student_loan Archives

Jan

2025

“Married Filing Separately”: Student Loan Payment Impacts

By Kim Franke-Folstad | Family Finances, Student Loans, student_loan | Comments Off

Each tax season, married couples have a choice to make: Should they choose to file a joint return or file their taxes separately?

The overwhelming majority end up opting for “married filing jointly” status, and often that makes sense. But if you or your spouse are repaying federal student loans on an income-driven repayment plan, you may want to run the numbers to see if filing separately could potentially lower your monthly loan payments.

Read on for a look at the pros and cons of married filing separately with student loan payments and to find out if it could work for you.

Key Points

• Filing taxes separately as a married couple can result in lower student loan payments under income-driven repayment (IDR) plans.

• By filing separately, a borrower’s monthly payment under an IDR plan is based on their own discretionary income. When filing jointly, payments are based on both spouses’ income.

• However, filing separately as a couple may lead to loss of tax benefits such as certain credits and deductions, including the student loan interest deduction.

• Doing the math, using the Federal Student Aid’s Loan Simulator, or consulting with a tax professional could help you determine what tax filing status is best.

• Other options for lowering student loan payments include Graduated or Extended Repayment Plans and student loan refinancing.

Married Filing Taxes Jointly vs. Separately

When you’re married, choosing to file your taxes jointly vs. separately can make a significant difference in the size of your refund or what you owe. Most married couples decide to file a joint return for the tax advantages the IRS offers to those who select this status. But there are times when filing separately may be the better choice for your family’s financial needs.

If you took out federal student loans for help with paying for college tuition, and your student loan repayment plan is determined by the income you report on your tax return each year, for example, you might be able to lower your monthly loan payments by filing separately.

That’s because with an income-driven repayment (IDR) plan like Income-Based Repayment (IBR), Pay As You Earn Repayment (PAYE), or Saving on a Valuable Education (SAVE), your discretionary income is used to calculate your monthly payment amount.

If you file a joint return with your spouse, your payments are based on your joint discretionary income. But if you file separately, your payments will be based only on your individual discretionary income — which could mean a lower student loan payment.

You might have heard recently about the SAVE plan and married filing separately. However, the SAVE plan has been blocked by court actions and is on hold. Borrowers can still apply for the plan if they choose; those who are already on the plan have been placed in forbearance until further notice, with no monthly payments due and no interest accruing.

If you have private student loans, these loans don’t have the same repayment options that federal student loans do. That means your tax filing status won’t impact your monthly private student loan payments.

Recommended: Tax Benefits of Marriage

Spouses No Longer Need to Cosign IDR Applications

One change that will affect married borrowers is that spousal signatures are no longer required for most IDR applications, whether the couple files their taxes jointly or separately. This includes the SAVE plan for married filing jointly couples. (The only exception is when a couple is paying their student loans together using an Income-Contingent Repayment (ICR) plan.)

In the past, a spouse had to sign to verify that all information on the form, including family size and income, was accurate. Removing the requirement should make it simpler for a married borrower to file his or her application.

Tax Differences Between Filing Separately vs. Jointly

If you and your spouse are thinking about filing your taxes separately in an effort to lower student loan payments on an IDR plan, it’s important to calculate what you could save on your monthly loan bill and then compare that amount to what you might lose in tax benefits for the year.

The tax consequences of filing separately vs. jointly can vary significantly depending on each couple’s unique circumstances, and they can change from year to year. But you could lose quite a few tax advantages by choosing the “married filing separately” designation.

Filing separately can limit the availability of certain tax credits and deductions, such as the American Opportunity Tax Credit (for educational expenses), the Earned Income Tax Credit, the Child Tax Credit, and the Child and Dependent Care Credit. Nor will you be able to claim the student loan interest deduction, which allows you to deduct up to $2,500 in interest paid on your federal and private student loans.

Filing separately may also affect your tax rates and the amount of your standard deduction. And it can restrict a married couple’s ability to offset capital gains with capital losses (a process known as tax-loss harvesting).

Another important factor to consider is that if you choose to file separately, you and your spouse must agree on whether you’ll claim the standard deduction or itemize your deductions. Both spouses must use the same method on their separate returns.

IDR Plans: Low Payments When Filing Separately

Good communication can be key for couples making decisions about how to file, how they will split their finances and manage their deductions if they file separately and other tax questions.

You may want to sit down with a tax professional who can help you run the numbers and assess how all your filing choices could impact your current and future tax bills. And you can use the Loan Simulator on the Federal Student Aid website to get help estimating loan payments based on various IDR plans as well as factors like income, family size, and tax filing status.

When might it make sense to file separately? Let’s say one spouse earns $200,000 a year and has no student loan debt, and the other spouse earns $50,000 a year and has $150,000 in student debt. Instead of using their joint discretionary income when applying for PAYE — which is open only to those on the blocked SAVE plan who want to switch over, as well as new borrowers as of October 1, 2007 who received at least one Direct loan after October 1, 2011 — the couple could file their taxes separately so that the spouse with the lower income and student loan debt could qualify for a lower monthly payment.

