DiginStudent and Business Loans for Nigerians To Study in Canada or the U.S.
Canada and the United States have long been top destinations for Nigerians pursuing academic excellence and entrepreneurial success. With both country’s world-class institutions, diverse cultures, and dynamic economies, these countries present opportunities for personal and professional growth.
However, access to adequate funding remains a barrier for many Nigerian students and entrepreneurs who wish to study or do businesses abroad.
This comprehensive guide explores available student and business loan options for Nigerians aiming to study or start a business in Canada or the U.S., along with the application process, eligibility criteria, and frequently asked questions.
Why Canada and the U.S.?
Both countries offer immense advantages for aspiring students and entrepreneurs:
- Global recognition: Degrees from North American universities are highly valued worldwide.
- Inclusive societies: Multicultural communities ease the transition for international students.
- Entrepreneurial ecosystems: Innovation hubs in cities like Toronto, Vancouver, New York, and San Francisco foster startup and small businesses growth.
- Immigration pathways: Policies such as Canada’s Post-Graduation Work Permit (PGWP) and U.S. Optional Practical Training (OPT) provide work opportunities after studies.
- Access to capital and mentorship: Numerous funding and accelerator programs support international businesses.
Student Loan Options for Nigerians
International Lenders
MPOWER Financing
- Available to Nigerian students studying in the U.S. or Canada.
- No collateral or co-signer required.
- Loan amount covers tuition, books, and living expenses.
- Repayment begins six months after graduation.
- Requires a confirmed admission offer from an eligible institution.
Link: https://www.mpowerfinancing.com/
Prodigy Finance
- Best suited for postgraduate students in business, engineering, law, and public policy.
- Loans are based on future earning potential.
- No collateral or co-signer needed.
- Offers flexible repayment terms.
- University and program must be listed in Prodigy’s approved institutions.
Link: https://prodigyfinance.com/
Both MPOWER and Prodigy Finance offer loan repayment terms of 10 to 20 years to allow for flexible payments. However, many Nigerians who took these loans have successfully repaid them within five years after completing their programs.
Also Read: NELFUND: Link to Apply for Nigerian Student Loan 2024/2025
Nigeria-Based Loans and Programs
Access Bank Student Loan
- Offers up to ₦20 million for international study.
- Requires a guarantor and collateral.
- Covers tuition, travel, and other expenses.
Link: https://www.accessbankplc.com/personal/borrowing/advance-for-school-fees
EducationUSA Opportunity Funds Program
- Non-repayable grant for high-achieving, low-income students applying to U.S. universities.
- Covers application fees, standardized test fees, and visa processing.
Link: https://educationusa.state.gov/
Student Loan Options for Nigerians International Loan Providers (No Collateral or Co-signer Required)
| Provider | Countries Covered | Features |
|---|---|---|
| MPOWER Financing | Canada & U.S. | No co-signer or collateral. Covers tuition + living costs. Flexible repayment after graduation. |
| Prodigy Finance | Canada & U.S. (grad only) | For Master’s students in select universities. Income-based repayment. No local credit history needed. |
Nigeria-Based Education Loans
| Bank/Program | Details |
|---|---|
| Access Bank Student Loan | Up to ₦20 million. Requires Nigerian guarantor. Covers tuition and travel. |
| FCMB Education Loan | Short-term support for school fees. Competitive interest rate. |
| EducationUSA Opportunity Fund | Supports high-achieving, low-income students applying to U.S. universities. Covers prep, exams, application fees. |
Business Loan and Funding Opportunities
Canada
Futurpreneur Canada
- Offers up to CAD 60,000 to new Canadian residents under age 39.
- Includes free mentorship and business coaching.
- Requires a solid business plan and proof of residency.
Link: https://futurpreneur.ca/en/
Business Development Bank of Canada (BDC)
- Provides loans tailored to newcomers and tech startups.
- Also offers consulting services and business advisory.
Link: https://www.bdc.ca/en
Start-up Visa Program
- Targets immigrant entrepreneurs.
- Requires support from a designated venture capital fund, angel investor, or incubator.
- Business must be innovative, scalable, and able to create jobs in Canada.
Link: https://www.canada.ca/en/immigration-refugees-citizenship/services/immigrate-canada/start-visa.html
Also Apply: Apply For FG YouthCred Financial Empowerment 2025 For Nigerian Youth
United States
Small Business Administration (SBA)
- Offers various loan programs, including microloans and 7(a) loans.
- Must be a legal U.S. resident or hold valid work authorization.
- Strong business plan and financial projections required.
Link: https://www.sba.gov/
Startup Accelerators (Y Combinator, StartOut, Techstars)
- Provide seed funding, mentoring, and investor exposure.
- Competitive selection based on business potential.
E-2 Investor Visa or O-1 Visa
- E-2: Requires substantial investment in a U.S.-based business.
- O-1: For individuals with exceptional ability in business, education, or sciences.
Also Apply: NIRSAL Microfinance Bank Offers “Cash Now-Now” Loan for Petty Traders and Artisans
Eligibility Requirements
For Student Loans:
- Valid international passport
- Proof of admission to an eligible U.S. or Canadian institution
- Academic transcripts and exam scores (if applicable)
- Financial need or limited local access to credit
For Business Loans:
- Legal status in host country (student permit, work visa, permanent residency)
- Scalable business model
- Financial projections and business plan
- Some lenders may require personal or business credit history
Tips for Successful Loan & Visa Applications
- Start applications 6–9 months in advance
- Combine scholarships, personal savings, and loans
- Be transparent about your repayment strategy
- Highlight the impact potential of your business or education
- Tailor your business plan or statement of purpose to local trends
Frequently Asked Questions (FAQs)
Q1: Can I apply for a loan before receiving a visa?
Yes. Most lenders like MPOWER and Prodigy provide conditional loan offers that can support your visa application.
Q2: Do I need collateral or a co-signer?
Not necessarily. MPOWER and Prodigy do not require co-signers or collateral. Nigeria-based banks typically do.
Q3: Can I use the loan to cover living expenses?
Yes. Most international education loans cover tuition and living costs including housing, books, and meals.
Q4: How can I repay my loan?
Repayment usually begins 6 months after graduation. International lenders offer flexible payment plans based on your income.
Q5: What if I want to start a business while studying?
Check the terms of your study permit. In Canada, full-time students can work up to 20 hours/week and may operate a business. U.S. F-1 visa holders are generally not allowed to run a business but can participate through CPT or OPT.
Q6: Are there scholarships I can combine with my loan?
Yes. Consider:
- Mastercard Foundation Scholarship
- Fulbright Program (U.S.)
- Vanier Scholarships (Canada)
- Commonwealth and Chevening Scholarships
- University-specific financial aid programs
Q7: How do I increase my chances of getting funding as an entrepreneur?
Prepare a strong business plan, join a reputable incubator, and demonstrate your startup’s growth potential and social impact.
Conclusion
Navigating the journey to study or start a business abroad may seem daunting, but the right financial support can turn your dreams into reality. By leveraging international and local loan options, building strong applications, and taking advantage of scholarships and entrepreneurial support programs, Nigerian students and entrepreneurs can thrive in Canada and the U.S.
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