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Give it all you've got.
UNDERSTANDING YOUR STUDENT LOAN.
The
AxiomDirect Private Student Loan offers
students competitive interest rates, flexible repayment
options and no prepayment penalty.
You can
also save money with
our great borrower benefits.*
You can reduce your
interest rate by up to 1% with:
-
An
automatic 0.5% interest rate reduction when you have loan payments
auto-debited directly from your bank account.
-
Another
0.5% interest rate reduction after
you make the first
48 months of
consecutive, on-time payments.
* At all times the discount
rates and cosigner release terms are subject to change.
The on-time benefit must be earned. Cosigner
release is contingent upon the borrower's credit profile
which will be reviewed by the Lender prior to release.
Loan delinquency, default, or the use of forbearance may
result in the revocation of all borrower benefits.
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Interest Rates & Fees
Interest rates range from Prime minus 0.5% up to Prime plus 7.9%.1
Interest is capitalized quarterly during in-school and grace
periods.
Click here for APR Example.
Fees range from as low as 0% up to 9%1 depending on
creditworthiness. Fees are not deducted from the loan
amount. Fees will be added to the loan
balance.
Repayment
Your payments are deferred
while you are enrolled in school at least half-time for up to 5 years.
Payments begin after a 12 month grace period following
graduation, or a 6 month grace period after enrollment drops below half-time.
Repayment must begin no later than 60 months (5 years) after the
loan is disbursed. The interest will continue to accrue during the grace
period. You can choose from two convenient repayment options:
- Level Repayment. You make equal monthly payments over the term of the loan. This
repayment allows
you pay the least amount of interest.
-
Graduated Repayment. Your payments start at a smaller amount and
gradually increase over the loan
term. This can lengthen
your loan term and increase the amount of interest paid over the
life of the loan.
Both repayment options
offer a $50 minimum monthly payment, and up to 25
years to repay your loan, depending on your loan
balance. There is no prepayment penalty.
1ANNUAL
PERCENTAGE RATE EXAMPLES: The examples below are for illustrative
purposes only but should help you understand how much a student loan
may cost. The actual rates and fees of your loan may vary from the
examples below depending upon your credit history and other
underwriting criteria. The first example represents a “typical”
transaction and assumes a loan fee of 7% and an interest rate of
Prime +5.9%. The second example represents a “well-qualified
applicant” transaction and assumes a loan fee range of 0% - 7% and
an interest rate range of Prime -0.5% to Prime +5.9%. A
“well-qualified applicant” is an applicant with a strong credit
profile according to current Lender underwriting guidelines at a
4-year degree-granting institution accompanied by a creditworthy
cosigner. Both examples make the following assumptions: you borrow
$10,000 which includes your loan fee; your loan is disbursed in a
single disbursement; you are in school for 22 months after
disbursement; your grace period is 12 months; you request a
repayment period of 300 months (25 years); interest capitalizes
quarterly; and the Prime Rate, which is 5.00% as of July 1, 2008,
remains constant.
Typical transaction: With a loan fee of 7% and an interest rate of
Prime +5.9%, your ANNUAL PERCENTAGE RATE will be 11.69% with an
approximate monthly payment of $131.96. The total costs associated
with this loan are $39,587, which includes repayment of the
principal amount of the loan and all finance costs.
Well-qualified applicant transactions: With a loan fee range of 0% -
7% and an interest rate range of Prime -0.5% to Prime +5.9%, your
ANNUAL PERCENTAGE RATE will be 5.03% to 11.69% with an approximate
monthly payment of $67.30 to $131.96. The total costs associated
with this loan are $20,189 to $39,587, which includes repayment of
the principal amount of the loan and all finance costs.
Please note that the Annual Percentage Rate will vary and is indexed
to the Prime Rate as published in the Wall Street Journal. In
addition, any increases in the interest rate will result in an
increase in the amount of your monthly payments.
In all cases, interest rates and loan fees vary and are
based upon borrower and/or cosigner (where applicable)
credit profile, and other underwriting criteria.
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