Attending community college is generally much less expensive than a traditional four-year degree. But even with the savings, you might still need student loans or other financial aid to pay for it.
If you decide to take out a private student loan for community college, it’s important to consider as many lenders as possible. This way, you can find the right loan for your needs.
Here are Credible’s partner lenders that offer private student loans for community college:
Advertiser DisclosureOverview
Ascent offers several unique borrowing options that you don’t typically see with private lenders. In addition to traditional student loans for undergraduate, graduate, and medical programs, college juniors and seniors may qualify for its Outcomes-Based Loan — which doesn’t require established credit or a cosigner. Instead, Ascent reviews alternate factors such as your school, major, and GPA to determine your eligibility.
Ascent also offers a wide range of loan terms and repayment plans to choose from. You may even qualify for its Progressive Repayment plan, which allows you to start with small payments that gradually increase over time. Borrowers who use a cosigner can release them after as few as 12 payments, though international students don’t qualify for this option.
Loan terms
5, 7, 10, 12, 15, or 20 years
Loan amounts
$2,001 minimum up to your school’s annual cost of attendance; lifetime limits of $200,000 for undergrads and $400,000 for graduates
Eligibility
Must be a U.S. citizen or DACA student enrolled at least half time at an eligible institution. International students with a qualified cosigner may also qualify. Applicants who can’t meet financial, credit, or other requirements may qualify with a cosigner.
Loan Amounts
$1,000 to $350,000 (depending on degree)
Overview
Citizens offers a variety of student loan types, including loans for undergraduates, graduate students, and parents. Perhaps the most unique feature of Citizens student loans is the option for multiyear approval. If you qualify, you can apply once and borrow for future years with a more streamlined process that only involves a soft credit inquiry.
Student borrowers can defer payments while in school and for six months after graduating. You can also score a 0.25 percentage point reduction on your interest rate for setting up autopay, as well as an additional 0.25 percentage point loyalty discount if you or your cosigner already have a qualifying account with Citizens.
Loan terms
5, 10, or 15 years for student loans; 5 or 10 years for parent loans
Loan amounts
$1,000 minimum, up to a maximum of $150,000 for undergraduate and graduate degrees; $250,000 for MBA and law; and $180,000 or $350,000 for health care student loans, depending on the degree type
Eligibility
Must be a U.S. citizen or permanent resident enrolled at least half-time in a degree-granting program at an eligible institution. International students can apply with a cosigner who’s a U.S. citizen or permanent resident.
Loan Amounts
$1,000 up to 100% of the school-certified cost of attendance
Overview
College Ave offers a wide range of in-school loans for nearly every type of degree. There are a number of repayment options, and borrowers can choose a unique eight-year repayment term. Plus, graduate, dental, and medical students receive extended grace periods.
You may get easy funding for multiple years — 90% of undergraduates are approved for additional student loans when they apply with a cosigner. However, it can be difficult to remove a cosigner for your loan later on, as you must complete at least half of your repayment term before becoming eligible. That’s significantly longer than some lenders, which may only require one to two years of payments before releasing a cosigner.
Loan terms
5, 8, 10, or 15 years for most borrowers (law, dental, medical, and other health profession students have up to 20 years)
Loan amounts
$1,000 minimum up to your school’s annual cost of attendance; lifetime limits depend on your degree and credit profile
Cosigner release
After half of the scheduled repayment period has elapsed
Eligibility
Must be a U.S. citizen or permanent resident at an eligible institution. International students with a Social Security number and a qualified cosigner may also qualify. Applicants who can’t meet financial, credit, or other requirements may qualify with a cosigner.
Loan Amounts
$1,000 to $99,999 annually ($180,000 aggregate limit)
Overview
Powered by Cognition Financial, Custom Choice offers student loans for undergraduate and graduate students starting at $1,000. You can borrow up to $99,999 per year with a total aggregate limit of $180,000.
If you apply with a cosigner, you may be able to release them from your loan after 36 on-time payments. You can also receive a 0.25 percentage point discount on your interest rate by setting up autopay, as well as a 2% reduction of your principal balance after graduating.
Custom Choice doesn’t charge application, origination, prepayment, or late fees. It also lets you pause payments through forbearance if you qualify for its natural disaster or unemployment protection programs.
