Ibrahim Gardner
Studying abroad can be a life-changing experience, offering the chance to meet new people, explore different cultures, and gain valuable skills. However, it can also be expensive, with costs including tuition, travel, accommodation, and visas. So, can you use student loans to fund your studies overseas? The short answer is yes. Both federal financial aid and private student loans can help cover the costs of studying abroad. Federal student loans, such as Direct Subsidized and Unsubsidized Loans, are available to eligible students, while private lenders also offer loans for international studies, often requiring a creditworthy cosigner. Scholarships, grants, and other forms of financial aid are also worth considering to minimize debt.
| Characteristics | Values |
|---|---|
| Average cost of studying abroad | $15,000 per semester |
| Cost components | Tuition, travel, visas, living expenses, vaccinations, etc. |
| Federal financial aid | Direct Subsidized, Direct Unsubsidized, Grad PLUS, Parent PLUS, Pell Grants |
| Private student loans | Available from multiple lenders |
| Scholarships | SITA, CIEE, AIFS Abroad, CEA CAPA Education Abroad, etc. |
| Grants | Available from the State Department’s USA StudyAbroad website |
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Federal student loans
Studying abroad can be a life-changing experience, but it can also be expensive. Federal student loans can help to cover these costs, but it depends on the school you plan to attend. Many international schools participate in the US federal student aid program, and you can check if your school of choice is one of them. The US Department of Education maintains a list of international schools that participate, which is updated quarterly. As of the most recent update in July 2021, more than 760 foreign colleges and universities were listed as participants.
If your school is on the list, you can apply for federal student loans by completing the Free Application for Federal Student Aid, or FAFSA. The form is the same regardless of where you're attending school. Once you have submitted your FAFSA, you will receive a Student Aid Report (SAR) that will confirm your details and tell you how much you can borrow in loans. One of the major benefits of borrowing loans to study abroad through the US government is the flexible repayment. Once you graduate, you have a grace period of six months before you need to start repaying your loans. There are several different payment plans, including one that is based on your income so that your payments remain affordable.
If federal financial aid can't pay for all your study abroad costs, private student loans can help cover the rest. However, private loans should be a last resort as they typically don't include the same benefits and protections as federal student loans.
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Private student loans
Sources of Financial Aid
Before applying for a private student loan, it is advisable to explore other sources of financial aid, such as scholarships, grants, and work-study opportunities. Scholarships and grants are forms of gift aid that you don't have to repay, and they can significantly reduce your need for student loans. These can be offered by your school, non-profit organisations, government agencies, or private companies. Additionally, you can fill out the Free Application for Federal Student Aid (FAFSA) to apply for federal student loans and grants. Federal student loans, such as Direct Subsidized and Direct Unsubsidized loans, can provide funding for your study abroad program if your selected school participates in the federal student loan program.
Private Student Loan Options
If federal financial aid and scholarships do not fully cover your study abroad expenses, private student loans can help bridge the gap. Many private lenders offer loans specifically for studying abroad, understanding the importance of international education. These loans can cover up to 100% of the school-certified cost of attendance, including tuition, travel fees, and living expenses. It is important to research and compare different lenders to find favourable interest rates, flexible repayment options, and excellent customer support. Private student loans have varying repayment options, and it is crucial to review the loan terms to understand when repayment will begin. Some loans may require repayment during your studies, while others may offer a grace period until after graduation.
Eligibility and Requirements
To be eligible for a private student loan, you may need to meet specific criteria set by the lender. For instance, some lenders require borrowers to be U.S. citizens or permanent residents, have a valid social security number, and pass a credit check. Additionally, your chosen study abroad program and international school must be accredited and recognised by the United States Secretary of Education. It is essential to carefully read the terms and conditions of the loan before making any commitments.
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Scholarships
The South India Term Abroad (SITA) Scholarship
The SITA scholarship provides up to $5,000 to undergraduate students studying abroad, with preference given to students who wish to study in India.
Benjamin A. Gilman International Scholarship Program
Sponsored by the U.S. Department of State, the Benjamin A. Gilman scholarship provides grants to U.S. undergraduates with limited financial means to diversify the population of students going abroad. This scholarship also includes the John McCain International Scholarship, which supports children of active-duty military personnel.
Critical Language Scholarship (CLS) Program
The CLS Program provides fully-funded intensive summer language institutes overseas in fifteen critical languages.
Boren Scholarship,
The Boren Scholarship, part of the National Security Education Program, provides funding for U.S. undergraduate students to study less commonly taught languages in world regions critical to U.S. interests and underrepresented in study abroad, including Africa, Asia, Central and Eastern Europe, Eurasia, Latin America, and the Middle East.
Fulbright-Hays Doctoral Dissertation Research Abroad (DDRA) Fellowship Program
The Fulbright-Hays DDRA Fellowship Program provides opportunities for doctoral candidates to engage in full-time dissertation research abroad in modern foreign languages and area studies, excluding Western Europe.
Dr. Nancy Foster Scholarship Program
The Dr. Nancy Foster Scholarship Program encourages independent graduate-level research in NOAA mission-related sciences, particularly targeting female and minority students in oceanography, marine biology, and maritime archaeology.
University Studies Abroad Consortium (USAC) Scholarships
USAC awards students demonstrating significant financial need with scholarships to support their study abroad aspirations. Their scholarship offerings include General Scholarships, Legacy Scholarships, and Program-Specific Scholarships.
The Intern Group Grants
The Intern Group offers four full-ride grants for students and recent graduates interested in interning remotely in Dublin, Latin America, Australia, or Shanghai during the summer or fall.
