The FA Office does not recommend any private lender or provide a list of lenders.

      A private loan is a nonfederal loan made by a lender such as a bank or credit union. Private loans often have higher interest rates, loan fees, more complicated repayment requirements, require a credit check, and may not provide the benefits of federal student loans. No private loans, whether student or parent, will be processed without a completed FAFSA on file in the NWCCD Financial Aid Office. The Financial Aid Office requires that students and parents utilize federal student and Plus loan eligibility before applying for a private loan.

      Most lenders post the application and approval process online. Once the lender has approved the loan and the borrower has completed the necessary documents online, the NWCCD Financial Aid Office should be notified. The Financial Aid Office credits the loan to the student’s account and disbursement of funds is not made until receipt of funds from the lender – usually the first part of the semester. The total amount of a private loan may not exceed the student’s established Cost of Attendance (COA) budget less any other financial aid posted to the student’s account.

      Borrowers should be diligent in determining financial needs and the amounts of a loan. The “best loan” is not always the one with the lowest quoted interest rate. Usually the best comparative figure to judge which loan may be better is the total cost of the loan when it is paid off. There are several websites that provide private lender information. Beware whenever an upfront fee is required to process the loan application.