International students appearing for Student F1 Visa interview will usually have Higher Education loan approved from the bank. In India students usually get loan from banks like SBI, ICICI, HDFC, Canara Bank and so on. Student loan APR much higher compared to student loans in US.
In order to attract more International Student’s, Business schools in last few months begin the process of creating student loan programs for International students without co-signer.
To get student loan in US, there should be a co-signer. But, for international students, it’s hard to get a co-signer, unless student has relatives who can co-sign on the loan. If the student’ doesn’t pay the loan, then bank will come after the co-signer to pay back the loan amount.
No Cosigner Student loan for International Students in USA is available for certain MBA programs
No Cosigner Student loan for International Students in USA
Recently following Business Schools have introduced No Co-Signer student loan for International students
- University of Chicago
- Harvard University
- Pennsylvania’s Wharton School
- Yale School of Management
According to Graduate Management Admission Council (GMAC) about 40 business schools in the United States and Europe, beginning with the 2009-10 academic year.
Interest Rates – Student Loans
Interest rates for student loan vary between countries, but getting student loan in US seems to be much better option than from India.
- Student Loan Interest Rates – India – 12% and above
- Student Loan APR – USA – 5%+
There is a huge difference between interest rates, which could save lot of money. Due to recession, there will be decrease in number of International Students planning to attend US Universities, even though more students applied for admission.
Another major reason students are hesitant is due to difficulty on getting H1B Visa, due to strict H-1B Visa rules and regulations, followed by USCIS. If they get loan to study in US, if if they cannot find job, it will be hard to pay back the loan amount.
Universities with Engineering and science programs should start offering student loans without co-signer for International Students, it can definitely attract many students. But, will universities come forward?