Having bad credit or no credit can make it difficult to obtain a student loan, or similar financial aid, for anyone just out of high school, a currently enrolled college student or an adult going on to continue their education. However, many options available to any perspective student, the idea that bad credit can keep someone out of college is not always the case.
Some say no credit is worse than bad credit, but if you happen to fall into either category you should look for Stafford loans. Stafford loans are a type of financial aid that is federal, which makes them open to most prospective students. They are either unsubsidized student loans, in which the student is responsible for the interest or they are subsidized student loans in which the federal government pays the interest during the term of the loan.
If you are having trouble getting a student loan, a cosigner can be a great help. You need someone with good credit and who trusts you. Private and federal lenders will hand out student loans more easily to someone with bad or no credit if you have a cosigner.
In the end, getting a scholarship or grant is the best way to go, so look heavily in that direction, but if you are like most college students you will need a bit more to help with expenses, so try to get an idea of how much the semester will cost, factoring in things like tuition, books, parking or dorm fees, and a meal plan if you need one. If the student loan offered is well beyond what you’ll need you don’t have to take the total amount.
Check with financial aid offices and private lenders who advertise student loans and weigh all of you options. It may be a task to obtain a student loan but you will always benefit from an education no matter the cost.
