Co-signers must have a minimum credit score of 660 if the student has a score of less than 700, and a minimum credit score of 620 if the student has a score of 700 or higher.*. Which graduate student loan is best for you? You cant see if youll qualify without a hard credit check. College Ave offers a solid all-around private loan product with a few unique features. UNDERGRADUATE LOANS: Fixed rates from 3.75% to 13.35% annual percentage rate ("APR") (with autopay), variable rates from 1.89% to 12.13 % APR (with autopay). You can then choose which loans to accept and how much you need to borrow. With an ISA, you promise to pay a percentage of your future income in exchange for upfront funding. 1% Cash Back Graduation Reward subject to terms and conditions. 2022 Forbes Media LLC. Loan amounts available: $15,000 minimum; maximum amount based on individual application, Eligibility: Must be a resident of an eligible state and country attending an eligible school either part-time or full-time. You'll almost certainly pay less in fees: Grad PLUS loans come with an origination fee of more than 4%, while most private lenders don't charge these fees. Nine-month grace period is not available for borrowers who choose our Principal and Interest Repayment plan while in school. But Discover also offers several additional hardship options, including a three-month suspension of payments for borrowers early in the repayment cycle and a six-month reduced payment option. Related: Compare Personalized Student Loan Rates. The loan comes with a 4% administration fee. It is important to note that the 0.25% Auto Pay discount is not available while loan payments are deferred. The APR will be determined after an application is submitted. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $169.92) and a 11.69% APR would result in a total estimated payment amount of $30,584.74. Use grad PLUS loans if youve maxed out your federal direct unsubsidized loans and still want to use federal loans to pay for graduate school. Co-signers must show income of at least $24,000 for the current and previous year. Graduate students can take out up to $20,500 annually in unsubsidized federal student loans. If you need loans to pay for graduate school, the best option will likely be federal student loans. Lowest rates are reserved for the most creditworthy borrowers. Funding may not be available based on your school or major. Partial loan forgiveness for eligible internships; interest forgiveness for qualifying nurses. Ascent's graduate student loan is a good option if you or a co-signer has excellent credit. Eligibility: Discover does not disclose its minimum credit score or income requirements, but in 2019 the company reported that 94% of all private loan borrowers had a FICO score of 660 or higher. The scoring formulas take into account multiple data points for each financial product and service. Grad students can get up to $20,500 annually and $138,500 overall in unsubsidized federal loans. Loan amounts available: Up to total cost of attendance, minus other financial aid received. Offers only one repayment term: 10 years. Check the conditions you must satisfy to qualify. Co-signer release policy: Available after 24 months of payments. SoFi is perhaps best known as a student loan refinance lender, but it also makes loans to undergraduates, graduate students, law and business students and parents. Loan amounts available: $1,000 up to total cost of attendance (aggregate limit of $150,000 for borrowers pursuing graduate degrees). Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $145.41) and a 11.69% APR would result in a total estimated payment amount of $26,173.03. The variable interest rate is calculated based on the 3-Month CME Term SOFR index plus the applicable margin percentage less any applicable discounts. Our survey of more than 29 banks, credit unions and online lenders offering student loans and student loan refinancing includes the top 10 lenders by market share and top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets. Variable rates may increase after consummation. It's best to get quotes from multiple lenders before applying to ensure you get the best rate possible. Loan amounts available: $1,500 to $45,000 per year ($150,000 aggregate per borrower). Graduate students should max out federal unsubsidized loans before turning to federal PLUS or private loans to cover their remaining costs. Loan amounts available: $5,000 up to total cost of attendance (no aggregate limit listed), Eligibility: Does not disclose credit score or income requirements. You might be using an unsupported or outdated browser. Editorial Note: We earn a commission from partner links on Forbes Advisor. Most private lenders will send the funds directly to your school, which will apply the funds to your tuition and fees. How much can graduate students borrow in student loans? Earnest offers a fee-free private loan optionno origination fees and no late feesand borrowers have the ability to skip one monthly bill every year, in addition to applying for standard forbearance when necessary. The fixed interest rate is