As mentioned above, PAYE isn’t the only IDR plan that allows couples to potentially lower their student loan payments by filing their taxes separately. The IBR and SAVE options also allow couples to separate their finances in an effort to minimize their monthly payments and/or reach forgiveness sooner. But each program has different rules regarding monthly payment caps, how long it can take to get student loan forgiveness, and more. So it makes sense to check out the pros and cons of each to find the plan that’s the best fit for your family’s needs.

Other Repayment Options

As you’re doing your research, you may also want to look into other strategies that could help reduce your payments.

One option is a Graduated Repayment Plan, which can keep your payment timeline to 10 years (or up to 30 years if you’ve consolidated your loans). Under this plan, you start out with lower payments and then the payment amount slowly increases over time based on your expected income.

If you owe more than $30,000 in federal student loans, you may be eligible for the Extended Repayment Plan, which extends your loan repayment timeline to 25 years. If you extend your loan term, you’ll end up paying more interest, but your monthly payments will be reduced.

Refinancing your student loans could be another way to get a lower interest rate or longer loan term, or both, which could help lower your monthly payments. When you refinance, you replace your current loans with a new loan from a private lender like a bank, credit union, or online lender. However, if you refinance federal student loans, you’ll lose access to important benefits, like IDR plans, so make sure you won’t need these programs before moving ahead.

Recommended: Refinancing as an International Student

The Takeaway

If you and your spouse are struggling to repay your federal student loans — or if you want to lower your payments to make room for other goals — you may want to look into switching to an income-driven repayment plan. With these plans, couples have the option of choosing the “married filing separately” designation when filing their taxes, which means their student loan payment amount can be based on just the borrowing spouse’s discretionary income instead of the couple’s combined discretionary income.

Couples who file separately may lose several tax breaks, however, which could mean a higher tax bill. So it’s important to calculate what you could save on your monthly student loan bill and then compare that amount to what you might lose in tax benefits for the year.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

With SoFi, refinancing is fast, easy, and all online. We offer competitive fixed and variable rates.

Photo credit: iStock/Delmaine Donson

SoFi Student Loan Refinance
Terms and conditions apply. SoFi Refinance Student Loans are private loans. When you refinance federal loans with a SoFi loan, YOU FORFEIT YOUR ELIGIBILITY FOR ALL FEDERAL LOAN BENEFITS, including all flexible federal repayment and forgiveness options that are or may become available to federal student loan borrowers including, but not limited to: Public Service Loan Forgiveness (PSLF), Income-Based Repayment, Income-Contingent Repayment, extended repayment plans, PAYE or SAVE. Lowest rates reserved for the most creditworthy borrowers. Learn more at SoFi.com/eligibility. SoFi Refinance Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SOSLR-Q424-031

Jan

2025

A woman sits at a desk in front of a computer, writing down information

Student Loans Denied: Now What?

By Kim Franke-Folstad | Going to College, Student Loans, student_loan | Comments Off

Most students are eligible to receive some type of financial assistance to help pay for college or a trade or vocational school. But the criteria for student loan borrowers varies, depending on the type of financing they apply for, and a borrower can be denied student loans if they don’t meet certain requirements.

Read on to find out why a student loan application might be turned down and what you can do if a student loan is denied.

Key Points

• Borrowers can be denied student loans if they don’t meet certain eligibility criteria.

• Standard qualifications for federal student loans include citizenship requirements, having a valid Social Security number, and enrollment in an eligible school program.

• Eligibility requirements for private student loans include creditworthiness and having a stable income.

• When a student loan is denied, find out the reason, correct the problem, add a cosigner if necessary, and reapply; or appeal the decision.

• Alternative funding options to student loans include scholarships and grants.

Student Loans Explained

As the cost of college continues to rise, many students need to take out student loans to pay for college tuition, room and board, and other education expenses.

There are two main categories of student loans borrowers can choose from to help cover their costs:

• Federal loans offered by the U.S. federal government

• Private loans provided by banks, credit unions, and online lenders.

Federal Student Loans

Most borrowers (about 92%) take out federal loans. Federal student loans are generally easier to qualify for, and they come with more benefits and protections than private loans do. The interest on federal loans is fixed and generally lower than that of private loans. And if you demonstrate financial need, the government will pay the interest on some federal loans while you’re in school.

The types of federal student loans include Direct Subsidized Loans and Direct Unsubsidized Loans, and Direct PLUS loans for parents taking out money for a child’s education (known as Parent PLUS loans) and graduate or professional students (referred to Grad PLUS loans).

Private Student Loans

There are limits on how much students can borrow each year using federal loans, which is why they may turn to private student loans to fill the gap in their college funding. Students can use private loans to pay for tuition, fees, housing, books, and education-related supplies.

The interest rate on private student loans may be fixed or variable, and unlike federal loans, a credit check is required for a borrower to qualify. If a college student doesn’t have a strong enough credit history, they may need a cosigner on the loan for approval and to get a competitive interest rate. Keep in mind, though, if the rate you get is high, you can consider student loan refinancing in the future when you may be able to qualify for a lower rate and more favorable terms.

