Paying for pharmacy school can be tough. You might get some help from scholarships, grants, or federal student loans, but sometimes those don’t cover everything. That’s when private student loans come into the picture. But what exactly are they, and how do they work? Let’s break it down.
What Are Private Student Loans?
Private student loans come from banks or other lenders—not the government. They’re designed to fill in the gap when federal loans and other funding don’t cover all your school costs. This can include tuition, books, or even living expenses.
Five Important Things to Know About Private Loans
- They help cover what federal loans can’t. Always fill out the FAFSA first to qualify for federal loans. These loans usually have better rates and protections, but there are limits on how much you can borrow. If you need more, private loans can help.
- You might need a cosigner. Since private lenders check your credit, many students will need a parent or guardian to cosign if they don’t have a credit history. Here’s more about cosigners here.
- Interest rates depend on your credit. Private lenders set rates based on your credit score. If you have good credit, you could get lower rates. Learn how rates work here.
- Repayment options vary. Federal loans have standard plans, but private loans may offer flexible repayment options, like paying while you’re still in school or stretching payments out over more years.
- No loan forgiveness. Unlike federal loans, private loans don’t qualify for forgiveness programs, so make sure you understand what you’re signing up for.
Tips for Applying
- Do your homework. Look at different lenders and find one with terms that fit your budget.
- Prepare your info. You’ll need your personal and school details, and your cosigner’s info if you have one.
- Shop around. Compare rates by applying to several lenders before deciding.
- Read everything carefully. Once you pick a loan, understand the terms before you sign.
Private student loans can help make pharmacy school more affordable—but they also come with risks. Borrow only what you need and choose wisely. The American Association of Colleges of Pharmacy (AACP) partners with College Ave Student Loans to offer resources tailored to pharmacy students, so check them out
Also Read : Behind the Scenes: What a Managed Care Pharmacist Really Does
