros and cons of multiple student loan lenders. Student loans for people with bad credit is feasible but keep in mind you will most likely need to find a credit worthy co-signer and possibly will be paying a higher interest rate than those with good credit.
Sources:
www.chasestudentloans.com
www.wellsfargo.com
www.astrivestudentloans.com
www.studentloan.com
