Alternative (Private) Student Loans
Alternative or private student loans can help cover educational expenses that remain after scholarships, grants, federal student loans, and other financial aid have been applied. Because private loans typically have higher costs and fewer borrower protections than federal student loans, Idaho State University strongly encourages students and families to explore all federal financial aid options before considering a private loan. Borrow only the amount needed to meet your educational expenses and carefully review all loan disclosures before accepting a loan.
Start with Federal Financial Aid
Before applying for a private student loan, complete the Free Application for Federal Student Aid (FAFSA) to determine your eligibility for:
- Federal Pell Grants
- Federal Work-Study
- Federal Direct Subsidized Loans
- Federal Direct Unsubsidized Loans
- Federal Direct PLUS Loans (if applicable)
- State and institutional aid programs
Federal student loans generally offer borrower benefits and repayment options that may not be available through private lenders.
Compare Private Loan Options with ELMSelect
Idaho State University provides access to ELMSelect, a free, lender-neutral comparison tool designed to help students research and compare private education loan options.
Through ELMSelect, students can:
- Compare private loan products side-by-side
- Review current interest rates and repayment terms
- Evaluate borrower benefits and eligibility requirements
- Research lender information in one location
- Access lender application links directly
ELMSelect is provided as a research resource only. The platform allows students to compare loan options using information maintained directly by participating lenders.
Your Right to Choose Any Lender
Idaho State University does not maintain preferred lender arrangements and does not recommend, endorse, or rank private lenders.
Students and families are free to choose any eligible private lender, whether or not that lender appears in ELMSelect. ISU will process private education loans from any lender that participates in school certification.
For additional information on private student loans, we recommend reading "Private Education Loans: Information for Students & Families" from the National Association of Student Financial Aid Administrators (NASFAA).
Important Questions to Ask Before Borrowing
Before selecting a private loan, consider asking lenders:
- What is the current interest rate, and is it fixed or variable?
- Are there origination fees or other charges?
- Will I need a cosigner?
- Are there repayment options while I am enrolled?
- What borrower benefits are available?
- Are there deferment or forbearance options?
- What will my estimated monthly payment be after graduation?
- Are there penalties for early repayment?
Carefully compare loan terms and borrow only what you need to cover your educational expenses.
Caution: Ask for a Loan Disclosure Statement from the lender for the loan you are considering.
Private Education Loan Self-Certification Requirement
Federal law requires borrowers to complete a Private Education Loan Applicant Self-Certification form before a private education loan can be disbursed. Note, some private loan lenders already provide the Private Education Loan Applicant Self-Certification form as a required step in their application process.
The self-certification form helps borrowers compare private loans with available federal financial aid options and understand the total cost of borrowing. To complete the form, you will need your Cost of Attendance and estimated financial assistance information.
Submit the completed self-certification form directly to your lender as instructed during the loan application process.