Eligible for private student loans?
Asked by thisislizzI lost my federal financial aid this year due to poor academic performance. I am serious about reestablishing myself, but have raised only half of what I will need to pay for the next two semesters until I my financial aid is reinstated. I have been looking into private student loans, but I am unsure that I will be eligible if I have lost financial aid eligibility. Also, there are so many private loan agencies out there I was wondering if anyone had a few in mind. Thanks in advance!
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Answered by Jdub
There are a number of private loans out there and most of them do not require students to be making financial aid satisfactory academic progress (SAP) to be eligible. Private loans, however, require a credit check and (generally) a credit-worthy co-signer. Please be advised that private loans are NOT like federal student loans and even though you may not have to make payments on the loan while you are in school, the loan will be accruing interest that you will indeed be responsible for when you get out of school. I rarely advise students to take out private loans for these reasons. I would advise you to think about going to a local community college and taking courses that will transfer back to your home school. Your SAP status does not follow you to other schools and you will be aid eligible there. As an administrator, a student who takes a year and earns solid grades at a community college and writes me an appeal with proof of said stands a very good chance of having his/her appeal approved and the aid reinstated. Hope this helps. Good luck.
There are a number of private loans out there and most of them do not require students to be making financial aid satisfactory academic progress (SAP) to be eligible. Private loans, however, require a credit check and (generally) a credit-worthy co-signer. Please be advised that private loans are NOT like federal student loans and even though you may not have to make payments on the loan while you are in school, the loan will be accruing interest that you will indeed be responsible for when you get out of school. I rarely advise students to take out private loans for these reasons. I would advise you to think about going to a local community college and taking courses that will transfer back to your home school. Your SAP status does not follow you to other schools and you will be aid eligible there. As an administrator, a student who takes a year and earns solid grades at a community college and writes me an appeal with proof of said stands a very good chance of having his/her appeal approved and the aid reinstated. Hope this helps. Good luck.
