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Alternative or Private Educational Loans
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An alternative (or Private) loan is a credit-based consumer loan for the purpose of covering educational costs. Funds are available through participating lending agencies. You will need to have an established credit history of at least 18 months; however, if you do not have an established credit history, some lenders may allow you to have a co-borrower or sponsor (parent, guardian, or relative).

A private education loan can offer substantial benefits over other financing options such as credit cards, home equity loans, borrowing against a 401K, or using savings and investments.

This loan may be an option for you if:

  • You have already applied for financial aid and your award does not cover the total of your educationally-related costs, or
  • You do not meet the eligibility requirements for Title IV financial aid.

If you are considering borrowing an alternative loan, we encourage you to speak with a staff member to discuss your eligibility.

How to Apply

Generally, the first step is to complete a FAFSA (Free Application for Federal Student Aid). Many lenders have alternative loan options available. You should review their website for comprehensive information about their products and application process. Borrower eligibility is based on ability to pay, a good credit record, and individual requirements established by each lender.

Once you select a lender and complete their application requirements, the lender may forward the information to our campus to certify educational costs and enrollment. In most cases, one half of the academic year loan is disbursed each semester.

Disbursement of Alternative Loan Funds

The lender may send the loan funds directly to you. Funds sent to our campus will be disbursed from Student Financial Services (SFS) for one-half of the academic year loan. If you have an outstanding balance on your university account, SFS will deduct the amount owed and disburse the balance to you.


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