College years can be an exceptional time for not only acquiring skills that translate into a successful career, but also, defining oneself as an individual. Whether it’s pursuing your passion for the arts, discovering your innate talents, or learning the skills that are demanded by our global economy, there’s little doubt there are benefits to attending college. However, the cost of college is rising and that dream of achieving a higher education, for many students, becomes just that. We’re here to help clear some of the confusion around paying for college by sharing the five of the most common questions our Personal Loan Advisors answer about ELFI* Private Student Loans.
Which are better, federal loans or private loans?
This is a very common question! Federal and private loans are designed to help cover the cost of college, and students don’t have to choose one or the other. Generally, we recommend students complete their FAFSA, do their research and go after any grants or scholarships they qualify for, plus any other federal loan products before considering private student loans.
With that in mind, do ELFI loans have any fees?
This answer is simple. ELFI Private Loans for College have no application, origination or prepayment fees. Keep in mind, this may not be true of all lenders.
Do I need a cosigner? What are the benefits?
You don’t need a cosigner for an ELFI private student loan as long as you can qualify on your own. If your credit history is limited (common with students just transitioning into college), and your income is limited (also common), a cosigner who has a good credit history and income can improve your changes of securing a private student loan.
How much of my education costs can an ELFI Private Student Loan cover?
The ELFI Private Student Loan program can cover up to 100% of your school-certified cost of attendance. The cost of attendance typically includes tuition, books, supplies, room and board, transportation, and personal expenses. The minimum you can borrow is $10,000.
Will my ELFI private student loan have variable or fixed interest rates?
Both are options. Fixed interest rates will not change from year-to-year. However, variable interest rates will change based on the LIBOR index (more on that at the link), and may increase or decrease over the life of the loan.
We hope these common questions about ELFI private student loans offer some of the clarity you need as you embark on your college years. It’s important to weigh all of your options when it comes to how you’ll pay for college, and take every step to ensure the college or university you’ve chosen is a fit for your career and financial goals. We encourage you to check out our full list of frequently asked questions or contact ELFI at 1-844-601-3534 to speak with a Personal Loan Advisor.
Subject to credit approval. Terms and conditions apply.
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*Education Loan Finance is a nationwide student loan provider offered by Tennessee based SouthEast Bank. ELFI is designed to assist students financially with receiving their education. Subject to credit approval. See Terms & Conditions. Variable interest rates may increase after closing but will never exceed 18.00% APR. The term of your loan, financial history, and other factors, including your cosigner’s (if any) financial history can affect the interest rate. For example, a 10-year loan with a fixed rate of 7% would have 120 payments of $11.61 per $1,000 borrowed.