There are even opportunities for refinancing for international students.

Can You Get Denied for Student Loans?

If you’re wondering, why can’t I get a student loan?, the answer is that you can be denied student loans if you don’t meet certain eligibility criteria.

With federal student loans, there are some standard qualifications that all applicants must satisfy, including being accepted or enrolled in an eligible degree program and maintaining your grades.

The requirements for private student loans are determined by each lender. Private lenders tend to focus on an applicant’s creditworthiness and ability to repay the loan. If your credit history is not strong enough, you could be denied a student loan.

Do I Qualify for Student Loans?

Eligibility for getting a student loan depends on whether you’re applying for a federal or private loan. Here are some of the basic qualifications that need to be met.

Standard Federal Loan Qualifications

In order to be considered for a federal student loan, you must first fill out the Free Application for Federal Student Aid (FAFSA). Federal student loan applicants need to meet a number of basic eligibility requirements, including:

• Having a high school diploma or equivalent certificate to show you’re qualified to obtain a college or career school education

• Being a U.S. citizen, a U.S. national, or an eligible noncitizen with a green card

• Arrival-Departure Record (I-94), battered immigrant status, or T-visa

• Having a valid Social Security number (with the exception of students from the Republic of the Marshall Islands, Federated States of Micronesia, and the Republic of Palau)

• Being accepted for enrollment or enrolled as a regular student in an eligible degree or certificate program

• Maintaining satisfactory academic progress based on the standards of your school

• Providing consent and approval to have your federal tax information transferred directly into your FAFSA form.

• Signing the certification statement on the FAFSA form stating that you are not in default on a federal student loan, don’t owe money on a federal student grant, and will only use federal student aid for educational costs

• Demonstrating financial need to get some types of federal loans such as Direct Subsidized Loans.

Private Student Loan Qualifications

Private lenders typically require borrowers to have a strong credit history or a qualifying cosigner, and they may ask for proof of income. Here are some of the requirements you can expect when you apply for a private student loan:

• Applicants must typically be at least 18 and U.S. citizens or permanent residents. Some lenders may consider international students if they have a willing cosigner who is a U.S. citizen.

• A specific minimum credit score. While each lender has different requirements for a borrower’s or cosigner’s minimum credit score, an acceptable score is typically around 650. The higher the score, the more likely it is that you’ll be offered a lower interest rate and better loan terms.

• Students must generally be enrolled full- or half-time at an accredited institution.

What to Do After Being Denied Student Loans

If your application for a federal or private student loan is denied, don’t panic. There are steps you can take to help get the necessary funds for your education.

1. Understand Why You Were Denied

If you were denied a federal student loan, reviewing your FAFSA Submission Summary, formerly known as the Student Aid Report (SAR), can help you determine the reason. Use it to check your application for errors and then make any necessary corrections. You can find your Submission Summary on the dashboard of your StudentAid.gov account after your FAFSA has been processed.

If a private lender denied your student loan application, you should receive a notice explaining why you were not approved. The Equal Opportunity Credit Act (ECOA) requires that when a creditor takes “adverse action” against an applicant, it must provide a notice with specific and accurate reasons why.

For both federal and private loans, if the denial was based on incorrect or missing information, you may be able to file an appeal. Consult the financial aid office at your college for information about the appeals process for federal student loans, and talk to your lender about how to appeal a private loan denial.

2. Wait and Apply Again

If you were denied a private student loan based on your credit history, you may want to add a cosigner and reapply. Or you could apply again after you’ve had a chance to build your credit.

If you applied for a federal loan and were denied, identify the reason for the denial and try to fix it. For example, if your GPA is low, work on improving it.

In the meantime, you can seek out other forms of financial aid, such as scholarships and grants.

Apply to Multiple Lenders

Private lenders often have different criteria for student loans, so shop around for the best terms. You can check the loan requirements, interest rates, and other loan terms and conditions from various lenders.

You can also prequalify online with multiple lenders to see what rates and terms you can get. Then you can pick the lender that offers the terms most suitable to your situation.

Private Student Loans with SoFi

If you’ve received federal financial aid and still have a funding gap for college, or if you were denied a federal loan, you might decide that a private student loan is right for you. SoFi offers private student loans you can quickly and easily apply for online. You can add a cosigner (or not) and choose a fixed or variable interest rate. Loan repayment plans are flexible, so you can select the option that works best.

SoFi also can help if you’re looking to refinance your student loans, ideally for a lower interest rate and better terms, if you qualify, which may help you manage your monthly loan payments. Just be aware that if you refinance federal loans, you’ll no longer have access to federal benefits and protections.

With SoFi, refinancing is fast, easy, and all online. We offer competitive fixed and variable rates.

FAQ

What can I do if my student loan is denied?

