Alternative Loans

Applying for Alternative Loans

Before you consider an alternative loan, make sure you have determined your eligibility for Federal Direct Stafford Loans.  As a family, you should weigh the options of federal loans (Federal Direct Stafford - student and Federal Direct PLUS - parent).  After looking at the federal loans, you can consider other options for educational financing to assist you in meeting college costs.  Several programs are listed for your consideration.  Loan terms vary, so you will want to be a conscientious consumer.

Reasons for Considering an Alternative/Private Loan:

  • Satisfactory Academic Progress may not be a condition for the loan.
  • Can apply on-line.
  • Enrollment in a degree or certificate program may not be required. However, the student may have to be enrolled at an institution approved by the lender.
  • Applying with a co-signer can reduce fees associated with these programs.
  • Students can share with the responsibility of borrowing.
  • School must have guarantee of loan from lender to be used as a credit towards bill.
  • This loan is in the student's name (the borrower) and usually will require a credible co-signer (generally a parent), but can be anyone with good credit who is willing to co-sign the loan.
  • Please be advised that if you do not indicate a loan term or indicate an invalid loan term on your loan application, the loan term will default to the academic year (fall/spring). It is EXTREMELY IMPORTANT to indicate correct loan term dates to ensure the correct processing of your alternative loan.

Millersville University Recommended Lender List for Private/Alternative Loans

Please see our list of recommended lenders for private/alternative loans

This will allow you to compare the loans/lenders.

This is an external webpage (ELM Resources) and you will be able to review information, compare, and apply for the private loans through this website.  Please contact our office if you have questions regarding private/alternative loans. 

The loan term dates are used as follows:

For 2014-2015
(you can begin applying for summer loans after April 1, 2014 and begin applying for loans for fall/spring after May 1, 2014)

  • For summer 2014 (any session) - use 05/12/14 - 08/15/14
  • For the entire 2014-2015 academic year (Fall/Spring), use 08/25/14 - 05/9/15
  • For the Fall term only, use 08/25/14 - 12/13/14
  • For the Spring term only, use 01/18/15 - 05/9/15 (do not apply for a loan for this term until at least October 1, 2014)

As a borrower, you have the right to select any lender you choose and Millersville University Office of Financial AId will be happy to process any loan for students.  Please see our statement regarding preferred lenders to understand why and how we have chosen the recommended lenders.

Please contact the lender for any additional information regarding the loan program listed.

Some Eligibility Information for our Preferred Alternative Loans

If you know which lender you plan to use, you can click on their name to link directly to their website.  If you are still unsure, please see our full list to compare the loans/lenders.  This link will give you more detailed information about each loan/lender to help in making your selection.  

If you plan to enroll less than half-time (less than 6 credits per term), you can apply for the following preferred alternative loans:

Sallie Mae Smart Option Loan (Sallie Mae)
Wells Fargo Private Education Loan (Wells Fargo)

If you are admitted as a non-degree student, you can apply for the following preferred alternative loans:

Sallie Mae Smart Option Loan (Sallie Mae)

If you are not making Satisfactory Academic Progress (SAP), you can apply for the following preferred alternative loans:

Citizens Bank Trufit Student Loan (Citizens Bank)
Custom Choice Loan (SunTrust)
PNC Solution Loan (PNC Bank)
Sallie Mae Smart Option Loan (Sallie Mae)
Union Federal Private Student Loan (Union Federal)
Wells Fargo Private Education Loan (Wells Fargo)

As a borrower, you have the right to select any lender you choose and Millersville University Office of Financial AId will be happy to process any loan for students.  Other lenders may have the same eligibilty allowances as those listed above.  Please be sure to check with the lender if you have questions regarding eligibility requirements.

The Application Process for Alternative Loans

There are a number of changes to the Private/Alternative Loan Industry due to new federal regulations.  If you have ever borrowed an Alternative Loan or this is your first time borrowing a Private/Alternative Loan, please see the procedures below in obtaining a Private/Alternative loan.

