Can I get a personal loan for study abroad living expenses?

Yes, absolutely. This is one of the most common and ideal uses for a personal loan in this context. Unlike federal student aid, which is often restricted to tuition and school-certified costs, personal loan funds are flexible. You can use them to pay for rent, groceries, local transportation, books, cultural excursions, and other day-to-day living expenses that make up the bulk of a study abroad budget.

Is this different from a federal student loan?

Yes, it is very different. Federal student loans are offered by the government, have unique benefits like income-driven repayment plans and potential for forgiveness, but are typically paid directly to the school for tuition. A personal loan is a private consumer loan from a bank, credit union, or online lender. The funds go directly to you, repayment terms are less flexible, but the use of the money is unrestricted.

Can my parents take out a loan for my study abroad program?

Yes. A parent with a strong credit and income profile can apply for a personal loan in their own name and use the funds for your study abroad expenses. Alternatively, they can act as a co-signer on your application. For many students with limited credit history, co-signing is the most effective way to qualify for a loan and secure a competitive interest rate.

How quickly can I get the funds for my trip?

The process is typically very fast. After you select a loan offer and complete the final application with the lender, funds are often deposited directly into your bank account within 1 to 3 business days. This speed is a major advantage when you need to book flights or pay a housing deposit on a tight deadline.

What credit score do I need for a study abroad loan?

While requirements vary by lender, most partners look for a minimum credit score in the 640 range. To qualify for the best rates and terms, a score of 700 or higher is recommended. If your score is below this range or you have a limited credit file, applying with a co-signer is a great option to consider.

Can I use the loan to pay for my flight and housing deposit?

Definitely. These are exactly the kinds of large, upfront expenses that a personal loan is designed to cover. Once the lump sum is in your account, you have immediate access to the cash to pay for airfare, visa fees, and security deposits without having to put them on a high-interest credit card or drain your savings.

Loans for Study Abroad Programs

Finance your international adventure by covering living expenses, travel, and other costs that traditional student aid may not.

Check your rate

Your study abroad acceptance is in. The budget? Not so much.

Federal student loans and scholarships only cover tuition and fees.
A personal loan provides flexible funds you can use for non-tuition expenses like airfare, housing deposits, and daily living costs.
You need to pay for flights and housing months in advance.
We connect you with lenders who provide a lump-sum payment, so you have the cash on hand to secure your arrangements early.
Using credit cards for a whole semester's expenses is risky and expensive.
A fixed-rate personal loan offers a structured repayment plan with predictable monthly payments, unlike high-interest, variable-rate credit cards.
As a student, you may not have a long credit history.
Many of our lending partners consider applications with a co-signer, like a parent, which can improve your chances of approval and secure a lower rate.

Bridge the Financial Gap for Your Semester Abroad

An international student program is a life-changing opportunity, but the costs extend far beyond the classroom. From securing a flat in Barcelona to navigating the London Underground, the 'in-between' expenses add up quickly. While scholarships and federal aid are crucial for tuition, they often leave a significant financial gap for the actual experience of living abroad. This is where a personal loan for study abroad can be a powerful tool.

Unlike a traditional student loan that’s paid directly to your university, a personal loan provides a lump sum of cash directly to you. This gives you the freedom and flexibility to build a comprehensive budget covering everything from your visa application fee to weekend travel. It’s a straightforward financing option designed to fund the complete experience, not just the academic credits.

How a Personal Loan Works for Study Abroad Financing

Understanding your financing options for study abroad is key. A personal loan is an unsecured installment loan, which means you don't need to put up any collateral like a car or house. You borrow a fixed amount of money and pay it back over a set period (the 'term') in equal monthly installments. The interest rate is typically fixed, meaning your payment amount will not change, making it easy to budget for, even after you return home.

This structure is ideal for the predictable, one-time expenses of a semester abroad. Once approved, the funds are deposited directly into your bank account. You can immediately use this cash to book your flight, pay a security deposit on an apartment, purchase international health insurance, or handle any other upfront costs. It simplifies your financial planning, allowing you to focus on preparing for your academic and cultural immersion.

A Simple, Three-Step Process

1
Check Your Rate
Fill out our simple online form in about two minutes. This won't impact your credit score.
2
Review Your Offers
If you qualify, you’ll see personalized loan offers from our network of lenders. Compare APRs and terms to find the best fit.
3
Get Your Funds
Once you select an offer and complete the final application, funds are typically deposited directly into your account in as little as one business day.

Budgeting for Your Semester Abroad: What to Expect

Round-Trip Airfare Varies by destination	$1,200 - $2,500
Housing (4 months) $1,000/mo × 4	$4,000 - $8,000
Visa & Insurance Fees One-time costs	$500 - $1,000
Food & Daily Expenses $800/mo × 4	$3,200 - $5,000
Books & Local Transit Semester costs	$500 - $1,200

Estimated monthly

$326/mo

Based on a $15,000 loan with a 5-year term at 11% APR.

These figures are estimates, and your actual costs will depend on your destination city, program, and lifestyle. Creating a detailed budget is the most important first step in determining how much you need to borrow. A personal loan can cover the total amount you calculate, ensuring you're prepared for both planned expenses and unexpected opportunities.

Estimate Your Monthly Payments

See what your loan for study abroad might cost. Checking your rate is free and won't affect your credit score.

See Your Personalized Rate

Loan amount: $2,000 – $50,000
APR: 7.99% – 35.99%
Term: 24 mo – 84 mo

Your actual rate depends upon credit score, loan amount, loan term, and credit usage and history. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 0.99%-8.99% of your loan amount, which will be deducted from any loan proceeds you receive.

