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 3.73%, while grad students get higher 5.28% rate

Available Term Lengths

10 to 25 years once repayment begins, depending on the repayment plan.

Key facts

Pros

• Among the best for payment flexibility.

• Grace period of 9 months is longer than most lenders.

Cons

• International students are not eligible.

• Freshmen, sophomores and those enrolled less than half-time are not eligible for future-income based loan.

Qualifications

• Typical credit score of approved borrowers: Did not disclose.

• Minimum income: $24,000 per year for credit-based loan. No minimum for future-income based loan.

• Loan amounts: $2,001 to $200,000 per year with an aggregate loan limit of $200,000 for credit-based loan. $2,001 to $20,000 per year for future-income based loan.

Available Term Lengths

5, 7, 10, 12 or 15 years

Disclaimer

Ascent Student Loans are funded by Bank of Lake Mills, Member FDIC. Loan products may not be available in certain jurisdictions. Certain restrictions, limitations; and terms and conditions may apply. For Ascent Terms and Conditions please visit: www.AscentFunding.com/Ts&Cs. Rates are effective as of 01/01/2022 and reflect an automatic payment discount of either 0.25% (for credit-based loans) OR 1.00% (for undergraduate outcomes-based loans). Automatic Payment Discount is available if the borrower is enrolled in automatic payments from their personal checking account and the amount is successfully withdrawn from the authorized bank account each month. For Ascent rates and repayment examples please visit: AscentFunding.com/Rates. 1% Cash Back Graduation Reward subject to terms and conditions. Click here for details. Cosigned Credit-Based Loan student must meet certain minimum credit criteria. The minimum score required is subject to change and may depend on the credit score of your cosigner. Lowest APRs are available for the most creditworthy applicants and may require a cosigner.

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.

• Among the best for payment flexibility.

Cons

• Loans aren't available in 19 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

10 years

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.

• Does not allow for bi-weekly payments 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

10 years

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

10 years

Pros

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

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

Cons

• No fixed interest rates.

• Not available to borrowers in all 50 states including: Alabama, Arizona, Arkansas, California, Delaware, Hawaii, Idaho, Indiana, Louisiana, Maine, Montana, Nevada, North Dakota, Oregon, Rhode Island, South Dakota, Vermont, Washington and Wyoming.

Qualifications

• Prodigy Finance considers future income, rather than current income or credit score.

• Loan amounts: $15,000 to $220,000.

Available Term Lengths

7, 10, 15 or 20 years

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

5 years, but can extend to up to 10 years.

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

5 years, but can extend to up to 10 years.