What is the difference between certified and non-certified private student loans?
A certified private loan is one in which your school verifies your eligibility for the loan amount you are requesting. This helps you borrow only what you need. Non-certified loans typically have higher borrowing limits and higher interest rates than the certified loans. It’s important to borrow only what you need to avoid paying back the additional amount with interest later. Finally, while the interest on certified private loans is generally tax deductible, interest paid on non-certified private loans is not tax deductible.
