Studying in Canada presents international students with incredible opportunities for academic growth and cultural immersion.
However, financing this education can often pose a significant challenge, particularly for those who may not have access to traditional funding sources.
Fortunately, various lenders offer study loans specifically designed for international students in Canada.
In this article, we will explore the 9 best study loans for international students in Canada, providing key details to help you make informed financial decisions.
Best Study Loan for International Students in Canada
| Loan Provider | Loan Amount | Co-signer Requirement | Interest Rates | Loan Terms | Eligibility Requirements |
|---|---|---|---|---|---|
| Prodigy Finance | Up to $35,000 | No | 7.00% – 12.99% | 10 – 20 years | Graduate students at selected universities |
| MPOWER Financing | Up to $50,000 | No | 10.49% – 12.99% | 10 years | Students attending eligible universities in Canada |
| Sallie Mae | Up to $50,000 | Yes | 1.00% – 12.60% | 5 – 15 years | Requires U.S. co-signer |
| Discover Student Loans | Up to $40,000 | Yes | 4.99% – 12.99% | 15 years | Requires U.S. co-signer |
| Citizens Bank | Up to $50,000 | Yes | 5.99% – 11.99% | 5 – 15 years | Requires U.S. co-signer |
| College Ave Student Loans | Up to $50,000 | Yes | 3.34% – 12.99% | 5 – 15 years | Requires U.S. co-signer |
| LendKey | Varies | Yes | 3.00% – 12.00% | 5 – 15 years | Requires U.S. co-signer |
| Ascent Funding | Up to $20,000 | No | 8.00% – 12.00% | 5 – 10 years | Students at eligible institutions |
| Future Finance | Up to $35,000 | No | 9.00% – 12.00% | 5 – 10 years | Students enrolled in UK institutions |
1. Prodigy Finance
Prodigy Finance is a well-known lender that specializes in providing loans for international students pursuing graduate studies.
A significant advantage is that they do not require a co-signer, making it accessible for those without U.S. contacts.
Prodigy Finance offers loans of up to $35,000, with interest rates ranging from 7.00% to 12.99%.
The repayment terms are flexible, allowing borrowers to choose between 10 to 20 years for repayment.
Eligibility is primarily focused on graduate students enrolled in select universities, so it’s essential to verify if your institution qualifies.
2. MPOWER Financing
MPOWER Financing is dedicated to supporting international students, providing loans without requiring a co-signer or collateral.
They offer loans up to $50,000, with interest rates ranging from 10.49% to 12.99%.
The loan term is fixed at 10 years, which helps students with predictable monthly payments.
MPOWER evaluates applicants based on their future earning potential and academic performance, making it an attractive option for students from various disciplines attending eligible universities in Canada.
3. Sallie Mae
Sallie Mae is a prominent name in the student loan industry, providing loans to international students who have a U.S. co-signer.
They offer a maximum loan amount of $50,000, with interest rates ranging from 1.00% to 12.60%.
Loan terms are flexible, ranging from 5 to 15 years, giving students the option to select a repayment plan that suits their financial needs.
While Sallie Mae offers a wide array of loan options, the requirement for a co-signer may limit access for some international students.
4. Discover Student Loans
Discover provides private student loans specifically for international students, but applicants need a U.S. co-signer to qualify.
The maximum loan amount available is $40,000, with interest rates ranging from 4.99% to 12.99%.
Discover’s loan terms can extend up to 15 years, and they offer flexible repayment options, including deferment during the student’s time in school, which can significantly ease the financial burden.
5. Citizens Bank
Citizens Bank offers loans for international students, requiring a U.S. co-signer.
Students can borrow up to $50,000, with competitive interest rates ranging from 5.99% to 11.99%.
Loan terms can vary from 5 to 15 years, allowing students to choose a repayment plan that best fits their circumstances.
Citizens Bank also offers multi-year approval options, simplifying the funding process for students pursuing extended degrees.
6. College Ave Student Loans
College Ave specializes in providing loans for international students, but a U.S. co-signer is necessary.
They offer loans up to $50,000, with interest rates ranging from 3.34% to 12.99%. The loan terms can be customized, lasting from 5 to 15 years, providing flexibility in repayment.
College Ave also offers options like interest-only payments while in school, which can help students manage their finances better.
7. LendKey
LendKey connects borrowers with local and national credit unions and banks, providing loans to international students with a U.S. co-signer.
Loan amounts vary, but they generally offer loans up to $50,000. Interest rates range from 3.00% to 12.00%, and loan terms can be set from 5 to 15 years.
The advantage of LendKey is its focus on community lending, often resulting in competitive rates.
8. Ascent Funding
Ascent Funding offers loans for international students and does not require a co-signer for eligible applicants.
They provide loans up to $20,000, with interest rates ranging from 8.00% to 12.00%.
Loan terms can be set between 5 to 10 years, making it a viable option for students needing smaller amounts of funding.
9. Future Finance
Future Finance caters specifically to international students enrolled in UK institutions, providing loans without requiring a co-signer.
The maximum loan amount is $35,000, with interest rates ranging from 9.00% to 12.00%.
Loan terms typically range from 5 to 10 years, making it a straightforward option for students needing accessible funding.
Quick One: We have other useful loan articles here.
Frequently Asked Questions
What is the maximum loan amount that international students can borrow in Canada?
The maximum loan amount varies by lender. For instance, MPOWER Financing and Citizens Bank offer loans up to $50,000, while Prodigy Finance and Future Finance typically provide loans up to $35,000. It’s essential to review each lender’s specific terms to determine your borrowing capacity.
Do international students need a co-signer to qualify for loans in Canada?
It depends on the loan provider. Some lenders, such as Prodigy Finance and MPOWER Financing, do not require a co-signer, making it easier for international students to secure funding. However, other lenders, like Sallie Mae and Discover Student Loans, require a U.S. co-signer. Always check the specific requirements of each lender before applying.
What are the interest rates typically offered to international students in Canada?
Interest rates for student loans can vary significantly based on the lender and the borrower’s profile. Generally, rates range from approximately 1.00% to 12.99%, depending on factors such as creditworthiness and whether a co-signer is involved. It’s crucial to compare rates from multiple lenders to find the most favorable terms for your financial situation.
Conclusion
Navigating the landscape of study loans for international students in Canada can be complex, but options like Prodigy Finance, MPOWER Financing, and others provide essential support.
Each lender has different eligibility requirements, loan amounts, and interest rates, making it vital for students to conduct thorough research to find the best fit for their needs.
By understanding these options, international students can secure the necessary financial support to pursue their education in Canada, turning their academic dreams into reality.
