How do student loans and financial aid differ for Bangladesh students?

Paying for a U.S. education can be expensive. This is why many domestic and international students seek financial help for their higher education costs.

This kind of help is called financial aid. As you plan on studying at a U.S. college or university from Bangladesh, you might have also heard about student loans for international students.

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Key statistics

  1. The proportion of Bangladeshi students among all international students:The total number of international students in the United States for the 2023-2024 academic year was 1,126,690. Bangladeshi students accounted for 1.5% of this total, with 17,099 Bangladeshi students enrolled.Source: IIE Open Doors 2024 Report
  2. Total number of Bangladeshi students in the U.S. (2023/2024):In 2023–2024, more than 17,000 Bangladeshi students were enrolled in U.S. institutions, which is an all-time high. This is a 26% increase from the previous academic year.Source: opendoorsdata.org
  3. A sharp increase in Bangladeshi students studying abroadThe number of Bangladeshi students studying abroad has been steadily increasing. As of the latest data from UNESCO for 2023, 49,151 Bangladeshi students are currently enrolled in higher education abroad, a significant rise from 33,139 in 2016.Source: University World News

Types of financial aid for Bangladesh students

Financial aid can be broken down into a few options. Below are the main types of financial aid for Bangladesh students.

  • Scholarships. Money that’s awarded that doesn’t have to be paid back. It might be offered to students who have financial need or who are awarded based on academic success.
  • Grants. Grants are another type of aid that typically don’t need to be repaid as long as you fulfil all of the requirements of the grant programme.
  • Student loans. Education loans must be paid back, typically plus interest and possibly added fees. Bangladesh students usually can qualify for non-federal student loans, but requirements are different across lenders.
  • Work-study. Some schools might allow Bangladesh students to participate in a work-study financial aid programme that uses non-federal funds. It requires you to work a job, sometimes on campus, while you’re enrolled in school. Although it only covers some of your school expenses, work-study funds can help.
  • Fellowships. Fellowships are usually offered to graduate students and are available as financial aid for Bangladesh students. These awards provide financial assistance while helping students grow their professional and academic skills through training, research, or other activities.

Financial aid vs. student loans

Financial aid is any money-based assistance that’s meant for use toward college expenses. These expenses might include tuition and fees for your degree programme, housing, books and supplies.

There are different types of financial aid, and student loans are one kind of financial aid option available to Bangladesh students. In other words, all student loans are considered financial aid, but not all financial aid is student loans.

Where to find financial aid

Your home country might have financial aid awards for Bangladesh citizens that can help you get your education abroad. A good place to start your search before departing is through the Bangladesh government, or with the Bangladesh Embassy or Consulate office after arriving in the U.S.

You can also find financial aid for Bangladesh students in the U.S. Some schools offer special aid programmes for international students, like institutional student loans, fellowships or scholarships. Ask your school’s financial aid office about the financial aid you might be eligible for.

Nonprofit organisations in the U.S. also offer financial aid for Bangladesh students. For example, the Institute of International Education offers a database of grants, scholarships and fellowship awards. Another source of financial aid is the International Education Financial Aid database at IEFA.org where you can find additional financial aid options that are specifically designed for students who want to study abroad.

Education loan for Bangladesh students

When it comes to student loans for international students, you’ll find them through private loan lenders. Private international education loans might be available through your school or through a private bank or lender. Read MPOWER Financing’s comprehensive guide on how international student loans work for everything you need to know.

What to look for

  • Eligibility criteria. Review the lender’s visa, school, and programme requirements, as well as other criteria to qualify.
  • Annual percentage rate (APR). Compare the APR of each international student loan you explore. The lower your APR, the less you’ll pay toward your education debt.
  • Fees. Watch out for education loans that have high fees, like an application or disbursement fee. These fees add to your total cost of borrowing for your degree.
  • Borrowing limits. Student loans have different minimum and maximum borrowing limits. Check whether the education loan meets your funding needs.
  • Cosigner requirement. If you’re applying for a loan that requires a cosigner, make sure you meet the lender’s requirements. For example, a lender might require that you find a cosigner who’s a U.S. citizen or permanent resident.

Getting financial aid as a Bangladeshi student

Depending on your school or the financial aid programme, you might need to submit certain forms to apply for international financial aid.

Submit an International Student Financial Aid Application

The International Student Financial Aid Application (ISFAA) is a paper application. It’s meant for international students who want to apply for financial aid and are studying in the U.S.

The ISFAA asks for the student’s and their parents’ information and financial details like household income, assets and expenses. You must also include existing financial aid you’ve received from other sources. If you have a special financial circumstance, you can explain it on the form. After filling out the application, submit it to the college or university that requested it.

Complete a College Scholarships Service profile

Hundreds of U.S. schools and third-party scholarship organisations use the College Scholarship Service (CSS) profile as a requirement for Bangladesh students.

The CSS is provided by the College Board. It’s an online application for nonfederal financial aid, like institutional scholarships and loans. You can find a list of schools that use the CSS in their financial aid process online. Bangladesh students can fill out the CSS for a $25 (BDT 2,782) fee. If you need additional CSS Profile reports, the cost is US$16 (BDT 1,780) each.

Even if Bangladesh students are not eligible for federal financial aid, filling out the FAFSA might be helpful. Some non-federal aid programmes require all applicants, including Bangladesh students, to complete a FAFSA as part of the application process. Taking all of the steps needed to meet eligibility criteria can help you find more sources of financial aid for Bangladesh students.

