Private Loans

Private loans are typically more expensive than Direct loans. Students that are interested in a private loan must do research to find and compare the loans that are available. The college will determine a student’s eligibility for a private loan after the student’s eligibility for all federal aid has been determined. The student’s eligibility cannot exceed the cost of attendance. Chaffey College does not have relationships nor does it endorse any lender.

Eligibility for private loans is based on credit-worthiness and ability to repay, not on financial need. We caution you to borrow loans only when absolutely necessary.

What does Chaffey College require of students in order to process an alternative loan?

• You must complete your financial aid file
• Complete the application with the lender of your choice
• You must apply to have your loan funded during an eligible semester
• You must apply no later than the final semester deadlines for processing loans, approximately 3 to 4 weeks before the end of the Fall or Spring semester.
• Meet the requirements of Chaffey College Satisfactory Academic Progress Policy to get and keep an alternative loan.

How do I apply for an alternative loan?

• Prior to processing an alternative loan at Chaffey College, you must complete a 2021-2022 Free Application for Federal Student Aid (FAFSA)

Chaffey College school code for FAFSA is 001163.

• Next, select the lender you want to use and review their requirements and terms. We have provided a link for your use in researching private loans. This in no way limits your options in researching possible lenders or choosing a lender not listed in the lists indicated below. When you have decided on a lender, you will need to apply. The lender will communicate with Chaffey College electronically. If the lender is not listed below, you should follow the application procedures the lender prescribes.

These are links to a website where the borrower (and co-borrower) can review possible lenders, their benefits, and their application processes. It is a tool that may aid you in selecting a private educational loan. This website allows you to compare private loan terms and rates side-by-side. The site will give you an overview of loan options before requesting an application and credit check. We recommend you review the terms and conditions of each of the lenders to obtain the loan that best meets your needs.

•  Fast choice link https://choice.fastproducts.org/FastChoice/Welcome.do?configId=1378836550300 (Fast Choice)
• Be sure to list Chaffey College as school you are attending so the lender will know where to send the loan certification request.
• You have to tell the lender how much you want to borrow. Please refer to “How much can I borrow?” below to help you decide on a loan amount.
• You have to select the loan period. Chaffey College Financial Aid Office only processes loans for the following periods: Academic Year (Fall and Spring), Fall only, or Spring only.

What happens next?

• Once the lender approves the loan, a loan certification request is sent to the Financial Aid Office. If the student’s file is complete, we will certify the loan for the lender. If the student’s file is not complete, the certification will be placed on hold until the file is complete.
• The lender then prepares a loan check made payable to the student borrower and mails the check to Chaffey College. Loan disbursements are divided into two equal per term, i.e. two payments for each semester. If a student requests a loan to be paid in one-term only, the loan is paid in two equal payments. Loan disbursement dates are determined by the requested loan period and the date the loan is certified.
• Once our office receives the loan check, we will verify student enrollment and contact the student when ready for pick up.

Please note: Alternative loan funds are not disbursed through the school system and do NOT pay any charges on the student account.

How long does it take to process an alternative loan?

• It depends. Depending on the time of year the loan certification request is received, processing can take up to 3 to 4 weeks.
• Please note: No alternative loan funds, can be disbursed to the school sooner than the beginning of a semester.

How much can I borrow?

• Generally, the minimum alternative loan amount you can request is $1,000.
• The maximum you can borrow is your Cost of Attendance minus any financial aid; unmet need. The amount borrowed cannot exceed the student’s budget, or cost of attendance, as determined by the school. To find your Cost of Attendance, please select the appropriate budget form our website at Cost of Attendance.

Can I be denied for an alternative loan?

• Yes, as alternative loans are credit-based loans. If denied, contact your lender for information concerning any resolution options available to you.

What is the enrollment requirement for an alternative loan?

• A minimum half-time (6.0 units) enrollment. Please refer to your lender’s website for additional information.

What is the interest rate on alternative loans?

• The interest rate varies by lender. Please refer to your lender’s website for information.

Are there any loan fees?

• Loan fees vary by lender. Please refer to your lender’s website for complete information.

When do I begin payment on my alternative loan?

• Please refer to your lender’s website for detailed information on repayment.

If you have additional questions, please contact our office by emailing the financial aid office at financialaid@chaffey.edu with your name and Chaffey ID number, and we will respond as soon as possible.