Questions about obtaining stud

Discussion in 'Credit Talk' started by David, Oct 28, 2000.

  1. David

    David Well-Known Member

    For those who have experience with student loans, what is necessary in terms of income to be approved for a loan.

    I will be transferring to a much more expensive school than I'm at now. I will need to borrow probably about 20-25K a year.
    I looked at CitiBank, and you need a minimum of 1 yr. flawless credit history (which I have), and 18K minimum annual income, which I have now, but will probably not have when I transfer schools.

    First, how does the income fall into play with this type of loan? Also, what is the best bank for student loans. I've looked at Sallie Mae, CitiBank, and Key. Wells Fargo have too many fees and higher interest rates.

    Thanks so much for the advise!
  2. Doris K.

    Doris K. Well-Known Member

    RE: Questions about obtaining

    Check out the Department of Education's website at It will show you the student loan options available out there. Most of them are guaranteed student loans that you won't have to pay back until from 6-9 months after you graduate or stop attending school.

    You can receive a guaranteed student loan from any participating bank AFTER you're approved by the Department of Education or your state guaranty agency. When a government agency approves you, you apply directly to the bank, which will most certainly approve you, regardless of income or credit because the the agency has guaranteed that it will buy the loan from the lender.

    In order to receive such a loan, your best bet is to fill out the FAFSA, which you can now do online at The process is explained there.

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