Alternative Loans

The links below are just some of the lenders who offer alternative/private student loans. We suggest you research the loans and the lender to find the best interest rate and terms of your loan. Please be aware that when viewing the alternative lender web pages below that you may be leaving the JMU web site. Graduate and undergraduate students are eligible to apply for alternative loans unless otherwise specified. These loans are not backed by the federal government and therefore may have terms and conditions less favorable than federally funded student and parent loans. We encourage all students and parents to first consider and apply for federal student loans before applying for private loans.

The information contained on this chart is accurate as of the date it was collected. Because these are private loans, lenders can change the terms and conditions of these loans without notifying JMU. Therefore, we suggest you verify this information with any lender on this chart prior to applying for a loan with that company.

Lender	Rates	Fees	Enrollment Requirement/CE	Prior Balance	Loan Limits	Grace Period	Benefits	Additional Comments
Ed America www.edamerica.net/xtracredit	Variable-LIBOR+ 5.5%-6.0%	4-5% Origination Fee	HT, FT (No CE)	Yes, up to 365 days past	$500- COA	6 Months- after grad, or withdraw; Interest does Accrue	No prepayment penalty; combined billing with EdAmerica Stafford loans	Forbearance options up to 12 months for financial hardship; Co-signer not required, but recommended
PNC Bank www.pnconcmapus.com	Variable-LIBOR+ 2.25%-8%	0-6% Origination Fee	HT, FT (No CE)	Yes, up to 90 days past	$1000- COA	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest reduction for Auto-Debit;  Co-Signer release after 48 months on time payments;	Can make interest only payments-minimum $25 a month; Co-signer Required
SunTrust suntrusteducation.com/academicanswer	Variable-LIBOR+ 3.0%-10.75%	2-6% Repayment Fee for Low Credit	HT, FT (No CE)	No	$1001- Depends on Year in School	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest Reduction for Auto-Debit; $300 Reduction per loan at Graduation; Co-Signer release after 48 ontime payments	Can make interest only payments-minimum $50 a month; Co-signer not required, but recommended;
CitiAssist www.studentloans.com	Variable- LIBOR+ 4.75%- 11.50%	0-6% Origination Fee	LTHT, HT, FT (CE OK)	No	$1000- $120,000(UG); $150,000(Grad)	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest Reduction for Auto-Debit	Forbearance for financial harships; Co-Signer not required but must have established credit history; Miminum monthly payment $50
Wells Fargo www.wellsfargo.com/student	Variable-Prime+ 1.0%- 7.99%	None	LTHT, HT, FT (CE OK)	Yes, up to 365 days past	$1000- COA	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest Reduction for Auto-Debit; 0.50% off Interest Rate at Graduation;  Co-Signer Release after 24 months on time payments	Forbearance for financial hardships for up to 6 months only; Minimum monthly payment $50; Co Signer not required, but recommended
Discover www.DiscoverStudentLoans.com	Variable-Prime+ 0.05%- 4.75%	None	LTHT, HT, FT (No CE)	Yes, up to 6 months past	$1000- COA	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest Reduction for Auto-Debit; 2% Reduction per loan at Graduation;	Minimum Monthly payment $50; SAP Is Required; No Co-Signer Release; Co-Signer not require, but recommended.
Sallie Mae www.salliemae.com/smartoption	Variable-LIBOR+ 4.0%- 10.50%	0-3% Disbursment Fee	HT, FT (No CE)	Yes, up to 180 days past	$1000- COA	6 Months- after grad, or withdraw; Interest Payments required during school	0.25% Interest Reduction for Auto-Debit; 0.25% Interest Reduction for receiving Electronic Communications (Email); Co-Signer Release option available; no definite guidelines	Minimum Monthly payment $50 after grace period; Their Smart Loan does require interest only payments beginning 28-60 days after disbursment;although principal payments have a 6 month grace period; Co-Signer not require, but recommended.
Chase www.chaseselections.com	Variable-LIBOR+ 3.65%- 10.25%	None	LTHT, HT, FT (CE OK)	Yes, up to 365 days past	$500- COA	6 Months- after grad, or withdraw; Interest does Accrue	0.25% Interest Reduction for Auto-Debit; Co-Signer release after 36 months on time payments	Minimum Monthly payment $25; Co-signer not required but recommended.

NOTE: You are not required to borrow with any of the lenders listed on this chart. Students may borrow with any lender offering a private student loan. JMU does not discriminate against lenders and will certify loans from any private lender provided the student meets the lender’s eligibility requirements.

Definitions:

COA = Cost of Attendance as established by JMU HT= Half-time (Undergrads 6 hours; Grads 5 hours)
FT= Full-time (Undergrads 12 hours; Grads 9 hours)
LTHT= Less than half-time (Undergrads less than 6 hours; Grads less than 5 hours)
CE= Continuing Education (non-degree seeking)
UG = Undergraduate Student
Grad = Graduate Student

LIBOR= London Interbank Offered Rate. “It’s the rate of interest at which banks offer to lend money to one another in the wholesale money markets in London. It is a standard financial index used in U.S. capital markest and can be found in the Wall Street Journal. In general, its changes have been smaller than changes in the prime rate. It’s an index that is used to set the cost of various variable-rate loans, including credit cards and adjustable-rate mortgages.” (www.bankrate.com) Lenders use a one-month or three-month (averaged) LIBOR to determine their interest rates. Click here for a recent LIBOR.

Prime= “a common benchmark for consumer and business loans set by banks, often at a level 3 percentage points higher than the federal funds rate. The prime rate will move up or down in lock step with changes by the Federal Reserve Board”. (www.bankrate.com) Click here for a recent Prime rate.

You can view JMU's Private Lender Policy here.

Federal Graduate Plus Loan - (graduate student loan only)

As a result of the Higher Education Reconciliation Act (HERA) signed into law by President Bush on February 8, 2006, graduate students are now eligible to borrow under the Federal Plus Loan Program. Further information on terms and conditions applicable to this loan can be viewed here.