Loan amounts
$1,000 to $99,999 per year (lifetime limit of $180,000)
Eligibility
Must be a U.S. citizen or permanent resident at an eligible institution. You must also meet Custom Choice’s underwriting criteria for income and credit, or apply with a cosigner who does. Eligible noncitizens such as DACA residents can also qualify by applying with a cosigner who’s a U.S. citizen or permanent resident.
Loan Amounts
$1,001 up to 100% of school certified cost of attendance
Overview
INvested is an Indiana company that offers affordable student loans exclusively to state residents. Loans are available to Indiana students and parents who can meet income and credit requirements, or who have an eligible cosigner. Borrowers can borrow as little as $1,001 or as much as the school-certified cost of attendance minus other aid.
INvested provides detailed information on eligibility so borrowers can quickly determine whether to apply for a loan — however, there’s no option to prequalify with a soft credit check. Cosigner release is also available after just 12 on-time payments, considerably shorter than many other lenders.
Loan amounts
$1,001 minimum, up to the school certified cost of attendance
Eligibility
Loans are available to Indiana residents only. Borrowers must have a FICO score of 670 or higher, a 30% maximum debt-to-income ratio or minimum monthly income of $3,333, continuous employment over two years, and no major collections or defaults in recent years. Borrowers who do not meet income or credit requirements can apply with a cosigner.
Loan Amounts
$1,500 up to school’s certified cost of attendance less aid
Overview
Massachusetts Educational Financing Authority (MEFA) is a not-for-profit lender that offers low-cost undergraduate and graduate school loans to students nationwide. While only fixed-rate loans are available, interest costs may be lower than what you see with other private loans.
While you can apply with a cosigner to lock in the best rate possible, removing that cosigner later may be tough. Only one repayment plan allows cosigner release, and you must make four years of consecutive on-time payments and meet other credit and income requirements to qualify.
Loan amounts
$1,500 minimum up to school-certified cost of attendance
Eligibility
Must be a U.S. citizen or permanent resident, enrolled at least half time at a degree-granting, nonprofit institution, and must maintain satisfactory academic progress. Must have no history of default on an education loan and no history of bankruptcy or foreclosure in the past 60 months. Applicants who can’t meet the minimum credit and income requirements may apply with a cosigner.
Loan Amounts
$1,000 up to 100% of school-certified cost of attendance
Overview
Sallie Mae offers the Smart Option Student Loan to undergraduate and graduate students. You can borrow up to your school-certified cost of attendance and apply just once annually to get the funds you need for the entire academic year. Plus, it may be easy to get reapproved for your future years of study — undergraduates have a 97% approval rate when they return to Sallie Mae with a cosigner.
Through Sallie Mae, you can find a variety of loans designed for specific needs, including loans for MBA programs, law school, bar study, medical school, medical residency, dental programs, dental residency, and other health profession programs. However, this lender no longer offers a career training loan.
Loan terms
10 to 15 years for Smart Option Student Loan; up to 15 years for law school and bar study loans; up to 20 years for medical school, medical residency, dental school, dental residency, and health professions loans
Loan amounts
$1,000 up to school-certified cost of attendance
Eligibility
Must be a U.S. citizen or permanent resident enrolled in an eligible program. Noncitizens may qualify by applying with a cosigner who’s a U.S. citizen or permanent resident.
Ascent
Ascent offers student loans from $2,001* to $400,000 with repayment terms from five to 20 years. Additionally, borrowers who complete their degree within five years could be eligible for a 1% cashback graduation reward.
Min. Credit Score
Does not disclose
Variable APR
6.22 - 16.08%
Loan Amount
$2,001* to $400,000
No application or origination fees
Autopay discounts of 0.25 to 1.00 percentage points
1% cash back reward at graduation
Extended grace periods of 9 to 36 months
Doesn’t offer parent loans or refinance loans
Higher interest rates than some competitors
International students can’t release their cosigner
Overview
Ascent offers several unique borrowing options that you don’t typically see with private lenders. In addition to traditional student loans for undergraduate, graduate, and medical programs, college juniors and seniors may qualify for its Outcomes-Based Loan — which doesn’t require established credit or a cosigner. Instead, Ascent reviews alternate factors such as your school, major, and GPA to determine your eligibility.
