INvestED Student Loan Reviews: Student Loan Refinancing and Private Student Loans

Full Review

INvestED student loans is a not-for-profit state student loan lender based in Indiana. It refinances loans for current Indiana residents — no matter where they attended school — and for borrowers who attended Indiana schools — no matter where they now live.

INvestED student loan refinance may be a good choice if you have stable income but are still in school or didn’t graduate. Many lenders require you to have graduated from school before applying, but INvestED gives borrowers the opportunity to refinance their student loans while in school. You can also qualify if you left school without graduating. That’s rare.

If you have private student loans, refinance as soon as you can get a lower rate in order to reduce your monthly payments or pay off your student loans faster. Refinancing can also help you decrease your debt-to-income ratio, which can be helpful when making a large credit-based purchase, like getting a home mortgage.

INvestED refinancing at a glance

• Four repayment terms available: 5, 10, 15 and 20 years.

• You can refinance without a degree.

• You can refinance while still in school.

How INvestED could improve

INvestED, like other five-star loans, isn’t perfect. It could improve by offering additional features such as:

• Allowing borrowers to see their rates with a soft credit check.

• Allowing parent loan refinancing in the student’s name.

• Offering co-signer release after 24 months.

INvestED student loan refinancing details

• Interest rates, fees and terms

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

  • Loan terms: 5, 10, 15 or 20 years; 15-year term only for in-school refinancing.

  • Loan amounts: $5,000 to $250,000.

  • Can transfer a parent loan to a child: No.

  • Application or origination fee: No.

  • Prepayment penalty: No.

  • Late fees: 5% of unpaid past-due amount or $10, whichever is less.

  Compare INvestED's range of interest rates with other student loan refinance lenders. Your actual rate will depend on factors including your, or your co-signer’s, credit history and financial situation. To see what rate INvestED will offer you, apply on its website.

• Requirements

  Financial

  • Minimum credit score: 670.

  • Minimum income: $36,000.

  • 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: 50%.

  • Can qualify if you’ve filed for bankruptcy: Yes, after five years.

  Other

  • Citizenship: Must be a U.S. citizen or permanent resident.

  • Location: You must be a resident of Indiana or have attended an eligible school in the state. If you meet that criteria, loans are available in all 50 U.S. states.

  • Must have graduated: No.

  • Must have attended a school authorized to receive federal aid: Yes.

  • Percentage of borrowers who have a co-signer: 35%.

• Repayment options

  • Academic deferment: Yes, up to 36 months for borrowers who enroll at least half-time at an eligible institution for a graduate degree.

  • Military deferment: Yes.

  • Forbearance: Yes, borrowers get a maximum of 24 months forbearance during the life of the loan. Forbearance can be received in increments of one to three months, and borrowers can receive only two forbearances in a 12-month period.

  • Administrative forbearance: Borrowers can receive an administrative forbearance at the discretion of INvestED’s president that does not count toward the 24-month maximum.

  • Graduated repayment: Borrowers can make interest-only payments for two years at the discretion of INvestED’s president.

  • Co-signer release available: Yes, after 48 months of on-time payments.

  • Death or disability discharge: Yes, the loan will be forgiven if the borrower dies or becomes permanently disabled, even if the loan has a co-signer.

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

  Repayment preferences

  • Allows greater-than-minimum payments via autopay: Yes.

  • Allows biweekly payments via autopay: No.

• Customer service

  • Loan servicer: American Education Services.

  • In-house customer service team: Yes.

  • Process for escalating concerns: Yes.

  • Borrowers get assigned a dedicated banker, advisor or representative: No.

  • Average time from approval to payoff: 18 days.

Before refinancing with INvestED

Before deciding on a student loan refinance lender, compare student loan refinance options to make sure you’re getting the best rate you qualify for. In addition to interest rates, compare lenders’ repayment options and the flexibility they offer for borrowers who are struggling to make payments.

If you aren’t eligible to refinance with INvestED

If INvestED denies your refinance application, the lender will let you know why. Depending on the reason, you may want to consider other lenders or need a co-signer.

NerdWallet recommends prequalifying with multiple refinance lenders before you apply. This will let you know which lenders you may be eligible with, without affecting your credit.

STUDENT LOAN REFINANCE RATINGS METHODOLOGY

Our survey of more than 29 banks, credit unions and online lenders offering student loans and student loan refinancing includes the top 10 lenders by market share and the top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets.

We consider 41 features and data points for each financial institution. Depending on the category, these include the availability of biweekly payments through autopay, minimum credit score and income requirement disclosures, availability to borrowers in all states, extended grace periods and in-house customer service.

