Student loans

As a Kenyan student looking forward to studying abroad, applying for international student loans allows you to actualize your goals. While different opportunities can 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 advisable to go for a federal one rather than a private one, as the interest rates 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, AfterschoolAfrica will look at the different student loan options available for Kenyan students and everything you need to know about them. STUDENT LOAN OPTIONS FOR KENYAN STUDENTS In the 2021/22 academic year, over 10,000 Kenyan students were studying as undergraduate or graduate students in the United States and Canada. When compared to the figures reported before, there has been a 30% increase. This figure is also projected to rise over time. Many Kenyan students who study abroad either fund themselves, get help from family members, apply for scholarships, 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 and applying for a student loan, there are important options to consider. This will guide you and help you pick the right loan option and an intentional payment plan. To learn more about this, click here. Let’s now examine the types of international student loan options that are available for Kenyan 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 has the interests of the public at heart, rather than making profits. Below is a list of important points to note when considering MPower financing for Kenyan students. Current stats: Over time, MPower has recorded $60 million in equity funding and over $200 million in debt financing. 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 support. 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 to or currently attending one of the over 400 schools in the US or Canada that 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 or even months, so it is beneficial to start early to finish on time. To learn more about the eligibility conditions, click here. Eligible countries: MPower Finance currently supports prospective students seeking to further their knowledge from Asia, Africa, and the South American continents, respectively. What do the loans cover? Loans from MPower currently cover up to 100% of education 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. The remaining months of repayment are calculated using a 120-month amortization schedule. Supported programs: MPower Finance supports all types of degrees, including Master’s, MBA, Ph.D., 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% APR) but give a 0.25% discount if the loan payment is made through automatic withdrawal from your bank account. To learn more about the MPower student loan, click here. 2. Prodigy Finance Prodigy Finance is a fintech organization founded in 2007 with an office in London, United Kingdom. So far, Prodigy Fiance has disbursed over $1.4 billion, and this creates a good loan opportunity for Kenyan students looking to study abroad. Current stats: reports from the 2022 evaluation state 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 program in the US, Canada, or 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 programs listed above. To find out the list of schools supported by Prodigy 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 programs: Prodigy Finance currently supports programs in Business, STEM, public policy, law, and health science courses. To learn 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 Kenyan students who want to study abroad. Read Also: 3 Things You Must Know Before You Take A Student Loan 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 Kenyan students need to know about Earnest are listed below: Supported schools: to learn 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 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 in annual income. To learn more about the eligibility requirements, click here. Repayment term: the loan repayment term is between 5 and 15 years. Supported programs: Undergraduate, graduate, MBA, medical, and law school programs 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, among other benefits. They have their headquarters in San Diego. The vital details Kenyan students need to know about ascent funding are below: Supported schools: click this link to see 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 or 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. 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 ranges from 5 years to as much as 15 years. Supported programs: they currently support undergraduates, MBAs, medical science, law, and general graduate school programs. 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. 5. Quorum Due to the increasing cost of education, Quorum student loans provide a credit line that covers your books, food, rent, and tuition fees. With a rate that ranges from 11.25% to 12.25% APR and over $1 million in international student loans made in 2022, it shows they are one of the best options today. The Quorum Federal Credit Union only covers student loans for students who are studying in the USA. However, if you are an international student who is studying in the US, then you may apply to get the private student loan option from Quorum as long as you meet the requirement. Note that international students can borrow up to $75,000 with a repayment term of 20 or 25 years. Quorum Loan Application Process: The Quorum private student loan requires a long processing period. This is because it involves reviewing the documents and also waiting for the university to approve the loan amount. Moreover, you will be getting updates via your email address during the process. The information you will need to complete the application successfully is: Your Personal information (such as name, date of birth, and social security number) Your reference's personal info (Note that the reference cannot be co-borrower.) Information on income The information on the school you enrolled in The amount you need for the current semester If you are applying with a co-borrower, then you must be with them at the time of the application, as they also need to provide the same kind of information. Lastly, note that you do not have to be a member of the Credit Union Membership to start the application, but the borrower must be a member to receive funding. Visit the Quorum Federal Credit Union website for membership information. Quorum Eligibility Conditions: To be eligible for the Quorum Student Loan, you must be enrolled in a degree program at an approved school you must also be a member of Quorum Federal Credit Union. However, you can apply for the student loan without being a member of the credit union, but you must be a member before you can receive the funds. Be sure to review all eligibility requirements. The Quorum interest rates: Fixed interest loan rates: 4.74%–11.74% APR Variable interest loans: 3.25%–9.99% APR Read Also: Student Loan Comparison: MPower Finance or Quorum? Start With Us Do you want to study abroad? Note that obtaining a bachelor’s degree or a master’s degree abroad helps to improve your chances in the labor market. Studying abroad is no joke for international students due to the cost. However, you can achieve your dreams without breaking the bank by applying for overseas graduate scholarships or student loans, which you can pay for as long as 10 years. MPower Finance and Prodigy Finance are some of the best student loan providers for international students. They also do not require a cosigner or collateral before an application. Reach out to us today, and let’s help you get started.

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