Students who have got a history of bad credit are not in a favourable state though it is generally true that they are comparatively in better position than any one who is carrying record of bad credit and who is not a student. Students may have had earlier loan or loans which they have not paid back the regularly. Defaulting or taking no step to pay back in proper time is never good as lenders are discouraged knowing such history. Still students loan bad credit may be secured by a student. How a student may achieve this is what has been discussed in the following lines.

Students reach to this condition as most of them like to support them when they are in the colleges or universities. As they are not enough mature they do not know how to manage their finance. It becomes grave when they acquire loans from some sources without going through their terms and conditions.

Students, however, cannot usually cite a home in their own name or any alternative property in their own name which may be pledged as collateral property. Hence, they are not eligible for secured loan. This takes them to a more difficult state as they are now eligible to apply for unsecured loans. In case of unsecured loan students will be asked to pay interest at higher rate although they will get less amount of loan. They will get shorter tenure to repay. This is far away from the norms practiced when students without a history of bad credit are advanced a loan. They usually pay back the money after they are engaged in a full time job. Again as they get smaller amount as loan it is not possible for them to clear the loans that they have taken earlier.

Students should contact government agencies when they require student bad credit loans. They should meet professionals in the Local Education Authority and describe their condition. They may search different web sites on the internet and find out sites which are under any government body. They should seek advices from the Financial Services Authority. They may contact a broking firm and request to prepare the applications for them as this may ensure them in securing loans.

One should also choose the lender very carefully. The lender should be able to tell the borrower about the best suitable option. The proper inquiry about rate of interest on loans should be made from many people. At present 1 in every 25 students in England support themselves by taking loans for their studies. When they pass out from the university each of them carry a loan of more or less 13,000 pounds on their head. It is better for the students with a history of bad credit to accept certain measures which may appear as austerity in the lifestyle.