Ascent also offers a wide range of loan terms and repayment plans to choose from. You may even qualify for its Progressive Repayment plan, which allows you to start with small payments that gradually increase over time. Borrowers who use a cosigner can release them after as few as 12 payments, though international students don’t qualify for this option.
Loan terms
5, 7, 10, 12, 15, or 20 years
Loan amounts
$2,001 minimum up to your school’s annual cost of attendance; lifetime limits of $200,000 for undergrads and $400,000 for graduates
Eligibility
Must be a U.S. citizen or DACA student enrolled at least half time at an eligible institution. International students with a qualified cosigner may also qualify. Applicants who can’t meet financial, credit, or other requirements may qualify with a cosigner.
Pros
- 1% cashback graduation reward
- 0.25% autopay discount
- Cosigner release offered after 24 consecutive, on-time payments
Cons
- $200,000 aggregate limit, which might not be enough if you plan to transfer from community college to another more expensive program
- Ascent Non-Cosigned Future Income-Based Loans not available for community college students
- Must have at least two years of sufficient credit history to apply without a cosigner
Citizens
With Citizens, you can borrow as little as $1,000 up to 100% of your school’s cost of attendance with terms from five to 15 years.
If you already have an account with Citizens, you could get a 0.25% rate discount — plus another 0.25% off your rate if you sign up for automatic payments.
Variable APR
6.97 - 15.03%
Loan Amount
$1,000 to $350,000 (depending on degree)
Multiyear approval for qualifying applicants
Lends to international students with an eligible cosigner
Customized loans for various programs and parents
Autopay and loyalty discounts
Parent loans don’t have deferred payment option
Limited loan terms to choose from
Relatively long cosigner release requirement
No option to prequalify with a soft credit check
Overview
Citizens offers a variety of student loan types, including loans for undergraduates, graduate students, and parents. Perhaps the most unique feature of Citizens student loans is the option for multiyear approval. If you qualify, you can apply once and borrow for future years with a more streamlined process that only involves a soft credit inquiry.
Student borrowers can defer payments while in school and for six months after graduating. You can also score a 0.25 percentage point reduction on your interest rate for setting up autopay, as well as an additional 0.25 percentage point loyalty discount if you or your cosigner already have a qualifying account with Citizens.
Loan terms
5, 10, or 15 years for student loans; 5 or 10 years for parent loans
Loan amounts
$1,000 minimum, up to a maximum of $150,000 for undergraduate and graduate degrees; $250,000 for MBA and law; and $180,000 or $350,000 for health care student loans, depending on the degree type
Eligibility
Must be a U.S. citizen or permanent resident enrolled at least half-time in a degree-granting program at an eligible institution. International students can apply with a cosigner who’s a U.S. citizen or permanent resident.
Pros
- 0.25% autopay discount
- 0.25% loyalty discount
- No application, origination, or disbursement fees
Cons
- Might be hard to qualify if you don’t have good credit
- Doesn’t disclose minimum income requirements
- Long cosigner release period (36 months)
College Ave
College Ave student loans range from $1,000 up to 100% of your school-certified cost of attendance (minus any other financial aid you’ve received) with terms from five to 15 years.
Additionally, parent borrowers have the option to receive up to $2,500 of the loan directly, allowing you to control your child’s spending on various expenses.
Min. Credit Score
Does not disclose
Variable APR
5.59 - 16.69%
Loan Amount
$1,000 up to 100% of the school-certified cost of attendance
Autopay discount of 0.25 percentage points
No application or origination fees
Multiyear approval available
Graduate, MBA, law, dental, and medical school loans have grace periods between 9 and 36 months
Parent borrowers must make at least interest-only payments while student is in school
Must complete half your repayment term before you’re eligible for cosigner release
Overview
College Ave offers a wide range of in-school loans for nearly every type of degree. There are a number of repayment options, and borrowers can choose a unique eight-year repayment term. Plus, graduate, dental, and medical students receive extended grace periods.
You may get easy funding for multiple years — 90% of undergraduates are approved for additional student loans when they apply with a cosigner. However, it can be difficult to remove a cosigner for your loan later on, as you must complete at least half of your repayment term before becoming eligible. That’s significantly longer than some lenders, which may only require one to two years of payments before releasing a cosigner.
