Private Loan Information

Fri, 2013-03-01 15:19 -- univcomm

Private Loan Information

Private Educational Loans

  • Credit based, non-federal loan offered by banks and other lenders.
  • Usually limited to your educational costs minus financial aid.
  • Deferral of principle and interest while attending school at least half-time may be possible. Interest not paid while in school is added (capitalized) to your loan balance.
  • Variable interest rate and fees based on your credit and that of a co-borrower if applicable.
  • Because approval is based on your credit, most students will need a credit worthy co-borrower.
  • Repayment terms and options, including co-signer release, vary by lender.

Eligibility
Anderson University strongly encourages you to exhaust all federal grant and loan options prior to applying for a Private Educational Loan by completing the FAFSA.

Private loans are those defined as loans that come from a bank, credit union, or other nongovernmental source. A private educational loan is a student loan but usually requires a credit worthy co-signer (usually the parent).

Although Anderson University will process loans from any lender you choose, we have provided you with a link to a list of lenders our students have used in the past. Click on this link to view these lenders and start the Private Educational Loan application process.

These loans are not regulated by the federal government and have adjustable interest rates. The terms of the loans will vary from lender to lender, and the interest rate may be significantly higher than that of Federal Direct Loans (Student, Parent PLUS and Graduate PLUS).

Anderson University does not promote specific lenders. You should thoroughly research all options before making your decision.

Due to requirements in the Truth in Lending Act, a lender must obtain a self-certification signed by the applicant before disbursing a private education loan. If you have not provided a signed copy of the applicant self-certification form to your lender, click here to obtain a copy of the form.