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A nursing career can be incredibly rewarding professionally and personally. If you’ve decided to attend nursing school to pursue your dream job, you’ll first need to meet certain nursing school prerequisites in order to be eligible. Prerequisites (also called pre reqs for nursing) are required courses or subjects aspiring nurses must take before applying to nursing school.

Learn more about the prerequisites and nursing school requirements you’ll need to be accepted at the college of your choice.

Why Nursing School Prerequisites Matter

Nursing school prerequisites prepare students for a career in which they can earn a good salary as a nurse and do work that fulfills them. Whether you’re planning to get an Associate Degree in Nursing (ADN) or a Bachelor of Science in Nursing (BSN), each degree program and school requires specific prerequisites. Nursing pre reqs provide the foundation for the more advanced courses you’ll take while in school.

There are different types of nurses, and the type you’re planning to become helps determine the nursing school requirements you’ll need to fulfill. Knowing how many years you’ll be attending school can also help you with budgeting as a nurse. These are some of the nursing roles you might consider.

•   Licensed practical nurse (LPN): LPNs provide basic patient care under the supervision of registered nurses and doctors. They work in hospitals, physicians’ offices, nursing homes, extended care facilities, and in patient’s homes. Rather than a college degree, LPN’s typically attend a vocational or technical school for one year and they must graduate with a license from an accredited institution to practice.

•   Registered nurse (RN): RNs care for patients, administer medication, assist in diagnostic testing, and more. RNs usually work in hospitals, doctors’ offices, nursing homes, long-term care facilities, and other locations. They must have an associate degree in nursing or a Bachelor of Science in Nursing.

•   Clinical nurse specialist: This is an RN with additional training and education who diagnoses conditions, prescribes medication, and treats patients. These professionals must have a Master of Science in Nursing (MSN).

•   Nurse practitioner (NP): Nurse practitioners examine and diagnose patients, prescribe medications, and order tests. They must be licensed RNs and have an MSN or a master’s degree in a specialty role.

•   Nursing director: Nursing directors oversee health care facilities. They typically need a Master of Science in Nursing (MSN) or a Doctor of Nursing Practice (DNP).

•   Nurse educator: These nurses teach nursing students clinical skills, patient care methods, and collaboration practices. Nurse educators must have an MSN or DNP degree.

Factoring in the Cost of Nursing School

As you consider the nursing school requirements you’ll need to meet, it’s important to think about how you’ll pay for college. The average cost of nursing school is approximately $30,884 annually for a BSN degree, which can be costly over the four-year degree program.

Fortunately, there are options to help students afford their schooling, including federal student loans, scholarships and grants, and private student loans. Explore the different options, and fill out the Free Application for Federal Student Aid (FAFSA) to see what you qualify for.

Also, keep in mind that while the thought of repaying school loans can seem daunting, there are ways to manage your payments including income-driven repayment plans for federal student loans, loan repayment assistance programs offered by various states and organizations, and student loan refinancing.

When you refinance student loans, you replace your current loans with a new loan from a private lender such as a bank, credit union, or online lender. Ideally, the new loan will have a lower interest rate and more favorable loan terms.

If you can secure a lower interest rate, refinancing student loans to save money may make sense for you. But be sure to explore your options.

Using our student loan refinancing calculator can help you see what your monthly payment might be.

Common Nursing School Prerequisites

No matter what type of nursing degree you want to earn, the most common nursing school prerequisite is earning a high school diploma or its equivalent, a General Equivalency Diploma (GED).

In addition, you will need these nursing pre reqs:

Biology

Nursing students need one year of high school biology with a grade of C or better.

Chemistry

As a nursing pre req, students need one year of high school chemistry with a grade of C or better.

College-Preparatory Math

Nursing school requirements call for two years of college-preparatory math with at least a C grade.

Grade Point Average (GPA)

To qualify for an Associate Degree in Nursing program, students generally need a GPA of at least 2.7. For a Bachelor of Science in Nursing program, they need at least a 3.0 GPA.

Standardized Tests

Passing grades on SATs or TEAS (Test of Essential Academic Skills) are typically required for admission to most nursing schools.

It’s important to note that every college has its own requirements (including GPA requirements), so check with your college’s admissions office to find out what you’ll need specifically to be admitted.

For example, the University of Iowa suggests the following high school prerequisites for nursing:

•   Four years of high school English

•   One year of biology

•   One year of chemistry

•   One year of physics

•   Four years of the same world language or two years in two different world languages, or two years of the same world language plus required additional coursework

•   Algebra I, Algebra II, and geometry

•   Three years of social studies

Recommended: Ways to Pay for Nursing School

How to Complete Nursing School Prerequisites

In most cases, you can take high school courses to complete nursing school prerequisites. But if you know what college you’d like to attend for nursing school, check to see what required courses they ask for.

