To get all the important details you need on International Student Loan for USA, Does Bank of America Offer Student Loans, How to refinance Bank of America student loans, About International Student Loans and lots more All you have to do is to please keep on reading this post from college learners. Always ensure you come back for all the latest information that you need with zero stress.
Bank of America offers student loans for students to help finance their education.
Bank of America Student Loans are designed to help you pay for college or vocational training. We offer a number of different options, including Direct Subsidized, Unsubsidized and Perkins Loans.
If you’re a student who has been awarded a Federal Pell Grant, you may qualify for a direct subsidized loan. If not awarded a Federal Pell Grant, you can still qualify for an unsubsidized loan. You can also apply for a Perkins Loan if you meet the eligibility requirements.
To apply for a Bank of America Student Loan, log in to online banking and select “Apply for Personal Loans.” After completing the form, we’ll review your application within 24 hours.
Does Bank of America Offer Student Loans?
Bank of America hasn’t offered student loans since 2010.
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here’s how we make money.
Bank of America doesn’t offer student loans. But you can take out private student loans from other banks, as well as credit unions and online lenders.
Before borrowing any private student loan, exhaust your federal options first by completing the Free Application for Federal Student Aid, or FAFSA.
If you need a private student loan to fill a remaining tuition gap, compare multiple private lenders’ offers to get the lowest interest rate possible.
Does Bank of America still do student loans?
Bank of America ended its private student loan program in 2008. Federal student loans from Bank of America were available until the Federal Family Education Loan program stopped in 2010.
Federal loans now come only from the government. Some national banks — including Citizens Bank — still have private student loan programs, while others such as JP Morgan Chase, Capital One and U.S. Bank don’t. Community banks and credit unions may also offer private education loans.
Borrowing a private student loan from a bank or credit union may be a good choice if you have an existing relationship with that financial institution. These lenders may discount interest rates if you’re already a customer; Citizens Bank will reduce your rate by 0.25 percentage points, for example.
How to refinance Bank of America student loans
Bank of America doesn’t refinance student loans, but many lenders do. Check multiple student loan refinance offers to find the lowest interest rate possible.
To qualify with any refinance lender, you’ll typically need:
- Good credit — a FICO score in at least the high 600s.
- Steady income, with a debt-to-income ratio below 50%.
- To meet additional requirements, like having graduated from college.
If you have a private student loan from Bank of America, there’s little downside to refinancing — provided you can get a lower interest rate and won’t pay more by extending your repayment term.
If your Bank of America loans were federal loans, you have additional options:
- You can still refinance federal Bank of America student loans. You can refinance only with a private lender. This will cost you federal benefits, but refinancing can make sense if your goal is to decrease your loan’s interest rate and save money overall.
- But you can also consolidate federal student loans from Bank of America. Consolidation won’t lower your interest rate or save you money, but it can qualify your existing federal loans for additional repayment plans and programs, such as Public Service Loan Forgiveness. It can also extend your repayment term.
» MORE: Student loan consolidation vs. refinancing
Bank of America began selling off its federal student loan portfolio in 2015. Those loans now have a different loan holder. Access your studentaid.gov account for a list of your current federal loans.
International Student Loan for USA
International student loans are available to non-US citizens studying at a college or university in the United States.
Many foreign students apply for loans to help pay for college – especially as the cost can add up when tuition, room and board, transportation, books, supplies, health insurance, and other expenses are all factored together.
International student loans are available year-round and can cover up to the total cost of school minus any other financial aid received. Our student loan comparison tool will match you with eligible loan options which you can review and choose the one that works best for your circumstances.
Compare Loans and Lenders
All loans are not created equal so we developed an easy to use comparison tool to help users find the option that works best for their situation. After you select your citizenship and school, the tool returns a list of lenders that will work for you. Compare the different terms and conditions, choose the lender that works best for you, and apply online.
Cosigner Required for Most (But Not All) Applicants
Because international students do not build up a credit history in the US, most lenders require them to have a US cosigner. A cosigner is a person who can legally sign loan papers or documentation to help the other person obtain a loan. The cosigner must be a US citizen or permanent resident, with good credit, income history and who has lived in the USA for the past 2 years.
he cosigner makes a legal agreement to be jointly responsible for the repayment of the loan if the borrower should fail to pay their debts in a timely manner. Some lenders will not require a cosigner if you
meet specific criteria including attending an eligible school, demonstrate high career potential, and plan on graduating within the next two years.
You can use our loan comparison tool to see if you’re eligible to apply for a loan without a cosigner.
Looking for Country Specific information?
We have compiled additional information specific to various nations on our country pages, including conversion rates and inbound student statistics.
About International Student Loans
Typically students can borrow up to their school’s total cost of attendance, as determined by the school, minus any other aid received. “Total cost of attendance” includes tuition, room and board, books and supplies, personal expenses, and transportation.
