[Author's note: since passage of the the Health Education Reconciliation Act of 2010 on March 26, 2010, Chase has stopped offering federal student loans. The information in this article is no longer current, and is meant as a consumer resource showing what student loans were like through Chase when the FFEL program was still active.]
The volume of private student loans being taken out by those trying to meet college attendance costs is growing rapidly. With this increasing dependence on private loans comes an increase in offerings from private lenders.
Chase is one of the largest private education lending companies, and offers a number of funding options. This article will explain the different Chase student loans available and offer advice for those shopping around for private student loans.
Look First to Federal Loans Offered by Private Lenders
As a general rule, students should look to take out private education loans only after they have exhausted their federal loan options, such as Stafford Loans and PLUS Loans. This is because federal loans, backed by the U.S. government, often have lower interest rates and fees. Many times, federal loans are offered by the same banks and financial institutions which offer private education loans through the Federal Family Education Loan Program (FFEL).
Advice on Finding the Best Private Student Loans
Students shopping around for private education loans need to look closely at the interest rates and fees being offered, as loans advertised with low interest rates but high fees can sometimes be more expensive than loans with higher interest rates.
As a general rule, loans with fees of around 4% equal an additional percentage increase in the interest rate in terms of a loan's overall cost.
The best deals on private student loans "will have interest rates of LIBOR + 2.0% or PRIME - 0.50% with no fees." Such loans compare favorably with federal loans, and are available for students who either have good credit or are able to secure a cosigner with good credit.
Chase Student Loans for Undergraduates
Chase Select offers private education loans for college students who have yet to earn a degree. Below are the terms and rates available:
- Depending on a student's credit, available loans have interest rates from LIBOR + 4.4% to LIBOR + 12.25%;
- There are no fees;
- A .25% interest rate reduction is available for those who have payments automatically deducted from a bank account;
- After 36 consecutive good payments, cosigner release is available;
- Loans are available from $500 up to the cost of attendance (minus any aid already being received);
- No payments are required while in school;
- Payments may be made up to 25 years after the loan is taken out.
For those with good credit, Chase Select offers solid interest rates coupled with no fees, as well as interest rate reductions for automatic withdraw. The maximum amount available is $120,000.
Please note that, to qualify, students must be enrolled at least half-time in a participating school, meet the school's academic requirements, and be a U.S. citizen or permanent resident.
Chase Student Loans for Graduate Students
Chase Select offers private education loans for graduate students. Below are the terms and rates available:
- Depending on a student's credit, available loans have interest rates from LIBOR + 4.4% to LIBOR + 12.25%;
- There are no fees;
- A .25% interest rate reduction is available for those who have payments automatically deducted from a bank account;
- After 36 consecutive good payments, cosigner release is available;
- Loans are available from $500 up to the cost of attendance (minus any aid already being received);
- No payments are required while in school;
- Payments may be made up to 25 years after the loan is taken out.
For those with good credit, Chase Select offers solid interest rates coupled with no fees, as well as interest rate reductions for automatic withdraw. The maximum amount available is $180,000.
Please note that, to qualify, students must be enrolled at least half-time in a participating school, meet the school's academic requirements, and be a U.S. citizen or permanent resident.
Chase Student Loans for Health Professionals
Chase Select offers private education loans for students enrolled in a graduate healthcare program. Below are the terms and rates available:
- Depending on a student's credit, available loans have interest rates from LIBOR + 4.4% to LIBOR + 12.25%;
- There are no fees;
- A .25% interest rate reduction is available for those who have payments automatically deducted from a bank account;
- After 36 consecutive good payments, cosigner release is available;
- Loans are available from $500 up to the cost of attendance (minus any aid already being received);
- No payments are required while in school;
- Payments may be made up to 25 years after the loan is taken out.
For those with good credit, Chase Select offers solid interest rates coupled with no fees, as well as interest rate reductions for automatic withdraw. The maximum amount available is $250,000.
Please note that, to qualify, students must be enrolled at least half-time in a graduate healthcare program at a participating school, meet the school's academic requirements, and be a U.S. citizen or permanent resident.
Private Student Loan Consolidation
The Chase student loans detailed in this article may be consolidated with other private loans held by a borrower. Doing so can extend payment plans and, in some cases, reduce overall interest rates for students with rather expensive loans.
For more information, reference FinAid's guide, from which the information for this article was gleaned.
David Harris-Gershon - David Harris-Gershon – a blogger for Tikkun magazine and a freelance writer on Israel, the Middle East and America’s role in ...
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