If your student loan is denied, find out the reason you weren’t approved. If the denial was due to incorrect information, you may be able to appeal the decision to your college’s financial aid office for a federal loan or to the lender for a private loan. If the denial was issued because you didn‘t meet specific lending requirements, fix the problem then reapply. And if the loan was denied because of your credit, you could add a cosigner with strong credit and then apply again.

Can a refinance be denied?

Yes, a student loan refinance can be denied if you don’t meet a private lender’s specific refinancing eligibility criteria for your credit score, income, or debt-to-income ratio, among other factors.

Can you be denied student loan consolidation?

If you’re in the process of repaying your loans or in the grace period after graduation, most federal student loans are eligible for Federal Direct Consolidation. If you want to consolidate a defaulted loan, however, you must make satisfactory repayment arrangements, which means three consecutive monthly payments, or agree to repay your new Direct Consolidation Loan under an income-driven repayment plan.

Photo credit: iStock/PeopleImages

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

SOSLR-Q424-029

Jan

2025

What Are the Prerequisites for Nursing School?

By Melissa Brock | Going to College, Life & Career, student_loan | Comments Off

A nursing career can be incredibly rewarding professionally and personally. If you’ve decided to attend nursing school to pursue your dream job, you’ll first need to meet certain nursing school prerequisites in order to be eligible. Prerequisites (also called pre reqs for nursing) are required courses or subjects aspiring nurses must take before applying to nursing school.

Learn more about the prerequisites and nursing school requirements you’ll need to be accepted at the college of your choice.

Key Points

• Academic prerequisites for nursing school vary, depending on the type of nursing degree a student wants to earn.

• Common prerequisites include high school biology, chemistry, and two years of college-preparatory math, all with a minimum grade of C.

• Students must also have a certain high school GPA and passing grades on standardized tests like the SAT.

• Once a student is in nursing school, there are ongoing prerequisite courses they will need to fulfill.

• The average annual cost for a Bachelor of Science in Nursing (BSN) degree is approximately $30,884, with financial aid options like scholarships and grants and student loans available to help cover the cost.

Why Nursing School Prerequisites Matter

Nursing school prerequisites prepare students for a career in which they can earn a good salary as a nurse and do work that fulfills them. Whether you’re planning to get an Associate Degree in Nursing (ADN) or a Bachelor of Science in Nursing (BSN), each degree program and school requires specific prerequisites. Nursing pre reqs provide the foundation for the more advanced courses you’ll take while in school.

There are different types of nurses, and the type you’re planning to become helps determine the nursing school requirements you’ll need to fulfill. Knowing how many years you’ll be attending school can also help you with budgeting as a nurse. These are some of the nursing roles you might consider.

• Licensed practical nurse (LPN): LPNs provide basic patient care under the supervision of registered nurses and doctors. They work in hospitals, physicians’ offices, nursing homes, extended care facilities, and in patient’s homes. Rather than a college degree, LPN’s typically attend a vocational or technical school for one year and they must graduate with a license from an accredited institution to practice.

• Registered nurse (RN): RNs care for patients, administer medication, assist in diagnostic testing, and more. RNs usually work in hospitals, doctors’ offices, nursing homes, long-term care facilities, and other locations. They must have an associate degree in nursing or a Bachelor of Science in Nursing.

• Clinical nurse specialist: This is an RN with additional training and education who diagnoses conditions, prescribes medication, and treats patients. These professionals must have a Master of Science in Nursing (MSN).

• Nurse practitioner (NP): Nurse practitioners examine and diagnose patients, prescribe medications, and order tests. They must be licensed RNs and have an MSN or a master’s degree in a specialty role.

• Nursing director: Nursing directors oversee health care facilities. They typically need a Master of Science in Nursing (MSN) or a Doctor of Nursing Practice (DNP).

• Nurse educator: These nurses teach nursing students clinical skills, patient care methods, and collaboration practices. Nurse educators must have an MSN or DNP degree.

Factoring in the Cost of Nursing School

As you consider the nursing school requirements you’ll need to meet, it’s important to think about how you’ll pay for college. The average cost of nursing school is approximately $30,884 annually for a BSN degree, which can be costly over the four-year degree program.

Fortunately, there are options to help students afford their schooling, including federal student loans, scholarships and grants, and private student loans. Explore the different options, and fill out the Free Application for Federal Student Aid (FAFSA) to see what you qualify for.

Also, keep in mind that while the thought of repaying school loans can seem daunting, there are ways to manage your payments including income-driven repayment plans for federal student loans, loan repayment assistance programs offered by various states and organizations, and student loan refinancing.

When you refinance student loans, you replace your current loans with a new loan from a private lender such as a bank, credit union, or online lender. Ideally, the new loan will have a lower interest rate and more favorable loan terms.

If you can secure a lower interest rate, refinancing student loans to save money may make sense for you. But be sure to explore your options.

Using our student loan refinancing calculator can help you see what your monthly payment might be.

Common Nursing School Prerequisites

No matter what type of nursing degree you want to earn, the most common nursing school prerequisite is earning a high school diploma or its equivalent, a General Equivalency Diploma (GED).

