Charter One Education Refinance Loan Disclosure

1 Eligible applicants may not be currently enrolled and must be in repayment of their existing private student loan(s) and must make the minimum number of principal and interest payments after leaving school. Primary borrowers must be a U.S. citizen, permanent resident or resident alien with a valid U.S. Social Security Number residing in the United States. Co-signers (if applicable) must be a U.S. citizen or permanent resident with a valid U.S. Social Security Number residing in the United States. For applicants who have not attained the age of majority in their state of residence, a co-signer will be required. Charter One reserves the right to modify or discontinue these benefits at any time. Any changes to these benefits will not affect loans issued prior to the change date. Ranges subject to change. Education Refinance Loans are subject to credit qualification, completion of a loan application/consumer credit agreement, verification of application information, certification of borrower’s private student loan amount(s) and highest degree earned.


2 Average savings are based on 618 actual customers who refinanced their private student loans through our Education Refinance Loan between 1/6/14 and 7/8/14. Your savings may vary based on the interest rates, balances and remaining repayment term of the loans you are seeking to refinance. Your overall repayment amount may be higher than the loans you are refinancing even if your monthly payments are lower.


3 Variable rates are based on the one-month London Interbank Offered Rate (“LIBOR”) published in The Wall Street Journal on the twenty-fifth day, or the next business day, of the preceding calendar month. As of May 1, 2015, the one-month LIBOR rate is 0.18%. Variable interest rates range from 2.82% – 7.46% (2.82% – 7.46% APR) and will fluctuate over the term of your loan with changes in the LIBOR rate, and will vary based on applicable terms and presence of a cosigner. Fixed interest rates range from 5.24% – 9.39% (5.24% – 9.39% APR) based on applicable terms and presence of a co-signer. Lowest rates shown are for eligible applicants, may require a 5 year repayment term. Subject to additional terms and conditions, and rates are subject to change at any time without notice. Such changes will only apply to applications taken after the effective date of change.

Please note: Due to federal regulations, Charter One is required to provide every potential borrower with disclosure information before they apply for a private student loan. You will be presented with an Application Disclosure and an Approval Disclosure within the application process before you accept the terms and conditions of your loan


4 Rates include an interest rate reduction of up to 0.50 percentage points, which is possible with the following discounts:

  • Loyalty Discount: You will be eligible for a 0.25 percentage point interest rate reduction on an Education Refinance Loan if you or your co-signer (if applicable) has a qualifying account in existence with us at the time you and your co-signer (if applicable) have submitted a completed application authorizing us to review your credit request for the Education Refinance Loan.
  • The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account, TruFit Student Loan or Education Refinance Loan. This discount will be reflected in the interest rate disclosed in your Education Refinance Loan Approval Disclosure that will be provided to you once your loan is approved. Limit of one Loyalty Discount per loan, and discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan. Rates and offer subject to change. All accounts, loans and services subject to individual approval.
  • Automatic Payment Benefit: During periods when payments are due, you will be eligible to receive a 0.25 percentage point interest rate reduction on your loan by authorizing our loan servicer to automatically deduct your payments each month from any bank account you designate. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account two or more times within any 12-month period, you will no longer be eligible for this benefit.

5 Co-signer Release: Education Refinance Loan borrowers may apply for co-signer release after making 36 consecutive on-time payments of principal and interest. For the purpose of the application for co-signer release, on-time payments are defined as payments received within 15 days of the due date. The borrower must meet certain credit and eligibility guidelines when applying for the co-signer release. If the Lender has provided a forbearance on the loan, then the loan is not eligible for co-signer release. The borrower applying for co-signer release must be a U.S. citizen or permanent resident. If an application for co-signer release is denied, the borrower may not reapply for co-signer release until at least one year from the date the application for co-signer release was received. Terms and conditions apply.


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