Online Lending and Financial Marketplaces: A Guide for International Students and Visa Holders
With the advent of the internet, lending has shifted to an online model.
- Online lending has gained footing over the past decade as financial institutions have realized the ease and convenience to customers by underwriting loans over the internet.
- Customers have shown that they want the convenience of searching for financial products from the comfort of a desktop or smartphone, too.
- What started as a niche market is now a multi-billion dollar industry and is here to stay.
Online lending may be unfamiliar to many international students and visa holders.
- Depending on what country an international student or visa holder is from, online lending may still be a niche sector of the lending industry and not as mainstream as it is in the United States.
For many in the United States, online lending is the top choice for finding a loan, whether that is an education loan, personal loan, or auto loan.
- Traditional lending requires customers to head to a brick and mortar building, meet with a lending representative and turn over paper financial documents.
- Usually it will take days, if not weeks, to find out if you will be approved for a loan. Online lending offers an alternative – no bank visits, no paper documents, typically a faster approval process, and oftentimes lower rates.
An example of convenience is that frequently a lender will need additional information in the form of financial documents throughout the approval process.
- With traditional lending, an international student or H1B/L1 visa holder would need to take a trip to the bank and turn in a paper document, or mail documents overseas if the lender is in another country.
- With online lending, they can simply upload the required material from their home directly into the lender’s website.
Online lending can have another prudent benefit for international students who are looking to study in the U.S. and need funding options for their education.
- Online lending allows international students to cross borders on the internet and have easy access to lenders who may be based in the U.S. or other countries.
- It allows prospective international students to search far and wide and not be limited to their geographical location.
Once an international student or an H1B/L1 visa holder finds an online lender for the financial product they need, the lender will ask for personal and financial information that will need to be submitted.
- Once submitted, applicants can be notified almost immediately if they are eligible.
- If not, decisions on the loan are usually sent out within days.
- Depending on the type of loan and lender, once notified of eligibility, there may be additional financial documents that need to be uploaded to the lender for them to give a final approval decision.
- Once approved, the lender will disburse the funds to your personal banking institution or to the university that you are attending, depending on the type of loan.
Within the online lending space, there are platforms that are referred to as financial marketplaces.
- Nomad Credit is such a marketplace. A financial marketplace is a platform that allows consumers to search and compare different online lending options.
- The marketplace connects the consumer to the online lenders that may be able to serve them, allowing the consumer to search and compare their financial options.
In our case, Nomad Credit is a financial marketplace for international students and visa holders who are living or planning to live in the United States.
- Nomad Credit can help international students and visa holders search for the financial products that they need such as education loans or study loans, personal loans, auto loans, credit cards, student medical insurance, and renters insurance.
- It can oftentimes be difficult to know what financial options there are for international students and visa holders as the online lenders and financial institutions that will serve them are sometimes smaller and lesser known.
- Nomad Credit has identified and brought these lenders and institutions onto our platform so that international students and visa holders can easily search for and compare the options that are available to them.
So, if you are an international student on an F1 visa or J1 visa needing to find funding sources for your education, find student medical insurance options or credit card options we’d love to connect you with the online lenders that may serve you. Nomad Credit can help H1B/L1 visa holders search for the financial products that they need, too. Please visit us at nomadcredit.com, today. We are more than happy to help and if you have any questions about international student loans, please email us at firstname.lastname@example.org.