If your high school doesn’t offer certain prerequisite courses, you can typically complete them through a community college, online courses, or the four-year college where you plan to get your nursing degree.

Other Nursing School Prerequisites

Once you’re in nursing school, there are additional prerequisites you’ll need to fulfill. For example, your school may require you to take some basic courses like the ones below before you can take more advanced classes.

•   English composition

•   Fundamentals of oral communication

•   Biomedical ethics

•   College algebra

•   Microbiology

•   Chemistry

•   Human growth and development

•   College study skills

If you’re already in college and you want to switch your major to nursing, you must also meet specific prerequisites to get into nursing. For example, the University of Iowa requires you to meet these prerequisites with a grade of “C” or higher:

•   Natural science, such as chemistry, biology, anatomy, physiology, microbiology, or nutrition courses

•   Social science, such as elementary psychology, human development and behavior, or sociology classes

•   General education courses, such as arts and cultural perspectives

•   Additional prerequisites, such as rhetoric, statistics, and diversity, equity, and inclusion for health professions

•   World language

Check with the college or university to see what’s needed for the nursing program you want to attend.

Recommended: Student Loan Refinancing Guide

The Takeaway

There are a number of prerequisites needed for nursing school, including high school class requirements before you apply to college, and prerequisites needed once you’re enrolled. Keeping on top of them and making sure you fulfill all the requirements for the type of nursing degree you’re working for can help you chart a clear path toward graduation.

Nursing school can be expensive, and many students use federal student loans to help pay for it. They might also fill any funding gaps with private student loans. To better manage your monthly payments after graduation, you can consider refinancing student loans, especially if you can qualify for a lower interest rate and more favorable terms. Just be aware that refinancing federal student loans makes them ineligible for federal programs like income-driven repayment.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQs

What are the minimum requirements for nursing school?

The minimum nursing school requirements generally include graduating from high school with a diploma after taking science and math classes (such as chemistry, biology, and college- preparatory math), having a GPA of 2.7 or higher for an Associate Degree in Nursing program and 3.0 or higher for a Bachelor of Science in Nursing program, and passing grades on standardized tests such as the SATs. However, minimum requirements can vary from school to school, so check with each institution you’re applying to.

When do you take nursing school prerequisites?

You take nursing school prerequisites starting in high school with classes like biology, chemistry, and math, as well as standardized tests like the SATs. When you’re in nursing school, you’ll begin by taking foundational prerequisite classes and work your way up to higher-level classes as you work toward your degree.

What if my GPA is too low for nursing school?

There are some possible ways to get into nursing school even if your GPA is too low. While many programs require at least a 3.0 for admission to a Bachelor of Science in Nursing program, some schools are less selective than others. For instance, you could apply to a community college to earn a licensed practical nurse degree (LPN) and then transfer to a four-year college once your grades are higher. Also, consider doing volunteer work in a health care setting — some institutions give more weight than others to nonacademic activities like health-related volunteer work.

Photo credit: iStock/FatCamera

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

SOSLR-Q424-010

If you’re on the standard 10-year repayment plan and your federal student loan payments are high relative to your income, a student loan income-based repayment plan may be an option for you.

The newest plan, called SAVE, which was introduced by the Biden Administration, is currently on hold due to legal challenges. Read on to learn what the alternatives are in the meantime.

What Is Income-Based Student Loan Repayment?

Income-based student loan repayment plans were conceived to ease the financial hardship of government student loan borrowers and help them avoid default when struggling to pay off student loans.

Those who enroll in the plans tend to have large loan balances and/or low earnings. Graduate students, who usually have bigger loan balances than undergrads, are more likely to enroll in a plan.

The idea is straightforward: Pay a percentage of your monthly income above a certain threshold for 20 or 25 years. You are then eligible to get any remaining balance forgiven. (The SAVE plan would forgive balances after 10 years for borrowers with original loans of $12,000 or less.)

In mid-2024, 13 million borrowers were enrolled in an income-based repayment plan, according to the Institute for College Access and Success. But borrowers have often failed to recertify their income each year, as required, and are returned to the standard 10-year plan.


💡 Quick Tip: Often, the main goal of refinancing is to lower the interest rate on your student loans — federal and/or private — by taking out one loan with a new rate to replace your existing loans. Refinancing makes sense if you qualify for a lower rate and you don’t plan to use federal repayment programs or protections.

