At some point during graduate school, many students need to borrow funds from alternative or private (nonfederal) loan sources to supplement their federal student loan eligibility. The plethora of private student loans available -- each with varying terms -- can make it difficult to choose the best loan program to meet your needs.

A loan that offers the lowest interest rate, or zero loan fees, may seem to be an obvious choice for many students. Those who have less than stellar credit may look for a program with a high rate of approval. (Unlike federal student loans, private loans require credit approval.) Other graduate students just want a loan that offers an easy application process and quick disbursement of funds.

Cost and convenience, along with these other factors, are important considerations to keep in mind when choosing a private student loan:

Strategy #2: Consult your school's preferred lender list.

Strategy #3: Consider a private student loan from the same organization that services your federal loan(s).

Strategy #4: Use APR to compare the cost of different private student loans on an apples-to-apples basis.

Strategy #5: Understand other common features of private student loans - Part A

Strategy #6: Understand other common features of private student loans - Part B

P.S. Visit the FinMan Grad home page for more helpful information on managing your finances.