How International Students Can Qualify for U.S. Student Loans Without a Cosigner (2025 Guide)

 

How International Students Can Qualify for U.S. Student Loans Without a Cosigner (2025 Guide for Nigerians)

For many Nigerian students, the dream of studying in the United States feels almost within reach—until you get to the financial part. Even after gaining admission into a reputable U.S. university, paying for tuition, accommodation, and living expenses can feel overwhelming.

And if you've ever tried to apply for a U.S. student loan, you’ve likely run into this roadblock:

“You need a U.S. cosigner.”

This single sentence has shut down thousands of applications from brilliant students who simply didn’t have a parent, guardian, or relative living in the U.S. with a strong credit history.

But here’s the good news: Things are changing.

In 2025, there are several ways for Nigerian students—and other international applicants—to secure a U.S. student loan without needing a cosigner.

In this article, we’ll explain:

• What a cosigner is and why lenders usually require one

• Which lenders now offer no-cosigner international student loans

• How to improve your chances of getting approved

• Alternatives to loans, including grants and income-share agreements

Let’s break it down.

What Is a Cosigner and Why Is It a Problem?

A cosigner is someone (usually a U.S. citizen or permanent resident) who agrees to repay the loan if you can’t. Lenders require cosigners for international students because:

• You don’t have a U.S. credit score

• You may leave the country after graduation

• There’s no guarantee you’ll earn U.S. dollars to repay the loan

But for most Nigerian students, finding a reliable U.S.-based cosigner is unrealistic. Unless you have a parent or relative in the U.S. with a high credit score and steady income, traditional banks will decline your application.

The Rise of No-Cosigner Student Loans

Thanks to new fintech lenders and international education programs, students can now access loans based on future earning potential — not credit scores or cosigners.

Here are three popular options available in 2025:

1. MPOWER Financing

MPOWER is one of the most popular no-cosigner loan providers for international students studying in the U.S. and Canada.

Features:

• No U.S. credit history or cosigner required

• Loans range from $2,001 to $100,000 (for up to 2 years)

• Covers tuition, fees, and living expenses

• Available to students at 400+ partner universities

MPOWER evaluates your:

• Academic profile

• Earning potential after graduation

• University and program ranking

They often partner directly with schools and provide career support during and after graduation.

Tip: They even offer scholarships exclusively for international students. Applying for both can increase your odds of approval.

2. Prodigy Finance

Prodigy Finance is another major lender that serves graduate students from 150+ countries, including Nigeria.

Features:

• No cosigner or collateral required

• Competitive interest rates

• Supports 850+ schools globally

• Best suited for MBA, engineering, and STEM programs

Prodigy Finance uses an income-based model, meaning they estimate what you’ll earn post-graduation, and approve you based on that.

Popular programs covered include:

• MBA at Harvard, Stanford, INSEAD

• Master’s in Data Science, Computer Engineering, Public Health, etc.

Note: Undergraduate students typically aren’t eligible — this is for postgraduate programs only.

3. Leap Finance & MPower for Undergrads (Emerging Options)

While most international loan options focus on graduate degrees, newer fintechs like Leap Finance are starting to test pilot programs for undergraduate loans without cosigners, especially from India, Nigeria, and Kenya.

These options are limited and still expanding, but they offer hope for future undergraduates looking to study abroad.

Requirements to Qualify for No-Cosigner Loans

Although each lender is different, here’s what you’ll usually need to qualify:

• Admission to an eligible U.S. college or university

• Valid student visa (F-1 or J-1)

• Enrollment in a degree-seeking program (Bachelor’s, Master’s, MBA, etc.)

• A clear repayment plan or future earning potential

• Supporting documents (passport, admission letter, academic transcripts)

Your field of study also matters. Degrees in STEM, business, health, or law often receive faster approvals because of their higher employability in the U.S.

How to Increase Your Approval Chances

If you're applying from Nigeria, here are ways to improve your odds:

1. Apply early. Many lenders have limits on available funds.

2. Pick a top-ranked school. Loans are more likely for students attending universities with high graduation and employment rates.

3. Choose high-income fields. Business, tech, medicine, and engineering are favored.

4. Demonstrate intent to repay. This could include a job offer letter, internship, or clear career plan.

Also, always compare lenders before choosing — and watch for origination fees, interest rates, and deferment periods.

Alternatives to Student Loans

If you’re not eligible for a loan, or want to reduce how much you borrow, consider these options:

Scholarships

• Fulbright Foreign Student Program (for Nigerian postgrads)

• EducationUSA Opportunity Funds

• Mastercard Foundation Scholars Program

• School-based merit scholarships

Income Share Agreements (ISAs)

Some schools and private companies offer ISAs — you study now and repay a portion of your income later, only if you earn above a certain amount.

Avoid Loan Scams and Red Flags

The desperation for funding has created a growing wave of loan scams targeting international students.

Be cautious of:

• Lenders asking for “application fees” before approval

• Unregistered companies with no physical address

• Promises that sound too good to be true

Only work with recognized providers like MPOWER, Prodigy Finance, or partners recommended by your school’s financial aid office.

Final Thoughts

Getting into a U.S. university is a major accomplishment. But figuring out how to pay for it is just as critical — especially if you don’t have a cosigner.

The good news? You’re no longer stuck.

Thanks to trusted companies like MPOWER and Prodigy Finance, Nigerian students can now pursue U.S. degrees without needing a family member in the States or a high credit score.

Just make sure to:

• Apply early

• Read the fine print

• Only borrow what you truly need

And remember, loans should be your last resort, not your first option. Always explore scholarships, grants, and school-based funding before signing a loan agreement.