Over 140 not-for-profit credit unions nationwide subscribe to the cuScholar Private Student Loan and participate in the cuStudentLoans program. The cuScholar Private Student Loan consists of common underwriting and servicing criteria with life-of-loan servicing provided by LendKey.
1. Underwriting That Rewards Academic Achievement
The Academic Credit Score (ACS) is a six-tiered model which factors in credit bureau data from both the borrower and the cosigner, a historical analysis of identifiable academic characteristics, and the academic attributes of the borrower. LendKey recognizes the strong correlation between loan default rates and attributes such as academic achievement. For example, a junior with a high GPA may have more favorable rates than an incoming freshman with no established GPA.
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3. Borrower Benefits:
4. In-School Servicing
The cuScholar Private Student Loan provides two repayment options for the borrower. While in school you may choose to make interest only payments, or good-faith payments of only $25 per month. This system helps students develop responsible repayment habits, ensures that they are constantly aware of their loan rates and balance, and can improve their credit score during their college career.
PAST DUE BALANCE DETAILS: Enrolled students may apply for funds for past due balances up to 90 days after the end of the last term as certified by the school.
COSIGNER INFORMATION: While borrowers are encouraged to apply with a cosigner to increase the chance of approval and/or lower rate, a cosigner is not required if the borrower can meet credit requirements alone.
CAPITALIZATION: Interest is capitalized at the end of each deferment and forbearance period and every time a loan enters Repayment.
IN-SCHOOL REPAYMENT: Borrowers have 60 months maximum in-school period (includes 6-month grace period). We allow borrowers to partially defer principal and interest payments until six months after separating from school.
OUT-OF-SCHOOL REPAYMENT: Borrowers are responsible for making full principal and interest payments when they enter repayment status, six months after leaving school or ceasing to be enrolled half-time with a degree-granting program.
FORBEARANCE: As a debt management tool we may suspend a borrower’s obligation to pay principal and in some cases even interest on a short-term basis for a borrower experiencing financial difficulty. The borrower may request a forbearance option during or prior to the loan becoming delinquent. The borrower is eligible for hardship forbearance for a total of eighteen (18) months over the life of the loan. Forbearances can be granted as no-payment, interest-only or reduced payments. Forbearances may be granted in increments of six (6) months or less. A form must be filled out signed and submitted by the borrower. An additional form is required if the borrower wishes to extend his/her forbearance.
DELINQUENCY/DEFAULT: A Late Fee of 5% of unpaid installment is charged if we have not received the payment after 20 days from the due date. LendKey considers a loan in default after 180 days. LendKey completes 19 due diligence activities from day 0 – 60 when a loan is considered delinquent. These include letters, emails and calls.
FINANCIAL LITERACY COMMITMENT: Our commitment to providing financial literacy resources is one of the key reasons schools and families are attracted to our program. The College Resource Center, a comprehensive financial education and college planning tool, was created to assist families in navigating the financial aid process from planning college visits to loan repayment years following graduation. The College Resource Center consists of a contemporary blog featuring fresh topical and editorial content, “how-to” guides, and complimentary webinars.
Financial Aid Hotline: (877) 847-3964
Hours: Monday – Friday, 9am – 6pm ET
Fax: (866) 208-5056
Please send student loan refund checks to the following:
Attn: Financial Operations
4445 Lake Forest Drive, Suite 350
Cincinnati, OH 45242
CUSTOMER SUPPORT INFORMATION:
Phone: (888) 549-9050
Hours: Mon – Fri, 9am – 7pm ET (Sept – July) Mon – Fri, 9am – 9pm ET, Sat 9am – 5pm ET (July – Aug)
Fax: (800) 583-1416