Affiliate links for the products on this page are from partners that compensate us (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate student loans to write unbiased product reviews.
The cost of college is expensive, and many students need to take out loans to pay for it. However, not every student borrower has the option to enlist a cosigner for their student loan, making many types of student loans unavailable to them.
Luckily, there are several student loan lenders that don't require a cosigner, including both private student loans and federal loans.
Best for Building Credit: Ascent Undergraduate Non-Cosigned Outcomes-Based Loan
Instead of basing lending decisions on your credit for this loan, Ascent takes into account your school, program, graduation date, major, GPA, and cost of attendance, among other factors. This could be a good choice if you have limited credit history. You need to be a college junior or senior to qualify and must maintain a GPA of 2.9 or higher.
Watch out for:Low loan maximum. You can only borrow up to $20,000 with this Ascent loan. That's a higher maximum than federal subsidized loans, but you'll pay a substantially higher interest rate.
Regular Annual Percentage Rate (APR): 12.90% - 14.85% variable and 13.16% - 15.13% fixed (with AutoPay discount)
Fees: None
Loan Amount Range: $2,001 — $20,000
Best for Competitive Rates: Ascent Undergraduate Non-Cosigned Credit-Based Loan
Ascent student loans may be the right choice for you if you have an established credit history and are looking for some of the best rates on a loan without a cosigner. You can borrow up to $200,000 for an academic year with this type of Ascent loan, and you'll need to meet a minimum income requirement of $24,000 to qualify.
Watch out for: Credit history required. You need to have more than two years of credit history and hit an undisclosed minimum credit score to qualify for an Ascent non-cosigned credit-based loan. Other lenders on our list don't take credit into account.
Regular Annual Percentage Rate (APR): 8.38% - 13.61% variable and 8.61% - 14.01% fixed (with AutoPay discount)
Fees: Undisclosed late fee
Loan Amount Range: $2,001 — $200,000
Best for Bad Credit: Funding U Undergraduate Student Loans
Funding U doesn't make lending decisions solely based on creditworthiness. It will also consider factors like your academic performance and future potential career success when choosing to offer you a loan.
Watch out for: No variable-rate loan options. If you want to take out a loan with Funding U, it will have to be a fixed-rate loan. While this means you'll likely start out with a higher rate than some variable options with other lenders, your rate won't fluctuate over the life of your loan.
Regular Annual Percentage Rate (APR): 7.99% - 13.99% fixed (with AutoPay)
Fees: No fees
Loan Amount Range: $3,001 — $20,000
Best for International Students: MPower Financing Undergraduate Student Loan
MPower lends to international students and doesn't require a cosigner; it is one of the only lenders to do both of these things.
You can get up to a 1.5% reduction on your interest rate by signing up for automatic payments, making six on-time payments, and reporting proof of graduation and employment. Each of these three requirements will qualify you for 0.5% off, or up to 1.5% total.
Watch out for: Fees. You'll pay a 5% origination fee on your student loan, which will be deducted from your loan proceeds. Additionally, if you're late on your payments, you'll pay an undisclosed fee.
Regular Annual Percentage Rate (APR): 13.74% to 14.75% fixed (with AutoPay discount)
Fees: 5% origination fee and undisclosed late fee
Loan Amount Range: $2,001 — $100,000 lifetime
MPower Financing Student Loan Review
Best for Income-Based Repayments: Chicago Student Loans by AM Money
AM Money is the only private lender on our list that offers an income-based repayment option. Income-based repayments can help lower your payment for up to three years if you are facing financial hardship, as defined by AM Money. If the calculated monthly payment in your regular plan is higher than the monthly amount calculated under IBR, then you qualify.
Watch out for: Only one repayment term. AM Money sets your repayment term at 10 years, so you won't have flexibility in deciding when you want to pay off your loans.
Regular Annual Percentage Rate (APR): 8.34% — 8.87% fixed
Fees: 4.5% origination fee
Loan Amount Range: $2,001 — $50,000
Best for Graduate Students: Prodigy Finance Student Loan
Prodigy offers loans to borrowers in over 150 countries, and you can see if your country is eligible. Prodigy only issues loans to students studying abroad, so if you need a loan in your home country, you're out of luck.