CEA Study Abroad Scholarships
CEA provides financial aid of more than $2 million annually to students for study abroad programs. Their scholarships are based on merit, need, and diversity.
The American Institute for Foreign Study Scholarships
The American Institute for Foreign Study awards deserving students with more than $800,000 in financial aid for summer and semester study programs abroad.
School for International Training (SIT) Scholarships
SIT offers a range of scholarships and grants that can be applied toward tuition and housing accommodation costs for students during their time abroad.
Turkish Coalition of America (TCA) Study Abroad Scholarship
The TCA Scholarship offers $2,000 grants to Bosnian American students who wish to study abroad in Turkey and are full-time students at an accredited U.S. college or university.
Ted & Holly Rollins Scholarship
The Ted & Holly Rollins Scholarship is awarded to high school seniors based on compelling essays about their life story, intended field of study, career aspirations, and how they will impact the world.
Committee on Minority Scholarships of the Society for Classical Studies (SCS)
The SCS invites applications from minority undergraduate students for the Frank M. Snowden Jr. Undergraduate Scholarships for classical summer programs, field schools in the Mediterranean, or language training.
Architecture and Design Foundation Scholarships
The Architecture and Design Foundation (AD EX) awards scholarships and travel/research fellowships to support high school and college architecture students and young architects.
Syracuse University Scholarships
Syracuse University offers scholarships for specific study abroad experiences to undergraduate students participating in semester programs.
German Studies Research Grants
This specialized DAAD program offers grants to highly qualified undergraduate and graduate students nominated by their department/program chairs for short-term research in Germany.
Churchill Scholarship
The Churchill Scholarship offers American students the opportunity to attend the University of Cambridge for a one-year Master's degree.
Remember to research the eligibility criteria and application requirements for each scholarship, as they may vary. Good luck with your study abroad journey!
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Grants
Studying abroad can be expensive, with the average cost being about $15,000 per semester, not including travel and visa costs. However, there are grants available to help students manage the financial burden.
The Benjamin A. Gilman International Scholarship Program supports U.S. undergraduate students of limited financial means to study or intern abroad. The Critical Language Scholarship (CLS) Program provides fully-funded intensive summer language institutes overseas in fifteen critical languages. The National Science Foundation (NSF) also supports international research and education through travel grants, summer institutes, workshops, and research and education projects.
The South India Term Abroad (SITA) Scholarship provides up to $5,000 to undergraduate students studying abroad, with preference given to students wishing to study in India. Semester at Sea offers the Inclusive Engagement Scholarship, which awards $5,000 and covers flights for underrepresented identities, including racial/ethnic minorities, students with disabilities, first-generation students, low-income students, LGBTQIA+ students, religions, and veterans. The Verto Education Opportunity Grant can reduce tuition by up to $15,000, based on Expected Family Contribution. The Global Access Initiative (GAIN) Travel Grant helps cover airfare for students who demonstrate financial need, and all students who receive a Federal Pell Grant are guaranteed this grant.
Other grants include the IFSA Diversity Scholarship, the Fund for Education Abroad (FEA) for students with financial need, and the Boren Scholarship, which provides up to $20,000 to U.S. undergraduate students studying in areas underrepresented in study abroad, including Africa, Asia, Central & Eastern Europe, Eurasia, Latin America, and the Middle East.
Students should contact their school's financial aid office to learn more about grants and other sources of funding for studying abroad.
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Financial aid
Studying abroad can be a life-changing experience, but it can also be expensive. The average cost of studying abroad is about $15,000 per semester, and there are other expenses to consider, such as travel, visas, and living expenses. However, there are several financial aid options available to help make studying abroad more affordable.
One option is to apply for scholarships and grants, which are forms of gift aid that you don't have to repay. The State Department's USA Study Abroad website lists dozens of study abroad scholarships offered by the US and foreign governments. Your home institution's study abroad office may also have a list of suggested scholarships. Additionally, you can typically use the need-based Pell Grant to pay for study abroad, as long as your program takes place during a standard academic term.
Another option is to take out federal student loans, which offer flexible repayment plans. Direct Subsidized Loans are available to undergraduate students with significant financial needs, while Direct Unsubsidized Loans are available to undergraduate and graduate students regardless of financial need. Grad PLUS loans are available to graduate students, and Parent PLUS loans are available to parents borrowing on their child's behalf. To get the maximum amount of federal financial aid, fill out the Free Application for Federal Student Aid (FAFSA).
If federal financial aid and scholarships are not enough to cover your costs, you can consider taking out private student loans. Many private lenders will issue loans to pay for programs in other countries, but it's important to note that private loans tend to have less flexible repayment terms than federal loans. Private lenders typically require a credit check, and if you don't have a credit history, you will need a co-signer with good credit who is willing to take on your debt if you can't repay it.
Finally, don't forget to check with your school's financial aid office, as they should know about any loan programs available to their study abroad students. They can also help you determine your maximum loan amount and what expenses can be included in your loan.
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Frequently asked questions
Yes, you can use federal financial aid or take out a private loan to fund your studies abroad.
To qualify for a federal student loan, you must fill out the FAFSA (Free Application for Federal Student Aid) form. For private loans, most lenders require a credit check, and if you don't have a credit history, you will need a co-signer.
The average cost of studying abroad is about $15,000 per semester, but there are also other expenses to consider, such as travel, visas, and living expenses.
Yes, there are scholarships, grants, and other types of financial aid available specifically for students studying abroad. You can also use your savings or income-based repayment plans to fund your studies.
