The eligibility requirements for an Ascent depend on which loan product you select: The legal age for entering into contracts is eighteen 18 years of age in every state except Alabama where it is nineteen 19 years old, Nebraska where it is nineteen 19 years old only for wards of the stateand Mississippi and Puerto Rico where it is twenty-one 21 years old. Perkins Loans are not underwritten like private student loans. It means that there are obstacles preventing you from getting the financial assistance you need. This forbearance DOES extend the repayment term. A hard check affects your credit score.
Who Has Difficulty Getting a Cosigner?
Banks and credit unions that allow co-signers. Most major banks no longer offer personal loans, but Wells Fargo and Citibank still do. Both . In general, you will need to meet the following requirements to get approved for a private student loan without a cosigner: Have a good credit history. Most private student loan lenders are looking for individuals with a credit score of and above. Cosigner release is not as common in the world of personal loans as it is in student loans. You can still relieve your cosigner of their duties, though, if you qualify for a new personal loan on your own and then refinance.
What is a Cosigner?
Ascent Independent considers several factors which may include: Ascent Independent loans are for college Juniors, Seniors and Graduate students that are full-time enrolled in a degree program at an eligible institution. Variable rate loans are based on a margin between 4.
Fixed rate loans have an APR range between 7. Competitive rates calculated monthly at the time of loan approval. Payments may be deferred. Fully deferred repayment option does not require payments while enrolled in school at least half-time. There are no prepayment penalties, full payments of principle and interest can be made during the deferment period.
Click here for an Independent repayment example. Flexible repayment plans may be offered with up to a fifteen 15 year repayment term for a variable rate loan and ten 10 year repayment term for a fixed rate loan.
Available for students enrolled full-time at an eligible school. Interest rate reduction of 0. Interest rate reduction s will not apply during periods when no payment is due, including periods of In-School, Deferment, Grace or Forbearance.
If you have two 2 returned payments for Nonsufficient Funds, we may cancel your automatic debit enrollment and you will lose the 0. You will then need to re-qualify and re-enroll in automatic debit payments in order to receive the 0.
All applicants are required to complete a brief online financial literacy course as part of the application process to be eligible for funding. Eligibility, loan amount and other loan terms are dependent on a number of factors, including: Aggregate loan limits may apply.
The cost of attendance is determined and certified by the educational institution. The legal age for entering into contracts is eighteen 18 years of age in every state except Alabama where it is nineteen 19 years old, Nebraska where it is nineteen 19 years old only for wards of the state , and Mississippi and Puerto Rico where it is twenty-one 21 years old. Ascent is an innovative private student loan program that provides access to higher education funding for an expanded population of students, while encouraging the financial wellness of students and their families through financial literacy.
Why should I choose an Ascent loan? We give you more opportunities to qualify for a loan in your own name. This allows for more students to gain access to higher education funding — in some cases without a cosigner.
Ascent loans are competitively priced and offer repayment options that help you manage loan repayment. In addition, Ascent offers you opportunities to save money with an interest rate reduction of 0. Ascent Tuition is a loan product best suited for students that have a cosigner.
Solo applicants may apply for this loan, however, such applicants must meet the creditworthy and income requirements criteria below. This loan sets students up for financial success with financial literacy and has a cosigner release option after 24 months. Eligible Juniors, Seniors and Graduate Students may qualify based on their future earning potential, satisfactory academic progress and credit history.
What are the qualifying requirements for an Ascent loan? The eligibility requirements for an Ascent depend on which loan product you select: We consider several factors including: Ascent Tuition loans are for college students who are at least half-time enrolled in a degree program at an eligible institution.
Students who are not a U. Ascent Independent is for college students who are enrolled full-time in a degree program at an eligible institution with a cumulative grade-point average of at least 2. Students applying for Ascent Independent must be U. This loan product is best for applicants that have a creditworthy cosigner or are individually creditworthy and can meet the income requirements below.