set at the time of application and does not change during the life of the loan unless you are no longer eligible for one or more discounts. Prodigy only offers variable-rate loans, which are riskier than fixed-rate options, and doesn't lend to borrowers in all 50 states. Ideally, your total debt after leaving graduate school should be no more than you plan to earn your first year in the workforce with your degree. Extra DetailsLoan terms: 5, 7, 10, 12 or 15 years, Loan amounts available: $1,000 up to total cost of attendance (no aggregate loan amount listed). Unlike many lenders, including the federal government, College Ave offers graduate student loans if you're attending school less than half-time. have higher interest rates and fees than direct unsubsidized loans, but you can borrow more money up to your total cost of attendance, minus other aid received. Forbearance options: Borrowers can take up to 12 months of forbearance, which is standard across the industry. It also offers several unique deferment, forbearance and hardship payment options. These offer protections that private graduate school loans lack, including income-driven repayment plans and loan forgiveness programs. When deciding how much to borrow, graduate students have the potential added complication of still having outstanding loans from undergrad. MPOWER considers future income potential but does not factor in credit scores. Payment cap: Two times the amount borrowed. The maximum amount you can borrow for graduate school varies by loan type. If approved for a loan, the interest rate offered will depend on your creditworthiness, the repayment option you select, the term and amount of the loan and other factors, and will be within the ranges of rates listed above. Does not offer bi-weekly payments via autopay. Disclaimer: NerdWallet strives to keep its information accurate and up to date. Our lowest APRs are only available to applicants with the best credit. Subsidized loans do not collect interest while in school or during deferment. Earnest loans are serviced by Earnest Operations LLC, 535 Mission St., Suite 1663 San Francisco, CA 94105, NMLS #1204917, with support From Navient Solutions, LLC (NMLS #212430). Grad PLUS loans allow you to borrow up to the total cost of attendance minus any other financial aid youve received, as certified by your school. limit the amount you can borrow to $20,500 annually and $138,500 overall, including undergraduate loans. Loan amounts: $1,000 up to the total cost of attendance. Information provided on Forbes Advisor is for educational purposes only. Prodigy only offers variable-rate loans, which are riskier than fixed-rate options, and doesn't lend to borrowers in all 50 states. 10 to 25 years once repayment begins, depending on the repayment plan. Unsubsidized federal loans and grad PLUS loans may also be eligible for income-driven repayment (IDR) plans, which promise forgiveness after 20 or 25 years of payments. Independent students and graduate students have higher loan limits. This informational repayment example uses typical loan terms for a freshman borrower who selects the Deferred Repayment Option with a 10-year repayment term, has a $10,000 loan that is disbursed in one disbursement and a 8.35% fixed Annual Percentage Rate (APR): 120 monthly payments of $179.18 while in the repayment period, for a total amount of payments of $21,501.54. So if you are getting a master of arts in industrial and organizational psychology and expect to earn a starting salary of about $70,000 (according to a salary resource like PayScale), you shouldnt have more than $70,000 in total student loans after graduating. Many or all of the products featured here are from our partners who compensate us. NerdWallet strives to keep its information accurate and up to date. Earnest Private Student Loans are made by One American Bank, Member FDIC. Grad PLUS loan borrowers must not have adverse credit history. Enrolling in an income-driven repayment program can lower monthly payments and result in loan forgiveness after 20 to 25 years. When evaluating offers, please review the financial institutions Terms and Conditions. to see what interest rate you'd qualify for. Discover Student Loans may adjust the variable interest rate quarterly on each January 1, April 1, July 1 and October 1 (each an interest rate change date), based on the 3-Month CME Term SOFR rate available for the day that is 15 days prior to the interest rate change date, rounded up to the nearest one-eighth of one percent (0.125% or 0.00125), or 0%, whichever is greater. If you want to take out a federal student loan, youll need to fill out the Free Application for Federal Student Aid (FAFSA). An income share agreement, or ISA, is not a student loan, but graduate students may be able to use one to finance their education. Best for international students and students with Deferred Action for Childhood Arrivals, or DACA, status. Your monthly payment and total loan cost may increase as a result of postponing your payment and extending your term. But if you have excellent credit, a private student loan may be cheaper in the long run. Cosigned Credit-Based Loan student borrowers must have a minimum credit score. Variable interest rates may increase after consummation. Performance information may have changed since the time of publication. Prodigy Finance doesnt lend to U.S.