Income-Driven Student Loan Repayment Plans

While people often use the term “income-based repayment” generically, the Department of Education calls them income-driven repayment (IDR) plans. There are four, but two plans recently stopped accepting new borrowers. We’ll focus on the two that are still open to you:

•   Income-Based Repayment (IBR)

•   Saving on a Valuable Education (SAVE), which replaces the previous Revised Pay As You Earn (REPAYE) plan

Your payment amount is a percentage of your discretionary income, defined for IBR as the difference between your annual income and 150% of the poverty guideline for your family size.

For the SAVE plan, discretionary income is the difference between your annual income and 225% of the poverty line for your family size. This plan could substantially reduce borrowers’ monthly payment amounts compared to other IDR plans. For IBR and SAVE, the payment is 5% to 10% of your discretionary income.

Got it? But wait; there’s more. Note the number of years in which consistent, on-time payments must be made and after which a balance may be forgiven, as well as who qualifies.

How Income-Based Student Loan Repayment Works

In general, borrowers qualify for lower monthly loan payments if their total student loan debt at graduation exceeds their annual income.

To figure out if you qualify for a plan, you must apply at StudentAid.gov and submit information to have your income certified. Your monthly payment will then be calculated. If you qualify, you’ll make your monthly payments to your loan servicer under your new income-based repayment plan.

You’ll generally have to recertify your income and family size every year. Your calculated payment may change as your income or family size changes.


💡 Quick Tip: When rates are low, refinancing student loans could make a lot of sense. How much could you save? Find out using our student loan refi calculator.

What Might My Student Loan Repayment Plan Look Like?

Here’s an example:

Let’s say you are single and your family size is one. You live in one of the 48 contiguous states or the District of Columbia. Your adjusted gross income is $40,000, and you have $45,000 in eligible federal student loan debt.

The 2025 government poverty guideline amount for a family of one in the 48 contiguous states and the District of Columbia is $15,650, and 150% of that is $23,475. The difference between $40,000 and $20,385 is $16,525. That is your discretionary income.

If you’re repaying under the IBR plan, 10% of your discretionary income is about $1,652. Dividing that amount by 12 results in a monthly payment of $138.

Under the SAVE Plan, however, your discretionary income is the difference between your gross income and 225% of the poverty line, which comes out to $35,213. The difference between $40,000 and $35,213 is $4,787, which is your discretionary income; 5% of your discretionary income is about $239. That amount divided by 12 results in a monthly payment of $20.

The Federal Student Aid office recommends using its loan simulator to compare estimated monthly payment amounts for both repayment plans.

Which Loans Are Eligible for Income-Based Repayment Plans?

Most federal student loans are eligible for at least one of the plans.

Federal Student Aid lays out the long list of eligible loans, ineligible loans, and eligible if consolidated loans under each plan.

Of course, private student loans are not eligible for any federal income-driven repayment plan, though some private loan lenders will negotiate new payment schedules if needed.

Pros and Cons of Income-Based Student Loan Repayment

Pros

•   Borrowers gain more affordable student loan payments.

•   Any remaining student loan balance is forgiven after 20 or 25 years of repayment.

•   An economic hardship deferment period counts toward the 20 or 25 years.

•   The plans provide forgiveness of any balance after 10 years for borrowers who meet all the qualifications of the Public Service Loan Forgiveness (PSLF) program.

•   The government pays all or part of the accrued interest on some loans in some of the income-driven plans.

•   Low-income borrowers may qualify for payments of zero dollars, and payments of zero still count toward loan forgiveness.

•   New federal regulations will curtail instances of interest capitalization and suspend excess interest accrual when monthly payments do not cover all accruing interest.

Cons

•   Stretching payments over a longer period means paying more interest over time.

•   Forgiven amounts of student loans are free from federal taxation through 2025, but usually the IRS treats forgiven balances as taxable income (except for the PSLF program).

•   Borrowers in most income-based repayment plans need to recertify income and family size every year.

•   On some plans, if a borrower gets married and files taxes jointly, the combined income could increase loan payments. (This is not the case with the SAVE Plan.)

•   The system can be confusing to navigate, especially while the SAVE plan is in legal limbo.

Student Loan Refinancing Tips From SoFi

Income-driven repayment plans were put in place to tame the monthly payments on federal student loans for struggling borrowers. For instance, the SAVE Plan offers the lowest monthly payments of all IDR plans. (Those who have private student loans don’t qualify for IDR plans.)

If your income is stable, your credit is good, and you don’t need federal programs like income-driven repayment plans or deferment, refinancing your student loans is an option. (To be clear, refinancing federal student loans makes them ineligible for federal protections and programs like income-driven repayment and loan forgiveness for public service.) With refinancing, the goal is to pay off your existing loans with one new private student loan that ideally has a lower interest rate.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

Is income-based repayment a good idea?

