A private loan is a student or parent loan from a bank, credit union, private company, a nonprofit or state-affiliated lender to pay for educational costs.  If a student does not qualify for federally funded loans, such as Federal Direct Subsidized or Federal Direct Unsubsidized loans, private loans may be an option.  Private loans are credit-based, and most require that the borrower or co-borrower have established credit history to qualify.

Applying for a Private Loan

Visit ELMSelect to view private loan options available at LSC.

Loan Terms

The approval, interest rates, fees charged, repayment terms, and other loan conditions vary based on the lender.

Processing of Loans

If you are approved for a private loan through a lender on ELMSelect, the Financial Aid Office will certify the loan request and finalize the total amount and disbursement details. 

Borrowers may borrow up to the student’s cost of attendance minus any other financial aid.

Depending on when the private loan is requested, processing can take up to 10 business days, so please plan accordingly.

Disbursement

Private loans funds will be combined with any other financial aid offer.  Financial aid usually disburses after the Official Day of Record each term.  Click here for more information on disbursements.

Once loan funds have been received by the lender, they will first be applied to any outstanding charges on the student’s LSC tuition and fee bill.  If a credit balance remains, a refund will be issued.  We highly recommend for all students to create an electronic refund profile.  Click here for more information on refunds.

College Access Loan (CAL)

The College Access Loan Program provides alternative educational loans to Texas students who are unable to meet the cost of attendance. Although the loan is funded by the state of Texas, the College Access Loan is considered a private loan.

More information, eligibility requirements, and the application can be found online at www.hhloans.com. The student and/or cosigner must meet requirements established by the Texas Higher Education Coordinating Board (THECB) and Lone Star College to be eligible. If the application is approved, Lone Star College will be notified to certify the loan.