Key Bank Achiever Loan
Key Education Resources of Boston, Massachusetts, offers a
sponsor loan which a parent or other person may borrow on behalf of
a student. This sponsor accepts full responsibility of the loan. The
Achiever Loan has a 2% fee and has a variable interest rate.
ACHIEVER LOAN AT A GLANCE:
* Parent or other person may borrow loan on behalf of student;
student is not on the loan;
* interest rate is variable and changes every three months;
* the rate is based on the LIBOR rate plus 3.85% (this is NOT a
tiered pricing loan);
* no interest rate cap;
* 2% fee added to each disbursement;
* 20 year maximum repayment term, or $50 minimum monthly payment;
* minimum loan amount is $2000;
* no postponement of payments; payments begin within 45 days of
first disbursement;
* no aggregate loan limit.
LOAN SERVICER:
Great Lakes Higher Education Loan Services of Madison, Wisconsin
PROS & CONS OF THE ACHIEVER LOAN
Pros: Sponsor is totally responsible for the repaying of the
loan--student is not on the loan.
Cons: Disbursement fees; no postponements in repayment; no grace
period; average margin over the interest rate index.
HOW TO APPLY:
Apply on-line, or
Apply over the phone at 1-800-539-5363. Hours are M - F, 8AM - 8PM;
and Saturdays 10AM - 2PM ET.
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