Guide to Study Abroad Student Loans
Share this article:
Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or partners. Read more about our Editorial Guidelines and How We Make Money.
Can Student Loans Be Used for Study Abroad?
How Do Study Abroad Loans Work?
Direct Subsidized loans: These types of loans allow eligible undergraduate students with financial need to cover college costs, including study abroad. Direct Unsubsidized loans: Undergraduate and graduate students can take advantage of these non-need-based types of loans. Direct PLUS loans: Graduate/professional students and parents of dependent undergraduate students can take advantage of non-need-based Direct PLUS loans. Borrowers must get a credit check to qualify.
Types of Study Abroad Student Loans
Federal student loans: Federal student loans come from the federal government. You must file the Free Application for Federal Student Aid (FAFSA) to qualify for them. Private student loans: Federal student loans may not cover all your expenses, so you may also get private student loans to study abroad. Private student loans do not come from the federal government. They come from private lenders, such as banks or online lenders.
Requirements for a Study Abroad Student Loan
Address Birthdate Email address Phone number Social Security number Employer name Proof of income Bank account information Rent/mortgage payments College/university name Cost of study abroad program Student status Financial aid received Cosigner information
Getting Student Loans to Study Abroad
How Can You Get Study Abroad Student Loans?
Social Security number Proof of income Government-issued ID Estimated graduation date, academic term, and study abroad term The amount you plan to borrow Other financial aid you expect to receive
How Much Do You Need to Cover a Study Abroad Program?
3 Student Loan Tips
Once the pandemic-related pause on federal student loan payments ends, going back to making payments may be hard on budgets. One solution is to refinance to a lower interest rate, longer loan term, or both, depending on your situation. (The tradeoff is that you’ll be forfeiting federal benefits such as repayment programs.) Find and compare your student loan refinance options. Paying extra each month on your student loan can reduce the interest you pay and so lower your total loan cost over time. (The law prohibits prepayment penalties on federal or private student loans.) One pain-free way to pay down your student loan sooner: send in your tax refund to put against the principal balance. Since it’s money that has already been taken out of your pay, you won’t miss it.
Frequently Asked Questions
About the Author
Share this article: