Private student loans serve important purposes, primarily to provide gap funding for undergraduates who need to pay for college. In addition, for some families and graduate students, private loans can be a sensible alternative to federal loans, especially PLUS loans.

Almost 97% of private student loans are being successfully repaid. That is largely due to the high level of underwriting required to receive a private loan, as well as the use of cosigners.

Almost 70% of private student loans made today are made by six lenders, all of which are members of the CBA Education Funding Committee. Collectively, private loans account for just 9% of loans being made today. The other 91% are Direct Loans made by the U.S. Department of Education.

Navigate this site to learn more about the private student loan market, and CBA’s members’ commitment to helping students and their families achieve their educational goals.

Private Student Loan Facts

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