Navy Federal Credit Union Student Loans Review 2021

0
Loans for undergraduate and graduate students
Fixed prices 4.99% – 12.84%
Variable prices 3.16% – 9.47%
Loan amounts $ 2,000 – $ 120,000 (Bachelor) $ 2,000 – $ 160,000 (Graduate)
Credit terms ten years
The lowest price includes 0.25% automatic payment discount

credit-worthiness

To qualify for a student loan, you must meet the following requirements:

  • Be a member of the Navy Federal Credit Union or join during the online application process
  • Be a U.S. Citizen or Permanent Resident
  • At least half enrolled in an accredited undergraduate or graduate degree at an eligible non-profit college or university
  • GPA of 2.0 or higher
  • Maintain satisfactory academic progress as defined by your school
  • Earn at least $ 15,000 a year or more
  • Meet credit and income standards or have a qualified co-signer

While a co-signer is not required, Navy Federal strongly recommends that undergraduate students add one to their application to increase their chances of qualification.


Is Loan Prequalification Available?

Unfortunately, Navy Federal lacks a loan prequalification tool. The only way to find out if you are eligible for a loan and what interest rate you qualify for is to submit a loan application and do a credit check, which may temporarily lower your credit score.

Adding a co-signer to your loan application can increase your chances of qualifying for a loan. Nine out of ten Navy Federal Credit Union borrowers have a co-signer.


Loan fees

Navy Federal Credit Union does not charge any application or issuance fees, and there is no early repayment penalty when you repay your student loan early.

However, there are relatively high late fees. If you miss a payment, the lender will charge you $ 20. Wisconsin residents will be billed 5% of the late payment amount or $ 10, whichever is lower. If a payment is refunded to you for insufficient funds, the lender will charge you a repayment fee of $ 10.


Credit discounts

When you sign up for automatic payments, you receive a 0.25% interest discount.


Repayment options

All Navy student loans have a 10-year term. You are required to pay while you are at school, but you have two options for repayment:

  • Fixed payments: While you are in school and six months after graduation, you will pay $ 25 per month on your loans.
  • Interest-only payments: You only pay the interest accrued on the loan each month during your school years and for the six months after you graduate.

Six months after graduation, you start paying principal and interest.


Rewards and benefits

Navy Federal does not have a referral program. But the credit union has a career support program for its members. You have access to the online job search training system and resources, including online tools and exercises, interview tips, and a job search dashboard.

Navy Federal Credit Union has a member career support program that provides access to job search tips, interview tools, and other resources.


Are co-signers required?

While the Navy Federal Credit Union does not require a co-signer, most borrowers need one in order to qualify for a loan. Adding a co-signer to your application will increase your chances of getting a loan and qualifying for a lower interest rate.

Co-signers may be eligible for release of co-signers after making 24 consecutive monthly principal and interest payments on time.

Nine out of ten student borrowers have a co-signer, according to Navy Federal.


Forbearance and loan waiver options

Navy Federal does not include forbearance or dismissal information in its loan materials or requests. In the event of payment difficulties, you should contact your credit service provider – LendKey – immediately. In some cases, you may be able to temporarily defer your payments.


Loan approval and disbursement duration

While it only takes 15 minutes to apply online, Navy Federal recommends applicants apply for a loan early. The approval and payout process can take anywhere from four to six weeks, depending on the school. So plan enough time.


Is Student Loan Refinance Available?

Refinancing for student loans for Bachelor and Master courses is possible. Loans with variable and fixed interest rates and loan terms of five, ten and 15 years are offered. You can refinance up to $ 125,000 in student loans and up to $ 175,000 in student loans.


Customer service

Student loans are serviced by LendKey. LendKey is not included in the Consumer Financial Protection Bureau’s newest Student Loan Ombudsman Report, but it has a TrustScore of 4.5 on TrustPilot – five is the highest – with 294 customer reviews.

Customer support is available Monday through Friday, 9:00 a.m. to 8:00 p.m. EST. You can contact LendKey customer service by phone or email.


Applying for a Navy Federal Credit Union student loan

Before applying for a private student loan with the Navy Federal Credit Union or any other lender, make sure you complete the free federal student grant application and use any state grants you are entitled to first.

Once you have reached the federal credit limit, you can proceed with your loan application. You will need the following information:

  • Social security number
  • birth date
  • Phone number
  • Email-address
  • Current address
  • Monthly income
  • living costs
  • Employer information

Final verdict

While the Navy Federal Credit Union works well for some borrowers, its student loans are only available to members of the credit union. Unless you are a military service member or a family member of a military service member, you are not eligible for a Navy Federal Credit Union student loan and will need to work with another lender.



methodology

Investopedia is committed to providing consumers with unbiased, comprehensive reviews of student loan lenders. We collected over 45 data points from 15+ lenders – including interest rates, fees, loan amounts, and repayment terms – to ensure our content helps users make the right loan decision for their educational needs.

Investopedia requires authors to use primary sources to support their work. This includes white papers, government data, original reports and interviews with industry experts. If necessary, we also refer to original research by other renowned publishers. Check out our Editorial Policy to learn more about the standards we follow in creating accurate, unbiased content.

  1. Consumer Protection Office. “CFPB’s Ombudsman for Private Educational Loans Annual Report 2020.” Retrieved April 15, 2021

  2. TrustPilot. “LendKey.” Accessed April 15, 2021.

Share.

Comments are closed.