Private student loans are offered through a variety of banks and other lenders. Students wanting private loan must apply separately from their financial aid application through an individual lender. The best rates on these loans are generally offered to borrowers with good credit and\/or who have a cosigner with good credit.<\/p>\n\n\n\n
When shopping for a private loan, look for a loan you can live with in both the short term and long term. You may be repaying it for multiple years after graduation. Many loan providers will lend up to the student\u2019s cost of attendance minus any financial aid received. Often there is a yearly and\/or cumulative cap on the amount the student may borrow; sometimes this cap is set by the student\u2019s school. Note that it takes an average of 4 weeks to process loans through our office.<\/p>\n\n\n\n
| \n Eligibility Criteria<\/p>\n<\/th> | \n Loan Terms<\/p>\n<\/th> | \n Additional Information\/Requirements<\/p>\n<\/th><\/tr><\/thead> | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Non-need-based<\/p> Student must be enrolled at least half-time in degree program Borrower must be a U.S. citizen or eligible noncitizen<\/p> Borrow may be required to have a cosigner <\/p> <\/td> | Fees from 0-12%, depending on borrower’s credit. Some have origination fees.<\/p> Loan amounts often are cost of attendance minus financial aid offered. Sometimes set by school. Often include a yearly and\/or cumulative cap (as high as $250,000 for undergraduates). Interest rates generally PRIME -1% to +7.75% or LIBOR +1% to +8%<\/p> Repayment term ranges from 0-25 years, depending upon amount of loan Interest rates, fees, and loan limits depend upon borrow\/cosigner credit history, loan options, and repayment schedule. Having a cosigner may reduce interest rate and loan fees<\/p> <\/td> | Students do not need to submit a FAFSA if they are not applying for other aid.<\/p> The federal Truth in Lending Act requires students to submit a Private Education Loan Self-Certification Form to their lender.<\/p> <\/td><\/tr><\/tbody><\/table><\/figure>\n<\/div><\/div>\n\n\n\n <\/div><\/div>\n<\/div><\/div><\/div>\n\n\n\n Borrower Requirements and Cosigners<\/h4>\n\n\n\nMost lenders require half-time student enrollment. Our staff checks enrollment status when a loan is disbursed, not when the loan is certified. Many private education lenders also require student borrowers to have a loan cosigner.<\/p>\n\n\n\n In addition to increasing your chances of getting your loan approved, having a cosigner sometimes helps you get a lower interest rate and may reduce the approval time. Your cosigner need not be a relative, but should be someone with a steady income and a good credit history. Some lenders will release the cosigner from the loan if the student borrower has met certain requirements, such as making payments on time<\/p>\n\n\n\n Typical Private Loan Payments – Graduate Students<\/h4>\n\n\n\n\n \n
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