Watch out for: Only offers graduate student loans. If you're an undergraduate student in need of a student loan, you'll need to pick another one of the lenders on our list.
Regular Annual Percentage Rate (APR): representative rate of 13.29% variable
Fees: $25 late fee
Loan Amount Range: $15,000 up to cost of attendance
Best Brick-and-Mortar Option: Citizens Bank Undergraduate Student Loans
Although you can apply online, Citizens Bank is also a terrific option for borrowers who want the option of going into a physical bank. Citizens Bank offers flexible repayment options with 5-, 10-, and 15-year term lengths. You also won't need to worry about paying origination fees or any prepayment penalties when you take out a student loan without a cosigner from Citizens Bank.
Watch out for: No option for prequalification. Unfortunately, this lender does not offer an option to check your rates before submitting a formal application. This means that in order to see the rates you qualify for with Citizens Bank, your credit score will be impacted.
Regular Annual Percentage Rate (APR): 5.50% - 16.12% variable and 3.99% - 15.61% fixed
Fees: Undisclosed late fee
Loan Amount Range: Up to $150,000
Citizens Bank Student Loan Review
Understanding No-Cosigner Student Loans
What Are No-Cosigner Student Loans?
No-cosigner student loans can only be used for education-related expenses and don't require the applicant to apply with a cosigner. A cosigner is someone who agrees to repay a loan if the borrower fails to repay it themselves.
How Do No-Cosigner Student Loans Differ from Traditional Student Loans?
There are several differences between no-cosigner student loans and traditional student loans. With traditional student loans, a cosigner with better credit or a higher income can increase the probability of a loan being approved. Having a cosigner can also prompt a lender to offer lower interest rates.
Since no-cosigner student loans don't have a cosigner's creditworthiness to consider, it's typically harder to qualify. No-cosigner student loans also tend to charge higher interest rates to account for the greater risk.
Direct Subsidized and Unsubsidized Loans
The federal government provides direct subsidized and unsubsidized loans to help students cover higher education costs. They can be used to attend four-year colleges, community colleges, trade schools, career schools, and technical schools.
The main difference between subsidized and unsubsidized loans is who is responsible for paying the interest. With subsidized student loans, the federal government pays the interest during certain periods. These periods include when you're in school, a 6-month grace period after leaving school, and deferment periods. Outside of these periods, the student must pay the interest. Subsidized student loans are rewarded based on the student's financial need.
With unsubsidized student loans, the student pays the interest for the entirety of the loan. There's no financial need requirement with unsubsidized loans. Your school will determine the amount of unsubsidized student loans you can borrow based on the cost of attendance and other financial aid you qualify for.
PLUS Loans
PLUS loans are federal student loans offered to two categories of people:
- The parents of students
- Graduate students
Unlike most federal student loans, credit is a determining factor for eligibility for PLUS loans. You can use a PLUS loan to borrow the cost of attendance minus the value of any financial aid you already receive.
Student Loans Without a Cosigner Lender Trustworthiness
The Better Business Bureau, a non-profit organization focused on consumer protection and trust, measures businesses using information like their responsiveness to consumer complaints, truthfulness in advertising, and transparency about business practices. Here is each company's score:
| Lender | BBB grade |
| Ascent Undergraduate Non-Cosigned Credit-Based Loan | B |
| Funding U Undergraduate Student Loans | A |
| MPower Financing Undergraduate Student Loan | A+ |
| Chicago Student Loans by AM Money | NR |
| Citizens Bank Undergraduate Student Loans | B+ |
| Prodigy Finance Student Loan | NR |
| Federal Student Loans | N/A |
The BBB does not rate some of the companies on our list — this isn't because they are untrustworthy businesses, but because the BBB doesn't have enough information to give a grade. The BBB grade for the Department of Education is not applicable because the DOE is not a business.
It's important to note that a good BBB grade doesn't guarantee you'll have a good relationship with your lender. Ask family and friends about their firsthand experience with the company before signing on the dotted line, or read online customer reviews.
How to Get Student Loans Without a Cosigner
You should go after federal loans before considering a private lender, as they often offer better terms and more protections for borrowers. You don't need a cosigner for federal student loans, as they aren't offered based on income or credit.
You can take out a Direct Subsidized or Direct Unsubsidized Loan through the federal government. Direct Subsidized Loans are given out based on financial need, while all undergraduate and graduate students can take out a Direct Unsubsidized Loan regardless of financial need.