Loan terms
5, 8, 10, or 15 years for most borrowers (law, dental, medical, and other health profession students have up to 20 years)
Loan amounts
$1,000 minimum up to your school’s annual cost of attendance; lifetime limits depend on your degree and credit profile
Cosigner release
After half of the scheduled repayment period has elapsed
Eligibility
Must be a U.S. citizen or permanent resident at an eligible institution. International students with a Social Security number and a qualified cosigner may also qualify. Applicants who can’t meet financial, credit, or other requirements may qualify with a cosigner.
Pros
- Might be able to borrow up to your school’s cost of attendance
- 0.25% autopay discount
- No application, origination, or disbursement fees
Cons
- Doesn’t disclose minimum income or credit requirements
- Can’t apply for cosigner release until more than half of the repayment term has elapsed
- Income for the past two years must be more than twice your outstanding loan balance to qualify for cosigner release
Custom Choice
The Custom Choice Loan is available from $1,000 to $99,999 annually ($180,000 aggregate limit) with a three- or five-year term. Also, you could get a 2% principal reduction on your loan if you graduate with at least a bachelor’s degree.
Min. Credit Score
Does not disclose
Variable APR
5.38 - 15.56%
Loan Amount
$1,000 to $99,999 annually ($180,000 aggregate limit)
2% reduction of your principal balance upon graduation
0.25 percentage point discount on interest rate for autopay
No fees — not even late fees
Option to check your rates through online prequalification
No loan options for parents or international students
Only three loan term options of 7, 10, or 15 years
Minimum income and credit score requirements not disclosed
Overview
Powered by Cognition Financial, Custom Choice offers student loans for undergraduate and graduate students starting at $1,000. You can borrow up to $99,999 per year with a total aggregate limit of $180,000.
If you apply with a cosigner, you may be able to release them from your loan after 36 on-time payments. You can also receive a 0.25 percentage point discount on your interest rate by setting up autopay, as well as a 2% reduction of your principal balance after graduating.
Custom Choice doesn’t charge application, origination, prepayment, or late fees. It also lets you pause payments through forbearance if you qualify for its natural disaster or unemployment protection programs.
Loan amounts
$1,000 to $99,999 per year (lifetime limit of $180,000)
Eligibility
Must be a U.S. citizen or permanent resident at an eligible institution. You must also meet Custom Choice’s underwriting criteria for income and credit, or apply with a cosigner who does. Eligible noncitizens such as DACA residents can also qualify by applying with a cosigner who’s a U.S. citizen or permanent resident.
Pros
- 0.25% autopay discount
- Offers small loan amounts
- Can use loan funds to cover past-due balances
Cons
- Doesn’t disclose minimum income requirements
- Limited repayment terms (only three or five years)
- Not available in Arizona, Iowa, or Wisconsin
INvestEd
If you live in or attend school in Indiana, INvestEd might be a good option for private student loans. You can borrow $1,001 up to 100% of your school’s cost of attendance (minus any other financial aid you’ve received) with terms from five to 15 years.
Variable APR
7.75 - 11.79%
Loan Amount
$1,001 up to 100% of school certified cost of attendance
Low minimum borrowing limits
Autopay discount of 0.25 percentage points
Short cosigner release requirements
Transparent qualification requirements
Loans are available only to Indiana residents
No prequalification option to view your rates
No loan options for international students
Overview
INvested is an Indiana company that offers affordable student loans exclusively to state residents. Loans are available to Indiana students and parents who can meet income and credit requirements, or who have an eligible cosigner. Borrowers can borrow as little as $1,001 or as much as the school-certified cost of attendance minus other aid.
INvested provides detailed information on eligibility so borrowers can quickly determine whether to apply for a loan — however, there’s no option to prequalify with a soft credit check. Cosigner release is also available after just 12 on-time payments, considerably shorter than many other lenders.
Loan amounts
$1,001 minimum, up to the school certified cost of attendance
Eligibility
Loans are available to Indiana residents only. Borrowers must have a FICO score of 670 or higher, a 30% maximum debt-to-income ratio or minimum monthly income of $3,333, continuous employment over two years, and no major collections or defaults in recent years. Borrowers who do not meet income or credit requirements can apply with a cosigner.
