Lana Oconnell
Prodigy Finance is an online lender that provides loans to international graduate students without requiring a co-signer or collateral. The company assesses the student's potential future income, their credit profile, and their selected academic program to evaluate a loan application. While Prodigy Finance does not require a minimum credit score, applicants are required to submit official credit reports from their home country as part of their application. This allows Prodigy Finance to consider the student's credit profile and history when assessing the loan application.
| Characteristics | Values |
|---|---|
| Credit score requirement | No minimum credit score required |
| Credit report requirement | Yes, from the applicant's home country |
| Credit history requirement | Yes, as part of the applicant's credit profile |
| Credit check type | Soft credit check |
| Credit score range | Varies between countries |
| Credit score expression | Numerical expression of creditworthiness |
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What You'll Learn
Credit score vs credit history
Prodigy Finance provides loans to international graduate students pursuing business, engineering, law, and public policy degrees. The company assesses applicants based on their potential, in addition to their financial and credit history. While Prodigy Finance looks at an applicant's previous salary, the loan amount offered is based on their potential earnings post-graduation.
Now, let's discuss the difference between credit score and credit history:
Your credit score is a three-digit number that indicates your creditworthiness. It is calculated using the information in your credit report, including payment history, amount of current debt, length of credit history, new credit, and types of credit used. This score is used by financial institutions to decide whether to offer you a loan or credit card and to determine interest rates and credit limits. You have multiple credit scores, calculated differently by various companies, and they change constantly based on your financial activities.
Your credit history, on the other hand, is the detailed information contained in your credit report. It includes credit accounts, balances due, payment history, bankruptcies, overdue debt, foreclosures, liens, and judgments. The three main credit reporting agencies in the United States (Equifax, Experian, and TransUnion) collect and update this information regularly. Your credit report also shows inquiries or instances when a lender has requested a copy of your report when you apply for a loan or credit.
While your credit score is a numerical representation of your creditworthiness, your credit history is the comprehensive collection of data that forms the basis of that score. Your credit score is dynamic and can change frequently, whereas your credit history is a record of your past credit behaviour and activities.
It is important to note that in the context of Prodigy Finance's loan application process, they consider both your credit profile and other factors such as pre-study salary, university acceptance, and future income. Therefore, even if you have a strong credit history and a good credit score, other factors will also influence their lending decision.
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Credit report requirements
To apply for a Prodigy Finance student loan, you must submit an official credit report from the credit agencies in your home country. This is because Prodigy Finance uses credit reports to assess an applicant's creditworthiness and credit obligation. Credit scores are numerical expressions that show how creditworthy an individual is.
Credit scores are usually expressed as a number on a scale that demonstrates an individual's creditworthiness. The scale varies between countries and sometimes between the credit bureau responsible for data collection. In the US, for example, the FICO score ranges between 300 and 850, with anything over 720 considered excellent.
Prodigy Finance does not require a minimum credit score to qualify for a loan. However, it does consider an applicant's credit profile and credit history, along with other factors such as pre-study salary, university acceptance, and future income.
To obtain a credit report, you can reach out to the credit agencies in your home country. For instance, students in India can obtain their credit reports from Experian or CIBIL.
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Creditworthiness
Prodigy Finance requires international students to submit an official credit report from their home country as part of their loan application. This credit report is a detailed history of an individual's financial life, including their payment history, debt ratio, length of credit history, types of credit, and hard credit inquiries. It provides a numerical expression of an individual's creditworthiness, with higher scores indicating higher creditworthiness.
The credit report helps Prodigy Finance understand an applicant's credit obligations and financial reliability. It reflects how much debt an individual has taken out, their history of repaying bills on time, and any adverse actions due to failure to meet debt obligations. This information is crucial for Prodigy Finance to assess the risk associated with lending to each applicant.
While credit history is an essential factor, Prodigy Finance also considers other criteria beyond traditional lending. The company evaluates an applicant's future earning potential, academic program, and pre-study salary. This comprehensive assessment allows Prodigy Finance to offer loans to international students who may not meet traditional lending requirements but demonstrate strong future income potential.
It is important to note that credit scores and credit reports may vary between countries and credit bureaus. Therefore, the specific requirements and weightage of creditworthiness in Prodigy Finance's evaluation process can differ based on an applicant's country of residence.
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Credit score range
Credit scores are calculated using the information in a person's credit reports, and they tell lenders about their creditworthiness—how likely they are to pay back a loan based on their credit history. Credit scores influence the credit available to a person and the terms (interest rate, etc.) that lenders may offer.
FICO Scores are the standard for credit scores—used by 90% of top lenders—and most credit scores have a range of 300 to 850. A "good" credit score is considered to be in the range of 670 to 739. Scores above that are considered "very good" or "exceptional". The minimum credit score required to buy a house, for example, could range from around 500 to 700, depending on the type of mortgage loan and the lender.
Prodigy Finance offers loans to international graduate students pursuing business, engineering, law, and public policy degrees. The company assesses applicants based on their potential, in addition to their financial and credit history. The interest rate on a Prodigy Finance loan is personalized and based on a range of factors, including credit history. To apply for a Prodigy Finance loan, you'll need a credit report and must pass KYC (Know Your Customer), AML (Anti-Money Laundering), and PEP (Politically Exposed Person) checks.
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Credit score checks
Prodigy Finance offers loans to international graduate students based on criteria beyond traditional lending. The company assesses applicants based on their potential, in addition to their financial and
When applying for a Prodigy Finance loan, students are required to provide official credit reports from their home country. This is a detailed history of their financial life, including their payment history, debt ratio, length of credit history, types of credit, and hard credit inquiries. Credit scores are numerical expressions that demonstrate an applicant's creditworthiness.
Prodigy Finance does not require a minimum credit score, nor do they require applicants to have a co-signer, guarantor, or collateral. Instead, they focus on the student's future income, academic program, and credit profile.
The interest rate offered by Prodigy Finance is personalized and based on a range of factors, including the applicant's credit history. The rate is a combination of a fixed and variable rate, which can impact the overall repayment amount.
It is important to note that credit scores can vary between countries and even between credit bureaus within the same country. Therefore, it is recommended to check the specific requirements and scales used in the applicant's home country or region.
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Frequently asked questions
A credit score is a numerical expression of an individual's creditworthiness. It is a reflection of one's financial health and is based on their payment history, debt ratio, length of credit history, types of credit, and hard credit inquiries. Prodigy Finance uses credit scores to understand an applicant's creditworthiness and financial reliability.
Prodigy Finance considers an applicant's credit profile, future income, and selected academic program when assessing a loan application.
You must submit an official credit report from the credit agencies in your home country. Additionally, you may need to provide employment details, bank statements, and proof of any savings, scholarships, or sponsorships.
Prodigy Finance does not disclose a minimum credit score requirement. They consider each applicant's overall financial profile and future earning potential rather than just their current financial situation or credit score.
To improve your chances of obtaining a Prodigy Finance loan, ensure you meet their eligibility criteria. Provide all the required documents, including a credit report, and demonstrate strong financial health and a positive credit history. Additionally, consider applying to schools and programs supported by Prodigy Finance, as they have specific lending partnerships with these institutions.
