Earnest, a fintech company dedicated to making higher education accessible and affordable for everyone, and Nova Credit, a modern credit bureau bridging consumer credit data around the world, today announced their partnership and the launch of International Private Student Loans.
During the 2021/2022 school year, nearly 950,000 foreign-born students were enrolled at U.S. colleges and universities, representing 4.7 percent of the total U.S. student population, according to OpenDoors. Beyond being accepted to these institutions, financing their study overseas is the most challenging step for students pursuing education abroad. While 50 percent of students fund their education through personal savings, family funds, or alternative methods, such as work-study programs, there is increasing demand for private loans to offset education costs. However, access to loans is limited, in large part due to a need for cross-border credit reporting across international markets.
Earnest’s International Private Student Loans will leverage Nova Credit’s Credit Passport® solution for consumer-permissioned, cross-border credit data, helping international students in the U.S. improve access to financial opportunities. Credit Passport® seamlessly and securely integrates into Earnest’s loan application so borrowers can share home-country credit information when applying for a private loan. This solution then provides Earnest with the student’s credit history and an equivalent score to support application evaluation. Eligible international students will have access to Earnest’s highly-rated, in-school loans without needing a cosigner, enabling them to focus on achieving their academic aspirations without financial stress.
"Earnest is committed to making higher education accessible to everyone while empowering them to make smart financial decisions," said David Green, CEO of Earnest. "To support the relentless pursuit of this mission, we listen intently to the needs of students, their families, and recent grads to identify where they need support. Our insights are what led us to make this offering possible. We’re excited about our partnership with Nova Credit and the impact it will have.”
Misha Esipov, CEO of Nova Credit, stated, "We believe that access to credit should be borderless, and financial barriers should never hinder someone's pursuit of education or opportunity. The U.S. is home to nearly one million international students who not only fill our universities with the brightest minds from around the globe but also bring those lessons to accelerate our economy for generations. By partnering with Earnest, we can provide more students the financial access they need to arrive and thrive."
Eligible international students from India, Mexico, Canada, and South Korea pursuing a Master in Business Administration (MBA), Master of Laws (LLM)/Juris Doctorate (JD), or Master of Science (MS) in Engineering program at select schools may now access flexible loan options, competitive interest rates, and personalized repayment terms tailored to their needs. Earnest Private Student Loans can pay for tuition, housing, living expenses, and other education-related costs.