Can You Get a Loan at 17?

Future investments are expensive, so if you’re planning on getting a car or paying up your college fees, you’ll have to start planning and budgeting early on.

When it comes to legal aspects of life, it can be tough to get anything done when you’re under 18 years old. It’s always either you have to get someone older to take the legal reins for you, or you can work your way around the legalities of contracts, loans, and so on by having a guarantor. Discover what is personal loans here.

Since the loan approval process is one of the easiest ways you can get instant cash, you’d be tempted to apply for one. But, can you get a loan at 17? Read on, and you’ll get a detailed answer to your concerns.

Can You Get a Loan at 17 or Under 18? The Short Answer

Through our practical knowledge, in most cases, you can’t get a loan at 17 since the minimum age for applying for approved loans is 18. So, if you’re a 17-year-old, you won’t be able to apply for any type of loan on your own, but that doesn’t mean there aren’t any alternatives! Learn what is loan here.

Co-signing, getting a guarantor, or finding a side gig, or in other words, monetizing what you’re already good at, can be some alternatives to bring you one step closer to your financial goals. Although solutions to this dilemma might only be a few, they can still help you big-time in the long run.

The way you go about this depends on several factors, such as your financial circumstances, goals, and why you need the money in the first place. Here is our payday loan definition.

What Is Co-Signing?

loans for 17 year olds

While most lenders don’t offer financial services to 17-year-olds, there might be some exceptions, like if the 17-year-old has a co-signer, for instance.

Co-signing basically entails having someone sign the contract with the borrower, which means that they’ll pay the loan instalments on the off chance that the borrower (the 17-year-old) couldn’t pay on time.

From a lender’s point of view, this is a safety measure to reduce the risk, and it also helps the borrower get the loan they need. Additionally, a co-signer can help the borrower get better terms (low instalments, high principal, and low interest rate) depending on their financial circumstances and credit score. Learn how to calculate loan interest here.

Think of a co-signer as someone who’s filling in your shoes in terms of legal qualifications. If you have someone that fits the bill for a co-signer, you can discuss loan options with them. Find out how to calculate interest on a loan here.

Who Is a Guarantor?

Another good option you could go for is having a guarantor apply for you. Similar to the co-signing option.

Due to bad credit history, or lack thereof, a guarantor will help the borrower get better terms on loan, which means that their creditworthiness will affect the loan they get as much as a co-signer’s will. Usually, people get guarantors because they don’t have a good enough credit history, but this option can work for 17-year-olds. Learn how to pay off loan fast here.

At this point, you might be wondering what the difference between a co-signer and a guarantor is? The answer is liability. Typically, co-signers are more liable for the debt than guarantors, meaning that if the borrower defaults on paying their debts, the creditor might collect from the co-signer without exhausting other collection options. Learn more about what is defaulting on loans here.

However, a guarantor will be a creditor’s last resort. In a way, guarantors act as a backup plan for borrowers, while co-signers are highly involved in the loan process. Learn how long to pay off my loan here.

Alternatives to Applying for a Loan

loan under 18

Although you might think that you have little to no options available, there are still good ways to earn money, but they’ll mainly depend on your skillset and not your credit score, unlike loan applications. Here are some excellent options.

Affiliate Marketing

If you’re not familiar with affiliate marketing, it’s an effective way of promoting products that aren’t yours online. However, if someone buys these products through you (or the affiliate links), you’ll get a sizable commission.

Our investigation demonstrated that, this method has proven profitable for many people, especially those with a remarkable internet presence, as you can get your followers to click on the affiliate links and buy these products. Find out what do I need to apply for a personal loan here.

In addition to that, a handful of reputable companies provide affiliate programs, like Amazon. 

Side Gigs

Finding the one thing that you’re good at can also be a way to earn money, despite how small your earnings might be at the beginning. For instance, gigs on Fiverr are an excellent way of showcasing your talents. You can also sell items on eBay for a decent sum of money.

