Illinois State Treasurer Michael Frerichs is announcing a new college loan option for students who have difficulty securing traditional loans. State Treasurer Michael Frerichs has unveiled the Funding U Illinois No-Cosigner Loan, aimed at residents who struggle to find a qualified cosigner. This initiative, part of the Student Empowerment Fund, delivers private loans at reduced interest rates to those pursuing higher education within the state. Frerichs says the program is designed to help more students access their academic goals without relying on family credit histories. Applications are now open, giving many hopeful scholars a better chance to finance their college dreams.
“The costs of college continue to rise, and the chaos in Washington is hurting, not helping our families,” Frerichs said at a Thursday news conference at 555 W. Monroe. “Financial aid often doesn’t cover all of the costs, and we are offering a solution to help students bridge the gap.”
“Funding U’s mission is to empower first-generation and low-income students across the U.S. to complete higher education by providing access to responsible, affordable financing,” Funding U Founder and CEO Jeannie Tarkenton said. “Thanks to the leadership of Treasurer Frerichs, Illinois students who are often the most vulnerable to drop out can now graduate with less expensive debt.”
Nearly 700 Illinois students have benefited from the Student Empowerment Fund, which has provided $10.8 million in private loans since its launch in 2023. The program, run by the State Treasurer’s Office, partners with student loan providers to offer affordable loans to residents attending in-state colleges. Lenders make interest payments to the Treasurer’s Office, allowing the fund to reinvest and extend more loans. The average loan amount is around $21,000. Top participating schools include Illinois State University, Augustana College, University of Illinois, Lewis University, and Southern Illinois University, helping families reduce the burden of education costs.
