Chase Private Student Loans
Chase no longer offers private student loans. The bank closed its student lending services in October 2012, citing the lack of growth potential for that business unit as it faced increasing competition from the federal government.
While it maintained an active student lending program, Chase offered two standard programs: the Chase Select Private Student Loan and the Chase Private Consolidation loan. A Chase Select Loan was credit-based and had to be certified by a student’s financial aid office. A cosigner with a strong credit history improved the chances of a student borrower getting approved, and possibly helped a student borrower qualify for a better interest rate. The Chase Select Private Student Loan could cover up to the cost of attendance minus any other aid received, pending certification by the school. Funds were sent directly to the school, and payments were deferred while the student was in school. Additionally, this Chase Private Student Aid had no origination or repayment fee, making it a popular option for students.
The Chase Private Consolidation Loan was another main offering from the Chase program. Chase’s private student consolidation program helped students manage their private student loans after college. When a student borrower consolidates, all of his/her eligible student loans are combined into one single loan. This means there’s only one private student loan payment each month. Federal student loans were not eligible for this Chase Private Consolidation Loan program.
Since Chase doesn’t offer student lending programs anymore, it’s time for you to start looking elsewhere. Students should always exhaust their federal student loan options before pursuing private student loans. Federal student loans tend to have lower interest rates, better borrower benefits, and more favorable repayment terms. Federal student aid also tend to be need-based, and do not have the strict credit requirements that many private student loans do. Scholarships and grants are also a great source of funds because they are free money that you don’t need to pay back.
If you can’t meet all of your needs with federal student loans, grants and scholarships, then we can help you find a private student loan. Use our comparison tool to compare lenders side-by-side on APR, total cost and monthly payment so you can find the right student aid for your needs.