Comparing Your Study Abroad Financing Options

A personal loan is just one of several ways to finance your time overseas. Understanding the alternatives helps you make the most informed decision for your specific situation. Federal student loans, private student loans, and credit cards each have their own set of pros and cons when it comes to covering non-tuition costs.

Personal Loan vs. Other Funding Sources

	Personal Loan	Private Student Loan	Credit Card
Use of Funds	Highly flexible; for any expense	Often restricted to school-certified costs	Accepted anywhere; best for small purchases
Typical APR	Fixed; 8-35.99%	Variable or fixed; 5-15%	Variable; 20-30%
Repayment	Starts soon after funding	Often deferred until after graduation	Minimum monthly payment required
Funding Speed	Fast; 1-3 business days	Slower; tied to academic calendar	Instant access to credit line

While private student loans may offer lower rates and deferred payments, they are often less flexible for covering costs like independent travel or non-essential supplies. Credit cards offer convenience but can become a major financial burden due to high, compounding interest if you carry a large balance. A personal loan strikes a balance, offering the speed and flexibility you need with the structure of a predictable repayment plan.

Who Qualifies for a Study Abroad Loan?

Good to Excellent Credit: Most lenders look for a FICO score of 640 or higher. A score above 700 will give you access to the most competitive rates.
Verifiable Income: You or a co-signer must show sufficient income to comfortably handle the monthly loan payments.
Low Debt-to-Income (DTI) Ratio: Lenders want to see that your existing debt payments are a manageable percentage of your monthly income.
Co-Signer Option: If you are a student with limited income or credit history, applying with a creditworthy co-signer (like a parent) can significantly increase your approval odds.
U.S. Citizenship or Residency: Applicants must be U.S. citizens or permanent residents with a valid Social Security number.

Find Out if You Qualify

It only takes a few minutes to see your loan options with no commitment.

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Smart Strategies for Financing Your Exchange Program

Borrowing money is a significant financial decision. By approaching it strategically, you can ensure your study abroad experience enhances your life without creating undue financial stress down the road. Here are a few tips to keep in mind:

Exhaust Free Money First. Before applying for any loan, maximize your efforts to secure scholarships and grants. Every dollar you receive from sources like the Gilman Scholarship or your university's study abroad office is a dollar you don't have to pay back.
Create a Detailed Budget. Don't just estimate. Research the cost of living in your host city. Build a spreadsheet that accounts for rent, utilities, food, transportation, and a buffer for travel and emergencies. Borrow only what your budget shows you need.
Understand the Total Cost of the Loan. Look beyond the monthly payment. The Annual Percentage Rate (APR) represents the true cost of borrowing, including interest and fees. Use a loan calculator to see how much you'll pay in total over the life of the loan.
Check for Prepayment Penalties. Ensure the loan you choose allows you to make extra payments or pay off the entire balance early without a fee. This gives you the flexibility to reduce your interest costs if you're able to after you graduate and start your career.

Frequently Asked Questions

Can I get a personal loan for study abroad living expenses?
Yes, absolutely. This is one of the most common and ideal uses for a personal loan in this context. Unlike federal student aid, which is often restricted to tuition and school-certified costs, personal loan funds are flexible. You can use them to pay for rent, groceries, local transportation, books, cultural excursions, and other day-to-day living expenses that make up the bulk of a study abroad budget.
Is this different from a federal student loan?
Yes, it is very different. Federal student loans are offered by the government, have unique benefits like income-driven repayment plans and potential for forgiveness, but are typically paid directly to the school for tuition. A personal loan is a private consumer loan from a bank, credit union, or online lender. The funds go directly to you, repayment terms are less flexible, but the use of the money is unrestricted.
Can my parents take out a loan for my study abroad program?
Yes. A parent with a strong credit and income profile can apply for a personal loan in their own name and use the funds for your study abroad expenses. Alternatively, they can act as a co-signer on your application. For many students with limited credit history, co-signing is the most effective way to qualify for a loan and secure a competitive interest rate.
How quickly can I get the funds for my trip?
The process is typically very fast. After you select a loan offer and complete the final application with the lender, funds are often deposited directly into your bank account within 1 to 3 business days. This speed is a major advantage when you need to book flights or pay a housing deposit on a tight deadline.
What credit score do I need for a study abroad loan?
While requirements vary by lender, most partners look for a minimum credit score in the 640 range. To qualify for the best rates and terms, a score of 700 or higher is recommended. If your score is below this range or you have a limited credit file, applying with a co-signer is a great option to consider.
Can I use the loan to pay for my flight and housing deposit?
Definitely. These are exactly the kinds of large, upfront expenses that a personal loan is designed to cover. Once the lump sum is in your account, you have immediate access to the cash to pay for airfare, visa fees, and security deposits without having to put them on a high-interest credit card or drain your savings.

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Personal loan disclosure

Money Savvy is not a lender. We are a marketing service that connects consumers with participating lenders. Rates, amounts, and terms vary by lender, your credit history, and other factors.

Loan amounts: $1,000 – $100,000
Repayment terms: 3 – 84 months
Min APR: 5.99%
Max APR: 35.99%
Origination fees: 0% – 10% of the loan amount
Late fees: May apply; vary by lender

Representative example: A $10,000 loan with a 36-month term at an 18.99% APR would have an approximate monthly payment of $366.39 and a total cost of $13,190.04, including interest and a $500 origination fee.

Your actual APR depends on your credit score, income, and other factors. Only borrow what you can afford to repay.

California residents: California Financing Law disclosures available upon request.