College Ave Student Loans Review
As the need to apply for student loans increases along with the increasing cost of higher education, those looking to fund their education require a simple and easy method for obtaining (as well as understanding) a student loan.
While gaining approval is important, finding the correct student loan holds equal value with the increasing amount of nationwide student loan debt and late payments.
In an attempt to solve these problems, College Ave has blossomed as one of the leadings providers of private student loans for undergraduate and graduate students. It aims to provide student resources and flexible options to accommodate a large base of applicants. In addition, College Ave recently announced its refinancing program which can help those with debt save money by obtaining new, lower interest rates.
Resources for Students
College Ave emphasizes the quickness and ease of use that its application process provides. The interface is indeed simple to understand with a simple scroll down page for each student loan option, and all of the information is laid out in a simple, informative way.
In addition to a simple interface, there is a student loan tools section that helps users gain a grasp on their potential loan situation. The tool is simple to use. It allows the user to input loan amounts, interest type (fixed or variable), graduation time, and enrollment status. There are also inputs for payment plans and terms which affect the total cost of the loan. This information allows users to determine their interest rates and the total costs of loans. This is one of the simplest and most effective resources online with its straightforward approach.
Users can determine their qualification status easily with the prequalification tool. The tool simply asks about the status of the applicant and other information which then relays to an answer on qualification for a loan.
The combination of the user interface and available resources makes the College Ave website on of the best sites to pick and choose student loans.
College Ave's Loans and Options
When applying for a student loan through College Ave, there are two main private loan options available to individuals enrolled in an eligible higher education institution: an Undergraduate Student Loan and a Graduate Student Loan. Each of these loans has different stipulations and rates, but both loans can potentially cover 100% of university expenses with no application fees or pre-payment penalties.
Undergraduate Student Loans
Starting off with various interest rates, there is a choice between variable and fixed interest rates. The Undergraduate Loan option has variable interest rates ranging from 2.20% to 9.29% and a fixed interest rate range of 4.99% to 11.24%; these are the lowest possible rates after the auto pay discount.
The interest rate discount involves setting up an automatic direct payment system to make monthly payments for any payment plan. This action garners a 0.25% interest rate discount so long as payments are made via auto direct deposit.
Several repayment terms can be chosen after approved for an undergraduate student loan with College Ave. The most ambitious payment option is to make full principal and interest payments immediately while enrolled which saves the most money overall despite its often implausibility for a student.
The next payment option is to make only interest payments while enrolled in school followed by full principal and interest payments upon graduation. This is the second best option in terms of saving money.
The third payment option requires students to pay a flat rate of $25 while enrolled in school. In terms of saving money, this is an okay option and saves the third most money.
The final option is to defer all payment until graduation which requires the maximum payment amount overall.
There are multiple possible payment terms to choose from; these options include terms of 8, 10, 12, or 15 years. In short, a borrower may choose four different payment options and four different payment terms for a total of sixteen different combinations.
Graduate Student Loans
The interest rates for the Graduate Loan option differ from the Undergraduate Option with a considerably shorter range. There is a range of variable interest rates of 4.03% to 6.03% depending on credit history, while there is one set fixed interest rate of 6.45% (all with discount applied).
Similar to the Undergraduate Student Loan, there is a 0.25% interest rate discount for any individual who sets up the automatic payment system for making payments on any plan.
The same four payment plans apply to the Graduate Student Loan option. Graduate students have the option to defer all payments until graduation or begin making full principal and interest payments during enrollment.
The other two options that serve as the middle ground still apply. Grad students may choose to make a flat payment of $25 each month during enrollment, or they can decide to pay only interest each month of enrollment.
Exactly similar to the undergraduate counterpart, payment terms of 8, 10, 12, or 15 years may be chosen for paying back student loan debt. These terms start either immediately or after graduation pending deferment.
College Ave's Refinancing Program
As mentioned in the introduction, College Ave recently announced its refinancing program. Like other lenders, College Ave will pay off the loans of creditworthy borrowers and issue them a new one with lower interest rates or lower monthly payments. The first case of the two will save customers money over the life of their loans. Lowering monthly payments, on the other hand, typically come through extending the repayment period and results in spending more money over the life of the loan.
Variable interest rates on refinance loans start at 2.50% and go as high as 7.25%. Fixed rates, alternatively, range from 4.74% to 8.50%. College Ave lets approved applicants select a repayment period between 5 to 15 years. In addition, borrowers can choose between making full payments immediately or paying the interest only for 2 years.
College Ave Student Loans' refinance loan has no application or origination fees, like those offered by many of the other lenders. Additionally, borrowers can refinance loans as low as $5,000 - an amount that is lower than most other lenders.
If you would like to compare College Ave's refinancing program to other lenders, check out our refinancing and consolidation page.
Final Thoughts
College Ave makes a good first impression as a student loan provider. Its website is easy to use and provides ample resources for gaining a grasp on any sort of student loan situation. A wide range of interest rates are provided which provides extremely competitive rates for those with good credit; additionally, there is wiggle room for those with bad credit to improve their standing.
The flexibility of payment options and terms is extremely useful because it allows individuals to choose the combination that suits their lifestyle and financial situation during and after school enrollment.
The combination of competitive interest rates, student resources, and online interface creates an attractive, comfortable, and supportive environment for student loan applications.
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