Private/Alternative Loans

What is a Private Loan?

Private loans are student loans offered by banks, credit unions, or other private lenders. They are not funded by the federal government. Students usually need to pass a credit check to qualify, and could require a co-signer, such as a parent or guardian. The interest rate, repayment terms, and loan limits can vary depending on the lender and the borrower's credit history.

Private (or alternative) loans are options for students who: 

  • Are not eligible for a Federal Direct Loan, or 
  • Need to borrow more than what the federal direct loans offer.
Important:

We strongly recommend you apply for federal direct loans first by submitting the FAFSA or Federal Direct PLUS Loans (for graduate students or parents of dependent undergraduate students).

Compare federal and private loans here.

Other Helpful Links for Federal Loans:
Know your Interest Rate

Before borrowing, always know your loan's interest rate!

We often can not access your private loan rate - you will need to know it when: 

  • Resolving COA over-awards (cost of attendance issues), 
  • Getting loan counseling from our office. 

When you contact us, be ready with: 

  • Your lender's name, and
  • Your interest rate. 

Before Applying for a Private Loan

Private student loan lenders set their own eligibility rules. Before you apply or agree to a credit check, research your lender’s requirements on their website or contact them directly to make sure you’re eligible for loan certification.

Private loan eligibility may include:

  • Admission as a degree-seeking student.
    Note: Transitions Academic Program (TAP) students should apply for private loans through NWACC until they become degree-seeking at the University of Arkansas.

  • Enrolled at least part-time (or the minimum required by the lender) during the term you’re requesting funds.

  • Meeting Satisfactory Academic Progress (SAP) as defined by the university.

Lenders may offer more than one type of loan, depending on:

  • Your academic program (such as undergraduate, graduate, law, nursing or MBA).

  • Who the borrower is (the student, with or without a co-signer, or a parent borrowing on the student’s behalf).

Make sure you select the loan that fits your situation. If you're not sure, contact your lender before applying.

Important - Enroll in all your classes for the term before applying for a private loan. This helps ensure your loan is certified for the full amount you need.

Summer borrowing will require a separate application from the one submitted for fall or spring funds. Fall-spring loan requests are placed in the student’s financial aid awards with two disbursements (each being half of the total amount). Summer requests are placed with only one disbursement.
Choosing the Right Loan Period Dates

When you apply for a private loan, you’ll need to choose a loan period start and end date. These dates tell your lender which enrollment term(s) (Fall and Spring Only, Fall Only, Spring Only, or Summer) your loan is meant to cover.

Using Pre-Filled Loan Dates

If your application gives you pre-filled options like:

  • Fall 202X – Spring 202X
  • Fall 202X
  • Spring 202X
  • Summer 202X

Select the option that matches loan needs for your intended enrollment term(s).

Note: At the University of Arkansas, Summer is a stand-alone term and cannot be combined with Spring or Fall.

Manually Entering Loan Dates

If your lender doesn’t offer pre-filled loan periods:

  • Use the first day of classes as your loan start date.
  • Use the last day of classes as your loan end date.

You can find current academic calendar dates online.

Filing for a loan with accurate dates helps ensure funds are received quickly and that the correct amount of funding is received.

If You Need to Adjust Pre-Filled Dates

Some loan applications may not allow you to change the loan period dates. If the:

  • Start date is more than 10 days before classes begin, or
  • End date is more than 10 days after classes end,

Once your lender’s portal shows the loan was sent to the University of Arkansas for certification, email the Financial Aid Office at finaid@uark.edu to request that we adjust the dates.

The request must:

  • Come from your Uark student email account
  • Include the student’s name and ID number
  • Be sent by the student (unless it is a parent applying for the loan)
Loans for Past Terms

Some lenders allow loans for terms that have already ended. If a lender does not give you the option to select a loan period for a past term, they likely do not offer this type of loan.

If a lender does allow prior-term loans, their eligibility requirements may include:

  • Applying within a set number of days after the term ended
  • Completing coursework during that term
  • Graduating at the end of that term
  • Planning to re-enroll in a future term

Contact a lender directly to confirm your eligibility before applying.

If you apply for a loan for a term that has already ended and your lender allows it.

Applying for a Private Loan

The Office of Financial Aid cannot recommend specific private loan lenders. However, we do offer a historical lender list, which includes lenders that at least one student has used in the past three years.

You are not required to choose a lender from this list. We will certify a private loan from any lender you select.

Benefits of using the historical lender list:

  • All lenders on the list support automated loan certification and electronic disbursement of funds through Great Lakes ScholarNet.