International student loans typically also offer:
- No collateral required
- Flexible repayment terms
- Online application
- and much more…
Start your application today
Learn more about the international student loan program on our FAQs page . Or check out our International Financial Aid Resources center.Find A Loan
Loan Details
Studying in the US may require you to secure additional financial aid to make that dream possible. That’s why we have developed a private loan comparison tool of all lenders that provide loans to international students. We have made the process easy, quick and simple, comparing those lenders that will help secure your education to the United States.
Private Student Loans for International Students
Many international students studying in the United States will find that expenses can add up! With tuition, books, transportation, and living expenses, many international students may soon realize that they cannot financially support their educational studies entirely on their own, and they are not able to get federal student loans from the US government.
However, don’t let this deter you from your dream of getting an education in the United States. This is where private student loans come in! Private student loans are available to international students to help cover these costs while studying at college in the US.
Cosigner Requirements
Most international students must have a US co-signer in order to apply for a student loan. Although there are no co-signer loan programs at select schools in the USA and Canada, almost all international students will require a co-signer. A co-signer is legally obligated to repay the loan if the borrower fails to pay. Oftentimes, the cosigner is a close friend or relative that can assist in getting credit since most international students cannot receive credit on their own. Co-signers must be US citizens or permanent residents, with a good credit score, and they must have lived in the US for the past two years.
If you do not have a cosigner see if you’re eligible for a no-cosigner loan.
Application Process
You can begin the loan application simply by doing a loan comparison that will allow you to choose the lender best suited for you. To make the process go as quickly as possible, you and your co-signer will need to complete the entire online application thoroughly. Initial credit approval or denial is very quick and typically takes 2-6 weeks from initial approval.
Interest Rates Explained
When you take out a loan through a lender, you will be responsible for paying back the amount of money you borrowed (called the principal) plus an additional amount charged by the lender for the loan (called interest).
The interest rate is calculated based on an “index” plus a margin that will add an additional percentage interest rate depending on your cosigner’s creditworthiness. The two most common indexes used for international student loans are the Prime Rate and LIBOR Rate:
Prime Interest Rate
This index is determined by the federal funds rate which is set by the US Federal Reserve. This is the rate in which banks lend to one another and in many cases the interest rate which commercial banks charge their most creditworthy clients.
LIBOR
Like the Prime Rate, the LIBOR (London Interbank Offered Rate) is the interest rate that banks borrow from other banks. This rate is based on the British Bankers’ Association and used on the London interbank market. The rate is an average of the world’s most creditworthy bank’s interbank deposit rates for overnight and one year terms.
When evaluating the loan, the lender will clarify which index the plan uses. Then, there will be an additional margin that will be added to this index based on the borrower’s individual criteria, including the co-signer’s credit history. Based on their creditworthiness, an additional interest rate will be added to the index which will be the total interest rate you owe. This will appear on your final loan paperwork as Libor + 2.8%. The application is free, and when your application is approved, your specific margin will be disclosed to you. At that point you can accept or refuse the loan.
Repayment
Repayment terms will depend on the lender and loan option you choose. This is an important feature of a loan since most students cannot work while they study in the United States. Because of this, it is important to consider how much the monthly payments will be, when payments will begin, and how long you may be able to defer paying back the loan. The repayment period typically ranges from 10-25 years, however the larger the loan the longer the repayment period.
There are some common repayment plan options depending on the loan you select:
Full Deferral
Students are able to defer payment of the interest and principal until 6 months after graduation as long as full-time status is maintained. Students can defer payments for a maximum of 4 years consecutively which is the typical length of a degree.
Interest Only
You only pay the interest while still in school, for up to 4 consecutive years of full-time study, and can defer the principal until 45 days after graduation. You may have to start repaying the principal immediately if you drop your course load to part-time.
Immediate Repayment
Payments on both interest and principal are due immediately once the loan has been issued and disbursed.
Bank of America does offer student loans. You can apply for a student loan online, or you can get help from a financial advisor at one of their offices. They also have a customer portal where you can track your loans and make payments.
They offer four types of student loans:
- Stafford Loans: These are need-based loans that are subsidized by the government. The interest is fixed and low while you are in school, and then it’s capped at 8.25% when you graduate. The maximum amount you can borrow in total is $20,500 each year, but if you’re going to be attending school full time for more than one year, you’ll have to reapply for another loan once the first one runs out.
- Graduate PLUS Loans: This is also a need-based loan that must be applied for during your senior year of college. It’s not subsidized by the government though—you must pay interest while you’re in school as well as after graduation (starting at 7%). The maximum amount you can borrow each year is $20,500 but again if you attend full time for more than one year then you’ll have to reapply for another loan once this one runs out.
Leave a Reply