Common Bond is a 2012-founded online lender that specializes in student loan refinancing and private student loans. Common Bond Student Loans helps refinancing loans, these are best suited to borrowers with a bachelor’s degree who prioritize repayment flexibility. Its private student loans are best suited to students who want to utilize a cosigner and value customer service.

Common Bond Student Loans

As the cost of attending college rises, more and more students find that they simply cannot afford to go. Attending a private university can easily cost $30,000 or more every year, which leaves it out of reach of most students, but even a smaller state school can cost $10,000 or more. Common Bond student loans are available to students of all ages and can help them cover tuition or any other expenses. The company also offers refinancing options for those who want to bring down the monthly payments of their existing loans.

Using Loans for College

Common Bond Student Loans Review - Common Bond Logo

The student loans available are suitable for any student that needs help paying for college. While there are government loans available, the government limits the amount that students can borrow each year and puts a total cap or limit on the amount they can borrow while in school. This often isn’t enough to pay for tuition and other expenses like transportation to campus and textbooks. College Ave student loans are suitable for college graduates who want to go back to school. They can borrow money before enrolling in an MBA program or in graduate school.

Types of Refinancing Loans

Those who already graduated from college often have a lot of debt that can keep them from getting an apartment, buying a new car or even landing a new job. The more a student owes, the more that student will pay each month too. Refinancing is a smart way to bring down those monthly payments, and refinancing can help students qualify for a lower interest rate too. Common Bond student loans offers fixed, hybrid and variable refinancing rate. With a fixed rate, the applicant pays the same interest rate on the loan until paying it off. A variable rate is one that changes as market conditions change. Its hybrid loans charge loan holders one set interest rate for five years and then switches it to a variable rate for the remaining five years.

Percentage Rates

One of the first questions that many people ask when looking at loan refinancing is the percentage rate applied to that loan. The percentage rate is important because it gives the applicant an idea of how much he or she will pay on top of the amount borrowed. This rate generally varies due to the credit worthiness of applicants. Fixed rate loans have a rate of between 3.37% and 6.74%, but the rate ranges from 2.62% to 6.54% on variable loans. A hybrid loan has an interest rate of 3.82% up to a 6.37% maximum.

Loan Lengths

A big benefit of refinancing with Common Bond is that it offers different loan lengths and terms. Those who make more money and want to pay off their loans faster can apply for a five-year loan. Shorter loans of seven years and 10 years are also available. Many people look at refinancing because they want to reduce their payments and have more time to pay off their loans. Those applicants can apply for a loan that gives them 15 or even 20 years to pay off the loan.

Forbearance and Payment Plans

Those who take out student loans do so in the hopes of landing dream jobs that will help them pay off those loans. A large number of people though experience financial hardships that can keep them from making their payments. This commonly occurs after going through a medical problem, divorcing a spouse or losing a job. Common Bond student loans has a forbearance policy that lets borrowers take up to 24 months off from their loans. Borrowers can also opt to temporarily stop making payments for up to three months.

Taking Advantage of Forbearance

Though Common Bond can help borrowers struggling to pay their loans with forbearance and other programs, it does require that borrowers contact them in advance of the payment due date. The company can temporarily suspend payments for three months at a time for a total of 12 months based on factors like job loss or market changes. Those loans will keep incurring interest during these periods. Common Bond will typically ask for some type of proof of economic hardship but will work closely with all its borrowers.

How to Qualify for a Loan

The average borrower makes $105,000 or more a year and has a credit score of 750 or higher. While that might make some hesitate before applying, College Ave student loans are available to a large number of former college students and those who want to go back to school. There is no set income that an applicant must make to apply for these loans. The company does ask that the individual have a credit score in the high 600s. Some may want to apply with a cosigner to get a better or lower rate.

Interest Rates

Before refinancing student loans, applicants often want to know just how much they can save and whether refinancing will really bring down their payments. Common Bond is a solid company because it looks at more than just credit history when working with borrowers. The company also considers overall cash flow, which refers to the amount of money coming in and the amount of money going out such as the money spent on a mortgage or car payment. It also looks at the terms of the loan that the borrower applies for, including the length of the loan and the type of interest rate.

In regards to student loans, Common Bond is an alternative or private student loan provider. The government offers loans with lower interest rates, and some private lenders offer more flexible repayment terms. When it comes to refinancing though, Common Bond is one of the top companies around. Not only does it offer convenient loan terms that let applicants choose how long they want to carry a loan, but it also offers variable, fixed and hybrid loans. Common Bond student loans can help students bridge the gap between the financial aid they get and need and help them refinance their older loans.

You may check out our review of Earnest Student Loan Review.