Private Student Loans for Med and Grad Students | PCOM Financial Aid
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Private (Non-Federal) Student Loans 
for Medical and Graduate Students

Private student loans are credit-based financing options for education that can either supplement or replace federal student loans. Private student loans are offered by many banks and credit unions.

Interest rates, repayment plans, deferments, and other conditions can vary between lenders so it is important for medical and graduate students to research private student loan options carefully. Federal loans may offer more favorable terms, including fixed interest rates, income-driven repayment plans, and loan forgiveness options. However, private loans may have more competitive interest rates, no origination fees, or other advantages.

View PCOM's Preferred Lender List

PCOM may provide a list of private lenders as a resource.

  • Students are not required to use any lender on this list
  • Students may select any eligible lender
  • Lenders are presented in a neutral manner
  • PCOM does not endorse any lender
  • PCOM does not receive financial benefits from listed lenders

Selection criteria may include:

  • Competitive rates
  • Repayment Flexibility
  • Quality of service
  • Cosigner Requirements
  • Customer Satisfaction

Students are encouraged to compare multiple lenders to find the best fit.

Private student loans can be borrowed up to a medical or graduate program's cost of attendance minus other financial aid (loans, scholarships, and federal work study) awarded.

Lenders may offer variable and fixed interest rates for private student loans.

  • Interest rates vary by lender and the creditworthiness of borrowers and/or cosigners.

  • Private student loans require credit checks as part of the application process.

    • Having a good credit rating and/or using a creditworthy cosigner may dramatically decrease your loan interest rate.

  • Most private student loans do not have additional fees such as origination fees, but be sure to ask or conduct research.
  • Discuss details and conditions with the lender.

Loan repayment grace periods for private student loans vary by lenders.

  • Many allow up to six months after the student graduates or ceases to be enrolled at least half-time.

Before applying for a private loan, you should:

  • Complete the FAFSA
  • Review your federal loan eligibility
  • Compare federal and private loan terms carefully

Private loans typically:

  • Require a credit check
  • May require a creditworthy cosigner
  • May have variable interest rates
  • Offer fewer repayment protections than federal loans

Our financial aid office has multiple helpful resources for graduate and medical students considering private student loan options:

Prospective and current students may contact the financial aid office to discuss student loan options.

Federal student loans

  • Interest rates: Fixed
  • Credit check: Not required for most federal student loans
  • Repayment options: Income-driven repayment plans may be available
  • Loan forgiveness: Some federal student loans may qualify for forgiveness programs
  • Borrower protections: Federal loans generally provide stronger repayment and hardship protections

Private student loans

  • Interest rates: Fixed or variable
  • Credit check: Required
  • Repayment options: Options are typically more limited and vary by lender
  • Loan forgiveness: Rarely available
  • Borrower protections: Protections and assistance options vary by lender

To apply for a private loan:

  1. Research and select the lender of your choice
  2. Complete the application
  3. If approved, the lender will provide required disclosures and loan terms
  4. PCOM will certify the loan based on enrollment and cost of attendance
  5. Loan funds will be disbursed to the institution
  6. Any funds above and beyond tuition and fees will be refunded to the student per the bursar policy

Under the Truth in Lending Act (TILA), private loan lenders must provide clear and complete disclosures, including:

  • Interest rates (fixed and/or variable)
  • Fees and penalties
  • Total loan cost examples
  • Repayment terms
  • Cosigner requirements
  • Borrower rights, including cancellation rights

Borrowers will receive disclosures:

  • At application
  • Upon approval
  • Prior to finalizing the loan

Borrowers have the right to:

  • Receive clear disclosures
  • Accept or decline loan terms
  • Cancel within the allowed timeframe

Borrowers are responsible for:

  • Repaying loans according to terms
  • Maintaining communication with lenders

Federal law requires borrowers to complete a Private Education Loan Applicant Self-Certification Form before the loan is finalized.

This form confirms:

  • Cost of attendance
  • Estimated financial assistance
  • Amount requested

PCOM provides this required financial information on myPCOM’s Banner Self Service for completion of this form.

PCOM must certify all private student loans.

The certification process includes:

  • Verifying enrollment
  • Confirming the cost of attendance
  • Ensuring loan amounts do not exceed eligibility

Loan amounts may be adjusted based on other financial aid received.

Students are encouraged to utilize financial literacy tools, including:

  • Federal aid guidance
  • Loan comparison tools
  • Budgeting and repayment planning resources
  • One-on-one counseling

Please note: this information is provided in accordance with the Truth in Lending Act and applicable federal regulations governing private education loans.