Prodigy Finance FAQs for borrowers

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Prodigy Finance - May, 10 2024

7 min read

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At Prodigy Finance, we're committed to helping international talent to achieve their education dreams. We offer international student loans to qualified individuals attending top master's programmes in the US.

Students seeking loans to finance their studies are bound to have numerous questions throughout the process. They're everything from "what documents do I need to provide?" and to "what happens if I repay early?", to questions about the Prodigy Finance processing fee and how to increase student loan amounts.

Prodigy Finance loans and borrowers are no different.

Prodigy Finance provides loans to international masters students without the need for collateral or cosigners. Whilst our knowledge base is extensive and you’re likely to find the answer to almost any question you may have, you may want to check out this list of the top 5 FAQs to gain insight on how Prodigy Finance works.

Can I change my student loan amount after accepting my conditional offer?

You can change your loan amount after you’ve received and accepted conditional approval from us. You would simply need to reach out to us.

Reducing your loan amount

You can reduce your Prodigy Finance loan amount any time before you sign the final loan agreement, which happens when you arrive on campus for the start of class.

And, the administration fee will also be reduced accordingly.

Increasing your loan amount

You may also request an increase in your Prodigy Finance loan amount; however, it isn't guaranteed. Our credit committee will need to approve your new loan amount.

Keep in mind that the associated admin fee will also increase.

What is the maximum loan amount I can apply for?

The maximum loan amount that a student is able to borrow from Prodigy Finance is dependent, in part, on the university and course they wish to study. In some cases, this may be up to 100% of the total Cost of Attendance (CoA), which equals tuition plus living expenses, as provided by the university.
You will then receive your final loan confirmation letter (sometimes referred to as a sanction letter) which confirms that we have approved your loan.

What documents are required as part of the loan application process?

There are quite a few documents that we require from you - some will need to be uploaded when you apply for your loan, while others may only be needed later. However, as the loan approval process is speedy, it's best to get everything together from the beginning.

What supporting documents do I need?

If I submit my documents and accept the offer, will I be locked into taking the loan?

The Provisional Offer is a non-binding and conditional offer that informs us that you are ready to move forward with your loan application and provide your supporting documents.

As the offer is non-binding, this means that you are able to withdraw/cancel or request changes to the loan amounts on your offer throughout your journey. If you wish to do either of these, please do reach out to us at

How do Prodigy Finance loan interest rates work?

APR (Annual Percentage Rate) is a rate that shows your total cost of borrowing, including the interest rate and any fees or additional costs. When comparing education loan offers from different lenders, it’s best to use APR rather than monthly interest rate. Your monthly interest rate will always be lower than APR because it only represents part of the total cost of your loan.

11.06% is the minimum possible APR you could be offered. This APR assumes a 4.98% fixed margin rate, a 4.89%* variable base rate (3-month CME Term SOFR as of 6 April 2023), and a 5% administration fee.

The actual rate offered will depend on your circumstances, loan amount and term, and may differ from the minimum and/or the average representative APR shown in our representative example above.

The average APR for student loans is 14.96%.

There are 3 different types of interest rates that apply to your Prodigy loan. But, it's critical that while they all apply, they're not separate interest rates; they're different ways of looking at your interest costs.

Simple interest rate

This is the interest rate you receive for your loan, plus the Euribor / Libor base rate, which varies every 3 months. For example, if you receive a loan offer of €40 000 at 7.2%, and the 3 month Euribor is 0.12%, your simple interest rate is 7.32% (7.2% + 0.12%). One twelfth (1/12) of this is added to your account balance at the end of each month.

Annual effective interest rate

The effective interest rate (EIR) also includes the effect of compounding during your study and grace periods (where you aren’t making payments). For this example, the EIR is 7.62%.

APR (annual percentage rate)

While the EIR takes the effect of compounding into account, the APR also takes all fees associated with your loan (ie, administration fees) into account. For this example, the APR of your Prodigy loan would be 8.09%.

Students who are considering different loan options should use the APR for the purposes of comparison.

This short video about APR explains it all.

When do the funds get disbursed?

