If you're preparing for a child's post-secondary education, a graduate program, or about to pursue a professional designation, you've probably realized that you may need a loan to cover the associated costs. Higher education can certainly be an expensive undertaking, though it can lead to tangible benefits like higher salaries and better job opportunities.
Applying for a student line of credit
Whether a student is attending college or university as a full- or part-time student, they can apply for a student line of credit to cover the cost of textbooks, courses and other incidentals. There are typically caps on the maximum amount of credit that can be accessed. These vary depending on whether you maintain full- or part-time status.
If a student is attending a professional school, a professional student line of credit is available with higher borrowing amounts, as graduate degrees and professional designations cost substantially more than completing an undergraduate degree.
How to use a student line of credit
Apply for a student line of credit, such as the Education Line of Credit, in order to manage the costs associated with post-secondary education. A student line of credit can be used to pay for just about anything, including:
- Room and board
- Living expenses
- School gear, like computers, bags and supplies
- Activities fees
How to repay a student line of credit
A student line of credit can be paid off in a number or ways. You can make payments as frequently as you like without any penalties. If you need a little more time to repay your loan, you also have the option of only paying your monthly interest.
With an interest rate lower than most credit cards and the ability to structure a repayment plan to fit your budget, a student line of credit is a good option for students on a tight budget.
How to apply
Not only can a line of credit make higher education more affordable, but it can also help you build your credit rating. As long as the funds are used responsibly and the credit line is repaid promptly, your credit score will be positively affected. To apply for a student line of credit, or to get more information speak with a CIBC advisor at 1-866-525-8622.