For borrowers of federal student loans with high monthly payments relative to their income, income-based repayment can be a good idea. Just be aware that legal challenges have put the SAVE plan on hold.

What is the income limit for income-based student loan repayment?

There is no limit. If your loan payments under the 10-year standard repayment plan are high for your income level, you may qualify for income-based student loan repayment.

What are the advantages and disadvantages of income-based student loan repayment?

The main advantage is lowering your monthly payments, with the promise of eventual loan forgiveness if all the rules are followed. A disadvantage is that you have to wait for 10, 20, or 25 years depending on the plan you’re on and how much you owe.

How does income-based repayment differ from standard repayment?

With the standard repayment plan, your monthly payments are a fixed amount that ensures your student loans will be repaid within 10 years. Under this plan, you’ll generally save money over time because your monthly payments will be higher. With income-based repayment, your monthly loan payments are based on your income and family size. These plans are designed to make your payments more affordable. After a certain amount of time ranging from 10 to 25 years, depending on the plan, any remaining balance you owe is forgiven.

Who is eligible for income-based repayment plans?

With the PAYE and IBR plans, in order to be eligible, your calculated monthly payments, based on your income and family size, must be less than what you would pay under the standard repayment plan. Under the ICR plan, any borrower with eligible student loans may qualify. Parent PLUS loan borrowers are also eligible for this plan.

How is the monthly payment amount calculated in income-based repayment plans?

With income-based repayment, your monthly payment is calculated using your income and family size. Your payment is based on your discretionary income, which is the difference between your gross income and an income level based on the poverty line. The income level is different depending on the plan. For IBR, your monthly payment is 10% of your discretionary income.

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 04/24/2024 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org).

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOSLR-Q424-002

If the lure of the open road intrigues you and the idea of spending years in classrooms doesn’t, then becoming a commercial driver may be ideal for you. Before hitting the highway, you’ll need to secure a commercial driver’s license (CDL), which could cost between $3,000 to $10,000 depending on state fees.

Keep reading to learn more on the costs of obtaining a CDL, whether or not you have to go to school, and how to pay for your commercial driver’s license.

Typical Cost of Obtaining a CDL

The typical cost of obtaining a Commercial Driver’s License (CDL) ranges from $3,000 to $10,000, depending on the training program, location, and endorsements required. These expenses include tuition for CDL school, fees for written and skills tests, medical exams, and any additional certifications. Some training programs may also charge for classroom materials or driving practice hours.

Costs can vary based on the duration and comprehensiveness of the program. To offset these expenses, individuals may explore financial aid options such as scholarships, grants, employer-sponsored training, or loans. Researching and comparing programs can help identify the best value for your investment.

Recommended: Student Loan vs Personal Loan for College Expenses

Do You Have to Go to a School to Obtain Your CDL?

As of February 7, 2022, new federal regulations require individuals to complete Entry-Level Driver Training (ELDT) from a registered training provider before obtaining a Commercial Driver’s License (CDL) for the first time, upgrading a CDL, or getting certain endorsements.

While this doesn’t strictly mean attending a traditional “school,” the training must meet federal standards and be provided by an ELDT-certified provider. This requirement ensures that CDL applicants receive the necessary education and hands-on experience to safely operate commercial vehicles. Many choose CDL schools because they are often ELDT-compliant and provide a comprehensive training environment.

How to Pay for CDL School

Paying for CDL school can be a significant financial investment, but there are several options to help ease the cost. Whether you’re looking to finance your training through scholarships, grants, employer-sponsored programs, or loans, understanding your choices is essential for making this career path affordable.

To help, we’ve listed ten ways to pay for your CDL school costs and associated expenses.

1. Workforce Training Funding

The Workforce Innovation and Opportunity Act (WIOA) became law on July 22, 2014, and is designed to help job seekers get the education, training, support, and employment they need. The WIOA requires states to ensure that their workforce development programs are strategically aligned to meet the needs of workers. The WIOA is managed through the U.S. Department of Labor (DOL) in collaboration with numerous partners to get the necessary resources to states and local areas.

Plus, the FMCSA CDL Program Implementation Grant provides financial resources to states.

2. State CDL Training Grants

Each of the states in the United States and the District of Columbia can apply to the federal CDL implementation grant to get funding for relevant programs that assist in their CDL program. Contact the field office of your state (links are included in the field office chart) to get information about what’s currently available to cover your CDL school price. Explain that you need financial assistance to get quality CDL training.

