When it comes to paying for your IUPUC education, federal loans offer several advantages over private student loans. We encourage you to consider federal loans first if you need to borrow money to help pay for your education.
Private loans are made by lenders like banks, credit unions, and other institutions. They may not include the same benefits offered by federal lenders, like fixed interest rates, income-based repayment plans, and tax-deductible interest.
The cost of obtaining a private student loan depends on the strength of your credit score and other factors. Most private loans have variable interest rates, some of which are greater than 18 percent. A variable rate can substantially increase the total amount of the loan you repay.
In addition, private loans may not offer deferment or forbearance options.
To apply for a private loan you, you must complete a lender application and meet qualification criteria, which typically include having an established credit history and a good credit score.
Sources for Private Loans
Students borrowed from the following loan programs and providers: