Let’s say you’ve got a Capital One credit card in your wallet and your paychecks are deposited into a Capital One 360 checking account. When the time comes to borrow for college, you’re probably interested in applying for Capital One student loans as well.
Unfortunately, Capital One student loans aren’t among the bank’s offerings. Capital One does not offer student loans or any other credit for college financing.
With Capital One student loans off of the table, here are some other options for getting the money you need to pay for college.
Capital One student loans don’t exist: 6 alternatives you can check out
If you’re disappointed to learn that Capital One student loans don’t exist, don’t worry. Federal student loans might still be an option, and some of the best private student loans come from other national lenders.
Here are our top picks for alternatives to Capital One student loans.
1. Federal student loans
There are two main options for getting student loans: federal student loans and private student loans. Federal student loans are offered through the Department of Education, with the same rates and terms for each borrower each year.
To apply for federal student loans, students and their parents can complete and submit the Free Application for Federal Student Aid (FAFSA). Once this application is processed, students and parents will be offered student aid, including federal student loans.
Here are the types of student loans the government offers:
- Direct Subsidized and Unsubsidized Loans for undergraduate students
- Direct Unsubsidized Loans for students in graduate or professional programs
- Grad PLUS Loans for students in graduate or professional programs
- Parent PLUS Loans available to parents of undergraduate students
Make sure you compare the terms and rates of each federal student loan option with private student loans, too. This will help you find the best student loan for your situation.
2. Citizens Bank student loans
As a private student lender, Citizens Bank offers undergraduate, graduate, and parent student loans. Student loan borrowers can:
- Borrow up to the cost of attendance or $295,000, whichever is lower.
- Choose from loan terms of five, 10, or 15 years.
- Apply for a student loan with a cosigner with the option to release the cosigner in repayment.
3. College Ave student loans
College Ave also offers undergraduate, graduate, and parent student loans. Applicants can:
- Borrow up to the full cost of attendance.
- Choose from student loan terms of eight, 10, 12, or 15 years.
- Apply with a cosigner if you can’t qualify on your own.
- Choose from several repayment options while enrolled in college, such as full deferment, interest-only, or flat $25 monthly payments.
4. LendKey student loans
LendKey offers a single student loan application that it uses to generate offers from its network of credit unions and community banks.
These student loan quotes are customized to meet your financial situation, and can include a wide range of student loan terms and features.
5. Sallie Mae
Sallie Mae offers a range of student loans, including undergraduate, graduate, and parent student loans. Sallie Mae borrowers can:
- Shop from specialized products such as MBA loans, parent student loans, and career training loans.
- Fund up to 100 percent of school-certified program costs with Sallie Mae student loans.
- Choose from various repayment options that include full in-school deferment, as well as smaller in-school payments.
CommonBond now offers private student loans to undergraduate, graduate, and MBA students. With these student loan options borrowers can:
- Choose to fully defer student loan payments while enrolled in college, or start making payments while still in school.
- Apply with a cosigner, a requirement for all CommonBond undergraduate and graduate student loans.
- Take advantage of cosigner release in repayment.
Other Capital One products for students and parents
Although Capital One student loans are not available, the bank still offers a range of products that could benefit college students and their parents.
Overall, these products have low fees and benefits that make them a competitive option. Here are some options from Capital One to consider:
- Capital One Journey Student Credit Card offers 1 percent cash back on all purchases made with the card. Cash-back rewards bump up to 1.25 percent with on-time payments. Credit cards for college students like this one can also help young adults start building credit.
- Capital One 360 Checking has no fees and no minimum balance requirements. This checking account is perfect for the college student who’s unlikely to keep much cash on hand. Account holders also get free access to a network of 39,000 ATMs, a nice perk for college students living away from their home bank.
- Capital One 360 Money Market offers a higher 1.40% annual percentage yield (APY) on balances over $10,000. With a higher return and easy access to funds, a 360 Money Market account can be a smart place for parents to stash college savings while their child is in school.
