You can get a loan under 18, but your options are narrow. Federal student loans are the clearest path because Congress made them enforceable against borrowers of any age. Outside of that, a creditworthy adult co-signer is almost always required, and in rare cases a court-ordered emancipation can give a minor the legal capacity to borrow on their own. Standard unsecured loans from banks and credit unions are effectively off the table until you turn 18.
Why Lenders Say No to Minors
In nearly every state the age of majority is 18. Alabama and Nebraska set it at 19, and Mississippi sets it at 21. Below that age, you are considered a minor who lacks full legal capacity to enter a binding contract. A loan agreement a minor signs is not void, but it is voidable: the minor can walk away from the deal without a reason, and the lender has no practical way to force repayment.
That is why most banks, credit unions, and online lenders will not even consider an application from someone under 18. From their side, an unsecured loan to a 16- or 17-year-old is a losing bet. The borrower could legally refuse to repay, and no court would enforce the debt.
Federal Student Loans
Federal student aid is the one place where age genuinely does not matter. Under the Higher Education Act, the Master Promissory Note a student signs for federal Direct Loans is enforceable no matter how old the borrower is. Congress specifically blocked the infancy defense for these debts, so a 17-year-old freshman is just as bound to repay as any adult borrower.
Direct Subsidized and Direct Unsubsidized Loans are the two types available to undergraduates, and neither requires a credit check or a co-signer. A first-year dependent undergraduate can borrow up to $5,500 per academic year, with no more than $3,500 of that amount in subsidized loans, where the government covers interest while you are enrolled at least half-time.1Federal Student Aid. Annual and Aggregate Loan Limits – 2025-2026 Federal Student Aid Handbook The Perkins Loan program, which older guides sometimes mention, stopped issuing new loans in 2017.
Default has real teeth. If a borrower stops paying, the federal government can garnish up to 15 percent of disposable wages without a court order and can seize tax refunds and other federal payments through Treasury offset.2Federal Student Aid. Collections Those tools apply no matter how old you were when you signed the note.
Parent PLUS Loans
When federal borrowing limits do not cover the full cost of attendance, a parent can fill the gap with a Direct PLUS Loan. The parent, not the student, is the legal borrower. PLUS Loans require a credit check, but the standard is lower than a private lender’s. The Department of Education looks for specific adverse credit events, such as recent defaults, bankruptcy discharges, or accounts more than 90 days delinquent, rather than scoring overall creditworthiness. A parent who does not pass the check can still qualify by adding an endorser, which functions as a co-signer for the parent’s loan.
Co-Signed Loans
Outside of federal student aid, a co-signer is usually the only realistic way for a minor to borrow. The co-signer provides the credit history and income verification the lender needs. In practice, the co-signer is the person the lender actually trusts. The minor’s name may appear on the paperwork, but the adult’s signature is what makes the deal enforceable.
The co-signer carries nearly all of the real financial risk. Because the minor can still void their portion of the contract under the infancy doctrine, the lender will pursue the co-signer for the full remaining balance if the minor stops paying, including accrued interest and late fees. Missed payments damage the co-signer’s credit score just as much as the borrower’s. A parent or relative who co-signs a car loan or private student loan for a teenager should treat it as their own debt, because legally it is.
There is an upside for the young borrower. Lenders report activity to the credit bureaus under both names, so timely payments on a co-signed loan build a positive credit history under the minor’s name as well. That head start matters once the borrower turns 18 and begins applying for credit on their own.
Private Student Loans With a Co-Signer
Private lenders generally allow students under 18 to borrow for educational expenses when a creditworthy adult co-signs. The co-signer’s credit score, income, and debt-to-income ratio drive both the approval decision and the interest rate. Private student loans lack the protections of federal loans, including income-driven repayment plans and forgiveness programs, so they are best used only after federal borrowing is maxed out. Some private lenders offer co-signer release after a set number of on-time payments, but the eligibility rules are strict and the borrower must qualify independently at that point.
Emancipation
Legal emancipation removes the infancy doctrine’s protections and gives a minor the same contractual capacity as an adult. Once a court grants emancipation, lenders can enforce loan agreements against the minor the same way they would against any adult borrower, with full liability for default, lawsuits, and credit damage.
It is not a shortcut. Courts require the minor to demonstrate financial self-sufficiency and the maturity to manage their own affairs. The process involves filing a petition, attending a hearing, and meeting state-specific conditions. Filing fees alone can run up to a few hundred dollars, and many courts will not consider a petition unless the minor is at least 16. The number of teenagers who both qualify for emancipation and need a loan is very small, but for those who do, it clears the enforceability barrier that otherwise blocks traditional lending.
Building Credit Before You Turn 18
Even if a loan is out of reach, you can start building a credit profile before your 18th birthday. The most effective strategy is becoming an authorized user on a parent’s or guardian’s credit card. The account’s payment history appears on your credit report, giving you a track record before you ever apply for credit on your own.
Minimum age requirements vary by issuer. Chase, Bank of America, Capital One, Citibank, and Wells Fargo have no minimum age to add an authorized user. American Express, Barclays, and U.S. Bank set the floor at 13, and Discover sets it at 15. Some issuers do not begin reporting authorized user activity to the credit bureaus until the user turns 18, so confirm with the card company before counting on it.
Being an authorized user carries no legal liability for the debt. The primary cardholder is responsible for all charges. But the credit-building benefit only works if the primary account stays in good standing. Late payments or high balances on the parent’s card will hurt the authorized user’s score just as much as responsible use helps it.
What Changes at 18
Turning 18 opens the door to standard borrowing, but not as wide as most people expect. Under the Credit CARD Act of 2009, you generally need to be 21 to get a credit card on your own unless you can show independent income. Most major issuers no longer accept co-signers on credit card applications, so an 18-year-old without a job or provable income will still be turned down. A part-time paycheck or freelance income is usually enough to clear this requirement.
For other types of credit, turning 18 simply removes the infancy doctrine barrier. You can sign an enforceable auto loan, personal loan, or lease agreement, but approval still depends on your credit score, income, and debt-to-income ratio. A year or two as an authorized user leaves you with a thin but positive credit file. Without that, you may need to start with a secured credit card or a credit-builder loan, where the lender holds your deposit or loan amount in a savings account until you have shown consistent payments.