How much do FICO scores matter when applying for a student loan?

[Anonymous]

How much do FICO scores matter when applying for a student loan? My undergraduate student loans have been completely paid off for 2 years, but I would like to take out more for graduate school. My FICO is 611, and should be steadily rising because I am now taking things seriously.

Thanks!

[nmorton79]

This is what I know to be...so anybody correct me if I'm wrong.....

If you get federal student loans after filling out a fasfa, than the loan is guaranteed. But, if you opt for a private student from a bank...say BoA for example, they will run your credit and those loans charge heinous interest rates.  A bank like BoA will offer both federal and private student loans, but in order to get the federal loans, you will have to fill out a fasfa first.

http://www.fafsa.ed.gov/

[treschic]

you can still get federal student loans for graduate school, and in that case, FICO scores don't matter, however if your graduate school is like mine, federal loans (both subsidized and unsubsidized) didn't cover my tuition, and i still had another 9k to pay for.  in that case, to cover the difference, you have two options, either pay out of pocket or use a private loan to subsidize the difference.  and yes, private loans are based on your credit score.  some private loans are easier to get than others, so you may want to do some research into which lender is best for you.  your interest rate is based on your credit score.  you can use a co-signer to reduce your rate, but depending on the lender, they may or may not be able to be released from the loan after a certain number of on time payments once the loan is back into repayment, i wouldn't recommend this option, but if it's co-signer or can't attend school, get a co-signer.  most private loans want your credit score to be atleast > 600-620 (depends on lender), and it also depends on why its so low.  if its only at 600 because you have limited credit, you have to have a job, and show proof that you are working for some programs, but you will still be able to get the loan, if it's 600 because of co, ca, and late pays, then thats another story, and you may have to have a co-signer.  but, the co-signer will have to have very good credit to qualify, and if so, you can have ca, pr, co, and you will still be able to get the loan.  sorry for being so long, but i wish i'd known this info when i started out.  i hope this helps.

[techgirl]

That is correct, but they do take in to account your FICO score for private student loans. For example, my husband got a federal, but for his private I had to co-sign in order for him to qualify because he had a BK on his credit and his scores were in the low 600s...