Pros
- Might be able to borrow up to your school’s cost of attendance
- 0.25% autopay discount
- Offers college planning and financial aid resources to help students and families
Cons
- Only available to borrowers living or attending school in Indiana
- Long cosigner release period (48 months)
- Charges late and returned payment fees
MEFA
The Massachusetts Educational Financing Authority (MEFA) offers fixed-rate loans from $1,500 or $2,000 (for a public or private school, respectively) up to your school-certified cost of attendance (minus any other financial aid you’ve received).
Borrowers with Good Credit
Loan Amount
$1,500 up to school’s certified cost of attendance less aid
No fees whatsoever
Competitive interest rates
Can borrow up to the cost of attendance
Flexible repayment options
No rate discounts available
No variable interest rates
Only two repayment terms
Strict cosigner release requirements
Can’t prequalify with a soft credit check
Overview
Massachusetts Educational Financing Authority (MEFA) is a not-for-profit lender that offers low-cost undergraduate and graduate school loans to students nationwide. While only fixed-rate loans are available, interest costs may be lower than what you see with other private loans.
While you can apply with a cosigner to lock in the best rate possible, removing that cosigner later may be tough. Only one repayment plan allows cosigner release, and you must make four years of consecutive on-time payments and meet other credit and income requirements to qualify.
Loan amounts
$1,500 minimum up to school-certified cost of attendance
Eligibility
Must be a U.S. citizen or permanent resident, enrolled at least half time at a degree-granting, nonprofit institution, and must maintain satisfactory academic progress. Must have no history of default on an education loan and no history of bankruptcy or foreclosure in the past 60 months. Applicants who can’t meet the minimum credit and income requirements may apply with a cosigner.
Pros
- Might be able to borrow up to your school’s cost of attendance
- Fixed rates mean your payments won’t ever change
- No application, origination, or disbursement fees
Cons
- Doesn’t offer variable rates
- Long cosigner release period (48 months)
- Cosigner release available only on 15-year undergraduate loans with deferred payments
Learn More: How to Get a Student Loan in 3 Easy Steps
Sallie Mae
With Sallie Mae, you can borrow $1,000 up to 100% of school-certified cost of attendance with terms from 10 to 20 years. Additionally, borrowers can apply for cosigner release after just 12 months of consecutive, on-time payments.
Min. Credit Score
Does not disclose
Variable APR
6.37 - 16.70%
Loan Amount
$1,000 up to 100% of school-certified cost of attendance
Can borrow up to school-certified cost of attendance
No prepayment or origination fees
Loans available to noncitizens with an eligible cosigner
Cosigner release after 12 on-time payments
No parent loan options
No option to check your rates through prequalification
Loan terms not disclosed until after you apply
Overview
Sallie Mae offers the Smart Option Student Loan to undergraduate and graduate students. You can borrow up to your school-certified cost of attendance and apply just once annually to get the funds you need for the entire academic year. Plus, it may be easy to get reapproved for your future years of study — undergraduates have a 97% approval rate when they return to Sallie Mae with a cosigner.
Through Sallie Mae, you can find a variety of loans designed for specific needs, including loans for MBA programs, law school, bar study, medical school, medical residency, dental programs, dental residency, and other health profession programs. However, this lender no longer offers a career training loan.
Loan terms
10 to 15 years for Smart Option Student Loan; up to 15 years for law school and bar study loans; up to 20 years for medical school, medical residency, dental school, dental residency, and health professions loans
Loan amounts
$1,000 up to school-certified cost of attendance
Eligibility
Must be a U.S. citizen or permanent resident enrolled in an eligible program. Noncitizens may qualify by applying with a cosigner who’s a U.S. citizen or permanent resident.
Pros
- Might be able to borrow up to your school’s cost of attendance
- 0.25% autopay discount
- Cosigner release available after just 12 months
Cons
- Doesn’t disclose minimum income or credit requirements
- Rates can be higher compared to other lenders
- Charges late fees
Also see: 7 Student Loans with Cosigner Release
If you’re ready to take out a student loan for community college, follow these four steps:
- Fill out the FAFSA. Community college students are eligible for federal financial aid just like students of four-year colleges — which means your first step should be filling out the Free Application for Federal Student Aid (FAFSA). Your school will use your FAFSA results to determine what federal student loans and other federal aid you’re eligible for.
