Refinancing with Earnest
Refinancing rates from 1.81% APR. Checking your rates won’t affect your credit score.
The financial market has gone through ups and downs in recent years, and your student loans could be caught in the middle. Some lenders, such as Bank of America, once offered student loans but no longer do.
When student loans are sold to another servicer, borrowers can be left with questions about how to handle their loans. Here’s everything you need to know if you had Bank of America student loans or are looking to get a new loan from the banking giant.
Bank of America student loans
Bank of America is one of the largest banks in the United States based on assets. It once serviced private student loans and federal student loans, including Stafford Loans, PLUS Loans, and other loans under the Federal Family Education Loan Program (FFELP).
Applying for a new Bank of America student loan is no longer possible, but there are other student aid options to consider.
Options instead of a Bank of America student loan
Before you explore other private student loan lenders, it’s important to ensure you’ve completed a couple of key financial aid steps:
- Fill out the Free Application for Federal Student Aid (FAFSA). The FAFSA will determine the federal financial aid you’re eligible for, such as grants, work-study, and federal loans.
- Identify your financial gap. After you receive your financial aid award, determine if you need additional funds. If you do, private student loans might be an option. Eligibility for private student loans is determined by the lender and based on factors such as income and credit score.
Here are examples of other private student loan options:
|Citizens Bank||2.90% – 12.19%||5, 10, or 15 years||Citizens Bank issues private student loans from $1,000 to $295,000. You also have the option to pay immediately, pay interest only, or defer your payment.|
|LendKey||4.05% – 10.56%||10 years||You won’t pay any fees with LendKey, and not-for-profit lenders fund all loans. It also offers co-signer release to creditworthy borrowers who have made consecutive, full on-time payments.|
For more, check out our private student loan marketplace.
What to do with existing Bank of America student loans
If you already have a student loan originally issued by Bank of America, you can check the loan’s status using the National Student Loan Data System (NSLDS), which is the U.S. Department of Education’s central database for Title IV loans and grants.
You should be able to log in if you already have an FSA ID. If you don’t have an FSA ID, you can create a new one online.
Once you know your current student loan status and servicer, you can continue making loan payments through your servicer or look into refinancing options.
Refinancing Bank of America student loans
Regardless of your original lender, when you refinance, a new lender will pay off the amount owed and issue you a new loan with new terms. This process might help you get lower interest rates or monthly payments.
Different servicers have different eligibility requirements, interest rates, and terms, which is why it’s important to compare your options.
Since Bank of America no longer refinances student loans, you could consider some other lenders, including the following:
|CommonBond||2.02% – 6.45%||5, 7, 10, 15, or 20 years||There’s no minimum income requirement, and CommonBond will pause your loan payments if you’re unemployed. It also will help eligible graduates find new jobs and hire them for short-term consulting projects.|
|Laurel Road||1.99% – 7.02%||5, 7, 10, 15, or 20 years||Laurel Road also helps parents who took out student loans to finance their children’s education. There’s no minimum income requirement, and, according to the Laurel Road website, customers can save more than $20,000 on their student loans with refinancing.|
|PenFed||2.42% – 7.16%||5, 8, 12, or 15 years||PenFed is the only lender to offer couple loan refinancing for spouses who want to refinance their student loans together. Bonus: An advisor is assigned to every applicant.|
Whether you had a Bank of America student loan or were considering getting one, there are plenty of options for funding your education or adjusting your repayment plan.
Need a student loan?Here are our top student loan lenders of 2019!
|* The Sallie Mae partner referenced is not the creditor for these loans and is compensated by Sallie Mae for the referral of Smart Option Student Loan customers.
1 Important Disclosures for College Ave.
College Ave Student Loans products are made available through either Firstrust Bank, member FDIC or M.Y. Safra Bank, FSB, member FDIC. All loans are subject to individual approval and adherence to underwriting guidelines. Program restrictions, other terms, and conditions apply.
(1)All rates shown include the auto-pay discount. The 0.25% auto-pay interest rate reduction applies as long as a valid bank account is designated for required monthly payments. Variable rates may increase after consummation.
(2)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. Loans will never have a full principal and interest monthly payment of less than $50. Your actual rates and repayment terms may vary.
(3)As certified by your school and less any other financial aid you might receive. Minimum $1,000.
Information advertised valid as of 11/4/2019. Variable interest rates may increase after consummation.
2 Sallie Mae Disclaimer: Click here for important information. Terms, conditions and limitations apply.
3 Important Disclosures for Discover.
Discover's lowest rates shown are for the undergraduate loan and include an interest-only repayment discount and a 0.25% interest rate reduction while enrolled in automatic payments.
4 Important Disclosures for CommonBond.
Offered terms are subject to change and state law restrictions. Loans are offered through CommonBond Lending, LLC (NMLS #1175900).
5 Important Disclosures for Citizens.
Undergraduate Rate Disclosure: Variable rate, 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 November 1, 2019, the one-month LIBOR rate is 1.80%. Variable interest rates range from 2.90% – 11.16% (2.90% – 11.01% APR) and will fluctuate over the term of the loan with changes in the LIBOR rate, and will vary based on applicable terms, level of degree earned and presence of a co-signer. Fixed interest rates range from 4.72% – 12.19% (4.72% – 12.04% APR) based on applicable terms, level of degree earned and presence of a co-signer. Lowest rates shown requires application with a co-signer, are for eligible applicants, require a 5-year repayment term, borrower making scheduled payments while in school and include our Loyalty and Automatic Payment discounts of 0.25 percentage points each, as outlined in the Loyalty Discount and Automatic Payment Discount disclosures. 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, Citizens Bank is required to provide every potential borrower with disclosure information before they apply for a private student loan. The borrower will be presented with an Application Disclosure and an Approval Disclosure within the application process before they accept the terms and conditions of the loan.
Citizens Bank Student Loan Eligibility: Borrowers must be enrolled at least half-time in a degree-granting program at an eligible institution. Borrowers must be a U.S. citizen or permanent resident or an international borrower/eligible non-citizen with a creditworthy U.S. citizen or permanent resident co-signer. For borrowers who have not attained the age of majority in their state of residence, a co-signer is required. Citizens Bank reserves the right to modify eligibility criteria at anytime. Interest rate ranges subject to change. Citizens Bank private student loans are subject to credit qualification, completion of a loan application/consumer credit agreement, verification of application information, and if applicable, self-certification form, school certification of the loan amount, and student’s enrollment at a Citizens Bank- participating school.
Please Note: International Students are not eligible for the multi-year approval feature.
|2.84% – 10.97%1||Undergraduate, Graduate, and Parents|
|3.12% – 10.54%*,2||Undergraduate and Graduate|
|3.37% – 11.87%3||Undergraduate and Graduate|
|3.52% – 9.50%4||Undergraduate and Graduate|
|2.90% – 11.16%5||Undergraduate and Graduate|