Repayment for International Student Loans in 2020
May 18th, 2020 by Al C

So much of life is made up of the choices you make and loan repayment is no different. Making the right choice when you take out your loan makes a big difference when you have to make those repayments.

Repayment for International Student Loans in 2020

Knowledge is power and the more you know about these choices the better prepared you will be to fulfill you loan obligations.

Your lender’s specific terms will be determined by the type loan you select and your individual circumstances.

Note that lenders have put in place specific programs to assist students during the COVID-19 Pandemic. If you currently have a loan and are worried about repayment, or if you’d like further information on the measures in place, read more about that in this post.

Broadly speaking, repayment terms vary in response to three different factors:

  1. How much will the monthly payments be?
  2. When will payments begin?
  3. How long students may be able to defer paying back the loan?

And in general there are three main loan repayment types available to international students.

Although the differences between these three options can seem complicated, taking the time to understand and make an informed choice at the outset can save students from a lot of uncertainty and worry in the long term.

  • immediate repayment loan
  • full defferral loan
  • interest only loan

Immediate Repayment

Students with this arrangement are required to begin making payments on both the interest and the principal of the loan as soon as it is disbursed.

The prospect of such immediate repayment is doubtless intimidating to many international students because most cannot or do not want to work while they study in the United States. They therefore have little chance of being able to make the repayments.

Long-term the repayments compound meaning that in total a borrower may pay less back with this type of loan than with others, and may clear their debt quicker as a result.

Full Defferal

A full deferral loan, by contrast, offers completely different loan repayment options. With loans like these full-time students are able to defer – that is, postpone until later – repayment of both the interest and the principal for up to four consecutive year or until after they graduate.

This means that in the short-term this loan would be most affordable as no repayments are due until a set date. In most cases the interest is accumulating during this time, and as a result it is likely that this type of loan will be more expensive and take longer to pay off.

Interest Only

A third option that splits the difference between these two ways also exists.

These so-called interest only loans require international students to make payments on the interest only (and not the principal) of their loans while in school and often allows them to defer the start of their principal repayment for up to 45 days after graduation.

Like the full deferral loan option students are only eligible to postpone repayment for up to four consecutive years and while enrolled full-time.


As you can see, the choices you make can have a huge impact on your bottom line!

Before applying for a loan, be sure to check with your lender the exact terms and conditions on repayment as this may change depending on the lender and the loan you apply for.

Find your loan using our loan comparison tool:


Are you looking for a study abroad loan? Or a foreign enrolled loan instead?

Read about how lenders are adapting when it comes to loan repayments during the COVID-19 pandemic.

44 Comments

  1. kunle daramola says:

    More information about the Loan for international student.

  2. Dabrezil martin says:

    Salut je suis dabrezil martin je suis venir tout pres de vous pour vous demander une boursse d’etudes pour que je continue mes etudes je suis dabrezil martin un haitien je vis dans mon pays haiti

  3. Amady Malé Diaw says:

    Sir,
    As a senegalese may I participate to Student Loan
    Thanks a lot

  4. Charles Kisembo says:

    Is there any loan consideration for international students who are studying online. The loan opportunities seem to be for only fulltime students.

  5. Natalie Storey says:

    useful!
    still very confused though

  6. Jenny Frankel says:

    Hi Hakizimana, thanks for contacting us! If you are interested in studying in the US, you may be eligible for our student loans. See if your school is eligible here.