3. Local CDL Training Grants

Many local governments and workforce development programs offer grants to cover CDL training costs. These grants are typically aimed at addressing regional driver shortages and providing opportunities for individuals in need of employment. Check with your local employment office or community organizations for available programs and eligibility requirements.

4. Scholarships

Various organizations offer scholarships to help cover the cost of CDL school. Industry associations, trucking companies, and vocational schools may provide funding opportunities for eligible candidates. Research scholarship programs specifically for aspiring truck drivers, and apply early to maximize your chances of receiving financial assistance for your training.

Recommended: SoFi’s Scholarship Search Tool

5. Funding for Veterans

Veterans may be eligible for funding to cover CDL school through the GI Bill or other veterans’ benefits. Programs like the Yellow Ribbon Program may also offer additional financial support for CDL training. Contact your local Veterans Affairs office to learn about specific programs and eligibility requirements for veterans.

6. Federal Student Loans

To qualify for federal loan funding, you must first fill out a Free Application for Federal Student Aid (FAFSA®). If a CDL school meets requirements, federal student loan aid may be available. Going this route will also let you know if you qualify for a Pell Grant based on your income; again, make sure that the CDL school is eligible to receive federal funding.

7. Private Student Loans

If grants, scholarships, and federal student loans don’t cover the CDL school costs, then explore private student loans. These loans are offered by banks, credit unions, and online lenders to pay for educational expenses. You’ll fill out an application and what you’ll receive typically depends on your credit score and income.

Note that not all private lenders will cover loans for CDL school, including loans from SoFi.

8. Trucking Company Tuition Reimbursement

This is when a trucking carrier pays part to all of your CDL school costs. They may do this if, for example, you’re a current employee in another capacity. Trucking companies may also choose to take this route to encourage someone to join their company.

9. Savings

You may find that you have enough money in your savings account to pay for the CDL program. Or you may create or continue a savings plan to accrue enough funds to pay for your training. That way, there are no loans to pay back.

10. Company Sponsored CDL Training

A company in need of drivers may be offering a training program. Just ensure that the program, which is run by the trucking company itself instead of a training school, is quality. Typically, you’ll need to work for the company offering the training for a certain amount of time; this can be good if you’re looking for a job, eliminating the stress of the job hunt that may follow the completion of a CDL program.

The Takeaway

You may decide that becoming a commercial truck driver is a good way to earn income. When it comes to how to pay for CDL school, you can save up and pay cash, apply for scholarships and grants, look for an employer who will cover part or all of the costs of training, or take out loans.

Community college and other certificate programs aren’t eligible for SoFi’s private student loans. If you’re interested in private student loans for another educational venture, consider SoFi’s no fee private student loans. These loans can be used to cover your costs of tuition, books, supplies, and more so you can get on the road as a fully licensed commercial truck driver.

FAQ

Can you get your CDL without going to school?

Yes, you can obtain a Commercial Driver’s License (CDL) without attending school, but most states require you to meet Entry-Level Driver Training (ELDT) standards. Self-study and private practice with a qualified driver are options. However, CDL training programs provide structured learning, making it easier to pass written and skills tests.

Do some trucking companies pay for your CDL training?

Yes, many trucking companies offer paid CDL training programs. These companies cover training costs in exchange for a commitment to work for them for a specified period, often one to two years. These programs can be a cost-effective way to enter the trucking industry while gaining hands-on experience.

How much does getting your CDL cost?

The cost of obtaining a Commercial Driver’s License (CDL) varies but typically ranges from $3,000 to $10,000, depending on the training program and location. Costs include tuition for CDL school, fees for written and skills tests, medical exams, and additional endorsements. Some employers or grants may help cover these expenses.

Photo credit: iStock/FG Trade

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 04/24/2024 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

SOISL-Q424-053

When you’re looking for funds to pay for your college education, you’re likely to go after federal funds and all of their benefits first — and, if that isn’t enough, then you’ll seek private loan funding. One option for private funding is a signature student loan.

Keep reading to learn more on what a signature student loan is, how it can be used, pros and cons of signature student loans, and more.

What Are Student Signature Loans?

Student signature loans, also known as “sig student loans,” are private loans that typically don’t require collateral, relying instead on the borrower’s creditworthiness or that of a cosigner. These loans can cover tuition, housing, and other educational costs, offering flexible repayment options.

Understanding the terms and conditions is crucial before choosing a signature student loan.

What Type of Loan Is a Signature Student Loan?

There are two main types of student loans: federal and private student loans. Federal loans require the filling out of a FAFSA to see if a student qualifies for any type of aid from the federal government. They come with certain benefits and protections not offered by private lenders. Private loans, on the other hand, are given by banks, credit unions, and online lenders to help students pay for college. They should be used after all federal aid options have been considered.

