Discover Reviews: Student Loan Refinancing and Private Student Loans

• Soft credit check to qualify and see what rate you’ll get: No.

• Loan terms: 15 years undergraduate students; 20 years graduate students.

• Loan amounts: $1,000 minimum. Borrow up to 100% of school-certified cost of attendance — including tuition, housing, book and more — minus financial aid. Aggregate loan limits apply.

• Application or origination fee: No.

• Prepayment penalty: No.

• Late fees: No.

Financial

Discover doesn’t disclose specific details about what it takes to qualify for its student loans, but there’s a good chance you’ll qualify if you are at least 16 years old and have good credit or apply with a co-signer who does. Discover also considers other factors, such as area of study and potential income.

• Minimum credit score: Did not disclose.

• Minimum income: Did not disclose.

• Typical credit score of approved borrowers or co-signers: Did not disclose.

• Typical income of approved borrowers: Did not disclose.

• Maximum debt-to-income ratio: Did not disclose.

• Can qualify if you’ve filed for bankruptcy: Yes; you’re more likely to qualify if the bankruptcy isn’t recent.

Other

Many lenders are offering relief related to COVID-19. Check this list of private loan relief options to see what this lender offers.

In-school repayment options

• Immediate: Begin making full monthly payments as soon as the loan is disbursed. This option will save you the most in interest.

• Interest-only: Make monthly interest payments while you're in school and during your grace period. You'll get a 0.35% interest rate discount for choosing this option. Interest-only repayment option is available for undergraduate, graduate, health professions, law and MBA loans. It does not apply to parent loans or student loan refinance.

• Fixed: Make fixed, $25 payments while you’re in school and during your grace period.

• Full in-school deferment: Yes. You won’t be required to make any payments until your grace period ends, but you can choose to make payments if you’d like.

Post-school repayment options

• Grace period: For borrowers who defer payments while in school, the grace period ends 6 months after graduation or after enrollment drops below half-time.

• Income-based repayment option: No.

• In-school deferment: Yes, monthly payments are not required until 6 months after you graduate or your enrollment drops below half-time.

• Academic deferment: Postpone payments if you return to school at least half-time.

• Military deferment: Postpone payments if you're on active military duty.

• Public service deferment: Postpone payments if you're serving in a qualified public service organization.

• Medical residency deferment: Postpone payments during your medical residency.

• Grace period extension: Discover offers an Early Repayment Assistance Program that can extend your grace period. This program lets borrowers postpone payments for three months, but you must be in the first three months of repayment to be eligible.

• Forbearance: Postpone payments for up to 12 months if you're experiencing unemployment, economic hardship, an excessive student loan burden or a medical disability. Borrowers cannot receive 12 months of forbearance consecutively.

• Temporary interest rate reduction: Get a lower interest rate, resulting in a lower monthly payment, for up to 12 months. Payments are subject to a $50 minimum per month.

• Temporary payment reduction: Pay just the interest on their loan, subject to a $50 minimum, for up to six months. The loan must be fewer than 60 days late to qualify.

• Co-signer release available: No.

• Death or disability discharge: Yes.

• Loan discharge if co-signer dies or becomes disabled: No.

Repayment preferences

To qualify, the borrower must:

• Be at least 16 years old at the time of loan application. Cosigner required if under 18.

• Be a US Citizen, permanent resident or international student (International students require a creditworthy cosigner who is a US Citizen or permanent resident).

• Pass a credit check.

• Be enrolled at least half-time and making satisfactory academic progress in a Bachelor's or Associate's degree program at an eligible school.

Students may have the option to apply for a Discover student loan with a creditworthy cosigner. Applying with a creditworthy cosigner may improve the likelihood for loan approval and may provide a lower interest rate. To qualify, the cosigner must:

• Be at least 18 years old at the time of loan application.

• Be a US Citizen or permanent resident.

• Pass a credit check.

Discover Student Loans offers three different repayment options:

• In-School Interest-Only Repayment: Students can elect, during the application process, to make interest-only monthly payments while in school and during the grace period to lower overall loan cost and receive a 0.35% interest rate discount.1

• In-School Fixed Repayment: Students can elect, during the application process, to make $25 fixed, monthly payments while in school and during the grace period to lower overall loan cost.

• Deferred Repayment: Students can choose to have payments deferred, which means no payments are due until 6 months after graduation for undergraduate loans (9 months for graduate loans) or enrollment drops below half-time.