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Bad/Poor Credit Student Loans – 5 Ways to Get Them

Perkins Stafford PLUS FAFSA Private
PROS Low Interest Rates X X (subsidized)
Easy to Apply For/Qualify For X X X
Can Improve or
Do Not Affect Credit Score		 X X X X
Free Application
No Co-Signer or
Credit Check Required		 X X
CONS High Interest Rates X (unsubsidized) X X
Can Be Confusing X X X
Can Affect Credit Score X X
Limited Amount X

You can also check out our Student Loans Pros and Cons detailed page.

Bad credit student loans are in high demand right now, believe it or not, as are student loans with no cosigner and no credit check student loans.

Many college students are in a situation where they have young credit, or even worse, bad credit.

This in no way means that they somehow no longer need student loans to get through school.

Many students feel that poor credit student loans, student loans with no cosigner, and no credit check student loans are impossible to find- but they would be wrong! There are quite a few options out there for students in need of financial assistance.

We have listed in this article the top 5 ways we have found to get porr credit loans and have listed some of the pros and cons for each option.

1. Perkins Loans

Perkins loans are great because not only are they student loans with no cosigner, but they are no credit check student loans. Perkins loans are from a government program and are federally funded.

The amount you can get is limited to $4,000 a year and there is a cap of $20,000 total.  That means that if your college course takes longer than 5 years and your tuition is higher than $4,000 a year (which is pretty much any school worth its salt) then you will need something in addition to it.  However, for bad credit student loan, this is a great option to look into.

Pros:

Cons:

  • Limited in amount
  • Cap on borrowed amount
  • Some delay in payment time
  • May affect credit score

2. PLUS Loans

PLUS loans are fairly new and very interesting in their set-up- much different than other poor credit student loans.  PLUS stands for Parent Loans for Undergraduate Students.  This loan is given to parents who give money to their college students.

Basically, if you can’t find a no credit check student loan, then you can have your parents lend you some money, and THEY can take out a PLUS loan.  There is a credit check- but it is on your parents’ credit and not yours.

Pros:

  • Your bad credit is not taken into account
  • Low interest rate
  • Government program
  • No credit check student loan- your credit is never checked

Cons:

  • Makes you beholden to parents or guardians
  • Payments can start immediately
  • Can affect your parents’ credit score
  • Hard to qualify for

3. Stafford Loans

There are two kinds of Stafford loans- subsidized and unsubsidized.  These bad credit student loans are great as they are student loans with no cosigner, and are no credit check student loans.  This is another government program that is meant to help students get through school without racking up interest rates on never ending student loans.

Unsubsidized Stafford Loans have higher interest rates than the Subsidized Stafford Loans, but both are minimal in their interest rates.  The payments on these loans can start immediately, but are not necessary until after graduation, or the absence of classes.  If you have been looking for  poor credit loan, then you will very much want to look into both kinds of Stafford Loans.

Pros:

Cons:

  • Limited amounts
  • May affect credit score later on
  • Adds to debt to income ratio
  • Usually won’t be enough to cover all the school costs

4. FAFSA Applications

FAFSA, or the Free Application For Student Aid, is meant to help students in need of financial aid.  The FAFSA application will require a lot of personal information like W2s, Tax papers, social security numbers and bank statements not just for you, but for your parents as well.

After receiving all of this information, FAFSA decides what kind of financial aid you will need, and finds a way to get it for you whether it be through bad credit student loans, scholarships, or Pell Grants.

The process is long, but if it gets you the help you need in the end- it will be worth it!  FAFSA may help you qualify for a no credit check student loan when that door is closed through other avenues.  Definitely something to look into.

Pros:

  • Government program.
  • Can get you Pell Grants that do not have to be repaid.
  • Points you in directions of student loans with no cosigner.
  • Adds credence to your applications.
  • Is FREE.
  • There are people hired on campus to help you with this.

Cons:

  • Requires a lot of personal information.
  • Takes a long time.
  • Can feel like a waste if you don’t qualify for anything.

5. Bank or Private Student Loans

Personal student loans through banks or private means are the last items on this list because they are harder to find, and can be less helpful than the other options listed.

However, if nothing else has worked out, this may be your last shot.  Many banks are offering student loans with no cosigner, but the price to you for not involving a third party is that the interest rates are MUCH higher than other no credit check student loans, and payments are usually scheduled to begin right away- while you are still in school.

If this is the option you take, make sure you talk with someone you trust and stay away from anyone who feels like a salesman.

Pros:

  • You can get the full amount you need.
  • Bad/Poor credit student loans and no credit check student loans.

Cons:

  • HIGH interest rates.
  • Payments begin immediately.
  • HUGE negative consequences for late payments.
  • Will affect credit score.

Hidden fees are usually added in some way.