Education Loan for H4 Visa Holders & International Students

There’s one question that we get again and again is if H4 Visa Holders or other International Students can get an education loan in the US? 

Another question that we get is if an H1B visa holder can apply for an education loan for H4 visa holders as a co-signer. 

If you Google, “Education Loan for H4 Visa Holders in the US” or Education Loan for International Students in the US, you will realize that it’s almost next to impossible to get a loan. But why? Let’s try to understand this:

In the US, most students apply for the Federal Student Loans or better known as FAFSA (Free Application for Federal Student Aid) and some non-US citizens are eligible for it too.

Some of the non-US citizens eligible for Federal Student Loan or FAFSA are people with:

• A Green Card

• Asylum status

• Refugee Status

• T Visa

And a few more statuses.

As you can understand, H4 visa holders, J visa holders, F1 visa holders are all not eligible for an education loan through the FAFSA. So, what are the options available? You can apply for grants and scholarships. Here are some scholarships and other aid you can get:

• Check with the Indian embassy or a consulate here in the U.S to see what they offer.

• Try the U.S. Department of Labor’s free online scholarship search.

• Ask the college or career school you plan to attend whether they offer any aid for students like you.

• Check out the Education USA website

• Search online for nonprofits offering scholarships to immigrants

• Check with the institute you’re applying to; a lot of them do have grants and scholarships.
  

But what if you’re unable to get a scholarship? Well, then, there are a few options from private lenders. 

Even when it comes to private lenders, Immigrants are not eligible for most of them because all of them require either a US citizen or a permanent resident as a co-signer. If you have a relative or a friend who is a citizen or a permanent resident who is willing to become a co-signer, then great; otherwise, you’re left with few options. 

However, what I want to say is that those options aren’t bad. These are decent options, and companies started by immigrants to solve this very issue. 

And no, this is not a sponsored post at all. 

We’ll now share some companies that do offer loans to immigrants

1. Stilt
   

With Stilt, H-1B visa holders can cosign loans for their H4 visa spouses or apply for loans directly in their name, and you can get a decision within a day. They disburse the amount directly to the school or your account based on your request. 

You can check the rates online with a soft credit check and usually the loans are granted for the term of your visa - maximum term is 36 months. The maximum loan limit per person is $35,000.  2. MPower Financing For both MPower and Prodigy, a cosigner is not required and they have an interest rate of 13.98% and 8.5% respectively.

MPower considers the following factors to offer a loan:

• School the student will be attending, 

• Their expected graduation date, 

• Their grades, and 

• Any internship or work experience they have in their field. 
  

MPower also looks at future earnings, so it monitors whether the student is taking on too much debt MPower offers interest-only payments while in school and during the six-month grace period after graduation. On-time payments can help to build a U.S. credit history

3. Prodigy Financ

To be eligible, students must have been accepted into an eligible school and program that Prodigy supports. Prodigy Finance offers flexible repayment terms from seven to 20 years. Borrowers enjoy a six-month grace period, and there are no prepayment penalties associated with paying off loans early.

I hope you found this information helpful and if you know someone else who may find it helpful please share it with them. 

And rememberr, if things aren’t going your way, remember It’s Ok Yaar, and they will very soon.