Best Private Student Loans Available and Their Interest Rate.
Best Private Student Loans: Paying off college bills can really put a burden on you, thereby requesting for an extra help. So this might require you to contemplate on getting a Private Student Loan. This is mostly the last point of action.
That is after you might have exhausted your scholarship, grant and federal student loan option or funds. Now making the decision on which of the private student loan company to apply with, might be a problem. So I took my time in highlighting for you, some of the best companies right now.
This will enable you compare their interest rates, repayment terms and eligibility requirement. It also helps you take a very comfortable survey through your available options.
You should note that having a good credit score or a creditworthy cosigner can increase your chances of being approved and qualifying for the lowest rates.
Earnest provides a nine-month grace period before repayments begin, which is longer than most other lenders offer.
It provides flexibility in your loan repayment term, giving you the option to choose a payoff plan that is affordable to you.
Earnest allows borrowers the option to skip one payment every 12 months and does not charge late fees, unlike many other lenders.
No option for cosigner release.
Earnest requires a hard credit check when applying.
Loans are not available in all states.
Here are some key details of Citizen Bank’s student loans:
Loan Types: Undergraduate, Graduate, Professional, and Parent
Variable Interest Rates (APR): 2.80% to 10.91% for undergraduates
Fixed Interest Rates (APR): 4.72% to 12.04% for undergraduates
Discounts: 0.50% discount on rates for autopay and for opening a student checking account with Citizens Bank
Repayment Terms: 5, 10, or 15 years
Loan Amounts: $1,000 up to $100,000 (undergrads) or $110,000 (graduate students)
Fees: No loan application fees, origination fees, disbursement fees, or prepayment penalties
In-School Repayment Options: Interest-only, full interest and principal, full deferment until after graduation. Deferred loans may have higher interest rates.
Cosigner Release: Available after 36 consecutive on-time principal and interest payments
Borrowers can get discounts on interest for opening a student bank account with Citizens Bank.
Citizens Bank is the only student loan lender that provides multi-year loan approval as an option. This means you may be able to get funding secured for all of your years of schooling without having to apply again later.
Interest rates are competitive, especially if you begin making payments immediately on your loan instead of deferring payments while in school.
Cosigner release isn’t available until 36 consecutive full payments are made, which is longer than many competitors.
Citizens Bank has lower loan limits than many competitors offer.
You’ll pay a higher interest rate for deferred payments while in school if you borrow from Citizens Bank.
Here are some key details of SunTrust’s student loans:
Loan Types: Undergraduate, Graduate, Graduate Business School
Variable Interest Rates (APR): 2.52% APR to 10.05% APR for the Custom Choice Loan® and from 2.52% APR to 12.00% APR for the Union Federal Private Student Loan
Fixed Interest Rates (APR): 3.82% APR to 11.05% APR for the Custom Choice Loan and from 3.82% APR to 13.00% APR for the Union Federal Private Student Loan
Discounts: 0.25% interest rate reduction for consistent on-time payments on the Union Federal Private Student Loan, as well as up to a 0.50% discount for autopay on all SunTrust private student loans. Low APRs shown above include a 0.50% interest rate reduction for auto pay from a SunTrust account.
Repayment Terms: For the Union Federal Private Student Loan and Custom Choice Loan, borrowers have the option to repay loans over 7, 10, or 15 years. A Graduate Business School Loan can be repaid over 7 or 10 years.
Loan Amounts: Students in most states can borrow between $1,000 and $65,000 for the Custom Choice Loan or Union Federal Private Student Loan. Students can borrow up to $95,000 for the Graduate Business School Loan.
Fees: There are no fees to apply, no origination fees, and no prepayment penalties
In-School Repayment Options: Full deferment, $25 monthly payments, or interest-only payments or full principal and interest payments.
Cosigner Release: After 36 consecutive on-time principal and interest payments are made.
SunTrust loans reward borrowers with either a 1% principal reduction (for Graduate Business School Loans) or a 2% principal reduction (for Custom Choice Loans) after graduation.
SunTrust loans are available to most U.S. citizens and permanent residents and the Union Federal Private Student Loan is also available to international students.
APRs are competitive, especially with discounts for autopay and on-time payments.
Cosigner release isn’t available until after 36 on-time principal and interest payments, while many competitors allow cosigner release after 12 or 24 months. However, SunTrust will count lump sum payments that are larger than a regular monthly payment as multiple months.
Loan limits are lower than many competitors.
After going through your options, you should know that most times taking a Private Loan isn’t always the best answer to your problem.
A private student loan can be convenient but you should still read up on your student loan options to make sure you’re making the right financial decision for yourself and your future.