- Capital One’s CreditWise Mobile App is a credit monitoring tool open to anyone, not just Capital One customers. It offers a preview of your credit score along with explanations of what factors are affecting it. It’s a smart tool to help a college student start learning about and managing their credit.
Even though Capital One student loans are not among the bank’s offerings, there are still plenty of low-cost, smart tools to help college students manage their money and learn about personal finance. By utilizing these tools and researching various student loan options, students and parents can set themselves up for successfully funding a college education.
Need a student loan?Here are our top student loan lenders of 2020!
|* 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 Sallie Mae Disclaimer: Click here for important information. Terms, conditions and limitations apply.
2 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.
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 Ascent.
Before taking out private student loans, you should explore and compare all financial aid alternatives, including grants, scholarships, and federal student loans and consider your future monthly payments and income. Applying with a cosigner may improve your chance of getting approved and could help you qualify for a lower interest rate. Ascent Student Loans may be funded by Richland State Bank (RSB). Ascent Student Loan products are subject to credit qualification, completion of a loan application, verification of application information and certification of loan amount by a participating school. Loan products may not be available in certain jurisdictions, and certain restrictions, limitations; and terms and conditions may apply. Ascent is a federally registered trademark of Turnstile Capital Management (TCM) and may be used by RSB under limited license. Richland State Bank is a federally registered service mark of Richland State Bank.
* Application times vary depending on the applicant’s ability to supply the necessary information for submission.
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 March 1, 2020, the one-month LIBOR rate is 1.62%. Variable interest rates range from 2.72% – 10.98% (2.72% – 10.83% 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 One 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.
Federal Loan vs. Private Loan Benefits: Some federal student loans include unique benefits that the borrower may not receive with a private student loan, some of which we do not offer with the Education Refinance Loan. Borrowers should carefully review their current benefits, especially if they work in public service, are in the military, are currently on or considering income based repayment options or are concerned about a steady source of future income and would want to lower their payments at some time in the future. When the borrower refinances, they waive any current and potential future benefits of their federal loans and replace those with the benefits of the Education Refinance Loan. For more information about federal student loan benefits and federal loan consolidation, visit http://studentaid.ed.gov/. We also have several resources available to help the borrower make a decision at http://www.citizensone.com/EdRefinance, including Should I Refinance My Student Loans? and our FAQs. Should I Refinance My Student Loans? includes a comparison of federal and private student loan benefits that we encourage the borrower to review.
Citizens One 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 One reserves the right to modify eligibility criteria at anytime. Interest rate ranges subject to change. Citizens One Student Loans 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 One Student Loans-participating school.
Please Note: International Students are not eligible for the multi-year approval feature.
Loyalty Discount Disclosure: The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower or their co-signer (if applicable) has a qualifying account in existence with us at the time the borrower and their co-signer (if applicable) have submitted a completed application authorizing us to review their credit request for the 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, or other student loans owned by Citizens Bank, N.A. Please note, our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI, and VT and some products may have an associated cost. This discount will be reflected in the interest rate disclosed in the Loan Approval Disclosure that will be provided to the borrower once the 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.
Automatic Payment Discount Disclosure: Borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their student loans owned by Citizens Bank, N.A. during such time as payments are required to be made and our loan servicer is authorized to automatically deduct payments each month from any bank account the borrower designates. Discount is not available when payments are not due, such as during forbearance. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account three or more times within any 12-month period, the borrower will no longer be eligible for this discount.
|2.75% – 10.65%*,1||Undergraduate and Graduate|
|2.84% – 10.97%2||Undergraduate, Graduate, and Parents|
|2.80% – 11.37%3||Undergraduate and Graduate|
|3.52% – 9.50%4||Undergraduate and Graduate|
|3.14% – 11.88%5||Undergraduate and Graduate|
|2.72% – 10.98%6||Undergraduate and Graduate|