Skip to main content
A student walking a guide dog

Credit Counseling

Preparing for Private Loans: A Guide for Incoming Veterinary Students

With recent changes to federal loan options, some students may need to explore private education loans to cover funding gaps. Private loans are credit-based, so understanding your credit and comparing lenders is essential.

Why Credit Matters

Private lenders use your credit score to determine:

  • Approval for the loan
  • Interest rate offered
  • Need for a cosigner

A strong credit profile can save you thousands over the life of your loan.

Building and Maintaining Good Credit

If you are new to credit or want to improve your score:

  • Become an Authorized User on a trusted adult’s credit card with a history of on-time payments.
  • Consider a Secured Credit Card (deposit-based, usually $200–$300).
  • Keep utilization under 30% of your credit limit. (e.g., $200 limit → keep balance under $60).
  • Pay every bill on time—payment history is 35% of your credit score.
  • Avoid multiple credit applications in a short period.
  • Explore rent/utility reporting services like Experian Boost to add positive payment history

Check Your Credit Before Applying

  1. Get free reports at AnnualCreditReport.com from Experian, Equifax, and TransUnion
  2. Review for errors and dispute inaccuracies.
  3. Understand your score:
    • 781+: Excellent (best rates)
    • 661–780: Good (likely approval)
    • 601–660: Fair (likely need cosigner)
    • <640: Poor (cosigner required)

Comparing Private Loan Options

When evaluating lenders, ask:

  1. Interest Rate: Fixed vs. variable? What rate do you qualify for?
  2. APR: Includes interest + fees—best for comparing total cost.
  3. Repayment Options: Immediate, interest-only, deferred, or fixed payment options.
  4. Cosigner Requirements: Is one required? Is there a cosigner release?
    • Cosigner Impact: Improves approval chances and may lower rates; check for cosigner release terms.
  5. Fees to Watch: Origination, late, and returned payment fees.
  6. Borrower Protections: Look for deferment, forbearance, hardship options, and discharge policies.

Tip: Applying to multiple lenders within 30 days counts as one inquiry. Some offer prequalification with a soft credit check.

Common Reasons for Denial Without a Cosigner

  • Low credit score
  • Minimal credit history
  • Delinquent accounts

Historical Lender List

Below are lenders that Cornell Veterinary students have used in the past three years. This list is provided as a service and not as an endorsement of the lender. You may choose one of these or any other lender of your choice. 

We recommend applying with a qualified cosigner to assist with approval and potentially qualify for a lower interest rate:

  • Sallie Mae
  • Citizens Bank
  • Abe
  • SoFi
  • College Ave

Additional Resources

  • AnnualCreditReport.com – Free credit reports
  • Experian Boost – Add rent/utility payments to credit history
  • Online loan comparison tools (credible, NerdWallet, etc.)