Frequently Asked Questions
Private Student Loan FAQs
Information you’ll need to successfully complete the application:
- Personal information (such as name, date of birth, Social Security number)
- Sufficient income information for either the borrower or co-applicant (if applicable)
- School enrollment information, if known
- Amount needed for your current school term
- If applying with a co-applicant, you’ll want to have them present. The co-applicant will also need to provide the same type of personal information as the student borrower. If they cannot be present, you should have their primary email address on hand – we’ll send them a notification to input their information.
Processing times vary based on time of year, document submission, and the school’s own certification process. In general, you can expect the process to take anywhere from 5-45 days, depending on the documentation available.
Our private student loans can be used for any items listed in your school’s cost of attendance, or other education-related expenses. The amount you are eligible to borrow will be certified by your school, and the funds are sent directly to your college.
If some of the loan will be used to cover items not directly paid through the school, such as books, off campus rent, or a laptop, the school will issue you a refund for the excess amount.
Yes. You must be continually enrolled in a degree-granting program and meet your school’s minimum Satisfactory Academic Progress (SAP) criteria to be eligible.
Should you withdraw during any term or fail to meet SAP requirements, your funding request can be denied, your line of credit may close, and you may enter repayment.
Undergraduate enrollment:
- For fall and spring terms, you must be enrolled at least half-time.
- For summer term, you may be enrolled less than half-time.
Graduate enrollment:
- For fall and spring terms, you must be enrolled at least half-time.
- For summer term, you may be enrolled less than half-time.
You may choose to make interest-only payments while in school; defer both principal and interest payments until six months after graduation; or make full payments while in school. If you defer both principal and interest payments during school, interest begins accruing at disbursement and will be capitalized when you enter repayment.
Please log in to your account or contact UAS at 877-530-9782 to set up automatic debit for your student loan payments.
University Accounting Service (UAS) will service your loan. Once your loan has been disbursed or entered repayment, you may contact UAS with questions at 877-530-9782. You can also manage your account at any time via our login page.
The maximum loan amount will be the certified need determined by your school for the remainder of your currently enrolled higher education. The certified need is typically the Cost of Attendance (COA) less other financial assistance and aid received. For more information on the maximum loan amount we offer, please view our rates.
Please note that the undergraduate maximum co-applicant aggregate amount for borrowing (across multiple lines of credit for multiple borrowers) is $.
Please note that the graduate maximum co-applicant aggregate amount for borrowing (across multiple lines of credit for multiple borrowers) is $.
With our unique education line of credit, you will not need to reapply each year (assuming there are no significant changes to the borrower or co-applicant credit scores). Each year, you will simply request additional funds (called a “draw”) for the amount you wish to have disbursed to your school (based on your school’s certified amount). Funds are disbursed to your school based on the school’s disbursement cycle. You will request the specific draw amount from your line of credit each year.
Fixed Interest Rate
A fixed rate loan is exactly as it sounds – the interest rate is fixed, or stays the same, for the entire life of your loan.
Pros: You’ll know what your interest rate is and won’t have to worry about fluctuations down the road.
Cons: The tradeoff for knowing what your rate will be for the long haul is that it is often a higher rate to start than a variable rate option.
Variable Interest Rate
When you select a variable rate loan, your interest rate will fluctuate over time based on the current index rate. Your lender adds a percentage to that base according to your credit score and history, and there is usually a limit or “ceiling rate” on how high your rate can go if the index increases.
Pros: Variable rate options are typically lower than fixed rate at the start of your loan. Additionally, if the index decreases in the future, so will your interest rate.
Cons: There is risk involved; while your rate could go down, it could also increase, meaning you will pay more in interest over time.
A borrower is not required to apply with a co-applicant. However, applying with a credit worthy co-applicant may improve a borrower’s chance of meeting the credit union’s approval criteria and potentially qualify for a lower interest rate.
Student Loan Refinance FAQs
Please log in to your account or contact UAS at 877-530-9782 to set up automatic debit for your student loan payments.
University Accounting Service (UAS) will service your loan. Once your loan has been disbursed or entered repayment, you may contact UAS with questions at 877-530-9782. You can also manage your account at any time via our login page.
Fixed Interest Rate
A fixed rate loan is exactly as it sounds – the interest rate is fixed, or stays the same, for the entire life of your loan.
Pros: You’ll know what your interest rate is and won’t have to worry about fluctuations down the road.
Cons: The tradeoff for knowing what your rate will be for the long haul is that it is often a higher rate to start than a variable rate option.
Variable Interest Rate
When you select a variable rate loan, your interest rate will fluctuate over time based on the current index rate. Your lender adds a percentage to that base according to your credit score and history, and there is usually a limit or “ceiling rate” on how high your rate can go if the index increases.
Pros: Variable rate options are typically lower than fixed rate at the start of your loan. Additionally, if the index decreases in the future, so will your interest rate.
Cons: There is risk involved; while your rate could go down, it could also increase, meaning you will pay more in interest over time.
You can refinance all or some of your student loans – whichever option is best for you. Some borrowers choose not to refinance their federal student loans so they can hold on to existing benefits such as income based repayment plans or loan forgiveness.
Your student loans can be refinanced if they are in grace or repayment after you’ve graduated from an approved school.
Yes! If you have previously refinanced some or all of your student loans, you may wish to refinance again to take advantage of a lower rate.
Yes, you should continue to make your payments while your application is in process. You will be notified when the funds have been sent to the applicable servicers.
All loans being refinanced must be post separation from school.
Federal Education Loans:
- Federal Family Education Loan Program (FFELP)
- Subsidized or Unsubsidized (aka Stafford Loan)
- Grad or Parent PLUS William D. Ford Direct Loan Program Subsidized or Unsubsidized (aka Direct Stafford Loan)
- William D. Ford Direct Loan Program Undergraduate, Grad or Parent PLUS
- Perkins, Nursing or Health Education Assistance (HEAL)
- Consolidation
If you choose to refinance a federal loan, you will lose federal student loan benefits such as income driven repayment or loan forgiveness options that may be available on your current federal loan(s). In addition, federal student loans offer deferment and forbearance options that may not be available to you if you take out a private refinance loan. You may qualify for a Federal Direct Consolidation Loan. For additional information about a consolidation option for federal loans, contact the Department of Education at: studentaid.gov. See disclaimers for more details.
Private Education Loans:
- Undergrad
- Graduate
- Consolidation
Institutional Education Loans:
- Undergrad
- Graduate
- Consolidation
Consolidation means you are simply combining existing loans. Your total payment amount and total interest will likely remain the same, but you’ll have the convenience of making one payment rather than multiple payments. This type of loan is usually associated with federal government student loans.
When you refinance, you are taking out a single new loan to pay off your old ones. You’ll probably have a new interest rate, new terms, and a different monthly payment amount. This is the loan solution offered by your credit union.