-based borrowers living in these states: Alabama, Arkansas, Connecticut, Delaware, Hawaii, Idaho, Indiana, Iowa, Maine, Michigan, Mississippi, Minnesota, Montana, Nevada, New York, North Dakota, Ohio, Rhode Island, South Dakota, Vermont, Washington, West Virginia and Wyoming. Lending decisions are not based on your credit score. Several lenders offer specialized loan programs for those pursuing a master of business administration (MBA), law or medical degree; for this list, we compared only generalized graduate degree loans for masters or Ph.D. students in other fields. Using a creditworthy co-signer can help you get a lower rate. Borrowers are eligible for two types of federal loans for graduate school: unsubsidized direct loans and grad PLUS loans. Our ratings take into account hardship options, the application process, interest rates and fees. Loan modification lowers the interest rate and monthly payment charged. More flexible repayment options for struggling borrowers compared with private lenders. Loan amounts for undergraduates: $5,500 year one, $6,500 year two, $7,500 year three and thereafter, up to a total of $31,000. Your actual repayment terms may vary. This may cause the monthly payments to increase, the number of payments to increase or both. Lowest APRs are available to the most creditworthy applicants, and include an. Loan amounts available: $1,000 up to the total cost of attendance (no aggregate limit listed). Its best to identify the interest rate and terms youd receive on a private loan, then compare the overall cost and features with those of a PLUS loan. Commissions do not affect our editors' opinions or evaluations. Typical credit score of approved borrowers or co-signers: Not available. *For Ascent Terms and Conditions please visit:AscentFunding.com/Ts&Cs. Please be aware that a skipped payment does count toward the forbearance limits. Co-signer release policy: Available after 24 payments. You can qualify for a Prodigy graduate student loan without a co-signer; lending decisions are based onyour future income, rather than your current financial situation. If you find discrepancies with your credit score or information from your credit report, please contact TransUnion directly. You receive free career services, including job placement support. The minimum score required is subject to change and may depend on the credit score of your cosigner. The federal graduate PLUS loan also offers wide-ranging benefits to borrowers, but fewer than direct unsubsidized loans offer. The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. Co-signer release policy: Co-signers can be released from the loan after 48 payments. Federal PLUS loans and private loans can cover up to your cost of attendance minus other aid received. Ascent offers both co-signed and non-co-signed student loans, which gives borrowers without co-signers more college funding options. These examples provide estimates based on fixed $25 payments while in school. For Ascent Terms and Conditions please visit: www.AscentFunding.com/Ts&Cs. For example, the lender may use the prime rate as its benchmark. Other repayment options are available. A separate forbearance program is also available for borrowers experiencing other types of economic hardship, such as medical expenses. Fixed APR: A $10,000 loan with a 15-year term (180 monthly payments of $126.82) and a 13.03% APR would result in a total estimated payment amount of $22,827.79. Must not have an adverse credit history. Many lenders have specific graduate student loan products based on the degree you're pursuing: Most lenders won't require you to pay student loans while in graduate school, provided you're enrolled at least half-time. If you plan to use co-signer release, check your loan documents to see when it will be possible (in 36 months, for instance) and what additional requirements you might need to meet. Nine-month grace period is longer than other lenders offer. For example, undergrads can borrow federal unsubsidized loans with a 3.73% rate in the 2021-22 school year while graduate students will pay 5.28% for the same loan. OK92033): Licenses, NerdWallet Compare, Inc. NMLS ID# 1617539, NMLS Consumer AccessLicenses and Disclosures, California: California Finance Lender loans arranged pursuant to Department of Financial Protection and Innovation Finance Lenders License #60DBO-74812, Best Graduate Student Loan Options of August 2022, APR ranges vary by loan type and the lowest available APR may be higher than what is shown here. Cosigned Credit-Based Loan student must meet certain minimum credit criteria. Best for graduate students who want flexible payment options. Undergraduate loans should be included in that total. Property, casualty, life and health insurance services offered through NerdWallet Insurance Services, Inc. (CA resident license no. Federal direct