Complete the FAFSA and review grants, scholarships, savings, school aid, and eligible federal loans before using private credit.
Normalize the amount and timing
Compare offers for the same requested amount, disbursement schedule, and repayment start. A smaller quoted payment may reflect a longer term rather than a lower cost. If a fee is financed, add it to the starting balance.
Record price terms precisely
Write down the APR, interest rate, fixed or variable status, term, fee, discount assumptions, and whether the displayed rate requires autopay. For a variable loan, record the index, margin, adjustment frequency, and maximum rate if disclosed. Model a higher-rate case.
Model school-period interest
Deferred payments do not mean interest-free borrowing. Estimate interest while enrolled and determine whether it will capitalize. Compare deferred, flat-payment, interest-only, and immediate-repayment options using the same graduation date.
Compare exit ramps and safety nets
Record grace period, deferment and forbearance rules, reduced-payment options, cosigner-release conditions, death or disability treatment, and servicing information. These provisions can matter more than a narrow rate difference if income or enrollment changes.
Verify the winning offer
The lowest modeled total is a starting point, not an automatic winner. Read the approval disclosure and promissory note. Confirm the final APR, term, amount, repayment election, discount requirements, and cancellation window. Keep the documents.
Primary sources
Sources were checked during the September 11, 2026 review. Provider terms and federal rules can change.
Next decision
Use a calculator to test the amount and full cost, then compare public lender features. Final eligibility, rate, and loan terms come only from the authorized provider.