A student signature loan is a form of private funding, one where collateral is not needed, making it an unsecured private loan for college expenses.

Recommended: How to Complete the FAFSA Step by Step

Common Uses of a Signature Student Loan

Common uses of a signature student loan include for tuition/attendance, books, and housing. Here’s more about each.

Tuition/Attendance

The average cost of tuition and fees for the 2024-25 school year at a public in-state university was $11,610. Those at private universities paid an average of $43,350 for the same school year. A student may decide to use a sig student loan to cover costs of tuition/attendance that aren’t covered by grants, scholarships, and federal student loans.

Books

The average college student spends $1,212 annually to pay for their books and supplies during college. One single hardback textbook can now cost as much as $400, although the average is between $100 and $150. Students may need to resort to loans to cover the cost of books each semester.

Housing

Although some students continue to live at home during college, many pay for room and board. At a public, four year institution, the average cost for room and board is $12,639 a year. At a private, nonprofit institution, the average cost is $14,406 annually.

Should You Get a Signature Student Loan?

Deciding whether to get a signature student loan will depend on your unique circumstances. As general guidance, students who don’t receive enough funding through grants, scholarships, and federal student loans often look to private funding to make up the difference. Private student loans, sometimes called signature student loans, can help bridge funding gaps, but they may come with higher interest rates than federal loans.

Pros and Cons of Signature Student Loans

Signature student loans come with both advantages and drawbacks. Understanding the pros and cons can help borrowers make informed choices about their education financing.

Pros of Signature Student Loans

Pros of signature student loans include the following:

•   Extra source of funds

•   Variety of repayment terms

•   Flexibility of usage

Extra Source of Funds

Student signature loans can provide a source of funding for college after grants, scholarships, and federal options have been exhausted. Grants and scholarships typically do not have to be repaid. Federal loans and signature student loans do need to be repaid, but payments won’t start until six months after the student graduates or drops below half-time enrollment.

Variety of Repayment Terms

With a private student loan, funds are obtained from a private lender. Some offer better rates and terms than others, with some of them deferring payments while the student is attending college classes. Compare rates and terms to choose which route is best for you.

Flexibility of Usage

In general, a private loan can offer flexibility with how the funds are used. For example, this funding can be used as one of the undergraduate student loan options or one of the graduate student loan options: for tuition, books and supplies, and/or housing expenses.

Cons of Signature Student Loans

Unlike a federal student loan, private lenders of student signature loans don’t rely upon information found in the FAFSA. Instead, a student interested in receiving private funding would fill out an application with the lender and must qualify for the loan.

Qualifying for a Sig Student Loan

Loan terms can vary by lending institution. This includes the interest rates offered, borrowing limits allowed, and the length of the loan. Some require payments while the student is in school, while others will defer payments until the student is out of school. Choose parameters that fit your needs, with the understanding that you’ll need to qualify for the loan program.

Credit Score

Private lenders may require you to have a certain credit score to obtain the loan or to get the best rates and terms. The three main credit bureaus that issue scores are Equifax, Experian, and TransUnion. A private lender will likely have a certain credit bureau that they use to get an applicant’s credit scores, and yours will need to fit within their lending guidelines to get loan approval.

Income

The lender will also want to see proof of a steady income, one that’s sufficient to pay back the loan. If you don’t have enough on your own, adding a cosigner could help you qualify. This can help reassure the private lender that the loan will be appropriately paid back.

Other Ways to Pay for College

Ways to pay for college include:

•   Financial aid

•   Federal loans for students

•   Federal PLUS Loans for parents

•   Work-study jobs

•   Part-time jobs

•   Private student loans

Financial Aid

Student financial aid can be a combination of grants and scholarships, federal student loans, private student loans, and federal work-study programs.

Federal Loans for Students

Federal Direct Loans, also known as Stafford Loans, can be either subsidized or unsubsidized. With subsidized loans, the government covers the interest while the student is in school; with the latter, the interest accrues while the student is in school. In either case, finding out what you qualify for in federal funding can be a logical first step.

Federal PLUS Loans for Parents

Parents can take out a Parent PLUS Loan for an undergraduate with fixed interest rates and flexible repayment methods. These loans do require a credit check and can also be taken out by graduate/professional students. The maximum amount that can be borrowed is the full cost of tuition minus other financial assistance the student receives.

Work-Study Jobs

There is a federal work-study program that allows students with financial need to earn income to pay their education-related expenses. Ideally, the work will be connected to community service and/or the student’s academic study courses. This program is managed by the colleges themselves, so check with yours to see if they participate and if you qualify.

