Private Consolidation Loan
Lower monthly payments*
College graduates face the daunting task of meeting their monthly student loan obligations. The Educated Borrower® Private Consolidation Loan meets this challenge by providing the opportunity for lower monthly payments by combining all your private student loans into one easy-to-manage loan. Our first-year low introductory interest rate combined with our interest-only payment option can lower your monthly private student loan payment amount in the the first year. Qualified private student loan borrowers, or borrowers with a qualified co-signer, may consolidate a minimum of $7,500 and a maximum of $300,000.
Eligibility
Eligibility is based in part on you and/or your co-signer’s good credit history. We recognize that you take your repayment responsibilities and good credit standing very seriously, and have designed a loan that will allow you to continue to meet these goals.
Low First year Introductory Interest Rate.
The Educated Borrower® Private Consolidation Loan offers borrowers the benefit of a first year introductory interest rate equal to 1-Month LIBOR (London Interbank Offered Rate) plus 4.00% to 4.50%. On the first anniversary of disbursement, the interest rate converts to a quarterly variable 1-Month LIBOR plus a margin ranging from 7.00% to 7.50% depending upon your individual credit or the credit of your co-signer, if you have one. Please click here to see a repayment example.
Interest-only payments available to make your payments even lower.
To lower your monthly private student loan payments even further, The Educated Borrower® Private Consolidation Loan offers you the option of making interest-only payments for the first 24 months of repayment. This can significantly reduce your monthly private student loan payments and free up cash for other expenses associated with starting a career and moving into the “real world”. But if you determine that our low introductory rate for the first 12 months allows you to meet your goals, you may elect to make full principal and interest payments.
Benefits for On-Time Payments
Principal Reduction for On-time Payments - If you make your payments on-time for 48 consecutive months and have not prepaid your loan, we may reduce the amount of your loan by up to 1.00% of the then outstanding principal balance, depending on your (or your co-signer’s) credit at the time of the loan.
Co-signer Release Option - We know you want to do it all on your own, but if you decide to use a co-signer at the time of getting your loan, you can tell them that it doesn’t have to be forever. If you make your payments on-time for 48 consecutive months and your credit has sufficiently improved, call us and we will release your co-signer from his/her obligation.
A loan repayment term that makes sense.
The Educated Borrower® Private Consolidation Loan offers repayment terms of 30 years. Our loan terms are just another example of how we’ve designed our loan to ease the burden of repayment Please see our repayment comparison by clicking here.
Never a pre-payment penalty.
Whichever repayment option you choose, rest assured that you can pre-pay the principal at any time without penalty.
Applying is simple.
College graduates with any existing, nationally-marketed, private student loan can be eligible for The Educated Borrower® Private Consolidation Loan. There are no application fees or other out-of-pocket expenses to apply. Conditional credit pre-approval is available contingent on providing supporting documentation and meeting the required loan standards.
Questions about The Educated Borrower® Private Consolidation Loan?
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Important Note: Loan terms are subject to change at any time and funds cannot be guaranteed prior to final credit approval and the return of a completed application (including a signed application and promissory note and acceptable supporting documents)
*Please click here to see an example.