3 steps to increase your chances of getting a private student loan - Business Insider

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Getting a private student loan isn't as easy as getting a federal student loan

, which analyzed data from "hundreds of thousands" of applicants who went through its portal since 2016, only about 21% of applicants who applied for private student loans have been approved in 2020.

It's worth making sure that you've borrowed as much as you can from the federal student loan program before turning to the private student loan marketplace. Federal student loans are easier to get approved for with no minimum credit score requirements, often have lower interest rates than private student loans, and can also come with repayment assistance like income-driven repayment plans.1.

for free to understand your score before you apply. Paying down debt and making on-time payments consistently could help raise your score with time. If you're relatively new to credit, becoming an authorized user on a parent's credit card account could help you establish some credit. If you're surprised by your credit score,2. Get a co-signer

 

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