Which International Student Loans Accept Ghanaian Students?

As a Ghanaian student looking forward to studying abroad, applying for international student loans allows you to actualize your goals. While different opportunities can help aid your educational journey like scholarships and grants, student loans seem to be more accessible than the first two options. 

When going for student loans, it is better to go for a federal one rather than a private one as the interest rate are considerably lower. Although student loans may not be the first option for students getting the right student loan that works for you is an option to consider. In this article, we will look at the different student loan options available for Ghanaian students and everything you need to know about them. 

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Student Loan Options For Ghanaian Students

In the 2020/2021 academic session, it was approximately 4,200 Ghanaian students were studying as either graduate or undergraduate students in the United States. When compared to the figures reported in the 2016/2017 session, 3,215 students were recorded giving a 36% increase. This figure is also projected to rise over time. 

Many Ghanaian students who study abroad often fund themselves, get help from family members, apply for scholarships or receive fee waivers or get reductions from their universities. However, this funding may not necessarily cover all the costs, hence the importance of student loans. 

But before going ahead to apply for a student loan, there are important options to consider. This will guide you and help you pick the right loan option, and also an intentional payment plan. To know more about this, click here. 

Let’s now examine the types of international student loan options that are available for Ghanaian students. The list is below: 

1. MPower Finance

MPower Finance is chartered by the government of the United States of America. It is primarily for charitable, educational, social and recreational activities. It solely has the interest of the public at heart rather than making profits. Below is the list of important points to note when considering MPower financing. 

Current stats: overtime, MPower has recorded 60 million in equity funding and over $200 million in debt finance. MPower currently supports over 400 schools in different countries.

Supported schools: Mpower currently supports about 400 schools in different countries. So far about 5,000 students have graduated as a result of MPower’s loan supported

Maximum amount: Students can borrow from $2,100 to $100,000 to cover the cost of their education while the fixed interest rate does not change.

Ease of application process: the application process for the MPower loan is online!

Eligibility conditions: for international students to qualify for the MPower loan, they have to meet the following conditions: 

• Must be admitted or currently attending one of the over 400 schools US/Canada MPower is affiliated with.
• Must be a graduate or undergraduate student within two years of graduation
• Must provide a valid and unexpired ID card.
• Must provide all of the supporting documents required.

It is important to note that the process can take weeks and even months, so it is beneficial to start early to finish on time. To know more about the eligibility conditions click here. 

Eligible countries: MPower finance currently supports prospective students seeking to further their knowledge from Asia, Africa and South American continents respectively.

What do the loans cover: loans from MPower currently cover up to 100% of the education expenses and living expenses. 

Repayment term: students start repaying the loans 45 days after the disbursement of the funds. During this period, payment will be interest only until graduation with an additional six months of grace period. The remaining months of repayment are calculated using a 120-month amortization schedule. 

Supported programmes: MPower Finance supports all types of degrees including Master’s, MBA, PhD, Bachelor’s, J.D., Diplomas and associates (Canada only), LL.M, M.D., D.D.S. and Select boot camps.

Interest rate: they have a fixed interest rate of 12.99% (13.98% APR¹) but give a 0.25% discount if the loan payment is made through automatic withdrawal from your bank account. 

To know more about the MPower student loan, click here. 

2. Prodigy Finance

Prodigy Finance is a Fintech organization founded in 2007 with its office in London, United Kingdom. So far, Prodigy Fiance has disbursed over $1.4 billion. 

Current stats:  reports from the 2022 evaluation states that  Prodigy Finance has served over 28,000 students globally in 850 schools in 150 countries. 

Supported schools: Prodigy Finance currently supports about 850 schools in 150 different countries. 

Maximum amount: this is dependent on the school and the course of study but can cover up to 100% of the tuition and living expenses. 

Ease of application process: the application process for Prodigy students is online.

Eligibility conditions: The basic requirements to endorse eligibility include:

• Must be admitted to a school and programme in the US, Canada & the UK supported by Prodigy Financing.
• Must be willing to study abroad.
• Must reside in one of the countries supported by Prodigy Financing.

Eligible countries: Prodigy Finance supports about 800 schools offering Master’s courses in the various programmes listed above. To find out the list of schools supported by Progidy Finance, click on this link.

Repayment term: Payment doesn’t start until 6 months after studies if you study abroad on a Prodigy loan. They have a flexible repayment term of 7 to 20 years

Supported programmes:  Prodigy Finance currently supports programmes in Business, STEM, public policy, law and health science courses. To know more about the Prodigy application process, click here. 

Interest rate:  the minimum annual percentage rate (APR) they offer is 11.18%. Individual rates differ according to the circumstances, the loan amount and the term. The average APR for student loans is 14.88%.

Also, the above student loan does not require collateral or a cosigner from borrowers and is an available option for Ghanaian students who want to study abroad.

3. Earnest

Earnest is also a Fintech company with its headquarters in San Francisco, California. It was founded in 2013. As of 2021, Earnest was reported to have refinanced $14.5 billion in student loan debt.  Important details you need to know about Earnest are listed below:

Supported schools: to know more about the supported schools, click here 

Maximum amount: The loan amount offered by Earnest is $1,000 up to $138,500. But it depends on the type of loan you are applying for. There is also no application fee. 

Ease of application process: the application process is online. 

Eligibility countries: students from Canada, India, Mexico, or South Korea may not need a cosigner. But Earnest is also open to other international students. 

Eligible conditions: to be eligible for an Earnest loan, you should meet these conditions:

• Have a cosigner with a minimum of 3-year credit history.
• Have a cosigner who is a U.S. citizen or a permanent resident.
• Must not have any bankruptcies.
• Have at least $35,000 annual income.

To know more about the eligibility requirements, click here.

Repayment term: the loan repayment term is between 5 to 15 years. 

Supported programmes: Undergraduate, graduate, MBA, medical and law school programmes. 

Interest rate: Earnest has a fixed interest rate of 4.42% to 15.90% with autopay and a variable interest rate of 5.39% to 16.20% with autopay. 

 4. Ascent Funding

Ascent Funding is a private loan company that offers loans to students willing to further their education. The loans may be with or without a cosigner. They also offer affordable rates, flexible plans and up to 1% cash back at graduation with other benefits. They have their headquarters in San Diego. The vital details you need to know about ascent funding are below: 

Supported schools: click this link to know the list of schools supported by Ascent funding. 

Maximum amount: Students can borrow from $2,100 to as much as $200,000.

Ease of application process: the application process is equally online. To start an application, click here. 

Eligibility conditions: to qualify for the Ascent student loan, you must:

• Earn/Have a cosigner that earns at least $24,000 per year
• The above must have at least two years of credit history.
• As an international student, you must have a U.S. citizen or permanent resident as a cosigner. 

Note that loans are available to U.S. citizens, permanent residents, DACA students and international students. To know more about the eligibility conditions, click here.

Eligible countries: they provide loans to U.S. citizens, permanent residents, DACA students and international students (this also includes African students).

Repayment term: the repayment term is from 5 years to as much as 15 years.

Supported programmes: they currently support undergraduates, MBA, medical science, law and general graduate school programmes. 

Interest rate: cosigned loans have a fixed interest rate that starts from 4.48% to 15.51% and a variable rate of 5.94% to 15.83% including the 0.25% autopay discount. 

Additionally, it is important to note that when choosing a student loan option, it is important to consider your course of study, the type of program, the duration of the program and the location of the school before picking an option. Also, ensure you get all the necessary information about the loan facility, it is best to get a guide who will help you through the process and at afterschoolafrica we are ready to aid your journey. 

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