In addition, you will need these nursing pre reqs:

Biology

Nursing students need one year of high school biology with a grade of C or better.

Chemistry

As a nursing pre req, students need one year of high school chemistry with a grade of C or better.

College-Preparatory Math

Nursing school requirements call for two years of college-preparatory math with at least a C grade.

Grade Point Average (GPA)

To qualify for an Associate Degree in Nursing program, students generally need a GPA of at least 2.7. For a Bachelor of Science in Nursing program, they need at least a 3.0 GPA.

Standardized Tests

Passing grades on SATs or TEAS (Test of Essential Academic Skills) are typically required for admission to most nursing schools.

It’s important to note that every college has its own requirements (including GPA requirements), so check with your college’s admissions office to find out what you’ll need specifically to be admitted.

For example, the University of Iowa suggests the following high school prerequisites for nursing:

• Four years of high school English

• One year of biology

• One year of chemistry

• One year of physics

• Four years of the same world language or two years in two different world languages, or two years of the same world language plus required additional coursework

• Algebra I, Algebra II, and geometry

• Three years of social studies

Recommended: Ways to Pay for Nursing School

How to Complete Nursing School Prerequisites

In most cases, you can take high school courses to complete nursing school prerequisites. But if you know what college you’d like to attend for nursing school, check to see what required courses they ask for.

If your high school doesn’t offer certain prerequisite courses, you can typically complete them through a community college, online courses, or the four-year college where you plan to get your nursing degree.

Other Nursing School Prerequisites

Once you’re in nursing school, there are additional prerequisites you’ll need to fulfill. For example, your school may require you to take some basic courses like the ones below before you can take more advanced classes.

• English composition

• Fundamentals of oral communication

• Biomedical ethics

• College algebra

• Microbiology

• Chemistry

• Human growth and development

• College study skills

If you’re already in college and you want to switch your major to nursing, you must also meet specific prerequisites to get into nursing. For example, the University of Iowa requires you to meet these prerequisites with a grade of “C” or higher:

• Natural science, such as chemistry, biology, anatomy, physiology, microbiology, or nutrition courses

• Social science, such as elementary psychology, human development and behavior, or sociology classes

• General education courses, such as arts and cultural perspectives

• Additional prerequisites, such as rhetoric, statistics, and diversity, equity, and inclusion for health professions

• World language

Check with the college or university to see what’s needed for the nursing program you want to attend.

Recommended: Student Loan Refinancing Guide

The Takeaway

There are a number of prerequisites needed for nursing school, including high school class requirements before you apply to college, and prerequisites needed once you’re enrolled. Keeping on top of them and making sure you fulfill all the requirements for the type of nursing degree you’re working for can help you chart a clear path toward graduation.

Nursing school can be expensive, and many students use federal student loans to help pay for it. They might also fill any funding gaps with private student loans. To better manage your monthly payments after graduation, you can consider refinancing student loans, especially if you can qualify for a lower interest rate and more favorable terms. Just be aware that refinancing federal student loans makes them ineligible for federal programs like income-driven repayment.

With SoFi, refinancing is fast, easy, and all online. We offer competitive fixed and variable rates.

FAQs

What are the minimum requirements for nursing school?

The minimum nursing school requirements generally include graduating from high school with a diploma after taking science and math classes (such as chemistry, biology, and college- preparatory math), having a GPA of 2.7 or higher for an Associate Degree in Nursing program and 3.0 or higher for a Bachelor of Science in Nursing program, and passing grades on standardized tests such as the SATs. However, minimum requirements can vary from school to school, so check with each institution you’re applying to.

When do you take nursing school prerequisites?

You take nursing school prerequisites starting in high school with classes like biology, chemistry, and math, as well as standardized tests like the SATs. When you’re in nursing school, you’ll begin by taking foundational prerequisite classes and work your way up to higher-level classes as you work toward your degree.

What if my GPA is too low for nursing school?

There are some possible ways to get into nursing school even if your GPA is too low. While many programs require at least a 3.0 for admission to a Bachelor of Science in Nursing program, some schools are less selective than others. For instance, you could apply to a community college to earn a licensed practical nurse degree (LPN) and then transfer to a four-year college once your grades are higher. Also, consider doing volunteer work in a health care setting — some institutions give more weight than others to nonacademic activities like health-related volunteer work.

About the author

Melissa Brock

Melissa Brock is a higher education and personal finance expert with more than a decade of experience writing online content. She spent 12 years in college admission prior to switching to full-time freelance writing and editing. Read full bio.

Photo credit: iStock/FatCamera

SOSLR-Q424-010

Jan

2025

How Much a Commercial Driver’s License (CDL) Costs and How to Pay for It

By Kelly Boyer Sagert | Life & Career, student_loan | Comments Off

If the lure of the open road intrigues you and the idea of spending years in classrooms doesn’t, then becoming a commercial driver may be ideal for you. Before hitting the highway, you’ll need to secure a commercial driver’s license (CDL), which could cost between $3,000 to $10,000 depending on state fees.

