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>Student loans are originated without regard to credit risk, at the same interest rate for all borrowers. That's not entirely true. For undergraduate students
by kharms 9y ago
>Student loans are originated without regard to credit risk, at the same interest rate for all borrowers.
That's not entirely true.
For undergraduate students, no more than $57,500 can be loaned from the government at a fixed 4.45% APR. This is what you're talking about.
If you need more than $57k (which you would even at most state schools) you need to get a private loan. Private loans have variable APR based on your and your cosigners credit history. Sallie Mae offers loans with an APR between 5.74 and 11.85.
- tudelo 9y agoA fixed rate that changes, right? None of my loans ever had the same percentage as the year before. Small point though.