  • You can filter and compare loan products to find options you may qualify for (depending on your credit check).

  • The list helps you compare interest rates, repayment options, and borrower terms across different lenders.

If you want to borrow from a lender that is not on this list:

  • Contact the lender to find out how they’ll send the loan certification request to us.

  • If they don’t use ScholarNet, we’ll need to manually process the request and disburse funds by paper check, which may delay when you receive the money.

  • Lenders not on our historical list may need to be added to our system which can take time.

We recommend waiting until charges for the upcoming term are posted to your student account before applying for a private loan. This helps you borrow the right amount based on what you owe and any refund you may need. There will still be enough time for the loan to process before the bill is due.

If you prefer not to wait, you can use the tuition estimator to help decide how much to request.

Loans will be certified for the lesser of:

  • The amount you request, or
  • Your remaining cost of attendance (COA) for the term or academic year, based on lender policy.

To find out your specific COA, please contact our office.

After Applying for a Private Loan

After submitting your private loan application, be sure to:

  • Monitor your loan status in the portal provided by your lender.

  • If you do not see that the certification request has been sent to the University of Arkansas, contact your lender.

Loan Certification Timelines

  • Fall & Spring Loans or Fall-Only Loans: Can begin to appear in Workday as certified in late August.

  • Spring-Only Loans: Begin processing the first week of January.

  • Summer Loans: May begin processing during the second week after the end of the spring term.

If your certification request is submitted after these start dates, it is usually processed within three business days of the lender sending the request (shown as "awaiting school" or similar status in your lender portal). Contact us if your loan has not been certified within this time.

Watch Your Email

If there are any problems with your loan certification request, we’ll contact you through your Uark student email. Be sure to:

  • Check your email regularly.

  • Follow the instructions in the email.

  • Ensure that you respond to any emails requiring your attention or action.

Changes After Submission

Once the lender has sent the loan certification, any changes made in your lender's portal will not update in Workday. You must contact the Financial Aid Office if you:

  • Change the amount or loan period.

  • Cancel your loan application.

  • Applied for the wrong term and want to adjust before reapplying.

If you submit multiple loan applications for the same term before we begin processing loans for that term, none will process in our system. Email The Financial Aid Office at finaid@uark.edu to determine which loan should be processed.

Important:

To avoid delays or issues:

  • Use the borrower’s full legal name (the student’s full name is also required for loans being filed by parents).

  • Double check Social Security numbers and dates of birth. We cannot certify any loan if the information does not match our records in Workday.

Tips & Info for U of A Students

Common Causes for Loan Delays

  • The timing of your loan disbursement depends on your lender’s “right to cancel” or “right to rescind” policy. This sets a required waiting period between loan certification and the release of funds. Contact your lender directly for the specific timeline.

  • The University of Arkansas does not control your disbursement date. As part of the loan certification process, we request the earliest disbursement date allowed for the term, even if it is a past date.

  • Funds typically take about 10 days to arrive after your loan is certified.

  • Most lenders will update your loan status—including disbursement—in your online lender portal, but some allow the Financial Aid Office to request updates. Please check your portal before contacting our office, as your lender may have more current information than we do.

If You Need to Borrow Additional Funds

You may need to submit a new loan application if:

  • You didn’t borrow enough in your original request.

  • Your loan was certified before you were enrolled in all of your classes.

  • Other charges were not included in your Cost of Attendance (COA) before your loan was certified.

Some lenders allow us to request an increase to an existing certified loan. However:

  • The increase usually must be approved before any loan funds have been released.

  • After funds are released, Workday does not allow an additional disbursement from the same loan for the same term. In that case, you would need to submit a new loan to receive additional funds.

Special Situations

Studying Abroad?
Wait to apply for your private loan until your COA has been increased to include your study abroad costs (as certified by the Office of Study Abroad).

  • Contact our office to confirm this adjustment has been made before applying for your loan. 
  • You can also ask about borrowing funds the term before your study abroad trip, if you need the money in advance.

Loan Reductions
If we reduce your loan amount in Workday, it can take up to two weeks for your lender to show the returned funds.

Planning Ahead

To avoid late fees or registration holds:

  • Apply for your private loan before the tuition due date for the term.

  • Most lenders will not approve loans after the term ends, so waiting until the term is over limits your options.

Keep Your Loan Payments Manageable

When choosing a loan, keep in mind:

  • First, determine the amount required for school expenses.

  • Compare interest rates and choose a loan with the lowest interest rate.

  • Try to borrow from as few lenders as possible and borrow only what you need. You’ll owe a monthly payment to each lender once you begin repayment.