How do parent loans work?
A private parent loan can help you pay for your child’s college expenses that aren’t already covered through scholarships, grants and federal student loans. The money can be either directly disbursed to your child’s school or some funds can be directly disbursed to you, to cover approved expenses.
What can I use a parent loan to pay for?
Qualified applicants can borrow up to 100% of the school-certified cost of attendance, which typically includes expenses such as tuition and fees, books and supplies, room and board, transportation and personal expenses.1
What’s the difference between getting a parent loan and cosigning a student loan?
When you take out a parent loan, you are fully responsible for the repayment. Either you or your child can repay the loan, but if a default occurs, it will affect only your credit, not your child’s. That also means your child’s credit won’t benefit positively from on-time payments.
When you cosign a student loan, your good credit is helping to secure the loan. You and the student share responsibility for the repayment. Your credit and your child’s credit both will be affected. And all of the private student loan funds will be directly disbursed to your child’s college to cover expenses.
Why should I choose the SEIU Parent Loan?
The SEIU Parent Loan, offered in conjunction with College Ave Student Loans, was designed to help you pay for and manage your child’s college expenses as easily and inexpensively as possible.2 As an SEIU member, you’ll get a 0.25% reduction on your interest rate. You can reduce your interest rate by an additional 0.25% (subject to additional terms) if you select an automatic payment method from your checking or savings account.3
How do I apply for a parent loan?
You can apply for the SEIU Parent Loan by logging in to this site and clicking on the orange “Apply Now” button above. You’ll be directed to the College Ave Student Loans website, where you’ll be asked to enter information about yourself and your loan needs. (College Ave cannot take applications by phone because required disclosures are presented during the online application process.)
How long does the application and approval process take?
You can apply and get your credit decision within 3 minutes. As soon as you’re approved, you’ll be asked to accept your terms and e-sign your loan documents.
How much money can I borrow?
A private parent loan can fund a semester, a quarter, or up to a full academic year at a time. During the application process, you’ll indicate the time period you want the loan to cover. Each loan is separate: If you take out multiple loans over the course of your child’s education, they won’t be automatically combined.
1. As certified by your school and less any other financial aid you might receive. Minimum $1,000.
2. SEIU members receive a 0.25% interest rate reduction on Undergraduate loans that are opened through the SEIU member benefits portal. The SEIU member discount will be applied to your loan account after the initial disbursement occurs.
3. The 0.25% auto-pay interest rate reduction applies as long as a valid bank account is designated for required monthly payments. Variable rates may increase after consummation.