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State loans are offered by your state government, while private loans come from banks and other lenders. Both can help cover your college costs when federal aid isn't enough. Learn about eligibility, application steps, and timing for Texas state loans and private loans so you can choose the right option for your needs. 

How do I apply for a private loan?

1. Research and choose a lender: Each lender is different, so compare loan terms carefully, including interest rates, repayment options, and benefits. Use this helpful resource from our partner ELMSelect to who work with SMU.*
2. Apply with your chosen lender: Submit your application and get a credit check. If you have adverse credit history, you might need a cosigner.
3. ҹɫ����certification: We will review your lender-approved amount, determine how much we are able to certify for the year or the desired loan period after taking into consideration your Cost of Attendance and other aid received, and send the certification information to your lender. You will be responsible for responding to any questions Financial Aid Services may have regarding your private loan request.**
4. Final loan approval: Once certification is complete, your lender will send you a Loan Approval Disclosure (LAD) containing the finalized terms of the loan. You can review the document through your lender's website and electronically accept the LAD.

*The Higher Education Opportunity Act of 2008 prohibits schools from recommending or advising students or their families on lender selection. However, ҹɫ����conducts a public, open request for information (RFI) and utilizes a neutral comparison tool called ELM Select to compile a list of private lenders offering educational loans.

**Even if you're approved for a certain amount, ҹɫ����may need to certify a lesser amount based on your Cost of Attendance and other financial aid received.

Am I able to apply for a College Access Loan (CAL)?

Yes, if you are a Texas resident. If you are unsure whether you meet the requirements for residency, please contact Student Financial Services at fa.verification@mail.smu.edu for information and instructions.

What are the rates for a CAL Loan?

The CAL Loan has a 6.30% interest rate and no origination fees. The loan offers flexible repayment options and grace periods, though it might require a cosigner.

How do I apply for a CAL Loan?

1. Apply through the (THECB)
2. THECB will review for credit purposes, and if credit requirements are met, a certification request will be sent to SMU.*
3. ҹɫ����will submit the certification information to THECB.
4. Complete the TX Core Residency Questionnaire either online submitting the paper copy of the State of Texas Residency Affidavit.
5. Once the certification information has been reviewed, THECB will notify ҹɫ����if the loan is approved and for what amount.**
6. If approved, sign your Loan Approval Disclosure (LAD):
   • Online if you applied with your Texas driver’s license
   • By mail if you didn’t use your Texas driver's license

*Even if you pass the credit requirements, this does not mean you have been approved for the loan. The loan decision and approved loan amount will not be decided until THECB receives certification information from SMU.

**It is possible THECB will approve the loan at a lesser amount than what was requested. For example, a student may request $20,000, but THECB may only approve $10,000. This is based on THECB's manageable debt calculations. Should a loan not be approved or THECB approves an amount that is less than what was requested, ҹɫ����will notify the student via their ҹɫ����e-mail address.

How long does it take to receive funds?

Federal law mandates that a lender hold loan funds for a right-to-cancel period of 11 business days prior to releasing them to the educational institution. 

• The Texas Higher Education Coordinating Board starts the 11-business-day period after the Loan Approval Disclosure (LAD) has been signed and submitted.
• Private lenders begin at varying times depending on their in-house policies.

Students are responsible for answering any questions from Financial Aid Services regarding their private loan request, and for submitting their LAD.

Assuming there are no delays, both state and private loan programs take approximately 3-4 weeks from credit approval to disbursement of funds.

Once the right-to-cancel period ends and the funds are released to SMU, it typically takes 1 business day for the funds to be posted to your student account.