Your parents can also take out a loan on your behalf with a Direct PLUS Loan, but they are legally responsible for paying these loans back — they aren't a cosigner on the loan. These loans require a credit check and cannot be transferred from parent to child.
Boost Your Credit Score
Many private lenders won't consider a student without a cosigner. Those that don't require one often mitigate the risk by charging you a higher interest rate and requiring a solid credit score.
That said, if you want a loan on your own and don't have a strong enough credit history, here are some tips you may consider to increase your credit score:
- Ask for and look over a copy of your credit report. See if any mistakes on your report could be damaging your score. If so, contact the credit bureau to discuss fixing the error.
- Maintain low credit card balances. Keeping a credit utilization ratio — the percentage of your total credit you're using — of 30% or less will prove to lenders that you can manage your credit well.
- Design a system for paying bills on time. Your payment history makes up a large percentage of your credit score, and lenders like to see steady and reliable payments in the past. Set up calendar reminders or automatic payments so you don't fall behind.
Compare Loan Terms
When you find lenders that will offer you a loan without a cosigner, shop around to get the best terms possible. Lenders often allow you to prequalify and see your rates by inputting basic information on their website. They'll perform a soft credit inquiry to display these rates, which won't impact your credit score.
In addition to looking at the interest rates, also take a look at the term lengths. You may want a longer term length to pay less per month or a shorter term length to save on overall interest. You'll also want to consider your repayment choices, as lenders offer a variety of plans, including interest-only and deferred payment options.
Once you find a loan you like, thoroughly read over the terms before signing on the dotted line so you know exactly what you're agreeing to.
How to Apply for a No-Cosigner Student Loan
- Identify lenders that offer no-cosigner student loans. Also, search for lenders that consider non-financial factors like academic performance when approving loan applications. These lenders represent an excellent opportunity for student borrowers without a cosigner and little-to-no credit history.
- Get pre-approvals from various lenders. It's important to make sure the lenders conduct only a soft credit inquiry during the pre-approval process. Hard credit inquiries will negatively impact your credit score.
- Compare loan offers and decide which is best. Consider the loan amount, interest rate, and repayment terms of each lender.
- Apply to your chosen lender. You'll likely have to upload verification of your identity, financial aid package, and tuition costs as part of the application.
Student Loans Without a Cosigner Pros and Cons
Advantages
- You're not reliant on anyone else. A cosigner can increase the likelihood of your loan application being approved, but it also requires you to involve someone else in the loan application process. A no-cosigner loan gives you greater independence.
- More students have access. A no-cosigner student loan provides educational opportunities to students who don't have creditworthy friends or relatives to act as cosigners.
- The application process is simpler. Without a cosigner, you'll only need to submit your own financial details when applying for a student loan.
Drawbacks
- The odds of approval decrease. A cosigner is supposed to limit the risk for lenders. Without this safety net, lenders won't be as likely to give you a loan.
- Loan amounts are often lower. When lenders approve loans to applicants without cosigners, they tend to offer less money.
- Interest rates may be higher. To compensate for the increased risk of not having a cosigner, the lender will likely ramp up your interest rate. This means you'll pay more during repayment.
What To Do If You Can't Get a Student Loan Without a Cosigner
Even if you're unable to snag a student loan without a cosigner, you still have options.
- Reach out to your school's financial aid office. You may have received grants or scholarships as a part of your financial aid package, which does not need to be repaid. You might be able to get more of this free aid if you contact your school's financial aid office and explain your situation. This would lessen your need for loans.
- Attend a lower-cost school. If the price of a school is out of reach, consider going to a more affordable school. You may want to look at community colleges or in-state public colleges, as they often come with lower price tags than private schools.
- Reduce your educational costs. You may be able to close the gap between what you can afford and what you're paying for school. This could include renting or borrowing textbooks instead of buying them, or finding multiple roommates to lower your cost of living.
While getting a student loan without a cosigner is possible, it's usually not an easy process without an extensive credit history. You're best off trying your federal options first, as they often come with competitive interest rates and never require a cosigner.