Can students that are Non-U. A student who is not a U. Valid visa - acceptable forms: Unexpired foreign passport; and Copy of government issued document or identification that includes your national identification number. The option to apply to release the cosigner after making the first twenty-four 24 consecutive, regularly scheduled full principal and interest payments on-time is only available to student borrowers that are U.
To be eligible for the Ascent Tuition loan , students must be enrolled at least half-time or accepted for half-time enrollment in a degree program at an eligible institution. To be eligible for the Ascent Independent loan, students must be enrolled at least full-time or accepted for full-time enrollment in a degree program at an eligible institution.
How do I know if my enrollment status is considered full-time? College students both undergraduate and graduate that are enrolled in a degree program at an eligible institution that measures progress in credit hours and uses standard term semesters, trimesters, or quarters for less than 12 units are considered half-time. Students taking 12 or more units are considered full-time.
We consider several factors to determine creditworthiness, including, but not limited to minimum credit requirements: Must meet a monthly debt-to-income DTI ratio. Must submit proof-of-income and be continuously employed for the past 2-years. Interest is the price paid for the use of borrowed money. It is typically expressed as a percentage rate over a period of time.
What is the interest rate? Ascent loans are offered with a variable interest rate or a fixed interest rate option. A variable interest rate fluctuates over the duration of the loan.
Applicants must select an interest rate option prior to accepting the loan offer. The interest rate is based on a number of factors and may be lower for a cosigned loan compared to a non-cosigned loan. Borrowers are eligible to receive an interest rate reduction of 0. Borrowers will lose this benefit after two 2 non-sufficient funds payments, until they re-qualify and re-enroll in Automatic Debit payments. How often does the variable interest rate change?
Interest is calculated on a daily simple interest basis, using the outstanding principal balance each day of the term of the loan. The daily interest rate is equal to the annual interest rate in effect on that day, divided by the actual number of days in the current calendar year.
When does interest accrue? Interest will begin to accrue as of the disbursement date on the principal amount of the loan and will continue to accrue on any outstanding balance. Interest will also accrue during periods of non-payment, including periods of authorized deferment or forbearance. Interest is capitalized upon entering a repayment period status and at the end of any authorized deferment or forbearance.
Whenever you have gone through an authorized period during which you are not required to make payments, such as during an In-School, grace, deferment or forbearance period, as well as during periods of repayment wherein your regularly scheduled monthly payment does not satisfy the interest amount due for that period, interest will continue to accrue on your loan and be added to the principal balance when you start making payments again.
You will learn more about capitalization when you complete our application and the financial literacy course. What do I do if I am unable to find my school when I try to apply for an Ascent loan? Your school may not be on our list of eligible institutions at this time. What can I expect after I apply? We do everything we can to process loan applications quickly and efficiently but we need your help to speed the process along. First, we will review your credit and in many cases can provide an initial credit result when you and your cosigner if applicable submit your application.
However, often we will ask you for additional information or documentation before we can approve your loan for funding. If you are applying for an Ascent Independent loan, processing times may be longer and approved loan amounts may be significantly lower than the loan amount requested. How can I check the status of my loan?
If you are looking for information regarding your Ascent loan application in process or pending disbursement s: What is the maximum loan amount? The maximum loan amount for Ascent Tuition and Ascent Independent is limited to the total cost of attendance for a period not to exceed one full academic year, less any financial aid, as certified by your school. Your maximum loan amount may be less than the amount requested on your application due to school certification or other underwriting factors.
Is there a minimum loan amount? What are the repayment terms? Ascent Tuition applicants may choose between a 5-year, year or year repayment term 60 months, months, or months, respectively , depending on the interest rate option. Click here to view Ascent Tuition repayment examples. Ascent Independent applicants may choose between a year or year repayment term months or months, respectively , depending on the interest rate option.
The repayment term is selected during the application process and may not be changed once the loan is funded. Sample repayment examples are available: Click here to view Ascent Independent repayment examples. Is there a penalty or fee if I pay off my loan early, before the repayment term? With Ascent loans you will not incur any fees or penalties if you prepay your loan either in whole or in part before the repayment term.
