Parents want the best for their children, and providing them with the opportunity to study in the U.S. is one way to make sure they have successful futures. But attending school in the U.S. is expensive, and you might be stressed about how to pay for it. You may have considered that your child could get loans from the U.S. government, but, unfortunately, even though government loans might offer a low interest rate, international students who attend school in the U.S. do not qualify for a federal loan. So, for today’s blog, we’re focusing on why MPOWER Financing loans can work for both international students and their parents.
There are lots of lenders in the U.S. who provide loans to international students who are eager to pursue their future in the U.S. However, a majority of those lenders require a co-signer with a lengthy credit history to prove that there is no risk in lending money to the student. But because most international students do not have a U.S.-based co-signer, their loans usually get declined by traditional lenders.
Even if you are eligible to be a co-signer for your child, doing it can be very risky. If your child can’t afford his or her loan payments, you may have to cover those costs yourself. And if you don’t know about the missing loan payments ahead of time, the negative balance will hurt your own credit history. It’s therefore worth it for your child to take advantage of private student loans without a co-signer.
If you’re considering financially supporting your child while he or she is pursuing an education, you’re providing them with an awesome gift. But, before co-signing a loan, you might need to think twice about it before making any decisions.
If you have other debt or financial commitments, prioritize your own finances first! Adding your child’s debts to your list will make it harder for you to handle any of them. So don’t just take the risk and burden on yourself without thinking it through thoroughly.
Let’s be honest, co-signing a loan is never the best choice for parents. If you’re not 100% sure that your child has the ability to make the payments, don’t take the risk! Let your child take on the responsibility and start investing in his or her own future.
MPOWER believes that a student’s work ethic and ambition are more important to determining their professional success than their past credit history. That’s why we approve loans based on students’ academic success and career path, and also offer additional resources like webinars, resume help, etc – because we’re investing in their futures. That’s our mission! If you’re still unsure about us, check out our social media to see more information.
DISCLAIMER – Subject to credit approval, loans are made by Bank of Lake Mills or MPOWER Financing, PBC. Bank of Lake Mills does not have an ownership interest in MPOWER Financing. Neither MPOWER Financing nor Bank of Lake Mills is affiliated with the school you attended or are attending. Bank of Lake Mills is Member FDIC. None of the information contained in this website constitutes a recommendation, solicitation or offer by MPOWER Financing or its affiliates to buy or sell any securities or other financial instruments or other assets or provide any investment advice or service.
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