Hello esteemed reader, welcome you to the No. 1 academy website filled with all kinds of academy based materials, articles that are needed to climb up the academic and professional ladder or just for acquiring knowledge.
Though this artile is about getting student loan in Canada, you may find it useful to take a look at our article on cheapest universities to study in Europe.
As well, we have written a well-detailed article on how to acquire a fast accelerated online bachelor’s degree and I hope they are helpful.
This article fully exposes the processes involved in securing an international student loan in Canada, as it most international students in Canada do not know how to go about it or are often confused.
This article will not only lift your confusion but will give you step by step guides on how you can go about it.
About International Student Loan In Canada
This may be your first time seeing the term “International Student Loan” so I will like to explain what it is.
What Is An International Student Loan?
An international student loan is a type of financial aid rendered to students who wants to study abroad to help pay for tuition fees, get academic materials like books and other supplies and also living expenses.
However, an international student loans is different from other loans in terms of the interest rate and how to pay back. The interest rate for student loan is lower and the student gets to pay back when they are done with their education.
As a student going to study in Canada , you should know that there are two major forms of acquiring this student loan;
- The federal loan
- The private loan.
The Federal Loan is given by the government to the student but before that happens your school would have to verify or sign off the amount you are borrowing before it is then sent into your school account.
The Private Loan is given by banks or a private financial institution and it is directly offered to the student without the involvement of the students’ school, the school only need to provide enrollment verification documents to the lender and then the loan will be sent directly to you.
Now, before you apply for an international student loan you can now go for the one you feel is comfortable for you as you are now equipped with the knowledge.
How To Secure an international student loan in Canada?
The following steps will guide you on how to secure a loan for your international studies in Canada;
- Apply For Landed Immigrant Status
- Get A Co-signer
- Apply Emergency Loans or
- Apply For A Private Loan
NOTE: Only Canadian students can apply for Government Loan.
Application For Landed Immigrant Status
As an international student in Canada, it is advisable that you apply for a “landed immigrant status” and once your status is granted you could become eligible to secure a loan either from the government, banks or private financial institution.
This is a one time offer that some colleges and universities offer to international students so it is advisable to look out for it as it may pop up at anytime such as directly contacting your preferred school’s finance aid office for information.
Getting A Co-signer
Firstly, who is a co-signer?
A co-signer is a person who agrees to pay the debt of a borrower if the borrower does not pay up at the given time.
Typically a co-signer usually have a good credit score and a long credit history which favors the borrower. Now, as an international student who wants to get loan to study in Canada you will need a co-signer with a good credit score of 700 and above so as to get a loan approved.
So, if you have relatives in Canada who can act as a co-signer begin to reach out to them as you could get more chances of an international student loan.
Apply For A Private Loan
I mentioned earlier that there are two major forms of acquiring a loan as a student and I mentioned Federal and Private loans.
However as an international student who wants to study in Canada you won’t be able to get the federal loan as it is reserved for its Canadian citizens but the private loan is open to both citizens and non-citizens so it is the only option you can go for as an international student.
To get a private loan a co-signer is not needed, you can get a loan from private financial institutions with or without a co-signer.
It is also advisable to look for loan providers that their products are mainly for international students in Canada, carry out research and settle for the one with the lowest interest rate. Remember to go for a fixed rate interest that won’t increase over time instead of a variable interest rate.
For more tips on how to get a loan that will suit you well, click here
To see if there are loans available for your preferred school in Canada, including loans that do not need a co-signer use this student loan comparison tool to get started
Conclusion To How To Secure An International Student Loan In Canada
Education has shown to play a very important part in the human life as it dictates your career path, makes you knowledgeable in lots of aspects and bring you academic success.
However, due to financial constraints, you may not be able to study, this article not only provides ways you can secure an international student loan in Canada but has also help you to know that you could get a loan to become academia.
After reading this article it is important that you conduct other direct research on how you can acquire a loan to study in Canada as an international student by visiting your preferred school’s website, contacting your preferred lender to know the terms and conditions involved.