Student Loans - No Cosigner

Though many student loans require a cosigner, not all students have someone who will cosign a loan for them. These students are usually forced to pursue loans with no cosigner.

There are two main types of student loans; federal student loans and private student loans. Typically, federal student loans do not require a cosigner and private student loans do require a cosigner.

Federal Student Loans with No Cosigner

Students who do not have a cosigner should consider applying for federal student loans before pursuing any other options. Most federal student loans are awarded based on financial need rather than on a borrower's credit score or credit history. These loans include the Stafford loan and Perkins loan.

Graduate students have the option to the Grad PLUS loan. This is a low fixed interest rate loan guaranteed by the US Government. Although this loan is awarded based on credit it is much easier to qualify for than a private student loan. Most graduate students do not need a cosigner.

To apply for any of these loans a student must first file a FAFSA form. The FAFSA form helps financial aid officers determine what should make up a student's financial aid package.

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Alternative Student Loans with No Cosigner

It is recommended that students apply for alternative student loans with a cosigner. Applying with a cosigner improves your chances of being approved for a loan and could potentially help you qualify for a lower interest rate.

In some cases students may be approved for an alternative student loan without a cosigner. A student with a great credit score and low debt-to-income ratio may qualify for an alternative student loan on their own. Often times graduate students do not need a cosigner to be approved for a loan.

If you do not know much about your credit or your ability to qualify for a private student loan visit the Student Credit Education Center. Here you will learn about what makes up your credit history and credit score, and what you can do to improve your credit.