The bottom line

Financial aid is a broad term to describe money from a third-party source that’s provided to a student for their education. Even if you don’t qualify for U.S. federal financial aid as a Bangladesh student, there are options to help pay for your education.

Financial aid for Bangladesh students includes scholarships, grants and education loans. These can be found through nonfederal sources, like your school, the Bangladesh government or independent organisations that offer scholarships and grants to international students.

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FAQs


What Bangladesh-specific scholarships are available for students planning to study in the U.S.?

Bangladesh students have access to several country-specific scholarship opportunities for U.S. studies. The Fulbright Foreign Student Program reserves a specific quota for Bangladesh nationals each year, providing full funding for master’s and Ph.D. programmes at top U.S. universities. The Bangladesh government’s Ministry of Education offers the Merit and General Scholarship programme that supports outstanding students for international study, with priority given to STEM fields. Several U.S. universities offer Bangladesh student-specific scholarships ranging from US$5,000-US$20,000 (BDT 556,350-2,225,400) annually. Additionally, organisations like the American Institute of Bangladesh Studies (AIBS) provide research grants and fellowships, particularly for Bangladesh students studying development-related subjects, with applications typically due between September and January for the following academic year.

How can Bangladesh students navigate currency exchange challenges when paying for a U.S. education?

Bangladesh students face unique challenges with currency exchange due to the Bangladesh Bank’s foreign exchange regulations. Currently, Bangladesh limits outward remittances for educational purposes to US$12,000 (BDT 1,335,240) annually, which may be insufficient for full U.S. university costs. To navigate this, establish a documentation system with your local bank in Bangladesh (such as Sonali Bank, Eastern Bank Limited or BRAC Bank) that demonstrates the educational purpose of your transfers. Maintain proper paperwork, including your I-20, university acceptance letter and tuition bills. Consider splitting tuition payments across family members to maximize allowable transfers. For larger amounts, pursue formal education loans through Bangladesh banks or international lenders, as these are exempt from personal remittance limits. Many Bangladesh students also establish U.S. bank accounts upon arrival and fund them through permitted channels, then use these accounts for ongoing educational expenses. Remember that currency conversion costs can add 2-3% to each transaction, so plan accordingly by considering the typical BDT-USD exchange rate fluctuations (approximately 4-5% annual depreciation of the taka against the dollar).

What financial documentation do Bangladesh students need to prepare for financial aid applications?

Bangladesh students require specific financial documentation that meets international standards while accurately representing their financial situation. Prepare bank statements from Bangladesh banks (like Dutch-Bangla Bank or Prime Bank) with official English translations on bank letterhead, showing at least six to 12 months of transaction history (not just recent deposits). Income verification for parents or sponsors should include tax returns (known as Return of Income or TIN certificates in Bangladesh), salary certificates on company letterhead and business registration documents if applicable. For property documents, which are commonly used as proof of assets in Bangladesh, include English translations of property deeds (“dolil”) with recent tax assessment values. Students applying for need-based aid should document Bangladesh’s cost of living differentials – explaining how a salary that appears modest by U.S. standards (e.g., BDT 100,000 or approximately US$900 monthly) might represent an upper-middle-class income in Bangladesh’s economic context. For scholarships from organizations like the Fulbright Commission or EducationUSA, prepare a comprehensive financial plan showing multiple funding sources, including any contributions from extended family members, which is common in Bangladesh’s collective family structure.

How do Bangladesh students compare U.S. financial aid options with educational loans available in Bangladesh?

When comparing financial options, Bangladesh students should consider local education loans from banks like Eastern Bank Limited or BRAC Bank for international students. Bangladesh bank loans generally require substantial property collateral and guarantors, while some U.S. lenders offer no-collateral options. Bangladesh loans typically limit borrowing to BDT 10-20 lakh (approximately US$9,000-US$18,000), which covers only a portion of U.S. education costs. U.S. institutional aid is particularly valuable as it doesn’t require repayment but is highly competitive – focus on universities with strong international student funding which offer need-blind admissions for international applicants. For Bangladesh government employees or those working at multinational corporations like Grameenphone or Standard Chartered Bank, explore employer sponsorship programmes which may offer more favorable terms than commercial loans. Additionally, Bangladesh students should investigate assistance from diaspora organizations like the Bangladesh Association of America or regional Bangladesh cultural associations, which often provide smaller scholarships specifically for students from Bangladesh.

What specific work options are available for Bangladesh students to supplement their financial aid in the U.S.?

Bangladesh students have specific work opportunities to supplement their financial aid while studying in the U.S. On-campus employment is permitted immediately upon arrival for up to 20 hours weekly during term time and full time during holidays, with positions at university libraries, dining halls and research labs typically paying US$12-US$15 (BDT 1,335-1,669) per hour.After completing one academic year, Bangladeshi students become eligible for curricular practical training (CPT), allowing paid internships related to their field of study. Engineering and computer science students from Bangladesh have particularly strong internship prospects, with companies like Google, Microsoft and Amazon.Upon graduation, Bangladeshi students qualify for optional practical training (OPT), providing 12 months of work authorization, extended to 36 months for STEM graduates. Additionally, many U.S. universities offer graduate assistantships specifically for international students, providing tuition waivers plus stipends of US$15,000-US$30,000 (BDT 1,669,050-3,338,100) annually for teaching or research duties. These positions are especially accessible in fields where Bangladeshi students often excel, such as engineering, computer science and economics.

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