Private School Loans

Private School Loans for College
By Student-Loans.net

Planning is essential to a successful student aid venture. Yet, sometimes planning isn’t as feasible as we would like it to be. So what happens if you want to go to school, but you have failed to apply for student aid and classes begin in less than four weeks. Do not panic. There are still financial aid options available to you.

The very first course of action should be to contact your school’s financial aid administrator, explaining the situation, and ask for a recommendation on what you should do next. Some colleges will accept a copy of your FAFSA as a temporary way to calculate your student aid package while the U.S. Department of Education processes your original copy.

If you qualify financially, there is a good chance you can still qualify for a Federal Pell Grant and a Federal Stafford Student Loan. Based on the information you provide, the school can usually extend you credit up to the amount of your potential grants and loans until they have been fully processed.

Some schools offer a bridge loan to cover student emergency needs. This is a low-interest loan with a lifetime of about 90 days and is only used as a safety net until solid funds are processed.

Parents and students also have the option of seeking a private school loan to pay for last minute expenses. Private school loans are awarded based on credit and feature interest rates at prime and above. While these loans require some initial shopping to find the best interest rate, repayment plan, and loan terms, they can also be processed at a much faster rate than federal loans.

Some private school loans can be awarded via an online application with credit approval in less than 10 minutes, though the actual funds are mailed directly to the applicant. Learn more about private school loans in our free online PRIVATE student loan guide.