Earnest Student Loans full review
Earnest offers myriad repayment options, presenting numerous advantages for both undergraduate and graduate students.
Take Control of Your Loan Repayment with Earnest
While Earnest was founded in 2013, it only started offering student debt refinancing for both private and government loans in 2015.
In 2019, Earnest introduced private student loans with adjustable terms for undergraduate and graduate students. The company also offers credit cards and personal loans.
What sets Earnest apart from its competitors is its lack of origination, late, or prepayment penalties.
Before applying with Earnest, you have the option to verify your prequalification online. This process involves a soft credit inquiry and doesn’t impact your credit scores.
Once your loan is approved, it can take two to five weeks to receive the funds. Earnest also provides a nine-month grace period, allowing you to delay loan payments after graduation. If you’ve been making timely payments, you can skip one payment every 12 months.
If you’re looking for a lender that offers flexible loan terms, Earnest student loans are a great choice. You can choose to pay a specific amount each month, only the interest, or make multiple installments at once.
Additionally, Earnest is an excellent option for independent applicants as it doesn’t require a cosigner. Even recent graduates looking to refinance their existing student loans can benefit from Earnest’s services.
Continue reading to learn more about Earnest and determine if it aligns with your needs!
Understanding Earnest Student Loans
Earnest provides a variety of options for student loans:
Undergraduate Student Loans
Earnest offers student loans to both full-time and part-time undergraduate students. These loans come with a nine-month grace period and have competitive rates starting at 0.94% APR variable or 3.24% APR fixed.
Co-signers are allowed for undergraduate loans, but they are obligated to the debt and cannot be removed without refinancing.
Graduate Student Loans
Earnest provides graduate student loans for full-time enrolled students, with a minimum borrowing amount of $1,000. Co-signers are accepted for these loans.
These loans are designed for graduate-level coursework in areas such as MBA, law, and medical schools. With adjustable terms ranging from 5 to 15 years, graduate student loans offer the same nine-month grace period and competitive rates as other loan options.
Medical school graduates in residency, eligible military personnel, and students returning to school all have deferment options.
Parent Student Loans
Parents of eligible children enrolled at least half-time in an undergraduate or graduate program can apply for private parent student loans. Unlike co-signed loans, only the parent is responsible for loan repayment.
The terms for parent loans include low-interest rates, a five- to fifteen-year loan duration (depending on the program), and access to a nine-month grace period (but not deferment). However, repayment options are more limited for parents, with interest-only and full-payment plans available but no deferment or fixed-payment plans.
Benefits of Earnest Student Loans
Accessible with a Credit Score of 650
Even borrowers with credit scores as low as 650 can apply for loans through Earnest.
No Fees for Applications, Origination, or Late Payments
Earnest does not charge any fees for loans, including late payment fees.
Flexible Loan and Repayment Terms
Earnest offers four repayment options with terms ranging from five to twenty years (down to the month) for refinanced loans.
Option to Skip One Payment Annually
With Earnest’s “skip a payment” option, borrowers can choose to skip one monthly payment within a year. However, interest will still accrue during this period.
How to Apply for Earnest Student Loans
If you believe Earnest offers loans that suit your needs, you can refer to our “How to Apply” article to learn the application process and apply for your loan today!
