Finding Options For Fast And Easy Private Student Loans For Bad Credit

The gap between your actual cost of education, and the amount granted by the government, can be bridged by a private student loan. However, imagine seeking a student loan with a bad credit score! Nevertheless, even though it may seem impossible to get a fast and easy private student loan for bad credit, there are several ways of getting one, without worrying too much about your existing credit report.

Credit score is an important criterion that lenders keep in mind before extending loans, but you can get the loan if your credit history has been good, besides the present credit problem. Several banks and universities offer private loans to students or their parents, making it easy for them to seek fast and easy private student loans for bad credit.

Drawbacks Of A Bad Credit Report: If you want to avail a student loan on bad credit, you may have to pay a higher interest rate, compared to other private student loan options. Lenders could refuse to approve your loan due to your bad credit history. However, there are many borrowing options that can help you get fast and easy private student loans for bad credit to complete your education.

Funding options:

The funding options for students who seek fast and easy private student loans for bad credit are:

Credit repair: You can opt for a credit repair if you are facing problems in getting a student loan. A lot of student loan providers give credit counseling to students. It is like a non-profit business for them. If you have been denied a student loan from a loan provider, you can go through credit counseling, so that it is possible for you to get fast and easy private student loans for bad credit.

Subsidized and un-subsidized student loans: Many schools and universities offer subsidized as well as unsubsidized student loans. Subsidized loans are given based on the economic needs of a particular student. While, unsubsidized loans are offered to students irrespective of their economic needs. These loans do not require any form of credit checking.

The government pays the interest on the subsidized loans, until the borrower becomes a graduate, and is capable of repaying the loan. On the other hand, students are responsible for the interest payment of unsubsidized loans. There are some loans which are a combination of government funds and funds from the college which the student is applying to.

Consolidation: These loans are ideal for students who want to make their loan repayments easy and affordable. Parents can also look for private education loans for flexible repayment options. This allows them to defer the repayment of the loan until their child graduates.

Grants and scholarships: Many states offer special grants and scholarships for students who are eligible for them. You can check the state government’s education fund for such provisions. These grants or scholarships are given without any credit check.

A credit worthy co-signer: Lenders can extend you loan if you find a credit worthy co-signer. Students can ask their parents to become the co-signer. If the co-signer has a good credit report, there are chances that a loan with low interest rates will be granted. It is important for a student and the co-signer to be known with each other.

Non-credit based loans: These loans can also be helpful in getting fast and easy private student loans for bad credit. For instance, if you are pursuing studies in health science, there are loans designed particularly for such courses. The loan is granted to the students who are considered eligible.

With the cost of education going up each year, it is often difficult for students to fund their education, especially when they have bad credit. You can take advantage of these options to ensure a good education.

However, the fastest and easiest way to seek a private student loan is to maintain a clean credit report, to avoid putting your career at stake.

Can I Get More Than One VA Loan

Yes, you can definitely get more than one VA loan, but this largely depends on your circumstances.

Residual Entitlement – You can obtain more than one VA loan if you still have money left from your entitlement and it’s sufficient in allowing you to purchase another home. For first-time VA loan takers, an entitlement represents the amount of money that the government is willing to guarantee in behalf of the VA loan taker.

The maximum value of entitlement that a veteran can hope of receiving is around $36,000 although it’s possible that the applying VA loan taker can get more than that depending on the total amount of their loan and the appraisal of the property. Most lenders will loan you up to 4 times the amount of your entitlement for a maximum loan of $417,000.

  • Loans amounting to less than $45,000 – Individuals who have obtained loans within this range can expect 50% entitlement from the government
  • Loans amounting from $45,001 to $56,250 – Individuals who have obtained loans within this range can expect approximately 40 to 50% entitlement from the government
  • Loans amounting from $56,251 to $144,000 – Individuals who have obtained loans within this range can expect approximately 40% entitlement from the government
  • Loans amounting over $144,000 – Individuals who have obtained loans within this range can expect approximately 25% entitlement from the government

Substitution of Entitlement (SOE) – If you don’t have any entitlement left, you can try finding another eligible military individual willing to assume your responsibilities for your current VA loan.

In this case, the military individual who’s about to assume your loan must first prove that they have adequate entitlement left to cover the balance of your VA loan. The assuming military individual must also be willing to certify that they will be using the house you’re selling as their permanent residence. If they are willing and able to comply with these requirements, both of you can now file for substitution of entitlement.

Once your request has been granted, you can then apply to the necessary authorities for the restoration of your entitlement. Once restored, you can then apply for your second VA loan.

Selling of Property – To qualify for a subsequent VA loan, you can sell the property that you’ve purchased using the money obtained from your VA loan. After selling the property, you must then settle your remaining obligation with the VA department. Only when your original VA loan has been repaid in full are you allowed to take another VA loan.

Even if you’ve already sold the property to someone else, this doesn’t mean that the new owner of the house is now liable for payment of your VA loan. Until your obligations haven’t been fully settled, your current VA loan will continue to stand and you won’t be able to take a subsequent VA loan.

Restoration of Entitlement – The U.S. Department of Veteran Affairs will award their VA loan holders a chance to have their entitlement restored once and only once as long as the VA loan they had originally borrowed had been paid in full and secondly, that the house they had purchased using their previous VA loan had not been sold off.

Release of Liability – When you sell off a property, depending on your agreement with your buyer, you may still be held liable for your present VA loan. As such, you may have to wait for a certain period of time until you can fully pay off your previous loan and take a subsequent one.

On the other hand, you can always have someone take over your responsibility for you. Depending on the date you’ve been awarded with the VA loan, you may not even have to contact the VA department to inform them of your intentions of transferring your responsibilities to another individual.

For those who have obtained a VA loan after March 1, 1988, however, they will first have to prove that the person assuming payments of their original loan are qualified according to VA guidelines before their entitlement can be restored and they can apply for another VA loan.

In most cases, an individual must make do with simply one VA loan. If you have the chance to take a subsequent VA loan, be sure that you use this opportunity wisely.