- Apply for scholarships and grants. Unlike student loans, college scholarships and grants don’t have to be repaid. Additionally, there’s no limit to how many you can get, so be sure to apply for as many scholarships and grants as possible. You might also qualify for scholarships from your school depending on your FAFSA information.
- Accept federal student loans. Once you fill out the FAFSA, your school will send you a financial aid award letter detailing what federal student loans and other federal financial aid you’re eligible for. You can then choose which aid you’d like to accept.
- Use private loans to fill the gaps. After you’ve exhausted scholarship, grant, and federal student loan options, private student loans can help fill any financial gaps left over. Be sure to consider as many lenders as you can to find a private student loan that best suits your needs.
Tip: You’ll typically need good to excellent credit to qualify for a private student loan. A good credit score is usually considered to be 700 or higher.
If you’re struggling to get approved, consider applying with a cosigner to improve your chances. Even if you don’t need a cosigner to qualify, having one could get you a lower interest rate than you’d get on your own.
See: The Pros and Cons of Student Loans: Are They Worth It?
Check Out: Fixed- or Variable-Rate Student Loan: Which Is Right for You?
Federal student loans vs. private student loans
While both federal and private student loans could help you pay for a community college program, here are important differences between the two to keep in mind:
- Federal student loans are offered by the Department of Education and come with fixed interest rates set by Congress. Additionally, federal student loans provide federal benefits and protections, such as access to income-driven repayment plans and student loan forgiveness programs.
| | | |
|---|
| Undergrad students with financial need | | $3,500 to $5,500 per year |
Direct Unsubsidized Loans | Undergrad, graduate, and professional students | Undergrad: 3.73%*
Graduate and professional: 5.28%* | Dependent undergrad: $5,500 to $7,500 per year ($31,000 total limit)
Independent undergrad: $9,500 to $12,500 per school year ($57,500 total limit)
Graduate and professional: $20,500 per year
($138,500 total limit) |
| | | Cost of attendance minus any other financial aid received |
| Undergrad, graduate, and professional students with:
- Good credit (or a creditworthy cosigner)
- Verifiable income
- Low debt-to-income ratio
| | Up to school’s cost of attendance
(depending on the lender) |
*Federal student loan rates for the 2021-22 academic school year. |
What can student loans be used for?
Student loans can be used to cover a variety of education expenses, including:
- Tuition
- Fees
- Books and supplies
- Room and board (on or off campus)
- Living expenses
- Transportation
Tip:
If you decide to take out a student loan to cover your costs, be sure to borrow only what you need. This way, you can keep your future costs as low as possible.
Yes, community college students can get student loans. However, keep in mind that there are different requirements for federal and private student loans.
To be eligible for a federal student loan, you must:
- Demonstrate financial need (for most programs)
- Be a U.S. citizen or eligible noncitizen
- Have a valid Social Security number
- Be enrolled or accepted for enrollment in an eligible degree or certificate program
- Be enrolled at least half-time at an accredited school
To qualify for a private student loan, you’ll typically need:
- Good to excellent credit (or a creditworthy cosigner)
- Verifiable income
- Low debt-to-income ratio
Keep in mind:
There might be further eligibility requirements depending on the type of student loan as well as the lender.
Learn More: Cosmetology School Student Loans
As of 2021, there are 19 states that offer tuition-free community college via grant programs. Some states provide first-dollar funding, which provides tuition fee waivers regardless of any other financial aid the student has received.
And other states offer last-dollar funding, which fills financial gaps left over after the student after the student applies for other financial aid.
Keep in mind:
These programs only pay for tuition, meaning you might need to pay for additional educational expenses, such as room and board.
Here are the states that provide tuition-free programs:
Keep in mind:
If you plan to pursue a bachelor’s degree, consider using the “2+2” strategy — where you attend community college for two years and then transfer to a four-year school. This approach could cut your education expenses in half.
Meet the expert:
Emily Guy Birken
Emily Guy Birken is a Credible authority on student loans and personal finance. Her work has been featured by Forbes, Kiplinger's, Huffington Post, MSN Money, and The Washington Post online.