The process in obtaining a Private/Alternative loan involves the following:

  • You apply for the loan through the lender
  • You must complete a self-certification, if one was not completed during the application process.
  • Once the loan is approved by the lender, information is sent to Millersville University to certify the loan (this certification can take several business days to complete, depending on the volume of loans we are receiving)
  • Once Millersville University has certified the loan, the lender will send an approval disclosure, which must be responded to by you
  • Then a final (a third disclosure) will be sent to you and you will have 3 business days to rescind the loan (cancel the loan

PLEASE NOTE THAT THIS PROCESS WILL TAKE MUCH MORE TIME THAN IT HAS IN PREVIOUS YEARS.  THIS MEANS YOU MUST APPLY EARLY IN ORDER TO HAVE YOUR LOAN USED AS A CREDIT TOWARDS YOUR SEMESTER BILL. 

THERE WILL BE NO EXCEPTIONS TO THIS DUE TO THE FEDERAL REGULATIONS.  YOU MUST HAVE ALL DOCUMENTS TO YOUR LENDER AND HAVE A FINAL APPROVAL BEFORE YOU CAN USE THE LOAN AS A CREDIT TOWARDS YOUR SEMESTER BILL.  IF YOUR LOAN HAS NOT BEEN CREDITED TOWARDS YOUR BILL, PLEASE CONTACT YOUR LENDER FIRST TO DETERMINE IF ALL DOCUMENTS HAVE BEEN RECEIVED.

Information About Millersville University's Preferred Alternative Lender List

The Office of Financial Aid provides borrowers with a list of preferred lenders. These lenders have established themselves as quality institutions based upon efficiency in loan servicing, responsiveness to questions, quality of servicing, and borrower benefits. The lender you choose is a very important step in the loan process. Although Millersville University's Office of Financial Aid provides a preferred lender list, borrowers are free to choose any lender. Borrowers will not be denied or caused any unnecessary delay in certification for choosing a lender not on our recommended list.

The Office of Financial Aid meets with lenders on a regular basis to examine new products, services and benefits for our students to make sure we are providing the best options.

Millersville University Student Lending Code of Conduct

Millersville University is committed to providing students and their families with the best information and processing alternatives available regarding student borrowing.  In support of this and in an effort to rule out any perceived or actual conflict of interest between Millersville University officers, employees or agents and education loan lenders, Millersville University has adopted the following:

  • Millersville University does not participate in any revenue-sharing arrangements with any lender.
  • Millersville University does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of education loans to accept any gifts of greater than a nominal value from any lender, guarantor or servicer.
  • Millersville University does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of education loans to accept any fee, payment or other financial benefit (including a stock purchase option) from a lender or affiliate of a lender as compensation for any type of consulting arrangement or contract to provide services to a lender or on behalf of a lender relating to education loans.
  • Millersville University does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of education loans to accept any thing of value from a lender, guarantor, or group of lenders and/or guarantors in exchange for service on an advisory board, commission or other group established by such a lender, guarantor group of lenders and/or guarantors.  Millersville University does allow for the reasonable reimbursement of expenses associated with participation in such boards, commissions or groups by lenders, guarantors, or groups of lenders and/or guarantors.
  • Millersville University does not assign a lender to any first-time borrower through financial aid packaging or any other means.
  • Millersville University recognizes that a borrower has the right to choose any lender from which to borrow to finance his/her education.  Millersville University will not refuse to certify or otherwise deny or delay certification of a loan based on the borrower's selection of a lender and/or guarantor.
  • Millersville University will not request or accept any offer of funds to be used for private education loans to students from any lender in exchange for providing the lender with a specified number or volume of Title IV loans, or a preferred lender arrangement for Title IV loans.
  • Millersville University will not request or accept any assistance with call center or financial aid office staffing.

For a printable version of the Code of Conduct, please see our Financial Aid Forms.