Private student loans are designed to help students and their parents bridge the gap between the cost of education and the amount of financial aid already offered (e.g. scholarships, grants and federal loans). The private loans are different from the federal loans in a number of ways:

1. The private loans are private loans offered directly by banks and lending institutions. The conditions and terms of these loans may differ from one lender to another.

2. The private loans are not listed on the financial aid award that students receive from UW Oshkosh. The award lists only federal and state aid that students are eligible for based on their FAFSA application and individual circumstances.

3. Unlike the federal loans, the private loans are not need based; hence, they require a credit check and a co-signer (for students under 18 or for applicants with little or no credit history).

4. Interest begins to accrue at the time of disbursement.

When looking for an private loan, it is important to consider such factors as who will be the borrower (student or sponsor), the interest rate, loan origination fees, repayment terms and repayment options (deferment availability).

Interest Rate Information (Prime, LIBOR)

Interest rates are stated for each institution in terms of the U.S. Prime rate or the European LIBOR rate.  Please direct specific questions regarding borrowing terms to the lenders' representatives.