Private Loan Programs
A private education loan is a credit-based loan that can be used to pay for education-related expenses up to the Cost of Attendance, for a specific academic year of enrollment. They typically supplement an award package that includes federal loans and/or grants and scholarships. In some instances where federal loans cannot be awarded, private education loans are used as the only source of funding.
Federal regulations require educational institutions to evaluate a student’s Federal Aid eligibility prior to the processing of a private loan. To determine your eligibility for the private loan you must complete and submit a FAFSA. If you do not intend to use any federal aid, you must complete and submit the Title IV Waiver Form to Drexel Central.
Eligibility for a private education loan is made by the financial institution you have applied to and can be based upon the following:
- U.S. Citizen or permanent resident
- Credit History
- FICO Score
- Debt-to-income ratio
A co-signer may be required in order to be approved for a private loan; please refer to your lender for details. Once the loan is approved, your lender will issue a disclosure statement detailing the loan agreement.
Selecting a Private Loan
You are encouraged to be educated consumers and review and compare all rates, terms and conditions prior to finalizing your lending program decision. A list of questions that should be asked when selecting a loan program is below:
Are there fees charged on the loan? If so, at what percent?
How often is interest capitalized? Does the capitalization change upon entering repayment?
Are there borrower benefits associated with the program? If so, what are they?
How often is a statement provided summarizing loan balances, interest accrual and the expected monthly payment?
How accessible are loan representatives via the phone?
What are your hours of operation?
How long has the company been offering educational loans?
How can payments be made (i.e.,US mail, phone, online)? Is there a fee associated with making payments online?
Does the program offer insurance on the loans?
Historical Lender List
Drexel University does not have a preferred lender listing for private loans. We recognize that you have many choices when considering a private loan; therefore, we have provided a listing of those lenders that Drexel students have utilized in prior years. This is not an all-inclusive listing and you are not in any way required to use any of the lenders listed below. You may choose a lender that best meets your needs and requirements. In addition to the list below, you can use general internet search engines to look for private loans.