Alternatives to Student Loans Without a Cosigner
Scholarships and Grants
Universities and outside organizations offer money to students in the form of scholarships and grants. Generally, college grants are awarded based on financial need, while student scholarships are awarded on merit. Unlike loans, scholarships and grants don't have to be repaid.
Work-Study Programs
The Federal Work-Study programs allow students to fund their education by working part-time while completing their degrees. Colleges and universities typically limit weekly work hours to make sure students have enough time to dedicate to their studies. These opportunities are granted on a first-come, first-served basis.
Employer Tuition Assistance
Some employers offer to pay for their employees to pursue higher education. The programs allow companies to improve their brand image while upskilling their workforce. The employees, meanwhile, get a chance to pursue a degree without paying their tuition.
Before applying for student loans, ask your current employer if they offer tuition assistance. You could also consider working for a company with a tuition assistance program.
FAQs About Student Loans Without a Cosigner
No, you don't need a cosigner for a student loan, but having one can make it easier. Many private lenders do require one for students without credit histories. All the companies we've listed above don't require a cosigner. Federal unsubsidized and subsidized loans never need a credit check.
To pay for college without your parents' support, take affordability into account when applying for colleges. State schools can cost less than out-of-state schools. You might also consider starting at a community college to lower your overall cost. You may also apply for grants and work study, which is money you don't need to repay. Many students also work regular jobs while attending college.
If you don't repay a cosigned student loan, the person who cosigned becomes legally responsible for the debt. If the cosigner fails to pay, the lender can sue in court. Failing to repay any loan you took out will also hurt your credit score.
Yes, you can get a private student loan with a cosigner. Some private lenders offer student loans without a cosigner, especially if you have a strong credit history and a stable income. However, the interest rates may be higher compared to loans with a cosigner.
The best federal student loans for independent students are Direct Subsidized and Unsubsidized Loans. These loans do not require a cosigner and offer fixed interest rates and flexible repayment options.
The risks of taking out a no-cosigner student loan include higher interest rates, stricter eligibility criteria, and the potential for increased financial burden if you struggle to make timely payments. It's important to thoroughly understand the terms and conditions before signing a loan agreement.
Why You Should Trust Us: How We Chose the Best Student Loans Without a Cosigner
We rate all student loan products in our reviews and guides on a 1-5 scale. The rating that is awarded is a weighted average that takes into consideration several different categories. The categories are:
- Interest rate (20% of rating)
- Fees (20% of rating)
- Term lengths (15% of rating)
- Repayment options while in school (15% of rating)
- Borrower accessibility (15% of rating)
- Customer support (7.5% of rating)
- Ethics (7.5% of rating)
Each category is given a weighting depending on its importance to the borrower's overall experience. Interest rates and fees will have the most significant impact on the total cost of your loan, so we give those categories the most weight. Customer support and ethics are still essential to the borrowing experience but are not directly tied to a student loan's terms. Therefore, those categories have less of an impact on the overall rating.
See our full ratings methodology for student loans »
Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards.
Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.
**Enrollment required.
Ascent's undergraduate and graduate student loans are funded by Bank of Lake Mills or DR Bank, each Member FDIC. Loan products may not be available in certain jurisdictions. Certain restrictions, limitations, terms and conditions may apply for Ascent's Terms and Conditions please visit: AscentFunding.com/Ts&Cs. Rates displayed above are effective as of 8/12/2024 and reflect an Automatic Payment Discount of 0.25% for credit-based college student loans and 1.00% discount on outcomes-based loans when you enroll in automatic payments. The Full P&I (Immediate) Repayment option is only available for college loans (except for outcomes-based loans) originated on or after June 3, 2024. For more information, see repayment examples or review the Ascent Student Loans Terms and Conditions. The final amount approved depends on the borrower's credit history, verifiable cost of attendance as certified by an eligible school, and is subject to credit approval and verification of application information. Lowest interest rates require full principal and interest (Immediate) payments, the shortest loan term, a cosigner, and are only available for our most creditworthy applicants and cosigners with the highest average credit scores. Actual APR offered may be higher or lower than the examples above, based on the amount of time you spend in school and any grace period you have before repayment begins. 1% Cash Back Graduation Reward subject to terms and conditions. For details on Ascent borrower benefits, visit AscentFunding.com/BorrowerBenefits. The AscentUP platform is only available to eligible Ascent borrowers and subject to terms and conditions.
