What will my interest rate be?
Your interest rate will be determined after you apply and will be based on a number of factors, including:
- The repayment term you choose
- The credit score of the borrower and cosigner (if applicable)
- If the loan is cosigned by a qualifying borrower
- The highest degree level of the primary borrower, if the primary borrower was the student who benefited from the original loan
- Whether you live, work, or went to school in Rhode Island
Simply apply to find out your interest rate. You have the right to cancel your loan application if you do not like the interest rate that you receive.
Are there any fees to apply?
No. There are no application, origination, disbursement or repayment fees on this loan. The only times you may be charged a fee are 1) if you are late on a payment, 2) your payment is returned, or 3) you default on your loan.
Do I need a cosigner?
Cosigners are not required if you can meet the qualifications for the loan on your own (see below) , but having a qualifying cosigner on your loan will help you get an even lower interest rate.
Do I or my cosigner need a bachelor's degree to apply?
No, as long as you meet the other loan qualifications (see below), you are not required to meet any minimum degree level. However, you degree level may play a role in your maximum loan limit and your interest rate.
What are the qualifications for the loan?
Borrowers who reside in any state may apply for this loan program.
Borrowers and/or cosigners (if applicable) will be required to pass a credit check, meet a minimum income requirement (see below for details), meet liquidity requirements (savings), and meet a debt-to-income requirements. Eligible loans include private student loans, Federal Stafford Loans, Federal PLUS Loans, and Federal Unsubsidized and Subsidized Loans.
Borrowers residing at the same address must make a combined household income of at least $40,000 a year. For borrowers living at separate addresses, at least one of the borrowers must make $40,000 individually.
Do I have to be a Rhode Island resident to apply?
No, residents from any state may apply for this program and receive a great low interest rate. However, you may be eligible for an even lower interest rate if you live, work or went to college in Rhode Island.
When will I find out if I am approved?
You will receive an instant pre-approval as soon as your application is submitted. (In rare cases, if we are not able to pull your credit, it could take an additional business day). This pre-approval is subject to verification of the information you entered. You will receive final approval typically within 1-2 business days after all of your supporting application materials have been sent to RISLA. Documents may be sent to RISLA through our secure site: https://app.risla.com/uploaddocuments/
Is there a cosigner release?
There is not a cosigner release program on the RISLA Refinance Loan. However, you are always welcome to reapply for a new Refinance Loan without a cosigner.
What are the loan limits?
The amount you are eligible to borrowers is dependent upon:
- Whether the primary borrower is the student who benefited from the loan proceeds being refinanced and the highest degree earned by that borrower
- The minimum amount you can borrow is $7,500. The maximum amount you are eligible to borrow will be between $100,000 and $250,000
What supporting documents do you require?
After applying and being pre-approved, you will need to verify the information you input into the Refinance Loan application. The documents you will need to send in are:
- Most recent billing statements for each loan you wish to refinance (existing RISLA loans are exempt)
- 60 day payoff figure for all loans you are refinancing (existing RISLA loans are exempt)
- Paystubs or other income verification
- Documents verifying liquid assets
What is the term of the loan?
When applying, you may choose a 5-year, 10-year or 15-year repayment term.
Are there any prepayment penalties?
No, you may pay off your loan early without any penalty.
When does repayment begin?
Your loan will enter repayment at the time it is fully disbursed. Your first payment will be due approximately 30 days from that date.
Can I defer my loan if I go back to school?
Yes, however, you must be enrolled at least half time in a graduate degree-granting program and must notify us of enrollment. Also, you must make at least one payment before a deferment can be granted. The maximum deferment time is 36 months for graduate students. RISLA Refinance Loans are not eligible for a grace period.
What options are available for forbearance?
Forbearance for instances such as unemployment, disability and hardship may be available to you. Loans disbursed on or after July 1, 2021 are eligible for up to 24 months of forbearance time. Forbearance eligibility for loans first disbursed prior to July 1, 2021 is in accordance with the Promissory Note.
How long will current interest rates last?
Funds are awarded on a first-come, first-served basis. Apply now
to ensure you have access to these low cost funds. Once you have been approved for your loan, your interest rate will be fixed at the rate in your disclosures until your loan is paid in full.