College Ave Student Loans Review – Pros and Cons

In this article, I’m going to talk about College Ave student loans. If you’ve been following USAsolve.com, you know that my team and I have extensively researched the best student loan options available. Unless you have a fully funded college fund—which, let’s face it, most of us don’t—you’ll likely need a College Ave student loan to get professionally qualified and earn a decent income in today’s competitive job market. After graduation, you’ll spend several years working to pay off that loan. This is why finding the right lender for your College Ave student loan is just as important as choosing the right college or even the degree you pursue.

Having personally navigated the world of student loans, I understand the challenges and decisions involved. In this article, I’ll walk you through everything I’ve learned from the research my team and I conducted about College Ave student loans. You’ll find out who qualifies, what the application process is like, and the options and terms they offer. I’ll also discuss the pros and cons of getting a College Ave student loan so you can decide if it’s the right fit for your situation or if you should explore other options.

If you find this review helpful or interesting, feel free to share it with others who might benefit from it. As a disclaimer, I am an affiliate of most of the companies I discuss, including College Ave. However, my recommendations are always based on my honest opinions. If you decide to apply for a College Ave student loan, check out the affiliate link provided in this article. It won’t cost you anything, and you might even qualify for a discount that you wouldn’t get by going directly to their website.

What is College Ave Loans?

College Ave is a lender that specializes in College Ave student loans and financial services, offered through a network of partner banks. Founded in 2014, it’s a relatively new player in the education financing industry. College Ave operates exclusively as an online lender, catering specifically to students. Its primary goal is to simplify the process of finding, applying for, and servicing College Ave student loans, making the entire experience as quick, straightforward, and painless as possible.

Key Features of College Ave Loans

• Loan Amounts – Loans start as low as $1,000 and go up to the total cost of attendance at your school.
• Refinancing Options – College Ave offers refinancing for borrowers with existing student loan debt, allowing parents to co-sign on loans.
• FDIC-Insured Loans – College Ave itself is not a bank. Instead, its student loans are facilitated through three FDIC-insured banks, and its banking services are handled by another FDIC-insured bank.

What Makes College Ave Loans Unique?

College Ave distinguishes itself by offering a streamlined and flexible College Ave student loans process. Here’s what makes it unique –

• Competitive Rates – They shop around for competitive interest rates on your behalf.
• Helpful Resources – Their website provides a wealth of information, including a glossary of loan terms and a resource section filled with guides and articles.
• Easy Pre-Qualification – Their online pre-qualification process is quick and doesn’t involve a hard credit pull, meaning it won’t affect your credit score.

Types of Loans Offered by College Ave

College Ave student loans are private student loans, which means the funds come from banks rather than the government (unlike federal student loans). Here’s what you need to know about their loan options.

Types of Loans

1. Undergraduate Loans
2. Graduate Loans
3. Career Loans
4. Parent Loans
5. Refinancing Options

Interest Rates of College Ave Loans

• You can choose between fixed and variable interest rates, which is a feature not available with federal loans (these only offer fixed APRs).
• Fixed rates provide stability, while variable rates may start lower but can fluctuate over time.

Eligibility Requirements of College Ave Student Loans

To qualify for a College Ave student loan, you must –

• Be at least 16 years old.
• Be enrolled in or accepted to an eligible school in the United States.
• Have a Social Security number.
• Meet your school’s academic progress guidelines.

Additional Notes –

• International students can also apply, provided they have a Social Security number and a qualified co-signer.
• DACA recipients are not eligible for College Ave loans.
• Undergraduate students are required to have a co-signer, such as a parent or another adult with a healthy credit score.

College Ave Student Loans Application Process

Applying for a College Ave student loan is straightforward and user-friendly. Here’s how it works:

Step 1 – Pre-Qualification

• Fill out an online form to pre-qualify.
• This step involves a soft credit check, which doesn’t affect your credit score.
• Pre-qualification helps you understand the loan options and rates available to you.

Step 2 – Choose Your Loan Type

• Select the type of loan you need (undergrad, grad, career, parent, or refinancing).
• Provide basic personal, financial, and student information.

Step 3 – Review Your Options

• Within minutes, you’ll receive details about the loan terms and rates you qualify for.
• Compare the options and choose the one that best suits your needs.

Step 4 – Formal Application

• Submit your formal application.
• For undergraduate and graduate loans, you’ll typically receive a decision quickly.
• If approved, College Ave will send the loan to your school for certification.
• Once your school verifies your enrollment and confirms the loan amount doesn’t exceed the cost of attendance, the funds are disbursed directly to the school. This process usually takes about 10 business days.

Repayment Options and Terms of College Ave Student Loans

College Ave offers a variety of repayment terms to suit different needs –

Repayment Periods

• Undergraduate Loans – 5, 8, 10, or 15 years.
• Graduate Loans – Up to 20 years for medical, dental, and law students.
• Refinancing – 5 to 20 years.
• Parent Loans – 5 or 15 years.

Loan Amounts

• Minimum loan amount – $1,000 (or $5,000 for refinancing).
• Maximum loan amount – Up to the total cost of attendance or $500,000 for refinancing.

Fees

• No origination or prepayment fees.
• Late fees apply if you miss a payment – either 5% of the unpaid amount or $25, whichever is less.

Grace Periods

• Undergraduates – 6 months.
• Graduate Students – 9 months.
• Dental Students – 12 months.
• Medical Students – 36 months.

Note – Interest continues to accrue during the grace period, making this the most expensive repayment option.

Cost-Saving Tips

• Make payments while in school or during the grace period to reduce the total interest paid.
• Options include:
  • Fixed monthly payments of $25.
  • Interest-only payments.
  • Full principal and interest payments (most cost-effective option).

Pros and Cons of College Ave Student Loans

Pros

1. Flexible Repayment Terms – Multiple options to suit different financial situations.
2. Competitive Interest Rates – Lower starting rates compared to some competitors.
3. Easy Application Process – Quick pre-qualification and soft credit checks.
4. Helpful Resources – Informative website with guides, articles, and a glossary of terms.
5. Scholarship Opportunities – Monthly sweepstakes for a $1,000 scholarship.

Cons

1. Higher Maximum Rates – While starting rates are competitive, maximum rates can be higher than average.
2. Co-Signer Requirement – Undergraduate students must have a co-signer.
3. No Options for DACA Recipients – DACA students are not eligible.

Comparison with Competitors of College Ave Student Loans

When compared to other lenders like MEFA and ELF, College Ave offers:

• Lower Starting Rates – 4.39% for undergraduate loans (compared to 5.35% for MEFA and 8.42% for ELF).
• Higher Maximum Rates – Up to 16.49% (compared to 7.95% for MEFA and 13.1% for ELF).

However, if you plan to pay off your loan quickly, College Ave’s lower starting rates can save you money.

Also Read, DSCR Loans Explained – DSCR Loan Calculator

Final Thoughts

College Ave is a strong contender for anyone seeking flexible and competitive student loan options. Its straightforward application process, helpful resources, and variety of repayment terms make it an excellent choice for students and parents alike. If you or your co-signer have a good credit score and expect to earn a decent income after graduation, College Ave is worth considering.

If you found this review helpful, please share it with others who might benefit from it. For more content like this, explore our website, USASolve.com, and subscribe to our updates. If you’re ready to apply for a student loan through College Ave, check out the affiliate link provided. It won’t cost you anything, and you might even qualify for an exclusive discount. As always, we value your feedback! If you have any questions, concerns, or suggestions, feel free to leave a comment below or reach out to us directly on USASolve.com. Thank you for reading, and we look forward to bringing you more helpful guides and reviews in the future!