Get Everything You Need To Know About Student Loans Without A Cosigner

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It is difficult for many people to get student loans without a co-signer because the banks want reassurance that if the student is unable to pay then the person who guarantees the loan can pay it off.

Student loans are the second largest consumer debt market for the nation. This market includes more than 40 million borrowers who owe more than $1.3 trillion, and that figure grows by thousands of dollars every second.

Most of these borrowers have taken out federal loans that the federal government supports and guarantees.. However, a small segment of borrowers also have private loans which are geared.

If you’re gearing up for college and don’t have a cosigner, it’s important to know and understand what options are available to you – with or without a cosigner.

This guide has been created to explain each of your options and help you learn how to get a loan from your side without a co-signer.

Strategies for Borrowing Less

While taking out federal loans without a cosigner is usually a breeze, borrowing the money from a private lender requires you to jump through additional hoops. But since you’ll have to pay back the money you borrow either way, the smartest thing you can do is borrow as little as you can get away with.

Here are a few strategies that can lower your debt load and make life easier down the line:

Apply for scholarships and grants. Qualifying for scholarships and grants is the best way to cut down on the amount of money you need to borrow for school. The Federal government offers scholarship and grant information at StudentAid.gov. However, state and institution-based aid may also be available.

Pay as you go to minimize your loans. Having a job while you’re in college is the best way to set yourself up for fewer loans when you graduate. If you can work while you attend school, you may be able to pay some of your college expenses as you go.

Don’t use student loan funds to improve your lifestyle. The best way to minimize your loans is to only borrow what you need. Don’t take advantage of funds that go above and beyond what is absolutely required for school. And if you do end up with extra college money somehow, you should pay that money towards your loan balance immediately.

Conclusion

Borrowing money for college without a cosigner is definitely an option, although getting the money you need becomes infinitely harder once you surpass federal loan limits and switch to a private lender. Either way, the best thing you can do for yourself is minimize the amount of money you need to borrow and educate yourself about your loans – and your finances – as much as you can.

For most students, the high cost of a college degree has made borrowing money an inevitability, but this does not mean that your loans are out of control. You can (hopefully) escape college with student loan debt that you can actually afford to repay with some careful planning and preparation.

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