Underground Journal

Getting a Private Student Loan with Bad Credit

If you’re like most students, you don’t have much money. Unless you go to school on a sport scholarship or your parents are made of money, chances are you are seeking any way you can to pay for college. And, just like most college students, you probably have bad credit. That means you can’t get a student loan. So what is a broke college student to do? The truth is you can get a private student loan without a cosigner and you can get it even if you have bad credit. You just have to do your homework, you must have patience and you must not give up. If you want an education, you’ll do whatever it takes to find the funding required to graduate.

If you’re a college student right out of high school, chances are you don’t have horrible credit. You just might not have any credit at all; which can still bar you from some financial aid options. Unless you happened to run up a bunch of credit cards when you first turned 18, you can probably salvage your credit enough to actually get a private student loan. Get a copy of your credit report (you’re allowed one free credit report per year; you only have to request it) and see why your credit is as bad as it is. If you owe something, and it’s a small balance, try to find the means to pay it off. If you have a high balance, contact the company or the collection agency and ask to be put on a payment plan. As long as you make payments, your credit will improve because you will no longer be considered delinquent.

However, even if you have the worst credit in the world, even if your parents got credit cards in your name when you were younger and ruined your credit before you knew what credit was, you can still get financial aid. Go into your financial aid office and tell the person behind the desk that you don’t have the best credit but that you’d like to get a private student loan with bad credit. Chances are there’s a loan program for someone just like yourself.

Times are tough for everyone, and there are lots of starving college students. There are loans for everyone, despite how good or bad their credit may be. The difference is the interest rate the person gets. The better credit you have, the better your interest rate is going to be. So if you have bad credit, your private student loan is probably going to cost you a lot more to pay back than if you had good credit. But if your college degree means a lot to you, and you don’t mind paying a little extra, ask about the bad credit private student loans. As long as you study hard and get good grades, you’ll get a great job to pay off those loans no matter how high your interest rate is.

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