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Private Alternative Loans

Private student alternative loans are managed through private lenders, issued in the student’s name, and require a credit-worthy co-signer. Eligibility, rates, terms, and conditions vary. Approval and interest rates are based on the borrower’s and co-signer’s credit ratings. Alternative loans are agreements between the borrower, co-signer, and the lender. Students need to review available private student educational loans via an internet search (reading all terms and conditions carefully for eligibility criteria). 

Note that all alternative/private loans are processed for the full year, and are split evenly between the fall and spring semesters*.  

We encourage all Temple University students to read the Temple University Student Lending Code of Conduct (PDF).

*Please see the "How to Apply" section, below, for more information.

Advance Planning

Temple University recommends all students exhaust federal student aid options prior to pursuing private student alternative loans.

Loan debt can accumulate quickly and result in a lifetime burden of high payments and credit denials for automobile purchases, credit cards, and home mortgages.

Be sure to read and understand the terms and conditions of any loan you select to borrow.

The Truth in Lending Act (TILA) requires you to complete and submit a self-certification form to all lenders for each individual application. You can find your estimated cost of attendance and aid offer(s) for the period of enrollment covered by the loan in the Financial Aid section of the Costs and Aid tab in the TUportal. 

TILA also requires lenders provide you with three disclosures:

  • upon your application;
  • when you are approved;
  • at least three days prior to disbursement.

Timing of the last disclosure may delay loan disbursements by an additional one to two weeks so plan accordingly.

Temple University cannot in any way be held liable in the event the borrower is dissatisfied with the rates, terms, or service provided by the lender. Be sure you understand and agree with all terms and conditions before you apply for any private alternative loan. 

Make informed decisions

How to Apply

  • Students need to review available private student educational loans via an internet search (reading all terms and conditions carefully for eligibility criteria). Standard eligibility criteria will include matriculation status (if the student is accepted in a degree program), enrollment requirement, academic major, credit-worthy co-signer requirements, financial aid satisfactory academic progress, allowable for a prior semester balance, etc...
  • Once a student has determined the best private student educational loan (and compared the loan terms and repayment options with the Federal PLUS Loan) you will apply online via the lender's website no more than 60 days prior to the semester start.
  • We recommend borrowers apply in July once you have seen your fall balance statement (bill). The loan will be certified with equal disbursements for fall and spring terms. Increases are rarely possible after the loan process is complete (you will, in most cases, have to borrow an additional loan from your lender), therefore be sure to calculate what is needed for the year by reviewing your cost of attendance on your financial aid offer located in the SFS Channel in TUportal. 
  • Private Educational loan ceritfication can take 2-3 weeks to process, please allow enough time prior to the start of the semester.

2020-21 Loan Term Dates

  • Fall/Spring (required): August 24, 2020 to April 26, 2021
  • Fall only (graduating after fall or studying abroad only): August 24, 2020 to December 16, 2020
  • Spring only (spring new student or studying abroad): January 11, 2021 to April 26, 2021
  • Summer 2021 Loans: Please submit your requests after you have registered for summer.
    • Summer I only: May 2021 to June 2021
    • Summer II only: June 2021 to August 2021
    • Summer I and II: May 2020 to August 2021

Prior Balance (2019-20) Loan Term Dates

  • Fall/Spring (required): August 26, 2019 to April 27, 2020
  • Fall only August 26, 2019 to December 9, 2019
  • Spring only January 13, 2020 to April 27, 2020
  • Summer 2019 Loans: 
    • Summer I only: May 2019 to June 2019
    • Summer II only: June 2019 to August 2019
    • Summer I and II: May 2019 to August 2019

To ensure that we are providing the best possible service to our students, Student Financial Services certifies Private Alternative Loans for the Full Year (Fall and Spring combined). Summer will continue to be considered a seperate loan period.

The only exceptions will be for those students who:

  1. Students who are graduating at the end of the Fall semester. Please have your academic adviser forward an email or letter to sfs@temple.edu confirming your graduation date, or provide a copy of your submitted application to graduate.
    *As a result, our office will adjust your entire financial aid award according to regulations and then certify the loan for the single semester in question.
  2. Students admitted for the Spring semester, or who did not attend the Fall semester.
  3. Students participating in a study abroad/away program for a single semester. A copy of your program acceptance letter or current charges on your student account indicating a study abroad program will be required.
  4. Students who currently have a past due balance from a prior academic year. For example, any returning student for the Fall semester that has a balance from the prior Spring or Summer.

*All students receiving aid who will graduate at the completion of the fall term will need to contact the Student Financial Services office as soon as possible so that all their aid can be adjusted according to federal regulations.

Students graduating at the conclusion of the Spring Semester are not subject to the exception if they were registered during the fall.

*Private Alternative Loans for the Fall/Spring loan period will be split equally between the two semesters; so the disbursement of a $10,000 Fall/Spring loan would be $5,000 for the fall semester and $5,000 for the spring semester.

NOTE: Once the Student Financial Services office certifies an approved private alternative loan the office will not be able to adjust the certified loan amount without lender approval. In such cases, the student should contact the lender and request the increase. If approved the student should then contact our office to inform us of the approval and we will work with the lender to process the increase. In those instances where an existing loan cannot be increased; students will need to apply for another private alternative loan. 

HOW MUCH CAN YOU BORROW?

The maximum that can be borrowed each year is a student's total cost of attendance minus all other financial aid awarded. Your total cost of attendance is located in the Cost of Attendance section of your Financial Aid Offer letter (accessed via the SFS Channel in the TUportal). Feel free to contact the SFS Office to discuss your cost of attendance and make an informed decision. 

Compare your options

Compare private student alternative loan options carefully. You are welcome to borrow from the lender of your choice without penalty whether or not that lender is identified here or in other University materials. We encourage you to compare information concerning credit-based student loans carefully to determine the best fit for your particular circumstance.

If you are denied a loan, you and your co-signer can contact the lender and request an Adverse Action Credit Letter to determine why. You should also request a copy of your credit report to review your credit information.

Many alternative lenders will approve a loan for international students who have a creditworthy U.S. citizen or permanent resident as a co-signer. Contact the lender of your choice to determine if you are eligible.

 

    Notification

    Contact Student Financial Services if:

    • you have have questions about the school certification process;
    • your private student alternative loan has been decreased, increased or cancelled.