8 Student Loans for Bad Credit or No Credit

Key facts

Pros

• More flexible repayment options for struggling borrowers than other lenders.

• Subsidized loans do not collect interest while in school or during deferment.

• Lower interest rates compared with private lenders.

Cons

• You pay an origination fee.

Qualifications

• No credit check or minimum income is needed to borrow.

• Loan amounts for undergraduates: $5,500 year one, $6,500 year two, $7,500 year three and thereafter, up to a total of $31,000

• Independent students and graduate students have higher loan limits.

• Undergraduate interest rate fixed at 4.53%, while grad students get higher 6.08% rate.

Available Term Lengths

Disclaimer

Key facts

Pros

• Forbearance of 24 months is longer than many lenders.

• You can make biweekly payments via autopay.

• For co-signed option, multiple in-school repayment options are available, including interest-only, flat-fee and deferred.

• For non-co-signed future-income based option, no co-signer or credit history is required.

Cons

• Non-co-signed future income-based option is available only to college juniors and seniors.

Qualifications

• Typical credit score of approved borrowers or co-signers: Did not disclose for co-signed option. For non-co-signed future income-based option, Ascent emphasizes future earnings over income or credit score.

• Minimum income: $24,000 for the co-signed and non-co-signed credit-based option. Income is not considered for the non-co-signed future income-based option.

• Loan amounts: For co-signed option, $1,000 minimum to $200,000 over the lifetime of a borrower. The amount for each loan period cannot exceed the total cost of attendance. For non-co-signed option, $1,000 to $20,000.

• Non-co-signed future income-based borrowers must also meet satisfactory academic performance requirements with a 2.9 GPA or higher.

Available Term Lengths

Disclaimer

Key facts

Pros

• You don't need a co-signer or credit history to get a loan.

• You can see if you’ll qualify and what rate you’ll get without a hard credit check.

• DACA students with a work-eligible Social Security number can qualify.

Cons

• Loans aren't available in 22 states.

• Payment required while in school and during the grace period.

• Maximum funding amount is less than most lenders.

Qualifications

• Typical credit score of approved borrowers: 650.

• Minimum income: No minimum, but borrowers must demonstrate they can pay $20 per month toward their loan.

• Loan amounts: $3,001 up to $10,000.

Available Term Lengths

Disclaimer

Key facts

Pros

• GPA is used to determine eligibility instead of credit or a co-signer.

• Offers a hard-to-find, temporary income-based repayment option for up to 36 months.

• All borrowers get the same fixed rate, benchmarked to the federal PLUS loan rates.

Cons

• Works with a limited list of schools.

• Charges an origination fee.

• You can’t pay more than the minimum via autopay.

Qualifications

• Typical credit score of approved borrowers: Credit and a co-signer are not required. Approval is based on GPA.

• Minimum income: No minimum. Approval is based on GPA.

• Loan amounts: $2,001 up to the full cost of attendance, maximum $50,000

Available Term Lengths

Disclaimer

Key facts

Pros

• Offers a hard-to-find option: non-co-signed student loans for international and DACA students.

• Borrowers are assigned a dedicated student loan advisor.

• Forbearance of 24 months is longer than many lenders offer, and borrowers can access national disaster forbearance as well.

Cons

• Payment required while in school and during the grace period.

• Offers only one repayment term: 10 years.

Qualifications

• MPOWER considers future income potential but does not factor in credit scores.

• Loan amounts: Minimum $2,001. Maximum loan is $50,000, limited to $25,000 per academic period.

Available Term Lengths

Disclaimer

Key facts

Pros

• Forbearance of 24 months is longer than many lenders offer.

• Grace period of 9 months is longer than many lenders offer.

• You can see if you’ll qualify and what rate you’ll get without a hard credit check.

Cons

• You must be enrolled at least half-time to qualify.

• Fixed rate loan only offers 10-year repayment term.

Qualifications

• Typical credit score of approved borrowers or co-signers: Not available.

• Minimum income: Not available.

• Loan amounts: up to $200,000.

Available Term Lengths

Disclaimer

Key facts

Pros

• Payments aren’t due if you’re unemployed.

• Lending decisions are not based on your credit score.

• You receive free career services, including job placement support.

Cons

• There’s no discount for paying off your agreement early like some lenders offer.

• Funding may not be available based on your school or major.

• Not available in South Carolina.

Qualifications

• Eligibility is based on factors like academic program and projected salary, not credit score.

• Loan amounts: $3,000 to $25,000 annually; $50,000 lifetime maximum.

• Payment cap: Two times the amount borrowed.

• Income share percentages: Typically 6% to 9%; lifetime max is 20%.

Available Term Lengths

Disclaimer

Key facts

Pros

• Periods of unemployment count toward your payment total.

• Lending decisions are not based on your credit score.

• You receive a discount for paying off your ISA early.

Cons

• Funding is available only to nursing students.

• Nursing certificate programs currently aren’t eligible.

• You must be within 12 months of graduation to qualify.

Qualifications

• Eligibility is based on factors like your GPA and potential cost of living, not credit score.

• Loan amounts: $1,000 to $15,000.

• Income share percentages: Typically range from 1.5% to 7.5%; average is 3.99%.

Available Term Lengths

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