What are my repayment options? Ascent Tuition applicants must select a repayment program when applying for the loan, but may change their repayment option during the In-School period. Borrowers may choose from one of these repayment options: The Interest-Only Repayment option requires that while the student is enrolled at least half-time at an eligible institution, the borrower will pay at least the interest that accrues on the loan each month.
Upon graduation or if no longer enrolled at least half-time, the borrower will make full Principal and Interest payments for the remaining term of the loan. Upon graduation or if no longer enrolled at least half-time, the borrower will make full principal and interest payments for the remaining term of the loan. Any unpaid interest will accrue and capitalize upon entering full principal and interest repayment.
The Deferred Repayment option allows for the borrower to postpone principal and interest payments on the loan while the student is at least half-time enrolled at an eligible institution for a period of up to sixty 60 months. Interest accrues during this In-School period and is capitalized upon entering repayment. When selecting your Ascent Tuition repayment plan, you have the option of making payments while enrolled in school, or you can choose the Deferred Repayment plan and start payments up to 6 months after leaving school.
Even if you choose a Deferred Repayment plan, you always have the option to make payments and there is no penalty for early repayment. When do payments begin? Having a creditworthy parent or guardian can definitely help get you approved. Moreover, having a cosigner may even lower the interest rate on the loan.
Every basis point matters when it comes to student debt, especially when the loans are private. While interest accumulates and capitalizes, even 25 basis points in savings, or 0.
At LendEDU we get this question everyday. In this guide we will look at a variety of options available for students without additional signatures. Applying for financial aid is easy and every student should look to maximize their federal financial aid benefits before using private debt. Luckily, the Department of Education offers an array of financial aid options to certain students. Financial aid can include grants, scholarships, and federal financing. Federal financing options should always be used before going through a private lender.
The great thing about federal financial aid is that it doesn't require a cosigner. Everyone is eligible for some amount of federal financial aid - even without having a qualified cosigner. Without getting into too much depth, below are some short descriptions of each of these different types of loans. For more in-depth explanations you should check out the full guides available. There are two main types of Stafford Loans available to undergraduate and graduate students.
The first being Subsidized Stafford Loans. Subsidized Stafford Loans are awarded on the basis of financial need, and carry the benefit of subsidized interest.
The federal government pays the accrued interest while a student is in school and during periods of deferment. However, because these loans are unsubsidized, the student is responsible for paying any interest that is accrued while in school and during deferment.
For the academic year, the federal government set the interest rate for subsidized and unsubsidized Stafford loans at 4. Graduate students will pay a higher interest rate of 6. Not every school offers Perkins loans to its students, so you should consult with the financial aid office to find out if the program is in place. Perkins Loans are not underwritten like private student loans.
Students who qualify for Perkins loans must be able to demonstrate financial need. The Perkins Loan program was recently discontinued. A PLUS Loan is a type of financial aid offered to parents of students enrolled at least half time in eligible programs at participating and eligible post-secondary institutions or graduate and professional students at participating and eligible post-secondary institutions.
That being said, PLUS Loan rates can be significantly lower than rates offered by private student loan lenders. PLUS Loans are issued without the necessity of a guarantor, and are not awarded on the basis of creditworthiness. There is no credit check! Unlike federal financial aid, private student loans are offered through non-government banks and lenders. There are a number of private lenders in the industry. While each lender has different underwriting and approval criteria, there is a lot of crossover.
When it comes to getting approved for a private student loan there are definitely a few pretty clear requirements. In general, you will need to meet the following requirements to get approved for a private student loan without a cosigner: Most private student loan lenders are looking for individuals with a credit score of and above. For students with little credit history, this might be a challenge. Having no credit history will make you ineligible for educational debt without a cosigner.
Students should and can start building credit as soon as possible. By paying your bill on-time each month, you will slowly be able to build credit. Unfortunately, many public financing corporations are not willing to offer student financing options with no underwriting to non-citizens.
If you are approved for college financing with a guarantor you should expect to pay a higher than average interest rate.