Applying for private student loans
You can apply for private college loans directly from each lender’s website. You should apply after you’ve made your school decision and once you know how much you need to borrow, so you won’t have to submit separate student loan applications for schools you’re considering.
How to get a private student loan
There’s no cost to apply for private student loans, but there are a few things you should know before you start:
- You’ll fill out basic personal information and financial information.
- You’ll be asked to choose the interest rate type and repayment option for your loan.
- You generally can apply with a creditworthy cosigner during the application process. If you apply with a cosigner, they’ll have to supply their financial information in the student loan application.
Our private student loan application process only takes about 15 minutes to receive a credit result.
Understand the student loan application process
How much you should borrow in private student loans
In terms of how much you should take out for college, borrow only what you think you can afford to pay back later. Think about your future career and how much you may make in your chosen field. To help estimate your future income potential, you can visit the US Department of Labor at bls.gov.
The amount of money you can receive from a private education loan varies by lender. If your lender requires “school certification,” your school verifies your enrollment and ensures that you’re not borrowing more than the cost of attendance (including your federal student loans, scholarships, and grants).
Do you need a good credit history for private student loans
Private student loans are credit-based. That means that a lender will look at your history of borrowing money and paying it back. Federal student loans, on the other hand, are generally based on financial situation and federal guidelines rather than credit. (Note: A credit check is conducted for the Federal PLUS Loan.)
If you don’t have a credit history, you’ll need a cosigner. A cosigner can be a parent, relative, or any other creditworthy individual. Their good credit history may help you get a loan.
Along with you, a cosigner accepts responsibility for repaying your private student loan. If you keep your loan in good standing, making on-time payments, it can be a great way to build your own credit. If you fall behind or don’t pay back your loan, your cosigner’s credit can suffer if they don’t make payments.
What happens after applying for a private student loan
After you apply for our private education loans for college or grad school, you’ll typically get a credit approval within 15 minutes of applying. You’ll also get notices to review, accept, and e-sign your loan terms.
Your school will have to certify your loan amount before it can be disbursed (paid to the school). Then you’ll get a Final Disclosure spelling out the details.
You have the right to cancel your private student loan as described in the Final Disclosure before it’s disbursed (sent) to your school.
Learn what happens after your loan is approved