Sallie Mae is a well-known name in the student loan sector as one of the significant private lenders. Sallie Mae might be a possibility for borrowers turned down by other lenders. Graduate, MBA, medical, and dental school loans are among the options available from the lender. As a result, it can serve as a valuable resource for students who are otherwise disqualified for student loans from other lenders.
What Is Sallie Mae's Process?
There is just one application for a Sallie Mae loan for full- and part-time students for the whole school year. Using a Sallie Mae loan, you may be able to cover up to 100% of your school-approved expenditures, including tuition and fees, housing and board; books; travel costs; supplies; and even a laptop.
Anyone may begin the Sallie Mae loan application process, whether they are a borrower or a cosigner. One person can invite the other by sending them an access code, or the two of you can work on it jointly.
Advantages of Sallie Mae Student Loans
While Sallie Mae has been around for decades and isn't going anywhere, here are some of its most appealing features.
Non-Citizens and Part-Time Students are Eligible.
Private lending organizations frequently demand that borrowers be citizens or permanent residents to get a loan.
However, if you have a permanent resident cosigner with a high credit score and other favorable financial indicators, you may qualify for a DACA student loan from Sallie Mae.
Even though part-time students are typically barred from taking federal and private loans, Sallie Mae examines their applications.
Option To Pay Just Interest For The First Year Out
After your grace period ends, you can request a graduated repayment term, which will allow you to make interest-only payments for the first 12 months of the following year. There are few lenders out there who do this.
The Fastest Way To Release Cosigners (12 months)
Sallie Mae cosigner release is a service that allows borrowers to request the removal of a cosigner from their loan. There is a 12-month grace period after you've graduated or completed a certificate program and paid your Sallie Mae debt in full.
Interest and fixed payments throughout a school or your grace period do not qualify. You also can't file for cosigner release if you've been in forbearance or a graded repayment plan for the previous 12 months.
Transparent Deferral and Suspension Programs
While attending college or graduate school full or part-time, Sallie Mae offers an in-school deferral of up to 48 months to those who are eligible. Interest will continue to accrue even if you don't have to make any payments.
A total of 60 months of deferred payments can be granted to those completing qualified residency, internship, clerkship, or fellowship. Sallie Mae's student loan interest will also accumulate in those situations.
Free Online Tutoring and Credit Score Tracking
Before April 30, 2022, Sallie Mae Smart Option undergraduate borrowers may obtain free access to Chegg Study, which provides professional assistance with textbook difficulties and 30 minutes of online tutoring for four months. Students and residents of Maine are ineligible.
What Are the Product's Fees and Terms?
For undergraduate students, Sallie Mae's Smart Option provides variable interest rates ranging from 1.13 percent to 11.23 percent and fixed interest rates of 3.5 percent to 12.6 percent dependent on your creditworthiness. For career training loans, Sallie Mae promotes a range of fixed and variable interest rates from 4.12 to 11.52 percent.
To qualify for the 0.25 percent reduction, customers must pay their loans through autopay. Sallie Mae does not impose application and origination fees. A returned check cost of up to $20 and 5% of the past-due amount are the two types of late penalties that may add up to $25.
What is Sallie Mae Discounts Available?
Sallie Mae's auto-debit discount will save you 0.25 percentage points each month on your monthly loan payments. The lender recommends applying with a creditworthy cosigner to achieve the best interest rate.
How Do You Become Eligible?
Sallie Mae student loans are only available to U.S. citizens or permanent residents attending a school outside of the United States. To enroll in a school in the United States, you must have a cosigner who is either a U.S. citizen or a legal resident of the country.
For the most part, the lowest loan amount is $1,000, and the maximum loan amount cannot exceed the cost of attendance after removing financial help.
There is no minimum credit score required to qualify for a loan from Sallie Mae. The lender recommends but does not demand that you utilize a creditworthy cosigner to get a better deal on a loan than you could get on your own.
How Much Credit Do You Need?
The credit score standards for Sallie Mae are not made public. When you apply for a loan, the lender will typically offer you a credit result, and a credit specialist may ask for further information or paperwork to approve your loan.
How Reputable Is the Lending Institution?
U.S. News gave Sallie Mae a 4.5-star rating. Factors including affordability, eligibility, and customer service are considered while calculating this ranking. The Better Business Bureau gives the lender an A+ rating, but Trustpilot gives it a bad rating of 2 out of 5 stars.
CFPB received 170 student loan-related complaints about SLM Corp., the holding company of Sallie Mae, in 2020. Two of the most common complaints were dealing with the lender or servicer and having difficulty repaying the loan.