Keep reading to learn more on the costs of obtaining a CDL, whether or not you have to go to school, and how to pay for your commercial driver’s license.

Key Points

• To obtain your commercial driver’s license (CDL), you’ll typically need to attend a CDL training course, pay the fees, and pass written and skills tests.

• Some trucking companies provide paid CDL training in exchange for a commitment to work for them upon completion. This can be a cost-effective way to obtain your CDL.

• Federal programs like the Workforce Innovation and Opportunity Act (WIOA) offer grants to individuals seeking employment in high-demand fields, including trucking.

• Various organizations offer scholarships to support individuals pursuing careers in trucking. Research industry associations and educational institutions for opportunities.

• If other funding sources are unavailable, loans can be used to cover CDL training costs. However, consider the interest rates and repayment terms before opting for this method.

Typical Cost of Obtaining a CDL

The typical cost of obtaining a Commercial Driver’s License (CDL) ranges from $3,000 to $10,000, depending on the training program, location, and endorsements required. These expenses include tuition for CDL school, fees for written and skills tests, medical exams, and any additional certifications. Some training programs may also charge for classroom materials or driving practice hours.

Costs can vary based on the duration and comprehensiveness of the program. To offset these expenses, individuals may explore financial aid options such as scholarships, grants, employer-sponsored training, or loans. Researching and comparing programs can help identify the best value for your investment.

Do You Have to Go to a School to Obtain Your CDL?

As of February 7, 2022, new federal regulations require individuals to complete Entry-Level Driver Training (ELDT) from a registered training provider before obtaining a Commercial Driver’s License (CDL) for the first time, upgrading a CDL, or getting certain endorsements.

While this doesn’t strictly mean attending a traditional “school,” the training must meet federal standards and be provided by an ELDT-certified provider. This requirement ensures that CDL applicants receive the necessary education and hands-on experience to safely operate commercial vehicles. Many choose CDL schools because they are often ELDT-compliant and provide a comprehensive training environment.

How to Pay for CDL School

Paying for CDL school can be a significant financial investment, but there are several options to help ease the cost. Whether you’re looking to finance your training through scholarships, grants, employer-sponsored programs, or loans, understanding your choices is essential for making this career path affordable.

To help, we’ve listed ten ways to pay for your CDL school costs and associated expenses.

1. Workforce Training Funding

The Workforce Innovation and Opportunity Act (WIOA) became law on July 22, 2014, and is designed to help job seekers get the education, training, support, and employment they need. The WIOA requires states to ensure that their workforce development programs are strategically aligned to meet the needs of workers. The WIOA is managed through the U.S. Department of Labor (DOL) in collaboration with numerous partners to get the necessary resources to states and local areas.

Plus, the FMCSA CDL Program Implementation Grant provides financial resources to states.

2. State CDL Training Grants

Each of the states in the United States and the District of Columbia can apply to the federal CDL implementation grant to get funding for relevant programs that assist in their CDL program. Contact the field office of your state (links are included in the field office chart) to get information about what’s currently available to cover your CDL school price. Explain that you need financial assistance to get quality CDL training.

3. Local CDL Training Grants

Many local governments and workforce development programs offer grants to cover CDL training costs. These grants are typically aimed at addressing regional driver shortages and providing opportunities for individuals in need of employment. Check with your local employment office or community organizations for available programs and eligibility requirements.

4. Scholarships

Various organizations offer scholarships to help cover the cost of CDL school. Industry associations, trucking companies, and vocational schools may provide funding opportunities for eligible candidates. Research scholarship programs specifically for aspiring truck drivers, and apply early to maximize your chances of receiving financial assistance for your training.

Recommended: SoFi’s Scholarship Search Tool

5. Funding for Veterans

Veterans may be eligible for funding to cover CDL school through the GI Bill or other veterans’ benefits. Programs like the Yellow Ribbon Program may also offer additional financial support for CDL training. Contact your local Veterans Affairs office to learn about specific programs and eligibility requirements for veterans.

6. Federal Student Loans

To qualify for federal loan funding, you must first fill out a Free Application for Federal Student Aid (FAFSA®). If a CDL school meets requirements, federal student loan aid may be available. Going this route will also let you know if you qualify for a Pell Grant based on your income; again, make sure that the CDL school is eligible to receive federal funding.

7. Private Student Loans

If grants, scholarships, and federal student loans don’t cover the CDL school costs, then explore private student loans. These loans are offered by banks, credit unions, and online lenders to pay for educational expenses. You’ll fill out an application and what you’ll receive typically depends on your credit score and income.

Note that not all private lenders will cover loans for CDL school, including loans from SoFi.

8. Trucking Company Tuition Reimbursement

This is when a trucking carrier pays part to all of your CDL school costs. They may do this if, for example, you’re a current employee in another capacity. Trucking companies may also choose to take this route to encourage someone to join their company.

9. Savings

You may find that you have enough money in your savings account to pay for the CDL program. Or you may create or continue a savings plan to accrue enough funds to pay for your training. That way, there are no loans to pay back.

