Study Abroad Loans
Study Abroad Loans Can Get You There
These study abroad college student loans are private student loans obtained from a bank or other lender that can help finance an international education, whether it’s for a summer, a semester, a year, or for the duration of a degree program.
Federal Student Loans for Study Abroad
In most cases federal student loans like the Stafford Loan, the Perkins Loan, and the PLUS Loan can be used to study abroad. If you’re unfamiliar with these and other types of student loans, you can get in depth information and compare them against other loans in the student loan section of Student Finance Domain.
- Typically federal student loans are transferable if your home school approves the study abroad program and you are enrolled at least half-time in a degree program.
- It’s important to note that federal loans can only be used to pay for expenses like tuition, room & board, and other fees directly related to your educational costs.
For more information about what your school’s policies are, talk to someone in your school’s college student financial aid department.
Private Student Loans to Study Abroad
Private study abroad loans are much more flexible than federal student loans:
- That’s because many times these private student loans available from banks and other lenders are disbursed directly to your or your co-signer and can be used to pay for your entire study abroad experience, unlike federal loans.
- They can pay for the incidental expenses that arise above and beyond tuition and room & board. This includes travel costs like student flights and rail tickets, and even fun and educational cultural excursions.
Getting a Study Abroad Student Loan
When it comes to study abroad student loans, the standard rules for obtaining a private student loan apply.
- Typically you must be enrolled at least half-time in a degree program and you can borrow up to the total cost of your studies, including room & board and other living expenses, plus the cost of the trip and incidentals.
- Your credit rating, or that of a cosigner if you have one, will affect the interest rate and other loan terms you are offered. Keep that in mind as you begin to formulate your study abroad plan.
- Before you apply for your study abroad loan, it’s imperative that you gain a full understanding of all of the expenses you’ll have while studying abroad. You might need to borrow more than you’d expect, but there are ways you can cut your international costs.
- Be sure you are using a good college student credit card, with minimal fees. You can also trim your international phone budget with an international calling card plan that best fits your situation.
- Many times study abroad loans are disbursed directly to students or their cosigners. If this happens to be the case with your loan, don’t fall into the trap many students do.
Although it may be tempting to buy a new HD television set or a hot new Parisian wardrobe with your big check, don’t do it. Use the money towards school expenses and your international trip, and you’ll have the time of your life without regret.