unsubsidized student loans are a strong option for graduate students because they dont require a credit check or a co-signer. PARENT LOANS: Fixed rates from 4.48% to 13.60% APR (with autopay), variable rates from 1.69% to 12.13% APR (with autopay). Something went wrong. Offers a hard-to-find option: non-co-signed student loans for international students. prioritizes lending ISAs to graduate students, particularly those in STEM and health care fields. We believe everyone should be able to make financial decisions with confidence. Best for graduate students who need to borrow beyond the federal unsubsidized loan limit. Some private lenders offer to release the co-signer from a loan after the borrower makes a certain number of payments. Rhode Island Student Loan Authority, known as RISLA, is a nonprofit based in Rhode Island that lends to students across the country. Payments arent due if youre unemployed. Some types of graduate student loans are eligible for forgiveness. Youll be considered to have adverse credit history if you have one or more of the following on your credit report: But if you learn you have an adverse credit history after you apply, you can explain the circumstances that led to it and the government could determine that youre eligible for a PLUS loan after receiving loan counseling. It also offers co-signer release, though after an even longer period than Citizens Banks policy: 48 months. Before the start of the semester, the money will be sent directly to your school. When youre ready to apply, you can typically submit an application directly on the lenders website. They also come with major benefits and protections, such loan forgiveness programs as well as the pause on payments and interest accrual thats been in effect since March 2020 due to Covid-19. Certain professional students may be eligible for a federal, You can apply for federal loans for graduate school by completing the Free Application for Federal Student Aid, or. No credit check or minimum income is needed to borrow. Co-signer release policy: Available after 12 months of consecutive automatic debit payments, if the primary borrower meets certain credit score requirements. Your actual rates and repayment terms may vary. Another option is to get an endorser, similar to a co-signer, that can help you qualify. All eligible graduate borrowers qualify, and they receive the same rate regardless of credit history. While federal interest rates are historically low for the 2020-21 academic year, you still may get a better rate with a private graduate student loan. It offers two different loan types for undergraduate students, which each comes with its own fixed interest rate. But these loans have lower interest rates and fees than PLUS loans, so opt for unsubsidized loans before graduate PLUS loans. PNC Bank offers an extra-generous 0.50% interest rate discount for making automatic payments, and it provides a 12-month loan modification program for borrowers in financial distress (in addition to 12 months of forbearance). If you need more money for school than what unsubsidized loans provide, you might turn to graduate PLUS loans, which require a credit check. Fixed APR: A $10,000 loan with a 15-year term (180 monthly payments of $156.59) and a 13.03% APR would result in a total estimated payment amount of $28,186.67. We consider 40 features and data points for each financial institution. Here is a list of our partners and here's how we make money. You must be enrolled at least half-time to qualify. For the SoFi variable-rate product, the variable interest rate for a given month is derived by adding a margin to the 30-day average SOFR index, published two business days preceding such calendar month, rounded up to the nearest one hundredth of one percent (0.01% or 0.0001). So how do we make money? Borrowers can choose between two federal optionsdirect unsubsidized loans or grad PLUS loansor opt to borrow from a private lender. This is because options like business or law school are generally more expensive than a bachelors degree. Payment required while in school and during the grace period. Everyone who qualifies for each of the loan types gets the same rate, which makes it easy to compare RISLA loans with others youve qualified for. Borrowers have multiple repayment terms to choose from, and graduate students receive a nine-month grace period before they must make payments after graduation, which is longer than the typical six-month grace period. is a good choice if you're working your way through graduate school. The Forbes Advisor editorial team is independent and objective. Butdepending on how much you get paid as a graduate student, making payments can save you money because all graduate school loans accrue interest, increasing the amount you owe. Ascent also offers a graduation reward of 1% cash back on the loans original principal balance. Other repayment options are available. For borrowers who struggle to afford their loan after graduating, RISLA is one of the only private lenders to offer an income-based repayment plan, which limits payments to 15% of income for a 25-year period.