How to Get a Private Student Loan

Applying for a student loan may take time depending on your needs and choices. To get the top private loans for grad school, check out the following steps:

  1. Check your credit score Check whether your credit score allows you to be eligible for a loan. If you have a bad credit score, find a cosigner who has an excellent rating to help you. Also, make sure your credit report is accurate and free of errors.
  2. Research lenders who offer private loans Find as many lenders as you can and compare their reputations, interest rates, pros and cons of using them, and which ones are most likely to accept your application.
  3. Compare offers from various lenders Compare each lender’s offers, including their loan terms, rewards, discounts, and value add-ons such as loan forgiveness programs and deferments. Check whether any of them offer graduate student loans for people with bad credit in case there is no cosigner available for you.
  4. Apply for a loan Once you are confident with your chosen lender, it’s time to officially start the application process. Prepare any and all necessary IDs and documents, and read through their guidelines when filling out forms. Know all the details relating to your loan application, and make sure to read the fine print.

Most Popular Private Graduate Student Loans at a Glance

washington mutual finance loans personal

CommonBond Refinancing options of up to $500,000. 3.84% to 9.37% 3.74% to % No origination fee; 600
LendKey Marketplace for student borrowers and private lenders 1.49% to 7.73% 3.99% to 7.73 No origination or prepayment fee; 680
College Ave Fastest loan application with reasonable rates 1.89% to % 4.24% to % No origination fee; 650
SoFi Additional no credit check payday loans Galva IL programs for borrowers, such as career improvement, financial planning, and referral programs. 1.87% to % 4.23% to % No origination fees, prepayment fees, and late fees Undisclosed

Wrap Up

The most popular private student loans for graduate students are those that come with flexible rates and repayment terms, as well as various value add-ons like referral programs, discounts, and financial management programs. This type of loan is best for students who want to finance their graduate education and cover their total cost of attendance, supplementing any financial aid they receive from the federal government.

You can borrow the full cost of attendance from private lenders. They often have minimum loan amounts, and they also deduct any other financial aid you’ve received apart from the private loan. This makes it the best loan type for college students who want to pay for their education.

To get a private student loan, you must meet the lender’s eligibility criteria, which often includes a good credit score and a steady income. You also need to be enrolled at least half-time in any degree college that is accepted by the lender.

Private student loans work the same way as federal loans do, except they come from banks and other financial institutions. Repayment can be interest only, monthly, or deferred until the end of school. You can also refinance existing loans for education using the best private graduate student loans.

APR, or annual percentage rate, refers to the cost you pay each year for the borrowed money; This is expressed as a percentage and can be either fixed or variable. Fixed APRs do not change or fluctuate based on an index used by the lender, while a variable APR is an exact opposite. If varied, the number moves up or down depending on the index’s movement.

You can borrow $2,000 up to the total cost of your attendance, and the loan terms are 5, 10, and 15 years. Variable graduate student loan rates are between 3.84% and 9.37%, while fixed rates are between 3.74% and %. The best thing is that you can refinance existing loans of up to $500,000 with 20 years in repayment terms.

How Do Private Loans Work?

personal loans for bankruptcy

  • Discounts Private lenders can offer certain discounts or rewards for borrowers. One example is an autopay discount, where you apply for autopay to reduce the total interest owed.