Educational loan is really making a path breaking change in the society. This is giving a unique opportunity to a student to pursue his education from a reputed institute without thinking too much about the financial status. This would certainly give a student a chance to continue his study without any interruption. Those who dont have a good credit record may apply for a personal educational loan. One will not be harassed or disappointed if he applies for this loan. But the interest rate may vary depending upon the credit score.
A personal education loan is obviously different from other loans because it doesnt demand collateral for sanctioning a loan. Apart from that it is easy for a student to grab this loan. As the demand for personal education loan is increasing day by day, numerous financial institutes are providing loans to the students without implementing any rigid condition. If you are in school and you need some money badly to cope up with a financial problem, unsecured personal loans can help you a lot. Further personal education loans not only assist a student in his study, but it also helps him to mitigate other financial problems.
There are some prerequisites that have to be mitigated before applying for a personal educational loan. The first and the foremost thing is that, a student has to be at least 18 years of age. Apart from that he must be a permanent resident of USA. A bad credit score also influence the interest rate but ones application will not be rejected for this reason. If you have a bad credit history, a co-signer will be required in that purpose. But the co-signer must have a good credit history or good credit score. Those who dont have a credit score of at least 500 can be termed as bad credit score holders. But no need to worry, you can get a personal loan if you have a co-signer that is aforementioned.
A personal educational loan can provide a minimum limit of $1,000 and a maximum limit of $15,000. The interest rate can vary depending upon the time span and the credit score. The maximum interest rate is 20% and the minimum interest rate is 5%. The loan must be repaid within four years. There is another interesting thing that has to be treated with care before making any firm decision; it is the issue of monthly income. If you are a working professional, your take home salary must be $1200 per month. If you are not working, then the co-signers take home salary should be at least $1200 per month. Residing in a same place consecutively for three month is mandatory.
There are numerous companies offering personal educational loan and you can get all information regarding various companies from the internet. Here one can access some valuable information in an instant.