NextStudent Private Student Loans:
Rates and Fees
Interest Rates
Most private student loans are variable-rate loans, with interest rates varying by lender. Your interest rate may adjust monthly, quarterly, annually, or at some other interval designated by the lender.
The interest rate on a private student loan is generally determined by adding a variable index (such as LIBOR or T-bill) to a fixed margin. The margin used to determine your student loan interest rate can vary depending on your creditworthiness. Borrowers who are deemed more creditworthy typically qualify for lower margins (and thus lower interest rates).
Fees
Fees, like interest rates, will also vary by lender. The types of fees assessed, as well as the amounts charged, will depend on the lender and may also depend on your creditworthiness.
Here are some common lender fees you may run into, but keep in mind that not all lenders will charge all these fees:
- Application Fees: Fee charged in order for you to apply for a private student loan. Paying an application fee doesn’t guarantee approval of your application.
- Origination Fees: Fee charged in order for a lender to issue you (“originate”) your private student loan. Origination fees are often added into your loan amount. The origination fee you pay may vary depending on your creditworthiness — borrowers with stronger credit may pay lower origination fees than those borrowers with weaker credit.
- Repayment Fees: Depending on your creditworthiness, some lenders may assess a repayment finance charge at the time that your private student loan goes into repayment.
Important Information:
Since federal student loans generally offer more attractive terms than private student loans, you should always use your federal financing options first. You should only consider taking out a private student loan if you find that, even after your federal loans and grants, your school costs still exceed your available scholarships and financial aid. In that case, a private student loan could provide the remaining money you need.
In order to provide you with a student loan, it will be necessary for us to share the information you’re providing here with certain third parties, such as a lender or servicer. Any personal information you provide to us on this form may be shared with a third party as outlined in our privacy policy, for the purposes of providing you either with a student loan or with other products or services.
NextStudent is a marketer of student loans and is not the lender for the NextStudent private loan. All loans are subject to credit approval. NextStudent private loans may not be available in all states. Borrower benefits, terms, and conditions are subject to change without notice.