Around 1 in 10 American students study abroad during their undergraduate careers each year. If you want to study abroad, you need to learn the process of getting study abroad loans.
According to the 2018 Open Doors Report on International Educational Exchange, the number of people who study abroad has increased by 2.3%. That means more people are realizing the educational benefits of studying abroad.
However, most Americans can’t afford to study abroad without a loan. If you don’t get approved for a loan, you could be missing out on the best experience of your life.
Here are the steps you must follow to get a study abroad loan:
Get a List
First, you’ll need to find out which study abroad loans for US citizens out are available to you.
Use an online loan comparison tool to find out which is the best study abroad loan for you. Just select your citizenship and institution from the drop-down menu. Then you’ll get a list of lenders that work with your school.
Research The Terms and Conditions
Read the terms and conditions attached to each loan down to the letter. This will tell you whether or not a loan is a good fit for you. Public loans usually have lower interest rates than private loans do.
Double-check to make sure your school is eligible for the awards you select. Otherwise, applying for them is a waste of time.
Determine Your Cosigner Situation
Many study abroad loans require you to have a cosigner. Simply having a cosigner increases your likelihood of getting approved.
Your cosigner should have good credit and a stable income history. They should also have been a US citizen for at least 2 years.
If you’re trying to get approved for study abroad loans with no cosigner, lenders will be examining at your credit history and income history. They’ll use this data to determine whether or not they think you’ll pay back the loan.
Submit an Online Application
Apply online for the loans you want.
Fill out all of the answers accurately. If not, you could get denied. Not only will this prolong the loan process, but it could eat into time you’d rather be spending abroad.
It could take a few weeks to get an answer, so be patient.
Understand The Decision
If you get an initial approval, congratulations! An educational loan for study abroad can be sanctioned up to $50,000.
Those who need a loan but keep getting declined should work on fixing the reason why their application got declined in the first place. The aforementioned link lists 26 winning strategies you can use to get a loan if you’re denied.
Study Abroad Loans Are Calling Your Name
Around 97% of study abroad students find jobs within 12 months of graduating. Study abroad loans are worth all of the effort you invest in getting them.
These loans also pay off in other ways. For example, college graduates who studied abroad earn 25% more money than those who didn’t.
Explore your options and read more about student destinations. It’ll motivate you to get started.