Questions to Ask When Considering a Private Loan

FASTChoice: is a resource that can assist you in finding and comparing private student loan options. The following are questions you should consider when comparing private loans.

1. How much in total loan fees will I pay?

2. Do I have to start paying this loan back while I’m in school?

3. What is the current interest rate and how is it calculated?

4. How long do I have to repay the loan?

5. Are there any enrollment requirements? (Undergraduate; full or part-time; in a degree seeking program, etc.)

6. Do I have a grace period with this loan? If yes, how long is the grace period?

7. What are my repayment options?

8. How strict are the credit requirements?

9. Do I need a co-signer? Is my co-signer creditworthy?

10. How long does the application process take?

11. How often does the interest get capitalized?

12. Do I have any deferment options?

13. When will my first payment be due?