Skip to content. | Skip to navigation

Personal tools
Log in


You are here: Home / Types of Aid / Loans / Private Alternative Loans / Timing of Disbursements for Private Alternative Loans

Timing of Disbursements for Private Alternative Loans

Plan ahead

Plan ahead when applying for an alternative loan and be sure to complete all loan disclosures. The Truth in Lending Act (TILA) requires you to complete and submit a self-certification form to all lenders for each individual application.

The terms and conditions of federal student aid may be more favorable than the provisions of private alternative loans.

If your lender does not provide the form, print and complete the Private Education Loan Applicant Self-Certification. You can find your cost of attendance and estimated aid for the period of enrollment covered by the loan on your Award Summary on LionPATH. Return the self-certification form to your lender.

TILA also requires lenders provide you with three disclosures:

  • Upon your application
  • When you are approved
  • At least three days prior to disbursement


The final part of the TILA regulation within the private loan process is the 10 day right of rescission. This is a period where disbursements are held in order for you to have a final chance to change your mind and cancel the loan without penalty.  Because of this regulation, neither the school nor the lender can move the disbursement date of your loan.

Pay special attention to your loan disclosures to determine the actual disbursement date of your alternative loan funds.  Apply early to prevent any delays.


Penn State cannot in any way be held liable in the event the borrower is dissatisfied with the rates, terms, or service provided by any lender.
Penn State Federal School Code











Aid Calculator


Money Manager


Loan Repayment