Rhode Island Family Education Loan

The Rhode Island Family Education Loan is a competitively priced alternative education loan for undergraduate and graduate students.

Benefits of the Rhode Island Family Education Loan:

• Fixed interest rate - your payments will never change, unlike payments on variable rate loans
• Student is the primary borrower - cosigner release option after 24 initial and consecutive on-time payments, if student borrower meets underwriting criteria
• Deferred and immediate repayment options - get a lower interest rate and save on finance charges when you choose the immediate repayment option
• Generous loan limits - up to $35,000 per year
• 15-year repayment term with no pre-payment penalties
• Easy online application with instant credit pre-approval
• Home mortgage option for potential tax savings (1)

Rates for the 2009/10 academic year:

Immediate repayment - Payments start 45 days after final disbursement. Borrowers can save up to thousands of dollars in finance charges and will receive a lower interest rate by choosing the immediate repayment option.
Deferred repayment - Repayment begins 6 months after student leaves school.

Eligibility:

• Rhode Island residents attending an eligible in-state school or out-of-state school and non-Rhode Island residents attending an eligible Rhode Island school
• Undergraduate and graduate students may apply
• Borrowers must pass a credit check and meet other eligibility requirements
• A cosigner is required for students under the age of 24 and for students who do not meet our credit criteria

Repayment:

• 15-year repayment term
• Borrowers can choose between immediate repayment and deferred repayment

*Please click here for additional information on the terms of this loan program. Rhode Island Student Loan Authority, the lender for the Rhode Island Family Education Loan, may withdraw this interest rate offer at any time. RISLA reserves the right to modify or terminate borrower benefit programs at its discretion and without prior notice.

(1) We recommend that you consult your tax advisor to determine how this option will benefit your individual tax situation.
(2) Deferred repayment option is subject to funds availability. Funds will be awarded on a first-come, first-served basis. Interest rates for deferred repayment RIFEL loans are higher than interest rates on immediate repayment RIFEL loans and result in a higher cost of borrowing. Interest begins accruing after each loan disbursement. Borrowers who enroll in the deferred repayment option may choose to make interest-only or regular payments during the in school period. Loans made under the deferred repayment option will remain deferred as long as the student remains enrolled in at least half-time status up to 4.5 years.