Private Educational Loans

Sometimes loan sources other than the federal programs are needed. Many banks offer such educational loans. The general term for such loans is private educational loans. These loans are a better choice than most other loan sources, but are less desirable than the federal programs for several reasons:

• The interest rates are reasonable, but higher than for the federal programs.
• Taylor University Fort Wayne (TUFW) certifies the loan, but the student works directly with the lending institution during the application process.
• Access to the funds is not assured. There is an application and credit check process, and most dependent student borrowers require a co-signer.
• Private educational loans are similar to unsubsidized Stafford Loans in that the borrower is responsible for interest charges from the start of the loan, but repayment of the principle is deferred until the student leaves school. In most cases, interest can be added to the principle and paid later, along with the principle.

Here is the process to use in applying for a Private Educational Loan:

1. Enter the information requested below, and click the "Search Now" button. In general, the Loan Amount can be whatever is needed to pay your bill for the current academic year. The dates requested are used to calculate loan values.
2. Select the lender you feel is your best choice from among those suggested. When you've made your selection, click on the "Apply" button for that lender. Note that a phone contact number is available by clicking on the "Call" button for that lender.
3. You will be taken to that lender's Web site, and will need to follow the instructions for applying for the lender's private loan.

Call the TUFW Financial Aid Office if you have questions, at 260.744.8644.