Are you considering taking an international student loan for your studies abroad? You might be wondering what are the expenses covered by international student loans?
Typically, international student loans cover expenses such as:
- Tuition fees
- Textbooks and supplies
- Room and board
- Airfare and transportation
- Other education-related expenses
The exact expenses that student loans cover can vary depending on the specific loan program and the policies of the school or lender.
Let’s take a more in-depth look at the expenses covered by international student loans.
Tuition fees are a significant component of the overall cost of higher education abroad. Tuition fees for international undergraduate and graduate students in the United States can vary greatly depending on:
- The institution
- Program of study
- The student’s residency status
In general, international students can expect to pay higher tuition fees than U.S. residents. According to the Institute of International Education’s “Open Doors” report, the average tuition and fees for international undergraduate students at U.S. colleges and universities in the 2020-2021 academic year was $27,820.
However, this figure can vary widely depending on the institution, with some private universities charging over $50,000 per year.
Fortunately, international student loans are primarily meant to help students cover tuition fees.
However, it’s important for students to carefully consider the terms and conditions of any loan before taking on debt, as high levels of student loan debt can have long-term financial consequences. Before applying for international student loans, make sure you’ve exhausted other options such as scholarships and financial aid from your school.
2. Textbooks and Supplies
International student loans can also help textbooks and supplies costs, which can be a significant cost for students.
Textbooks and supplies are often required for courses and can add up to hundreds or even thousands of dollars per academic year, depending on the program of study.
International student loans can provide funding to cover these expenses, allowing students to purchase the textbooks and supplies they need to succeed in their coursework.
Check whether the education loan you’d like to apply for covers textbooks and other supplies.
3. Room and Board
Room and board expenses, including housing and meals, are a significant component of the overall cost of higher education, particularly for international students studying abroad.
International student loans can provide funding to cover these expenses, allowing students to focus on their studies without worrying about how to pay for basic necessities.
It’s important to note that when it comes to room and board, there may be certain restrictions or guidelines on how loan funds can be used. For example, some lenders may require that students live in university-affiliated housing, while others may allow students to use loan funds to rent an apartment or other living arrangements.
Make sure that you fully understand any restrictions your student loan might have on covering costs associated with room and board.
4. Airfare and Transportation
You can also use international student loans to cover airfare and transportation costs. For international students, airfare and transportation expenses can be a significant cost, particularly if they need to travel long distances to reach their destination.
Loan funds can typically be used to cover the cost of airfare, ground transportation, and other travel-related expenses, such as travel insurance or visa application fees.
Bear in mind that some lenders may have specific requirements or restrictions on how loan funds can be used for transportation expenses. It’s important to ensure that loan funds are used only for qualified expenses to avoid accumulating unnecessary debt.
5. Other Education-Related Costs
International student loans can provide funding to cover a wide range of education-related expenses beyond just tuition, fees, room, and board. Some other expenses that may be covered by international student loans include:
Technology costs: With the increased use of technology in education, students may need to purchase a laptop, software, or other equipment to participate in online classes, complete assignments, or conduct research. International student loans can help cover these costs.
Health insurance: Many schools require international students to have health insurance. International student loans may be used to cover the cost of health insurance premiums or medical expenses that are not covered by insurance.
In most cases, once your loan is approved, the funds will be remitted directly to your school. Your school will allocate the international student loan funds first to the charges you incur, such as tuition fees and room and board expenses, if you are staying on campus.
In the event that there are funds remaining after the school’s charges are settled, you will be issued a refund check. You can then use the check to cover expenses not included in the school’s charges, such as rent for off-campus accommodation or meals if you opt not to enroll in the school’s meal plan.
The refund check may be a considerable amount. Remember, you’ll have to repay this money – so spend it wisely.
Finally, don’t forget to carefully read the terms and conditions of your education loan before accepting it. Make sure that you fully understand how the loan funds can be used.
Are you looking for international student loans to finance your education abroad? 8B offers no cosigner, collateral-free international student loans to eligible African students in global universities. Compare different loans on the 8B student loan marketplace.