Private Loans
Private loans sometimes referred to as Alternative loans, are offered through private lending institutions. Students apply directly through the lender, and then the school certifies the loan based on the student’s enrollment, cost of attendance, and other aid.
Private loans are not associated with the Federal Direct Loan programs. They require credit checks and most often a co-borrower.
We strongly recommend you compare any private loan you apply for to Federal Direct Loans awarded from your FAFSA (Free Application for Federal Student Aid). Interest rates, fees, terms & conditions, and the flexibility of each lending program may not be as favorable as a federally backed loan.
If you are interested in using a private/alternative loan, please review the following steps:
- Complete Loan Application
- Complete Additional Documents
Select your lender and contact them directly to apply.
Longwood cannot recommend specific lenders. However, if you do not have a bank, credit union, or other lending institution in mind, you may visit our FASTChoice Private Loan Lender Selection Tool to review the lenders our students have used most in the past three years.
If you are approved for the loan, your lender will send you several documents that must be completed. These will include, but may not be limited to, a promissory note and Private Education Loan Applicant Self-Certification form.
Complete and return these to your lender:
- Longwood Certification
- Processing Time
Once you have submitted your documentation, the lender will contact Longwood to certify your loan. This includes verifying the number of credits you are taking and your cost of attendance. We take care of all communications with the lender from here. We will contact you via your Longwood email address should we encounter any questions or concerns with your loan.
It is common for it to take 2-4 weeks from the time you apply for the loan until the funds are applied to your account at Longwood. If it has been more than two weeks since your lender approved your loan and you do not see it applied to your account, feel free to contact the Office of Financial Aid and we will gladly check the status of your loan.
Questions to ask a lender before you apply for a private loan:
- How many credits must I be registered for each semester in order to borrow?
- Can the loan be used to pay prior balances?
- Is there a minimum amount I have to borrow?
- Do you charge any fees other than interest?
- What is the interest rate? Is it fixed?
- Are interest payments required while I am in school?
- What are the repayment terms? When will I have to start paying the loan back?
- Must I be making Satisfactory Academic Progress? (link to SAP page)