10. Company Sponsored CDL Training

A company in need of drivers may be offering a training program. Just ensure that the program, which is run by the trucking company itself instead of a training school, is quality. Typically, you’ll need to work for the company offering the training for a certain amount of time; this can be good if you’re looking for a job, eliminating the stress of the job hunt that may follow the completion of a CDL program.

The Takeaway

You may decide that becoming a commercial truck driver is a good way to earn income. When it comes to how to pay for CDL school, you can save up and pay cash, apply for scholarships and grants, look for an employer who will cover part or all of the costs of training, or take out loans.

Community college and other certificate programs aren’t eligible for SoFi’s private student loans. If you’re interested in private student loans for another educational venture, consider SoFi’s no fee private student loans. These loans can be used to cover your costs of tuition, books, supplies, and more so you can get on the road as a fully licensed commercial truck driver.

Cover up to 100% of school-certified costs including tuition, books, supplies, room and board, and transportation with a private student loan from SoFi.

FAQ

Can you get your CDL without going to school?

Yes, you can obtain a Commercial Driver’s License (CDL) without attending school, but most states require you to meet Entry-Level Driver Training (ELDT) standards. Self-study and private practice with a qualified driver are options. However, CDL training programs provide structured learning, making it easier to pass written and skills tests.

Do some trucking companies pay for your CDL training?

Yes, many trucking companies offer paid CDL training programs. These companies cover training costs in exchange for a commitment to work for them for a specified period, often one to two years. These programs can be a cost-effective way to enter the trucking industry while gaining hands-on experience.

How much does getting your CDL cost?

The cost of obtaining a Commercial Driver’s License (CDL) varies but typically ranges from $3,000 to $10,000, depending on the training program and location. Costs include tuition for CDL school, fees for written and skills tests, medical exams, and additional endorsements. Some employers or grants may help cover these expenses.

Photo credit: iStock/FG Trade

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

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Jan

2025

All About Signature Student Loans

By Kelly Boyer Sagert | Going to College, Student Loans, student_loan | Comments Off

When you’re looking for funds to pay for your college education, you’re likely to go after federal funds and all of their benefits first — and, if that isn’t enough, then you’ll seek private loan funding. One option for private funding is a signature student loan.

Keep reading to learn more on what a signature student loan is, how it can be used, pros and cons of signature student loans, and more.

Key Points

• A signature student loan, also known as a “sig student loan,” is a type of unsecured private loan used to cover educational expenses without requiring collateral.

• These loans are typically utilized for tuition, books, and housing costs when other forms of financial aid, such as grants and federal loans, are insufficient.

• Borrowers must qualify for a signature student loan based on credit score and income, as lenders evaluate these factors to determine eligibility and loan terms.

• While private loans provide additional funding and flexible repayment options, they also come with risks, including potentially higher interest rates compared to federal loans.

• Exploring all available financial aid options, including federal loans and work-study programs, is crucial before considering a private signature student loan for educational expenses.

🛈 While SoFi doesn’t offer signature student loans at this time, we offer private student loans that can cover up to the full cost of attendance.

What Are Student Signature Loans?

Student signature loans, also known as “sig student loans,” are private loans that typically don’t require collateral, relying instead on the borrower’s creditworthiness or that of a cosigner. These loans can cover tuition, housing, and other educational costs, offering flexible repayment options.

Understanding the terms and conditions is crucial before choosing a signature student loan.

What Type of Loan Is a Signature Student Loan?

There are two main types of student loans: federal and private student loans. Federal loans require the filling out of a FAFSA to see if a student qualifies for any type of aid from the federal government. They come with certain benefits and protections not offered by private lenders. Private loans, on the other hand, are given by banks, credit unions, and online lenders to help students pay for college. They should be used after all federal aid options have been considered.

A student signature loan is a form of private funding, one where collateral is not needed, making it an unsecured private loan for college expenses.

Recommended: How to Complete the FAFSA Step by Step

Common Uses of a Signature Student Loan

Common uses of a signature student loan include for tuition/attendance, books, and housing. Here’s more about each.

Tuition/Attendance

The average cost of tuition and fees for the 2024-25 school year at a public in-state university was $11,610. Those at private universities paid an average of $43,350 for the same school year. A student may decide to use a sig student loan to cover costs of tuition/attendance that aren’t covered by grants, scholarships, and federal student loans.

Books

The average college student spends $1,212 annually to pay for their books and supplies during college. One single hardback textbook can now cost as much as $400, although the average is between $100 and $150. Students may need to resort to loans to cover the cost of books each semester.

Housing

Although some students continue to live at home during college, many pay for room and board. At a public, four year institution, the average cost for room and board is $12,639 a year. At a private, nonprofit institution, the average cost is $14,406 annually.

Should You Get a Signature Student Loan?

Deciding whether to get a signature student loan will depend on your unique circumstances. As general guidance, students who don’t receive enough funding through grants, scholarships, and federal student loans often look to private funding to make up the difference. Private student loans, sometimes called signature student loans, can help bridge funding gaps, but they may come with higher interest rates than federal loans.

