Students attending Southwest Tech may be eligible for Alternative loans or PLUS loans (Parent Loans to Undergraduate Students). See the below information on both to see which loan option might be right for you.
Alternative Loan /Private Loan 2019/2020
Alternative loans are non-federal educational loans available from private lending institutions. These types of loans should only be considered when the student and/or parents have exhausted all other avenues of financial aid.
To receive an Alternative Loan at Southwest Tech, you must meet the following requirements:
- You must be accepted into a program at Southwest Tech.
- You must be enrolled in at least 6 degree credits.
- We encourage you to complete alternative loan counseling and a lender application through the SWTC Website.
Here are some other helpful facts in determining if an Alternative Loan is right for you.
The amount of an Alternative Loan will be limited to the cost of attendance minus other financial aid, and the amount cannot exceed $10,000 per school year. The minimum loan amount that can be borrowed is $1,000.
Interest accrues on all alternative student loans from the time of disbursement.
Interest payments and principal payments are deferrable until the student graduates or is no longer enrolled for 6 credits each semester.
Loan approval, fees, and insurance are determined by the lender based on credit history.
Each lender has various repayment incentives that should be considered when choosing an alternative lender. Interest rates and benefits may change. Read all information provided by the lender very carefully.
Allow at least 3 weeks for processing.
All private loans are disbursed to our college electronically. Southwest Tech disburses the private loans, on the following schedule:
- Summer 2019-July 18, 2019
- Fall 2019-September 27, 2019
- Spring 2020-February 21, 2020
If you want your private loan earlier than the published financial aid disbursement dates listed above, a written request to the financial aid office or email must be sent to Financial Aid. Please be aware that all tuition and book charges will be deducted from the first aid that is received by our college.
Parent Loans to Undergraduate Students
Direct PLUS loans are available to eligible parents of eligible dependent undergraduate students. The current interest rate will be 7.08% and is in effect until 6/30/20. The loan fee is 4.248% until 9/30/19. Loans disbursed on or after 10/1/20 have a loan fee of 4.236%. Interest begins when the PLUS loan is disbursed. The parent is responsible for making the payments on the loan. Please, contact Financial Aid for an appointment and more information on the PLUS loan process or call 608.822.2660.