Private Student Loan Interest Rates

Private Loan Benefits:

• Borrow up to the true cost of your education
  
• Fast eSignature process

Private student loan interest rates are calculated based on a published index such as the Prime Rate or LIBOR (London Inter Bank Offering Rate) plus a margin based on your credit score and credit history. If a cosigner is required, your interest rate will be determined based on your credit, and your cosigners' credit.

Because the interest rate is variable, it will fluctuate over time. Interest begins accruing when the loan is disbursed.

What will your private student loan interest rate be?

It's not possible to determine your exact rate unless you apply for a private student loan. However, you can get a feel for where your general interest rate is based on your credit report. The more late payments, overdrawn accounts, and other credit issues there are, the more likely it is your interest rate will be higher.

We always recommend checking your credit report and ensuring that it's free of errors, omissions, and inaccuracies before applying for any student loan so that you get the best interest rate possible. Check and improve your credit score here.

How to lower your private student loan interest rate:

If you apply with a cosigner not only will you increase your chance of getting approved, but you can potentially lower your interest rate, depending on you and your cosigners credit.

Some private student lenders offer discounts to borrowers for automatic debit or consecutive on-time payments. This can translate into significant savings over the course of repayment. The typical discount is 0.25% for signing up for automatic debit. It is recommended that you contact your lender for a full list of deferment options.

For more information about private student loans, check out our private loan comparison page, or simply get started and apply for a private student loan.

Apply Now for a Private Student Loan