Pros and Cons of Signature Student Loans

Signature student loans come with both advantages and drawbacks. Understanding the pros and cons can help borrowers make informed choices about their education financing.

Pros of Signature Student Loans

Pros of signature student loans include the following:

• Extra source of funds

• Variety of repayment terms

• Flexibility of usage

Extra Source of Funds

Student signature loans can provide a source of funding for college after grants, scholarships, and federal options have been exhausted. Grants and scholarships typically do not have to be repaid. Federal loans and signature student loans do need to be repaid, but payments won’t start until six months after the student graduates or drops below half-time enrollment.

Variety of Repayment Terms

With a private student loan, funds are obtained from a private lender. Some offer better rates and terms than others, with some of them deferring payments while the student is attending college classes. Compare rates and terms to choose which route is best for you.

Flexibility of Usage

In general, a private loan can offer flexibility with how the funds are used. For example, this funding can be used as one of the undergraduate student loan options or one of the graduate student loan options: for tuition, books and supplies, and/or housing expenses.

Cons of Signature Student Loans

Unlike a federal student loan, private lenders of student signature loans don’t rely upon information found in the FAFSA. Instead, a student interested in receiving private funding would fill out an application with the lender and must qualify for the loan.

Qualifying for a Sig Student Loan

Loan terms can vary by lending institution. This includes the interest rates offered, borrowing limits allowed, and the length of the loan. Some require payments while the student is in school, while others will defer payments until the student is out of school. Choose parameters that fit your needs, with the understanding that you’ll need to qualify for the loan program.

Credit Score

Private lenders may require you to have a certain credit score to obtain the loan or to get the best rates and terms. The three main credit bureaus that issue scores are Equifax, Experian, and TransUnion. A private lender will likely have a certain credit bureau that they use to get an applicant’s credit scores, and yours will need to fit within their lending guidelines to get loan approval.

Income

The lender will also want to see proof of a steady income, one that’s sufficient to pay back the loan. If you don’t have enough on your own, adding a cosigner could help you qualify. This can help reassure the private lender that the loan will be appropriately paid back.

Other Ways to Pay for College

Ways to pay for college include:

• Financial aid

• Federal loans for students

• Federal PLUS Loans for parents

• Work-study jobs

• Part-time jobs

• Private student loans

Financial Aid

Student financial aid can be a combination of grants and scholarships, federal student loans, private student loans, and federal work-study programs.

Federal Loans for Students

Federal Direct Loans, also known as Stafford Loans, can be either subsidized or unsubsidized. With subsidized loans, the government covers the interest while the student is in school; with the latter, the interest accrues while the student is in school. In either case, finding out what you qualify for in federal funding can be a logical first step.

Federal PLUS Loans for Parents

Parents can take out a Parent PLUS Loan for an undergraduate with fixed interest rates and flexible repayment methods. These loans do require a credit check and can also be taken out by graduate/professional students. The maximum amount that can be borrowed is the full cost of tuition minus other financial assistance the student receives.

Work-Study Jobs

There is a federal work-study program that allows students with financial need to earn income to pay their education-related expenses. Ideally, the work will be connected to community service and/or the student’s academic study courses. This program is managed by the colleges themselves, so check with yours to see if they participate and if you qualify.

Part-time Jobs

If you don’t qualify for work study, you can still seek part-time employment in the general location of your university. You could work at a restaurant or coffee shop, babysit, or walk dogs. This allows the student to earn income, hopefully on a schedule that is flexible enough to work around college commitments.

Private Student Loans

Private student loans can be a source of funding for college expenses when grants, scholarships, and federal funding options have been exhausted. Keep in mind, though, that private student loans do not offer the same protections and benefits as federal student loans. Private lenders can have different loan programs, so compare carefully before making a decision.

The Takeaway

A signature student loan is a type of unsecured (no collateral) private funding to help with educational expenses. Signature student loans rely on the borrower’s or cosigner’s creditworthiness for approval. In addition to signature student loans, students can rely on grants, scholarships, cash savings, and federal student loans to pay for college.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

Cover up to 100% of school-certified costs including tuition, books, supplies, room and board, and transportation with a private student loan from SoFi.

FAQ

Is a signature student loan a good idea?

A signature student loan can be a good idea if you need funding beyond federal aid and have strong credit or a cosigner. However, they often come with higher interest rates and stricter repayment terms, so carefully compare options and consider your ability to repay before committing.

Is it easy to get a signature student loan?

Getting a signature student loan depends on your creditworthiness or having a creditworthy cosigner. It can be easier for those with strong credit and steady income, but students with limited credit history may face challenges. Loan approval criteria vary by lender, so researching options is essential.

When do you have to start paying a sig student loan back?

Repayment for a signature student loan typically begins after graduation or dropping below half-time enrollment, following a grace period of about six months. Some lenders may require immediate payments or offer flexible repayment plans. Always review loan terms carefully to understand when repayment begins.

Photo credit: iStock/FatCamera

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

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