Private Alternative Loan

 

Private loans, also known as alternative loans, can help fill the gap between the total cost of attendance and the amount of other financial aid you receive. However, it is generally recommended that you maximize all other available resources first, including federal loans, which may offer lower interest rates and more favorable loan terms, repayment options, and forgiveness benefits. 

Federal Direct Loans are available to most students regardless of income and provide various repayment options, including income-based repayment plans and loan forgiveness benefits, which private education loans are not required to provide.

Private lenders vary in their interest rates, terms, and eligibility requirements. The University of California Office of the President (UCOP) has compiled a Private Loan Preferred Lender list, however you may choose any lender.

International students, please refer to the Private Loan Preferred Lender list for International students, and visit the Berkeley International Office for additional information. 

Not all private loan products can be used to cover a past-due balance from a prior academic year or term. Please contact lenders directly to determine whether their private loan products can be applied toward a past-due balance.

Please review all sections below for important information about how UC Berkeley reviews, certifies, and disburses private loans, including certification limits and requirements.