Why Get a Student Loan from PHEAA?
There are a few reasons that could lead someone to apply for a loan with this provider. It offers high loan amounts with several repayment options and relatively low APRs in many cases. There’s also a parent option loan for those seeking to help their child pay for school.
What Student Loans does PHEAA offer?
There are three main options:
Undergraduate Loans
Loan amounts | $1,500 to $150,000 |
APRs | 4.03% to 6.56% |
Origination fee | $0 |
Terms | 10 or 15 years |
- For students who aren’t classed as adults in their state of residence, a co-signer may be required. This may also be necessary for those without a high enough credit score.
Graduate Loans
Loan amounts | $1,500 to $300,000 |
APRs | 4.03% – 6.56% APR |
Origination fee | $0 |
Terms | 10 or 15 years |
- The same co-signer rules apply as for undergraduates
- Upon graduation, interest rates will be reduced by 0.50% as a reward
Parent Loans
Loan amounts | $1,500 to $150,000 |
APRs | 4.21% – 6.40% |
Origination fee | $0 |
Terms | 10 or 15 years |
- No co-signer option, so parents/legal guardians must meet the credit score requirement (unspecified)
Student Loan Refinancing with PHEAA
Loan amounts | $5,000 to $300,000 |
APRs | 3.72% – 7.11% APR |
Origination fee | $0 |
Terms | 5 to 20 years |
- The same co-signer rules apply as for undergraduates
- For those returning to school on at least a half time basis, a 36-month deferral may be approved
- Student loans can’t be refinanced with a parent loan
- Loans with a partner/spouse can’t be refinanced together
Repayment Options
Refinance loan repayment must start immediately, on a bi-weekly or monthly basis. For the other loans, there are four options.
- Full Deferral
- Pay nothing during the school period.
- Payments begin following enrolment completion after any applicable grace period has ended
- This is by far the most expensive option in the long run
- Partial Interest Repayment
- Pay $25 each month of enrolment to get a ‘head start’ on interest build-up
- Full payments begin within 60 days of enrolment completion
- This is cheaper overall than the Interest Only option
- Interest-Only Repayment
- Accrued interest during enrolment may be paid at any time in the school period
- Full payments begin within 60 days of enrolment completion
- Immediate Repayment
- Access the best interest rates
- Become debt-free sooner
- Pay the least interest overall
- Begin payments within 60 days
Who is Eligible?
- Attend an eligible school (contact PHEAA directly)
- Be a Pennsylvania resident or a student from one of the approved states previously mentioned
- Be a US citizen or permanent resident
- Be an applicant/co-signer with an appropriate credit rating