Citizens Bank Student Loan for Undergraduate Students

Who Is the Borrower? Eligible undergraduate students; borrower or co-borrower must be U.S. citizen or permanent resident.
Interest Rate Fixed and variable interest rates are available. Rates are tiered. Fixed rates range from 5.75% to 11.75%. Variable rates are indexed to the 1-month LIBOR rate. “Best” tier borrowers get loans at 1-month LIBOR plus 2.50% and range up to 1-month LIBOR plus 9.25%. The variable rate loan is capped at the higher of 21.00% or the prime rate plus 9.00%. Variable rates are reset monthly.
Credit Criteria Approval and interest rates are based on the student borrower’s and/or co-borrower’s creditworthiness as determined by Citizens Bank.
Fees There are no origination, disbursement, repayment or default/insurance fees.
Minimum and Maximum Allowed Loans are approved from $1,000 up to the total cost of education minus any financial aid, including any Federal Stafford Loan. The maximum aggregate limit, including all the borrower’s other education debt, is $120,000.
Repayment Terms Standard repayment starts 6 months after the student ceases to be enrolled at least half time. This 6 month grace period is non-renewable. Borrowers may choose a 5, 10, or 15 year repayment term. No prepayment penalties.
Enrollment Status Students must be enrolled at least half time each semester in an undergraduate program.
Deferment Options Students can choose to begin repayment immediately or defer interest and/or principal payments for up to 8 years, provided the student remains enrolled at least half time.
Can Loan be Sold? Citizens Bank states that Citizens Bank Student Loans are not routinely sold.
Other Borrower Benefits Borrowers get a 0.25% rate reduction if they make electronic payments; a 0.25% loyalty benefit rate reduction for existing customers on new loans; and a 0.25% Early Start rate reduction if they apply by June 30, 2014. Can apply for co-signer release after 36 consecutive on-time payments or upon death or permanent disability of the student borrower. Option to apply for hardship forbearance is available for a maximum of 12 months.
How to Apply

Get more information and/or apply online:

Call Citizens Bank at: 800-708-6684.

This information is based on information provided by lenders identified in response to a Request for Information issued by Boston University. The terms and conditions of any loan may vary depending on, among other things, market conditions and your credit score. Proposed terms may have changed since lenders provided information to Boston University. You should contact the lender to obtain current terms and information. You should review any proposed terms and obligations carefully.