Loan Disbursements and Interest Rates

Benefits Offered by Suggested Lenders

The following points are the borrower benefits all lenders are required to provide in order to be suggested as a lender by WFU. You are not required to borrow from one of these lenders.

• Fee and/or interest rate reduction options, to make the loan less expensive than those of most other lenders
• 3% total fee on PLUS loans (required by federal law) but no additional fees
• Electronic funds transfer (EFT) through lender flow for maximum efficiency
• Superior customer service provided directly by the lender to all students, parents and financial aid staff
• Loan servicing retained for the life of the loan

FEDERAL STAFFORD

1) College Foundation of North Carolina

• No origination fee
• Students receive all of their money up front
• 1.5% interest rate reduction for making monthly payments by automatic withdrawal and choosing electronic statements
• Immediate 1% interest rate reduction for on-time payments once repayment begins
• Web site

2) Citibank

• 1.00% origination fee
• 0.5% automatic interest rate reductions at repayment for all students who continue to make on-time monthly payments
• 0.25% interest rate reduction for students who have their loan payments automatically withdrawn through Citibank's E-Z pay auto-debit
• If a student loses their automatic interest rate reduction benefit due to late or delinquent payments, they regain the benefit by subsequently making 24 consecutive on-time payments (the benefit can be recovered unlimited times during the life of the loan)
• Last 6 payments free when all payments made on-time and minimum aggregate loan balance of $4,500
• Web site

3) Wells Fargo

• 1.00% origination fee
• Web site

4) Wachovia

• 0.50% origination fee
• 0.25% interest rate reduction with auto debit payments
• Web site

5) J.P. Morgan Chase Bank

• 1.00% origination fee
• 0.25% interest rate reduction for borrowers who enroll in an auto-debit ACH repayment program (Automated Clearing House Network)
• Web site

6) Sallie Mae

• 1.00% origination fee
• 0.25% interest rate reduction for borrowers who enroll in an auto-debit ACH repayment program (Automated Clearing House Network)
• Web site

FEDERAL PLUS

1) College Foundation of North Carolina

• 3% credit of amount borrowed applied in July or October immediately following the academic year for which the loan was disbursed
• 1.25% interest rate reduction for making monthly payments by automatic withdrawal and choosing electronic statements
• Additional immediate 0.75% interest rate reduction for on-time payments once repayment begins
• Web site

2) Citibank

• 0.5 % automatic interest rate reduction at repayment for all parents who continue to make on-time monthly payments
• 0.25% interest rate reduction for parents who have their loan payments automatically withdrawn through Citibank's E-Z Pay auto-debit
• If borrowers lose the automatic interest rate reduction benefit due to late or delinquent payments, they regain the benefit by subsequently making 24 consecutive on-time payments (the benefit can be recovered unlimited times during the life of the loan)
• Last 6 payments free when all payments made on-time and minimum aggregate loan balance of $4,500
• Web site

3) Wachovia

• 0.25% interest rate reduction with auto debit payments
• Web site

• 0.25% interest rate reduction for borrowers who enroll in an auto-debit ACH repayment program (Automated Clearing House Network)
• Web site

5) J.P. Morgan Chase Bank

• 0.25% interest rate reduction for borrowers who enroll in an auto-debit ACH repayment program (Automated Clearing House Network)
• Web site

6) Wells Fargo

• Web site

PRIVATE

Rates for private loans are based upon the credit worthiness of the borrower and/or co-signer.  Please contact the lender if you have additional questions. The Prime Rate is currently 5.00%. The one-month LIBOR rate is currently 2.46%. The three-month LIBOR rate is currently 2.79%.

1) Sallie Mae: Signature

• Interest rates as low as 1-month LIBOR + 2%
• No origination, disbursement or repayment fees
• 0.50% interest rate reduction when payments are made via auto debit
• No income requirement for student borrowers, and no payment required while in school
• Co-signer release option available after 24 consecutive on-time payments of principal & interest (borrower credit check applies)
• Web site

2) Wells Fargo: Collegiate Loan

• Interest rates as low as Prime Rate
• No origination, disbursement or repayment fees
• 0.25% interest rate reduction for borrowers who enroll in an auto-debit ACH repayment program (Automated Clearing House Network)
• Additional 0.5% interest rate reduction when you earn your degree, upon verification of graduation
• Juniors, Seniors and graduate students have the ability to apply based on their own credit worthiness
• Co-signer release after 24 consecutive on-time payments, if borrower meets credit guidelines at time of request
• Web site

3) J.P. Morgan Chase Bank: Chase Select

• Interest rates as low as Prime Rate minus 1%
• No origination, disbursement or repayment fees
• 0.25% interest rate reduction for automatic debit of payments
• Co-signer release after 36 consecutive on-time payments of interest and principal
• Web site

4) College Foundation of North Carolina: EXTRA

• Interest rate is 3-month LIBOR + 3%
• No origination, disbursement or repayment fees
• 0.50% interest rate reduction for automatic debit of payments and electing to receive electronic statements
• Web site

5) Citibank: CitiAssist

• Interest rates as low as Prime Rate minus 0.5%
• Fees as low as 0%
• 0.50% interest rate reduction after 48 on-time payments
• 0.25% interest rate reduction for automatic debit of payments
• Web site