The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.

Full Review

INvestED offers undergraduate and parent student loans. To qualify, the student must attend a school in Indiana.

As a not-for-profit, INvestED may offer lower rates than are available through other private lenders. Consider them only after you’ve exhausted all other financial aid options and federal student loans.

You can choose between a five-, 10- or 15-year repayment term and opt to make payments while in school or defer payment until after graduation. INvestED also has a flexible repayment plan where borrowers can make interest-only payments.

INvestED private loans at a glance

• Loans available only to Indiana students.

• Three repayment terms to choose from: five, 10 and 15 years.

• Forbearance is available for up to three months at a time for a maximum of 24 months during the life of the loan.

How INvestED could improve

INvestED could improve its private student loan product by offering:

• Loans to students in more states.

INvestED private student loan details

• Interest rates, fees and terms

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

  • Loan terms: 5, 10 or 15 years.

  • Loan amounts: $1,001 up to annual cost of attendance minus other aid received.

  • Application fee: Did not disclose.

  • Origination fee: None.

  • Prepayment penalty: No.

  • Late fees: 5% of unpaid past-due amount or $10, whichever is less.

  Compare INvestED’s range of interest rates with other private student loan lenders. Your actual rate will depend on factors including your — or your co-signer's — credit history and financial situation. To see what rate INvestED will offer you, apply on its website.

• Requirements

  Financial

  • Minimum credit score: 670.

  • Minimum income: $39,996.

  • 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: 30%.

  • Can qualify if you’ve filed for bankruptcy: Yes, after five years have passed.

  Other

  • Citizenship: Must be a U.S. citizen or permanent resident.

  • DACA borrowers: Not eligible.

  • Location: You must attend an eligible school in Indiana or be a resident of the state.

  • Must be enrolled half-time or more: Yes.

  • Loan can be used for past due tuition: Did not disclose.

  • Types of schools served: Borrowers must be pursuing a degree at an eligible Title IV four-year school in the United States.

  • Percentage of borrowers who have a co-signer: Did not disclose.

• Repayment options

  In-school repayment options:

  • Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re still in school.

  • Deferred payments: Don’t make any payments while you’re in school.

  • Interest-only repayment: Pay interest every month you’re in school and during the grace period.

  Post-school repayment options

  • Grace period: 6 months.

  • Income-based repayment option: No.

  • Academic deferment: Yes.

  • Military deferment: Did not disclose.

  • Forbearance: Yes, borrowers get a maximum of 24 months' forbearance during the life of the loan. Forbearance can be received in increments of one to three months, and borrowers can receive only two forbearances in a 12-month period.

  • Administrative forbearance: Did not disclose.

  • Graduated repayment: Borrowers can make interest-only payments.

  • Co-signer release: Yes, after 12 months of on-time payments.

  • Death or disability discharge: Yes, the loan will be forgiven if the borrower dies or becomes permanently disabled, even if the loan has a co-signer.

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

  Repayment preferences

  • Allows greater-than-minimum payments via autopay: Did not disclose.

  • Allows biweekly payments via autopay: Did not disclose.

• Customer service

  • Loan servicer: American Education Services.

  • In-house customer service team: Yes.

  • Process for escalating concerns: Yes.

  • Borrowers get assigned a dedicated banker, advisor or representative: No.

  • Average time for approval: Does not disclose.

Before applying for an INvestED loan

Before taking out an INvestED loan or any other private student loan, exhaust your federal student loan options first. Submit the Free Application for Federal Student Aid, known as the FAFSA, to apply.

» MORE: NerdWallet’s FAFSA Guide

Compare your private student loan options to make sure you’re getting the best rate you qualify for. In addition to interest rates, look at lenders’ repayment alternatives and the flexibility they offer to borrowers who struggle to make payments.

If you aren’t eligible for an INvestED loan

If INvestED denies your student loan application, the lender will let you know why. Depending on the reason, you may want to consider other lenders.

If you don’t have access to a co-signer — or still aren’t eligible with one — consider lenders that don’t require co-signers or specialize in bad or no credit student loans.

STUDENT LOAN RATINGS METHODOLOGY

Our survey of more than 29 banks, credit unions and online lenders offering student loans and student loan refinancing includes the top 10 lenders by market share and top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets.

We consider 40 features and data points for each financial institution. Depending on the category, these include the availability of biweekly payments through autopay, minimum credit score and income requirement disclosures, availability to borrowers in all states, extended grace periods and in-house customer service.

The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.