Need Professional Student Line of Credit

[Hookupz]

I'm going to be studying optometry in the UK and need to finance my eduaction using a student line of credit. RBC is offering me a loan at 6% prime interest rate. Is this a decent interest rate or can I do better than this? I called scotia but they said they would not be able to offer me a loan because the school is not in Canada. I have yet to call BMO and CIBC. Any info or advice would be greatly appreciated. Thanks.

[trusoulja2g]

RBC is generally the best for professional student LOCs. Prime (currently 6%) is very good for any unsecured line of credit. Med students can usually get that, most other professional students cannot. BMO's posted rate for optometry students is prime + 0.5%. BMO is usually more strict with their qualification requirements (cosigner, etc.)

[Hookupz]

RBC also requires for me to have co-signer as my individual application was denied. I will call some other financial institutions regardless to see if I can do better. Thanks for the info about BMO trusoulja2g.

[poorwingman]

scotia's is prime + 0.5% as well

[nogoro]

You should be jumping on the RBC offer. You will be in another country for your studies which means to the banks that you might be a flight risk, so if you can get a loan without a co-signer that's pretty good.

[blink]

I concur. The RBC deal sounds great, even if you need a co-signer. Medical students in Canadian universities get the same rate, although the differences are they can do it without a co-signer and borrow up to $150-200k.

[Hookupz]

Thanks for all your help guys I'm setting up an appointment to go into the nearest RBC and sign the loan documents :)

[Hookupz]

A line of credit is where a bank gives you access to a specified amount of unsecured credit for a specified time period which in my case is till I finish school. So if I borrow money from that amount I will have to pay interest only on the amount borrowed till I pay it back (kind of like a credit card but with much lower interest rates). I have applied for OSAP as well but because the university I will be attending is outside of Canada OSAP, I believe, only allows a maximum of about $8500 per yr and I need much more than that.

[koft]

The likely reason that your individual app been decline with RBC, is a) never had a long term job, b) without an establish credit history, c) oversea education...

A unsecured LOC at prime is really good. It is because you are in prof. faculty that they grant you this... But lack of credit history or oversea education requires u a co-sign.

Although, BMO and Scotia offer Prime + .5, but if you look at the long run, the .5% can actually amount to couple of thousand at the end of your education... (disclaimer: I don't work for RBC, I am also a student)

Just get a co-signer... (your parents or whatever).. Good luck with your study

[Hookupz]

You are right eventhough I have good employment and credit history the main reason why a co-signer was required was because the institution is overseas. Thanks for all your help guys.