Student Loan Programs
Student Loan Programs
Every student loan program has its own list of eligibility requirements. For all intents and purpose most of the student loans and student loan lenders operate under the same assumptions that include:
You must be enrolled in an approved degree-seeking or certificate program at an accredited postsecondary school.
To retain your student loan program, you must demonstrate satisfactory academic progress in the program you are enrolled.
You must be in “good standing” with the school you attend.
For the federal student loan program, you must be a U.S. citizen or a non-citizen who is a permanent resident. Depending on the situation, some refugees or individuals with political asylum may also qualify.
For a private or school-based student loan program, you may have to be a U.S. resident.
Most programs require the borrower to be enrolled at least half-time (this equals out to six semester hours per term).
If you are consider a private student loan program, the lender will run your credit history and approval will be based on your score.
The main difference in student loan programs comes with the federal and private sectors. Private student loan lenders will tend to be more lenient when it comes to the borrower’s eligibility requirements. They are more concerned with your credit score and ability to repay your school debt.
Citizenship and the amount of credit hours your take and does not always matter. The United States Department of Education and individual school loan programs, however, takes into consideration financial need factors and your status as a U.S. citizen. Because the government offers attractive student loan packages that feature the lowest interest rates in the industry, it is far pickier about who is granted access to the student loan program.