The Interest rate is a combination of the Prime rate plus a margin. The rate ranges from Prime (currently 4.0%) minus 0.50% to Prime plus 4.75%. The rate will fluctuate as the Prime rate changes every three months.
The Prime rate is a "reference or base rate" that banks use to set the price or interest rate on many of their commercial loans and some of their consumer loan products.
Loan Fee's
There are no upfront, origination, guarantor, or prepayment fees for the Alternative student loan.
Borrowers can receive a 0.25% repayment interest rate credit when payments are set up for automatic debit from a checking or bank account. This can translate into significant savings over the course of repayment.
Read more on Alternative Loan Interest Rates here.