Part-time Jobs

If you don’t qualify for work study, you can still seek part-time employment in the general location of your university. You could work at a restaurant or coffee shop, babysit, or walk dogs. This allows the student to earn income, hopefully on a schedule that is flexible enough to work around college commitments.

Private Student Loans

Private student loans can be a source of funding for college expenses when grants, scholarships, and federal funding options have been exhausted. Keep in mind, though, that private student loans do not offer the same protections and benefits as federal student loans. Private lenders can have different loan programs, so compare carefully before making a decision.

The Takeaway

A signature student loan is a type of unsecured (no collateral) private funding to help with educational expenses. Signature student loans rely on the borrower’s or cosigner’s creditworthiness for approval. In addition to signature student loans, students can rely on grants, scholarships, cash savings, and federal student loans to pay for college.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

Is a signature student loan a good idea?

A signature student loan can be a good idea if you need funding beyond federal aid and have strong credit or a cosigner. However, they often come with higher interest rates and stricter repayment terms, so carefully compare options and consider your ability to repay before committing.

Is it easy to get a signature student loan?

Getting a signature student loan depends on your creditworthiness or having a creditworthy cosigner. It can be easier for those with strong credit and steady income, but students with limited credit history may face challenges. Loan approval criteria vary by lender, so researching options is essential.

When do you have to start paying a sig student loan back?

Repayment for a signature student loan typically begins after graduation or dropping below half-time enrollment, following a grace period of about six months. Some lenders may require immediate payments or offer flexible repayment plans. Always review loan terms carefully to understand when repayment begins.

Photo credit: iStock/FatCamera

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 04/24/2024 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

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If you’re in the U.S. on a H-1B visa, which allows skilled workers from abroad to be temporarily employed by U.S. companies in specialized occupations, you might be considering attending graduate school to further your career while you’re in the country. You might also need student loans to help pay for school, since the average cost of earning a master’s degree is $62,820.

Here’s what you need to know about student loans for H1-B visa holders, including where to get them, the application steps, and potential challenges to navigate, plus other college financing options to consider.

Can H-1B Visa Holders Attend School in the U.S.?

H-1B visa holders are allowed to attend school in the U.S. So if you are an H-1B visa holder and you’ve been wondering, can you study on an H-1B visa while working in the U.S.?, the answer is yes, as long as you maintain your employment and H-1B status while going to school.

Another question that often comes up among visa holders is: Can H-1B holders study part-time? International students with H-1B visas can enroll in degree programs or nondegree programs, such as a post-grad certificate program, on either a part- or full-time basis. This way they can work and go to school.

Can International Students Apply for Student Loans?

Given the high cost of education in the U.S., many individuals, including international students, use student loans to attend college. But obtaining student loans as an H-1B visa holder can be challenging. International students have fewer financing options than American students to pay for college tuition.

Federal student loans are reserved for U.S. citizens and eligible noncitizens, which includes individuals in the following categories:

•   Permanent resident, also known as green card holder

•   Arrival-Departure Record (I-94) Record holder

•   Citizen of the Federal States of Micronesia, the Republic of the Marshall Islands, or the Republic of Palau

•   You or a parent has T-1 nonimmigrant status

•   You or a parent are a battered immigrant-qualified alien

If you are ineligible for federal student loans, as many H-1B visa holders are, you can look into scholarships and grants to help pay for college. In addition, you may qualify for other types of financing, including private loans for college.

Private Student Loans

If personal savings, scholarships, and grants aren’t enough to cover the cost of school, H-1B visa holders can apply for private student loans to fill the gap.

Private student loans are offered by banks, online lenders, and credit unions. They can help borrowers cover the cost of attendance at college. Private student loan interest rates may be fixed or variable, and borrowers are charged interest on their loans while they’re in school. H-1B visa holders can shop around for international student loans and compare multiple lenders to find the best rate and terms.

Student loan requirements vary by lender, but borrowers are typically evaluated based on their ability to repay the loan. Lenders consider your financial situation, such as your credit score and income. They may also ask for visa documentation as well as confirmation that you’re enrolled at an accredited school or qualified educational program.

If you get approved for a student loan, keep in mind that you can always choose to refinance student loans in the future, ideally when you might be able to qualify for a lower rate and more favorable terms. With refinancing, you replace your current loans with one new loan that has one monthly payment, which may be easier to manage.

