Liza Lambert

Bad Credit

Once you have many student loans bulking up one after another you will realize that it's going to be tough to pay them all at once, making your credit score drop a few points. That's not something you want. Even worse if your credit score is already in the low end. That is why many institutions offer you student loans regardless of credit history.

The lower your credit score, the more interest rates you will have. That is something that can be avoided with non credit based student loans. Why? Because there are two types of student loans without credit check. There are secured student loans, and unsecured student loans. We want to aim for a secured student loan.

Secured Student Loans Without Credit Check

With a secured student loan you can get your loan by guaranteeing you will pay it off in the time previously agreed on with something you own. This will prevent high interests and a greater chance for you to pay it off.

Student loans no credit check not only prevent high interest student loans, but you can also rise your FICO score if you determine yourself to pay your quotes in time. It's much easier with a secured non credit check student loan because your payments are low.

Consolidate Student Loans

An once you have a considerable amount of loans, you can consider to consolidate student loans because it will become quite a hassle to manage them all and you'll have a bunch of receipts etc... with consolidated student loans you can manage them all with one simple receipt and extend the repaying time by 10a years!

Two More Reasons to Consolidate Student Loans

It was mentioned above that the rate on a consolidated loan is lower than the rate on each of the original loans. Besides being lower, that rate is also fixed. The rate on a Stafford or Perkins Loan is variable. The rate on a consolidated loan does not change during the course of the loan.

A student with a consolidated loan does not need to spend time keeping track of the payment schedule for two, three or more loans. That student loan recipient can just make a single monthly payment. Often the student elects to make that single payment through an automatic debit.