Disbursement dates of Prodigy Finance loans vary from school to school. And, you can rest assured that Prodigy Finance is in continuous communication with every school, and we have agreements in place that allow students to defer payment until the date on which the funds are disbursed.

Please note that Prodigy Finance loans cannot be used to pay any acceptance deposits or reservation fees required to secure your place at your school.

What can I use the loan amount for?

Some schools allow funds to be used for living expenses and tuition costs. If your loan includes living expenses, we will send all the funds to your school. Once tuition fees are paid the school will then transfer living expense funds to you directly. In this case, it is best to reach out to your school's Financial Aid Office to coordinate the times and dates.

For example, you can apply up to USD 104,557.00 for MS Computer Engineering at Arizona State University which includes tuition and living expenses.

Understanding the Repayment Process

With a Prodigy Finance loan, repayment begins after a grace period which includes the period of your study as well as a few additional months.

Prodigy Finance grace periods:

  • Full-time students: 6 months from the class end date.
  • Part-time students: 3 months from the final disbursement date.

What currency should I pay in?

If you're making payments toward your loan, please make sure that we receive your payment in the same currency as your loan. For example, if your loan is in USD you should also make payments in USD.

Here are a few tips on how to avoid extra fees and budget your repayments:

  • First, convert your funds into the currency of your loan.
  • Then send your payment to Prodigy Finance after the conversion is complete.
  • Make sure your payment stays in the currency of the loan by including "do not convert" on your payment instructions.

How do I pay?

You can review the available payment options and instructions by logging in to view your loans online, on iOS or Android.

Are there any hidden fees?

There are no other fees attached to your loan so long as repayments on the loan are up to date or ahead of schedule. You’ll be able to see exactly what’s attached to the amount of money you borrow.
The admin fee is 5% of the total loan amount. This fee is added to your loan amount when the loan is issued and spread across your monthly payments- you're never required to pay this fee upfront.

What happens if I repay my loan early?

You don’t need to make any repayments during the grace period (which lasts for six months after you graduate). However, there are no charges or penalties if you do decide to make early repayments or settle your loan early.

Want to start repaying your loan while you're still studying? No worries there either.

Still have more questions? Check out the extended Prodigy Finance FAQs page or email us on

Ready to apply for a loan to your dream grad school?

We've got a hassle-free, fully online application process that takes most applicants a mere half an hour to complete. Just see how easy it is.

Here’s a reminder of how our loans work

Prodigy Finance assesses students on their future earning potential. Prodigy Finance provides student loans without any cosigner or collateral. Eligible students are offered variable interest rate loans starting at 14.96% APR. After graduation, students benefit from a 6-month grace period, and there are no penalties for early repayment. Prodigy Finance believes that “education should not be a barrier to education” and you are eligible to apply if:

Which schools does Prodigy Finance support?

We currently support over hundreds of schools globally across the fields of Business, Engineering, Law, Public Policy and Medical and are expanding all the time. Right now we do not support any undergraduate courses but we are looking to grow our list of courses we can support. If you are interested in studying a course which is not listed on our site, please submit a request and we will see if we can help you in the future.

Help me find a school

What are the countries that Prodigy Finance supports?

You can apply for a prodigy finance loan if you belong to one of the eligible countries. We cannot not support a few regions. So if your country is not listed in the list, it is an eligible county.

How to get a loan from Prodigy Finance?

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© Prodigy Finance Limited 2007 - 2024. All Rights Reserved. Prodigy Finance Limited is incorporated in the United Kingdom (Company Number 05912562) with its registered address at 85 Great Portland Street, London, W1W 7LT and registered with the Office of the Information Commissioner (Reg. No. Z9851854). Prodigy Finance is authorised and regulated by the Financial Conduct Authority (firm registration number 709641) for certain consumer credit activities. Prodigy Finance loans are offered to eligible borrowers and these loans are governed by English law. Prodigy Finance Servicing, LLC is incorporated in the state of Delaware, USA, is an affiliate of Prodigy Finance Limited and conducts the business of servicing of loans for residents of certain US states. NMLS # 2155440 (Prodigy Finance Servicing, LLC) and NMLS #1611590 (Prodigy Finance Limited) ( View Prodigy Finance's lending, servicing and collection licenses.