Bank Student Loans
A college education has never been more important, but unfortunately, it has also never been more expensive. College costs have been steadily rising over the years, and are continuing to do so at an alarming rate. Price tags from anywhere between $10,000 to $60,000 per year can be huge barriers to obtaining an education for prospective college students. Few families are in a position to cover the total cost, so student loans are an important part of any financial aid packages. Bank student loans, or private student loans, are one way that parents and students can choose to help pay for higher education.
It is very common for students who are receiving financial aid to receive a portion of their financial aid in the form of federal student loans. These loans are from the federal government; they include subsidized Stafford loans, unsubsidized Stafford loans, Perkins loans, parents PLUS loans, and GradPLUS loans. If these federal student loans, in addition to any other aid received, do not fully cover the cost of attending college, then students can receive financial aid from external sources in the form of bank student loans. Banks, credit unions, and private financial institutions like Sallie Mae offer various types of bank student loans.
What you should know
When you apply for student loans from banks, you will need to provide financial information to the bank: tax returns, income, assets, liabilities, etc. Another key requirement for getting a loan is to have a strong credit score; however, bank student loans require the student to have a cosigner. This cosigner generally should have a good credit score as well because that helps with the chances of approval. When applying for bank student loans you are advised to do your homework, and research all the options to figure out which ones suit you best.
Are there any specific requirements to get student bank loans?
Student bank loans can be acquired from a number of lenders, such as SunTrust and PNC. All banks have different loan types and requirements, and not all may be right for you. However, all student bank loans require applicants to provide a detailed description of their financial standing, such as income, assets, and tax returns, among other things. When applying for student bank loans, lenders also require the applicant to have a good credit history and a cosigner. A cosigner with a good credit history can help the applicant get a lowered interest rate for the loan.
What are student loan banks?
These are really just financial institutions that provide private student loans. These private student loans facilitate students in pursuing and paying for higher education. Student loan banks offer loans generally at a higher rate of interest than federal loans, and they also require students to have a credit-worthy cosigner, or in rare instances, a very strong individual credit score. Student loans from banks should only be used as a final source of funding after all ‘free money’ awards and federal loans have been exhausted.
What are the benefits of taking student loans from banks?
Student loans from banks offer a number of advantages to the borrowers, the most important being the high borrowing limit. While federal student loans have relatively low borrowing limits, student loans from banks have far higher limits, with some that even allow you to borrow up to the total cost of education minus any financial aid received. Moreover, if the borrower arranges for a cosigner with a good credit history, the cost of borrowing can also be reduced.
When applying for bank student loans, what does self certification mean?
There are some student loans which need to be self certified by students. Self certification refers to the process of validating financial need. Applicants who need certification will be notified during the application process.
Miscellaneous Student Loan Topics
- Be Smart About Private Student Loans
- Before Borrowing Student Loans
- Choosing the Best Loans
- Choosing Private Student Loans
- Choosing the Right One
- Choosing the Right Student Loan for You Video
- College Cost Calculator
- College Loan Rates
- College Loans Parents
- College Savings Plan
- College Tuition Costs
- How to Compare
- Continuing Education Loans
- Credit Score
- Credit Score Student Loan
- Dept of Education
- Education Loan Borrowing Process
- Federal Student Loans Forgiveness
- Federal Vs Private
- Government Loans
- GradPLUS Loan
- Graduate School Funding
- Hierarchy of Loans College on the Cheap
- Hope Education Credit
- Independent Student Status
- Interest Rates
- LIBOR And Prime Rates
- National Student Loan Database
- Parent PLUS Loans
- Paying Off
- Rights Responsibilities As a Student Loan Borrower
- School Loan Interest Rates
- School Loans
- Student Financial Aid Services
- Student Loan Calculator
- Student Loan Lessons Learned
- Student Resources
- Successful Application
- The Student Loan Checklist
- Tips on How Much to Borrow
- US Department of Education Loan
- US Department of Education Loan Payment
- US Department of Education Loan Servicing
- US Department of Education Online Payment