Loans for International Students in Canada

International students in Canada may be able to get a private student loan or student line of credit. Approval usually depends on your income, credit history and ability to repay.

Some lenders may also require a Canadian co-signer. International students generally do not qualify for Canada Student Grants and Loans unless they have eligible status such as permanent resident or protected person.

KOHO Cash Advance

KOHO Cover is not a traditional payday loan. It is a cash advance designed for Canadians who need a smaller amount of money to cover short term expenses.

With KOHO Cash Advance, you can:

• Get up to $250 as an instant cash advance (amount depends on eligibility)

• Pay no interest on the advance

• Avoid a credit check

• Repay automatically once you add money or get paid

You subscribe to the Cover bundle for a low monthly fee, and in return you get the advance feature plus extras like a credit report, financial coaching, and priority support.

Can International Students Get Loans in Canada?

Yes, but borrowing options can be more limited.

Possible options include:

• Private student loans

• Student lines of credit

• Personal loans

• Secured loans

• Loans with a co-signer

The lender may consider your income, existing debt, credit report and ability to repay before approving you.

Can International Students Get Government Student Loans?

Usually not.

To qualify for Canada Student Grants and Loans, you generally need to be:

• A Canadian citizen

• A permanent resident

• A protected person

Someone in Canada only on an international study permit would not normally meet these requirements.

Protected persons may qualify for the same federal student loans and grants available to Canadian citizens and permanent residents.

What Is a Student Line of Credit?

A student line of credit lets you borrow money up to an approved limit.

You can use it for expenses such as:

• Tuition

• Textbooks

• Rent

• Food

• Transportation

You only pay interest on the amount you actually borrow.

Unlike a traditional student loan, you can usually borrow again as you repay the balance.

Do International Students Need a Co-Signer?

They may.

A lender may ask for a co-signer if you have limited Canadian credit history or income.

The co-signer becomes responsible for the debt if you cannot repay it.

A Canadian parent, relative or other eligible person may be able to co-sign depending on the lender's requirements.

What Do You Need to Apply?

Requirements vary, but you may be asked for:

• Proof of enrolment

• Study permit

• Identification

• Proof of income

• Bank statements

• Canadian credit history

• Co-signer information

For student lines of credit, lenders generally require proof that you attend a recognized Canadian post-secondary institution.

What If You Have No Canadian Credit History?

Having little or no Canadian credit history can make approval more difficult.

A lender may compensate by requiring:

• A co-signer

• Proof of regular income

• A smaller loan amount

• Collateral

Avoid applying with several lenders at once. Multiple hard credit inquiries can make it harder to build a strong Canadian credit profile.

Are There Alternatives to Student Loans?

Before borrowing, also consider:

• Scholarships

• Bursaries

• Grants available through your school

• Part-time work

• Co-op programs

• Family support

• Personal savings

Student lines of credit still charge interest, so reducing how much you need to borrow can lower your overall education costs.

What Is the Best Loan for an International Student in Canada?

There is no single best option.

A student line of credit may make sense if you need ongoing access to money throughout school.

A private student loan may be better if you need a specific amount upfront.

Before accepting either, compare:

• Interest rate

• Fees

• Repayment schedule

• Co-signer requirements

• Maximum borrowing amount

• When repayment begins