Can an International Student Apply for a Loan in Australia?

The short answer: It’s difficult. Most Australian banks do not offer personal loans to international students. However, there are limited options available, such as education loans from your home country or private lenders that specialize in loans for international students.

Who is Eligible for an International Student Loan in Australia?

To qualify for an international student loan in Australia, students generally need to meet the following criteria:

• Minimum Age: 18 years old
• Enrollment: Must be enrolled in a recognized higher education institution in Australia
• Valid Student Visa: Proof of a current student visa
• Income or Co-Signer: Evidence of steady income or a co-signer who meets the bank’s criteria
• Financial Standing: Must not be bankrupt

If you don’t have assets to use as collateral, some private lenders may still consider your application, especially if you have a qualified co-signer or proof of steady income.

Conclusion for Eligibility: Only international students holding a valid student visa and enrolled in a recognized institution are eligible. Tourists or visitors without a student visa cannot apply for these loans under any circumstances.

Which Banks Accept International Student Loans?

While it is generally difficult for international students to secure personal loans from major Australian banks, a few banks have limited options if certain conditions are met. The main requirements often include having a co-signer who is an Australian citizen or permanent resident, proof of enrollment in a recognized institution, and sometimes evidence of a stable income. Let’s take a closer look at four major banks:

Commonwealth Bank (CommBank)

Commonwealth Bank is one of the few banks that offer limited student loans to international students. The bank typically requires a co-signer who is an Australian citizen or permanent resident. Without a co-signer, loans are generally not available. Loan amounts can reach up to AUD $3,000 for international students, depending on the co-signer’s status. CommBank’s policies are strict, and applications are carefully assessed to ensure repayment capacity. They also recommend exploring alternative financing such as education loans from your home country if you cannot meet their criteria .

ANZ Bank

ANZ Bank offers education-related loans, but international students usually need a qualified co-signer with a strong credit history. Loan amounts can go up to AUD $75,000, depending on the borrower’s circumstances and the co-signer. ANZ is relatively strict, often requiring detailed financial documentation and a stable income source. Without a co-signer or sufficient financial backing, international students may not be eligible. Students are encouraged to consider private lenders or home-country education loans if ANZ’s requirements cannot be met.

Westpac

Westpac also allows loans for international students under limited conditions. A co-signer is usually required, and the maximum loan amount is around AUD $50,000. The bank evaluates applications based on creditworthiness, course enrollment, and repayment capacity. Westpac may consider special cases where the student has a strong financial sponsor or guarantor. The bank’s loan approval process is rigorous, making it essential for international students to provide comprehensive documentation.

National Australia Bank (NAB)

NAB provides education loans for international students, sometimes without requiring assets as collateral, though a co-signer may still be necessary. Loan amounts can reach up to AUD $55,000, depending on the applicant’s situation. NAB is moderately strict in assessing applications, focusing on the student’s academic enrollment, visa status, and ability to repay the loan. If international students cannot meet NAB’s requirements, private lenders or loans from the student’s home country are recommended.

Applying for a personal or student loan as an international student in Australia is challenging due to strict bank requirements. Only students with a valid student visa and proper co-signer or financial backing are eligible. Tourists or visitors without a student visa cannot apply. To manage expenses, students should explore alternative options like home-country education loans, private lenders, or university-provided funding.