  7. Abbas Abdoulaye Tissero says:

    Salut suis ravi de recevoir le remboursement des prêts mais c’est que je cherche auprès de vous c’est le bourse d’étude. Merci

  8. James Ladu Modi Asuk Gwate says:

    Hello!
    My name is James Ladu Modi Asuk Gwate, and I am writing from the South Sudan Capital Juba. I have being receiving the notifications and news letters about the International Students Loans to study in US for over three to five years now. I don’t know how this process works? But the little I got, this process is only meant to fund the International Students studying in the US Universities.
    Well, I am been accepted to study Masters of Arts in International Law and Human Rights, at the University for Peace at San Jose, Costa Rica, for academic year 2020/2021. So, I am eligible to get the loans to fund my education process? I don’t have money to support my education, and I am currently earning four thousand South Sudanese Pounds (4,000SSP) below 50USD. Then how long can I continue paying this kind of loans assuming I am given the offer? What will happen assuming I am given the loans and after my completion, I will not get a job immediately? Will the owner of the money wait for me, to get a new job and start paying the loans? Or he and she will be upset of their money not been paid at agreed time?
    Thank you
    James Ladu Modi Asuk Gwate
    Nyakuron West Residential Area
    Central Equatoria State
    Juba, South Sudan
    Tel: +211927683738

  9. Riliwan Alade says:

    sir please how do you help me look for law school and how do i apply for the loan to start my study and repay it back late……

  10. Abubakarr Barrie says:

    Greetings

    When Mpower loan will be available for international students?

  11. Oyekan ADEBOLA SOLOMON says:

    December 29 ,2020 2:30 pm
    As a Nigeria may I participate to student loan. I will be very grateful, thanks

  12. achraf says:

    I want information about that ,plaese and tanx a alot.

  13. Florence Mwale says:

    How can I apply for a student loan online?.

  14. Fedrick salamba says:

    Iam Tanzanian I’m in need of loan for my studies please can someone help me?

  15. Chukwuma Okafor says:

    How can I get a loan for my study.

  16. James Kollie says:

    Hi I live in Liberia and want to continue my study in the United State, How can I get an enrollment in a University in the United State and get a loan

  17. Yasmeen ishtiaq says:

    I want loan for education and try to start my educational journey.

  18. Yasmeen ishtiaq says:

    I want to start my educational journey so we need loan.

  19. Akintola Oladipupo says:

    Is the loan applicable for proposed international student in other countries like United Kingdom and Cyprus?

    • Al C says:

      Unfortunately, our loan programs are for international students from anywhere in the world studying in the United States or Canada, or for US students studying abroad. We do not currently have a program for international students studying elsewhere in the world or in their home country, even with a US co-signer.

      For information and listings of scholarships available around the world, please visit:

      https://www.InternationalScholarships.com or http://www.iefa.org

  20. Julius Sichula says:

    I have been applying for student loans for long time almost now three but I Nothing is working please help me out I will appreciate for your concern

    • Al C says:

      Thanks for your comment Julius. I’m sorry that you’ve been unable to secure a loan. Loan eligibility does vary between lenders and it may be the case that your circumstances do not meet their requirements.

      You can view scholarships that you might be eligible for by clicking on the following link:

      https://www.iefa.org/scholarships

  21. MBOSS says:

    Good morning. Pls I needed load to expand my business. I don’t know if you can assist

  22. Irabaheta Patrick says:

    And me too i need loan

  23. Jamie says:

    Good day,

    Is it easy to get a student loan visa for an international student that intend to take study loan to finance his/her study, with the intention of working immediately after graduation to repay the loan.

    Apparently, it is easier to be granted study visa in any embassy if the consular/embassy acknowledge your financial strength to finance the study or see your sponsor financial information. But in a situation of study loan, how do you go about it? Knowing that the consular don’t want to hear that you intend to work in the country of study immediately after graduation.
    How do you convince the consular in such situation in order to be granted a study visa?

    Thanks

    • Al C says:

      Hi Jamie,
      Q: What if I need to show proof of funds before I obtain a visa? Can I show this loan as satisfying this requirement?

      A: Some students are able to use loan approval as proof of funds, but it’s not easy and it’s up to the school and consular officer if they’ll accept a loan approval as proper funds. You would need to apply for the loan now, list the school you plan to attend, get initially approved, then use that initial approval to complete your acceptance to the school.

      Read more: https://www.internationalstudentloan.com/international_student/faqs.php

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