Is Earnest Student Loans Legit?: When it comes to financing your education, choosing a reputable lender is crucial. Earnest, an online lending platform, offers both private student loans and student loan refinancing. In this article, we’ll explore Earnest’s legitimacy, its offerings, and what borrowers need to know.
Company Overview
Earnest, founded in 2013, has served over 264,000 borrowers and refinanced more than $18.7 billion in student loans. Let’s dive into the details:
Private Student Loans
- Eligibility: Earnest requires a minimum credit score of 650 for borrowers or co-signers.
- Loan Amounts: Borrowers can fund up to the full cost of their education.
- Unique Repayment Options: Unlike rigid timelines, Earnest offers “precision pricing.” You can choose the exact number of months for repayment based on your desired monthly payment2.
Student Loan Refinancing
- Flexible Repayment: Earnest provides competitive rates and allows borrowers to skip one payment per year (though it extends the loan term).
- Nine-Month Grace Period: Longer than the standard six months, this grace period gives graduates breathing room after completing their studies.
- Transparent Eligibility: Earnest’s prequalification tool helps you understand if you qualify and what terms you may be eligible for3.
Pros and Cons
Pros
- No origination, application, or late fees.
- Rate match feature for in-school loans.
- Longer grace period after graduation.
- Flexible repayment options.
Cons
- Minimum credit score requirement (650).
- Not available in Nevada.
- No co-signer option for refinancing.
Conclusion
Earnest is a legitimate lender with a strong reputation. Its unique features, transparent eligibility, and borrower-friendly policies make it a solid choice for students seeking financing. Remember to explore all options and choose what aligns best with your needs and financial situation.
What are the interest rates offered by Earnest?
Certainly! Earnest offers competitive interest rates for both private student loans and student loan refinancing. Here are the details:
- Private Student Loans:
- Student Loan Refinancing:
Remember that these rates may vary based on individual credit profiles. For the most up-to-date rates, visit Earnest’s website.
What are the eligibility criteria for refinancing with Earnest?
Certainly! To qualify for student loan refinancing with Earnest, you’ll need to meet the following eligibility criteria:
Enrollment: Be enrolled full-time at an accredited college or university (or half-time for seniors).
Loan Amount: Borrow at least $1,000.
Credit Score: Have a minimum credit score of 650 and pass a credit check.
Income: Earn at least $35,000 annually.
Credit History: Have at least three years’ worth of credit history, with no accounts in collections and no bankruptcies
What documents are needed for refinancing with Earnest?
Certainly! When refinancing with Earnest, you’ll need the following documents for a smooth application process:
Current Student Loan Statements: Gather statements for your existing loans, including details like interest rates, balances, and repayment terms.
Proof of Income: Provide pay stubs or tax returns to demonstrate your financial stability.
Identification Documents: Have your ID, driver’s license, and social security number ready.
Additional Proof of Income (some lenders may request this):
Banking Documents: To better understand your financial health.
Other Income Verification: Depending on your situation.