started its history as a government-sponsored enterprise that serviced Federal student loans, but since 2004, it’s been a fully private company, and in 2014 it stopped servicing student loans altogether.Despite its legacy, Sallie Mae no longer has anything to do with Federal student loans.It issues private loans for everything from K–12 education, to career colleges, to undergraduate and graduate school. It’s also a bank with some of the most competitive money market and CD rates. They are also on our list of the places with the best student loan rates. If you want to see how they compare to other lenders, check out our list of the best private student loan lenders.Sallie Mae is part of the , which allows you to compare student loan lenders in 2 minutes or less. We love Credible and think you should see how Sallie Mae compares for your situation. Check out Credible here.
Sinceissues private student loans, most borrowers (especially undergraduate borrowers) will need a cosigner with adequate income and credit score to borrow the money. Following graduation, borrowers must make 12 on-time principal and interest payments to release a cosigner from the loan. This is one of the shortest cosigner release periods we’ve seen.The Sallie Mae private student loan is available to borrowers who are full-time, or below half-time students. In fact, it is one of the few private student loans available to borrowers who aren’t taking a full course load.Sallie Mae also offers education loans for parents and for graduate students who may not need a cosigner to qualify for the loan.
are designed for maximum flexibility. Most loans have three major repayment options which allow for deferred payments for the time you’re in school plus a 6-month grace period (or 36 months for medical school graduates). Borrowers can also exercise the option of up to 12 interest-only payments when they first start their payback period.The three major repayment options include the following:These are the terms on Sallie Mae’s private loans (select private loans — they also offer bar exam, medical residency loans, and others). These rates are accurate as of September 29, 2019. Rates are subject to change. Please check out the latest rates here.
Compared with other private lenders,offers more generous repayment terms. The choice between deferred interest, fixed payments, and interest-only is especially generous along with generous grace periods and deferments for graduate school loans.While taking on any loan with a cosigner is concerning, Sallie Mae offers releases within 12 months which is ideal compared to most other lenders. The only issue with Sallie Mae’s loans is the cost you could incur. Taking advantage of no-interest deferment options could lead your loans to balloon over time. Add to that the higher (but still competitive) interest rates, and you could head toward student loan disasters.In general, it is better to stick with Federal loans if possible. These come with a wide range of repayment plans, and even some loan forgiveness options. If you must opt for student loans, Sallie Mae could be a good choice.Remember, always compare your options on a platform like Credible.
You can reach out to Sallie Mae customer service through the following:Phone number: 800-472-5543Hours of operation: 9-6. Mon-Fri (ET)General mailing address:Sallie MaeP.O. Box 3319Wilmington DE 19804-4319Address for sending payments:Sallie MaeP.O. Box 8459Philadelphia PA 19101-8459Email/online contact form: N/ARead about Sallie Mae Student Loans here.
With no application fee, no origination fee, and generous repayment terms,is a good choice for borrowers that need repayment flexibility. The flexibility comes at a cost, and you’ll likely find lower interest rates from other lenders (use Credible to shop around).That said, Sallie Mae could be the right choice if you’re stuck taking out private loans. Compared with other lenders, Sallie Mae is especially generous with its undergraduate student loans.And remember, if you take advantage of Sallie Mae’s generous terms early on, you can always refinance your student loan to a lower interest rate later if you have the income and credit score to do so.