Of course, there are other options, like investing in shares, commodities, or cryptocurrencies. However, these methods imply high risk, no matter how diversified your financial portfolio is. In addition to that, cryptocurrency and stock investments require a high degree of financial knowledge and aren’t exactly easy to navigate.

Part-Time Jobs

While this may not be the best short-term solution for your financial problems, it’ll certainly be rewarding in the long run. If you’re planning on applying for a student loan, for instance, you’ll need a stable income to pay up your future debts. Can you get multiple payday loan at once? Learn more about multiple payday loans here.

In case you have a co-signer or a guarantor, you’ll still need a monthly income to help you pay up your loans, so you have to get a part-time job and allocate your monthly income accordingly. Read about paid default loans here.

Planning for Student Loans

loans for 17 year old

The school of your dreams might request a hefty sum of money which you can’t afford. This is as good a reason as any to apply for a loan. Unfortunately, student loans might already have higher interest rates, which is why you’ll find your debts inflated after graduation.

If you’re thinking of going down that path even before hitting 18 years old, here are a few things you should consider.


At an early age, you might think that relying on your future self to pay your tuition fees is an easy task, but that isn’t always the case.

The more your scholarships cover your tuition, the more peace of mind and savings you’ll get in the future. Also, you won’t have to apply for a student loan that way or work part-time jobs for the better part of your college years (unless you want to, of course!)

Community College

You may already have planned out what type of courses you’ll take, but you still have to think about savings.

Some college students take their non-major courses at community colleges to save money. While this might sound insignificant when you’re 17, it’ll reflect on your future debts.

Can You Get A Car Loan At 17?

You can’t get a car loan at 17 in Australia since the minimum age to obtain an auto loan in Australia is 18. However, getting a car loan at 17 isn’t impossible. You can get a guarantor(usually a 1st-degree relative) to co-sign the loan agreement with you and get accepted for a car finance loan that can help you buy a new car.

If you purchase a vehicle after you receive a car loan, lenders might let you use it as collateral, but you have to get someone to co-sign the agreement with you in all cases as this is the only way you can get car finance at 17.

Loans For 18-Year-Olds With No Credit History

As per our expertise, Loans for 18-year-olds with no credit history are no credit loans that don’t require individuals to have a credit rating. These financing loans are often intended for people with a poor credit history, but 18 years old individuals can apply for them too. 

Many online lenders offer quick-approval loans for 18-year-olds without any credit history or people with a poor credit rating in general.

Final Thoughts

You might think that you don’t have that many options considering that the minimum requirement for any type of loan is for the applicant to be at least 18 years old.

While the answer to the lingering question of “can you get a loan at 17” is indeed usually no, there are still some ways you can earn the money you need, especially if you have long-term financial goals. So, weigh your options, and choose the alternative that makes sense for your situation! What is the difference between secured and unsecured personal loan? Learn more about secured loans here.

There are various options available when considering loans for you. One popular choice is a car loan with a guarantor. Having a guarantor can make it easier to secure car loans with a guarantor. A guarantor for a car loan is someone who agrees to be responsible for the loan if the borrower is unable to make payments. It’s important to understand the responsibilities that come with being a guarantor for a car loan. When applying for a car loan with a guarantor, it’s crucial to choose someone who is willing and able to fulfill the obligations if needed. Guarantor car loans can be beneficial for borrowers who may have difficulty obtaining a loan on their own. Understanding the terms and conditions of a car loan guarantor is essential before entering into any agreement.

Loans for u can come in various forms, including a car loan with guarantor. Having a guarantor for a car loan can increase your chances of approval. When considering a guarantor for car loan, it’s important to choose someone who is willing and able to fulfill the obligations if needed. Guarantor car loans can be a helpful option for individuals who may have difficulty obtaining a loan on their own. It’s essential to fully understand the terms and conditions of a guarantor for a car loan before moving forward with the application.

About the Author

Lucy has over a decade of experience in finance. She is currently the content curator here at Perfect Payday.

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