The cost of tuition, room and board, fees and other expenses at a private college can run from US$30,000 to US$70,000 per year or more. While you may be able to fund part of your study abroad in the U.S. with savings, financial aid and scholarships, you may also need to consider international student loans to help you cover the entire expense.
Let’s take a look at the options for private student loans for individuals interested in studying in America.
How private student loans work
Since most international students are not eligible for federal loans offered by the U.S. government, private student loans are one of the most common ways that international students can study abroad in the United States.
Private student loans are offered by lenders such as banks and student loan lenders. Student loans usually have lower interest rates and lower monthly payments than other types of private loans. Also, the terms of repayment are generally more generous. With some private lenders, you won’t need to start repaying your loan until you’ve finished your study abroad in the United States.
When applying for a loan, it’s usually possible to borrow as much money as you need to cover all educational expenses, less any money you’ve received in financial aid and scholarships. In most cases, the lender will send the money directly to your school several times each year rather than to you.
Once you’ve finished studying overseas, you’ll need to repay the loan along with interest on the original amount you borrowed. Payments are typically made monthly and may last for several years to several decades, depending on your repayment terms.
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International student loans with and without a cosigner
Private student loans for study abroad in the United States fall into two categories: loans that require a cosigner and loans where no cosigner is needed.
Student loans with a cosigner
Most loans for international students who want to study abroad in the United States require a cosigner. A cosigner is a person who signs the loan documents along with you and promises to repay the loan if you cannot. Cosigners must be a U.S. citizen or permanent resident who has lived in the U.S. for at least two years and has good credit and a stable income.
Why do some lenders require a cosigner? Lending money to international students potentially carries more risk than domestic borrowers. Lenders have no guarantee a student will be able to find employment and make enough money to pay back the loan after graduation. Having a cosigner reduces the risk the loan will go unpaid. For this reason, loans with cosigners typically have lower interest rates, which reduces the cost of borrowing money.
In most cases, a cosigner is a family member or a trusted family friend who knows the student and has an interest in their academic success.
Student loans without a cosigner
While the majority of student loan offers require a cosigner, there are options for international students who don’t have someone to cosign the loan. Some lenders have created programs offering no-cosigner loans to students with a strong academic record and promising career potential. These companies take into consideration your academic potential as well as your credit history, graduation date, home country and where you want to study abroad in the United States. It’s important to know that student loans without a cosigner may have different terms compared to loans with a cosigner.


Find my international student loan
Our loan comparison tool can help you find an international student loan that’s right for you.
Find My LoanFinding and comparing student loan options
When you search online for “loans to study abroad in the United States,” you’re likely to get thousands of results. You’ll need to research each lender carefully to make sure they are reputable and that you’re eligible to apply for their loan products.
Alternatively, you can use a helpful online resource like the International Student Loan Comparison Tool. This helpful solution lets you find potential lenders in just seconds by entering a bit of information about yourself, where you’re from and where you want to study abroad in the United States. Whether you want to apply for a loan with or without a cosigner, the student loan comparison tool will show you a list of lenders that match your needs, making it easy to review, compare and choose the lender and loan that’s right for you.
Tips on choosing the right loan
Keep these tips in mind as you compare loans for study abroad in the United States.
- Interest rates. Interest rates determine the amount of money you’ll need to pay to the lender on top of repaying the original loan. Student loan interest rates may be fixed or variable. With a fixed-interest rate loan, you’ll pay the same monthly amount for the entire duration of the loan. With a variable interest rate, the amount of your payment will go up or down, depending on economic conditions. A loan with a lower interest rate will help reduce the amount you pay over the life of the loan.
- Fees. Most loans come with a variety of fees, including origination fees, disbursement fees and guarantee/default fees. As you compare loans, be sure to account for all the fees, which will increase the total cost of the loan. The annual percentage rate (APR) is useful here, because it includes the interest rate and any fees associated with the loan, providing a complete picture of the true cost of borrowing.
- Repayment terms. Repayment terms include the number of years over which you will repay the loan and the grace period, which is the amount of time after you finish school before you must start paying on the loan. Some loans offer income-based repayment, which ties your monthly payment to the amount of your income after school.
- Lender reputation. Be sure to research the business history of the lender and read customer reviews before you decide on a lender.
Navigating education financing with International Student Loan
International Student Loan provides important information to help you make the right decision about funding your education. Whether you’re looking to study abroad in the United States or Canada, our website provides a wealth of study abroad essentials to help you budget for your studies, research financing options and decide which student loan products are right for you. Since 1998, we’ve been dedicated to simplifying the world of international student loans, so you can focus on pursuing your dreams with financing that meets your needs.

Loans for study abroad
Thinking about studying abroad? Learn how International Student Loans can help you finance your studies overseas.
Understand your OptionsFAQs
What do private international student loans cover?
What a student loan can cover will vary from one lender to the next, but many can be used for a variety of educational expenses related to study abroad in the United States or Canada, including tuition, books, insurance, fees, room and board, transportation and other education-related expenses.
When should I apply?
You may apply for private student loans at any time – there’s no specific deadline. It’s best to apply as soon as you have made plans to study abroad in the United States, since the process of applying, gaining approval and the resulting funds disbursement may take up to six weeks.
Can I apply before being accepted?
You may apply for a loan before being accepted to a school, but the loan cannot be finalized until your acceptance is complete.
Can I repay a loan early?
Many lenders will not penalize you for repaying a loan early, though it’s important to read the fine print on your loan documents.

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