Private/Alternative Educational Signature Loans

Alternative Loans are private educational signature loans available through private lenders.  Students apply for alternative loans through private lenders and are approved or denied based on the lender’s eligibility criteria.

These are NOT federally guaranteed and interest rates and terms vary from lender to lender.  In general, the interest accrues as soon as the loan disburses and varies quarterly.  There is no cap on the interest rate and it is general tied to the LIBOR or Prime rate.

Marygrove College will certify alternative loans for any lender up to the cost of attendance less any other aid received. 

It is important to remember that these are NOT federally guaranteed student or parent loans and should ONLY be requested after all other options have been exhausted.  If you must apply for an alternative loan, it is recommended that borrow only what you absolutely need to complete your education.

When choosing a private lender, some key questions to consider:

• What is the minimum enrollment level?
• Must I be making satisfactory academic progress?
• What is the interest rate?
• How does the interest rate vary?
• Is interest tied to the LIBOR or Prime rate?
• When must I begin making payments?
• What are the terms of repayment?
• Are there any forgiveness or forebearance terms?
• Is a cosigner required?
• Can the cosigner be released?

last updated 12/07