Although it’s a relative newcomer to the student loan market, College Ave has already built a formidable reputation as a reliable and supportive lender. If you are exploring your student loan options, here are a few things you should know about College Ave.
1. Types of Student Loans Available
College Ave offers two main types of loans – Undergraduate and Graduate Student Loans. With both types of loans you can borrow up to 100% of your cost of attendance (provided you meet the qualifying criteria). This includes the cost of tuition, books, fees, housing, meals, and other college-related expenses.
Keep in mind that the minimum loan amount is $1,000.
2. Eligibility Requirements
- You must be 16 years or older to apply for a College Ave student loan.
- You must be a US citizen or a US permanent resident.
- You must be enrolled at least half-time in an eligible accredited school.
- If your income is less than $35,000, you will need a cosigner to qualify for a loan. In addition to being creditworthy, your cosigner must also be a US citizen or US permanent resident.
3. Rates and Fees
One great thing about College Ave is that they don’t have application or origination fees! And if you’re able to pay off your loan early, there’s are also no penalties for early repayment.
Grad and undergrad students can choose from variable rate and fixed rate interests. If you’re not applying with a cosigner, the rate will depend on your credit score. If you are applying with a cosigner, the interest rate will depend on your cosigners credit score.
You can qualify for a 0.25% discount if you sign up for automatic payments. It may seem like a small amount but that can add up to a significant amount over the term of your loan.
4. Repayment Options
College Ave offers several repayment options so you can customize your payments to your financial circumstances. Students have the option of paying back their loan over 5, 8, 10, or 15 years. Choosing a longer term may help ease your monthly financial commitment but it will increase the cost of the loan over time. On the other hand, choosing a shorter term means you will have to make larger payments every month, but it will lower the overall cost of the loan.
These are the repayment options you can choose from:
- Start repaying your principal and interest as soon as the loan is disbursed (while you are still in school).
- Make a fixed repayment of $25 every month while enrolled in school.
- Make interest-only repayments while you’re still in school.
- Defer payments while you’re still in school till after your grace period.
College Ave does not have a specific policy regarding forbearance. They evaluate each request on its own merits.
5. Online Loan Application
The online loan application process is quick and easy. To get a rate estimate, you will need to fill in these details on the pre-qualification form:
- Photo ID
- Social Security Number
- Estimated financial aid
- School details
- Employment details
- Proof of income
It takes just a few minutes to get a credit decision after you submit the form, and because this does not require a hard credit check, it will not affect your credit score in any way.
6. Co-Signer Release
Unlike some lenders College Ave allows borrowers to release cosigners from the loan, provided certain conditions are met:
- Half the repayment period has expired
- All payments were made on time to date
- The borrower can demonstrate positive credit history
- The borrower can provide proof of continuous employment and income that meets the specified minimum
7. Financial Aid & Loan Management Tools
The user-friendly interface on College Ave’s website makes it easier for first-time borrowers to make smart decisions about loan terms that suit their financial and personal goals.
A slick prequalification tool lets you see whether your credit pre-qualifies for a loan. It will also calculate interest rates you might get. All this is done without negatively impacting your credit score.
Their on-site calculator tool makes it easy for you to estimate how much your payments might be as well as how long it could take to pay off the loans.
Should You Apply For a College Ave Student Loan?
College Ave is a great choice if you are looking for student loans that are designed to fit your budget and your financial goals. With 24/7 customer service, this is especially helpful if you are a first-time borrower and need help with making financial decisions that will affect you over the long term. In addition to loans, College Ave has a generous scholarship program through which they offer $1,000 to one winner every month.
Before you choose College Ave, or any lender, be sure you’ve done your research. Shop around to compare rates, terms, and repayment options. College Raptor can help you do just that! With our free Student Loan Finder you can see lenders and rates side by side so you can find the ideal student loan.