Ben Todd | Apr 16, 2017 | 3
Types Of Private Student Loans
In general private loans to students are readily available to anyone that wants to apply for one. Even so, depending on your situation, this could or could not be the best choice for you. Before getting a private student loan, you should know that some of these loans carry higher interest rates than the interest rates of other types of student loans.
Before you decide on a private loan, you should try to obtain as many loans that are guaranteed by the government as you possibly can For example, Stafford loans are very cheap so it is a mistake to apply for a private loan before you apply for a Stafford loan. However, there are times when the only loan option available to you is a private loan so below is a list of some private loan options.
First, there are Astrive Student Loans
Astrive student loans are private student loans that are granted by Union Federal Savings Bank. Just like most other banks and lenders Union Federal Savings Bank will not simply supply funds to just anyone. If you want to obtain an Astrive Student loan, you will have to provide proof of citizenship and enrollment, proof of an income, have an established credit history, and personal references.
Those who are residents of Washington, Texas, Iowa, or Wisconsin or not eligible for Astrive student loans. If you are a resident of these states and want to obtain an Astrive loan you will need to have a cosigner that lives in another state.
The interest rate you pay on an Astive loan depends on the credit history of you and your cosigner as well as the current interest rates that have been determined by the single month London Interbank Offered Rate.
Also, another option if you are looking for a private student loan. You may want to consider, Chase Education Finance or also called Chase Student Loans.
JP Morgan Chase and Company created the Chase Education Finance program which provides private student loans. With the Chase Education Finance program you will not have to be concerned about whether you loan is being provided by a bank with a solid reputation.
Undergraduate as well as graduate students are both eligible for private student loans that are funded by the Chase program The amount of the private student loan depends on what year the student is in school. This means that means a first year college student can get a loan for up to %5,500 per year whereas a student in their first year of graduate school can get a loan for up to $20,000 per year.
Taking into account your credit history you can expect to pay an interest rate between 6 and 6.8 percent when obtaining a Chase private student loan.
Chase has specific requirements when it comes to loaning out money so in order to find out if you qualify for one of their loans you will have to apply directly to Chase. Chase will determine if you are eligible for a loan depending on your employment and your credit rating.
It’s also worth looking into the private Signature student loan program as well. Signature private student loans are a good choice for students with good credit because very good interest rate terms are offered. If you have cosigner, Signature student loans will remove your cosigner after a year of timely repayments on the loan — so this is one of the best student loans to choose from.