Recommended: Refinancing as an International Student

What to Expect When Applying for an International Student Loan

Preparing in advance and organizing the materials you’ll need can help streamline the application process for an international student loan. Compile proof of income, such as pay stubs or a letter from your employer, as well as visa documentation and your U.S. address. And be sure to add up your anticipated education expenses so you’ll know exactly how much of a loan to apply for.

As mentioned, lenders will consider your credit history in the U.S. when you apply for an international student loan. If your credit history isn’t robust enough, finding a cosigner for the loan could improve your chances of qualifying and securing more favorable loan rates and terms.

How to Get a Student Loan as a H-1B Visa Holder

There are multiple steps in the application process for a student loan. Here are the actions H-1B visa holders need to take.

Gather Documentation

Although the specific process can be different from lender to lender, there are certain documents you will likely need to provide. Make sure to have on hand:

•   Acceptance letter or proof of enrollment from a college or graduate school

•   Anticipated graduation date

•   Loan cosigner name and information if applicable

•   Pay stubs and financial statements

•   Transcripts from any prior higher education

•   Valid passport with an expiration date beyond your anticipated graduation date

•   Visa documentation

Compare Lenders

Loan terms can vary between lenders, so it’s important to compare offers. To do that, prequalify with multiple lenders to help find the best deal. You can typically complete prequalification on a lender’s website.

Once you have several offers, look at the interest rate of each one, since it impacts how much you’ll pay over the life of the loan. Also, note whether it’s a fixed or variable rate.

Fixed interest rates are locked in for the entire loan term, so your monthly loan payment stays the same. Variable rates fluctuate with the market, which can change your monthly loan payments, making variable rate loans riskier and harder to budget for.

As you’re comparing lenders, check to see if there are any loan fees you’ll need to pay and explore what the repayment options are. For example, some private lenders may offer different term lengths to pay off the loan.

Submit an Application

After determining which lender best suits your needs, submit a loan application. Go over the form carefully to make sure you’ve completed it accurately and that you’ve supplied all the necessary information to avoid delays or having your application denied.

Review the Offer and Sign the Loan Agreement

The lender will inform you once they’ve made a decision, which could take up to several weeks. Review the loan agreement to verify that the terms, including the interest rate and repayment plan, are correct.

If the loan terms meet your satisfaction, sign and return the agreement — typically called a promissory note — to the lender.

Possible Challenges for International Students

While international students can secure financing to help pay for college in the U.S., there are challenges involved. These are some of the most common ones.

Limited Credit History in the U.S.

H-1B visa holders may not have had a chance to build up a credit history in the U.S. Lenders might consider them to be high-risk borrowers, which could mean that they get a loan with a higher interest rate or need a cosigner to qualify.

Recommended: 10 Strategies for Building Credit Over Time

Finding a Cosigner

If an international student does need to add a cosigner to qualify for a student loan, they will have to find a person who agrees to take on that obligation.

Since a cosigner is legally required to repay the loan in the event the student can’t, finding someone willing to assume this responsibility can be difficult. A cosigner should be someone with a solid credit history, and they must also be a permanent resident of the U.S.

Time Limits on an H-1B Visa

International students might be considered high-risk borrowers by lenders since their stay in the U.S. is temporary. They can have their H-1B status extended up to a total of six years until they must leave for at least a year before re-entry into the country. Lenders will consider this timeframe when evaluating a student’s loan application.

The Takeaway

A private student loan for H-1B visa holders may be an option to help pay for college or graduate school while working in the U.S. International students often need a cosigner to qualify for student loans, unless they have an established credit history in the country.

Other options international students can explore to help pay for college include applying for scholarships and grants. And if H-1B visa holders do obtain private student loans with terms they consider less than ideal, they can explore refinancing at some point to see if they might qualify for a lower interest rate or more favorable terms.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

Can you get student loans on H-1B?

Yes, it’s possible to get a student loan on a H-1B visa. Although H-1B visa holders are generally not eligible for federal student loans, they can apply for private student loans. But they may need a cosigner to qualify for these loans unless they have a strong credit history in the U.S.

Can H-4 visa holders get student loans?

H-4 visa holders, who are typically spouses and children of H-1B visa holders, are not eligible for federal student loans. However, they might qualify for private student loans. While not all private lenders offer loans to H-4 visa holders, some do. Look for a private lender that works with borrowers with an H-4 status, and be aware that you will likely need a cosigner on the loan.

Can international students get education loans in the USA?

International students aren’t eligible for federal student loans, but they can apply for private student loans from a private lender like a bank, credit union, or online lender. Lenders look for borrowers with a strong credit history in the U.S., so if an international student doesn’t have that kind of credit, they may need to add a cosigner to the loan in order to qualify.

Photo credit: iStock/AzmanL

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 04/24/2024 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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