Parent Student Loans
Be aware though that PLUS Loans have the highest interest rate of all federal loans-as of 2020, the interest rate is 7.08%.
If you have good credit and are a Wells Fargo customer and can take advantage of its customer loyalty discounts, you could qualify for a lower interest rate with a Wells Fargo parent student loan. You can borrow up to $25,000 per year. Take note that deferring your payments until after graduation isn’t an option with Wells Fargo as repayment begins immediately.
Private Student Loans for Career Training and Community Colleges
If you plan to attend a two-year school or a career training program rather than pursuing a bachelor’s degree, you may be eligible for a Wells Fargo loan for community colleges. With these loans, you can borrow up to $15,000 per year for a two-year public or private school, and $20,000 per year for a four-year proprietary school. These loans have a six-month grace period after you leave school.
- You must be enrolled as a student at an eligible school seeking a degree, certificate, or license.
- Students can qualify for loans if they are enrolled less than half-time.
- You must be a U.S. citizen or permanent resident, or be a permanent resident alien or a Deferred Action for Childhood Arrivals (DACA) individual with a current U.S. address. DACA applicants must show evidence of deferred action status.
- Applicants must meet income and credit score requirements. If you don’t meet those limits on your own, you may need a co-signer to qualify for a loan.
Is Loan Prequalification Available?
Wells Fargo does not offer loan prequalification. To figure out if you’re eligible for a loan and what interest rate you’d receive, you must submit your application and go through a hard credit inquiry, which can impact your credit score.
There is also no penalty if you choose to pay off your loan early, which is a smart way to save money on interest charges.
- Automatic payment discount: When you sign up for automatic payments, Wells Fargo will lower your interest rate by 0.25%.
- Wells Fargo customer discount: If you are an existing Wells Fargo customer, you could qualify for an additional interest rate discount.
- Prior Wells Fargo student loan customers: 0.25%
- Wells Fargo consumer checking account customers: 0.25%
- Portfolio by Wells Fargo customers: 0.50%
With most Wells Fargo student loans, you have a six-month grace period, which means you don’t have to start making payments on your loans until six months after you graduate or leave school. Interest will accrue on your loans while you’re in college, but you aren’t required to make payments during this time.
When it comes to rewards and benefits, borrowers are likely to be disappointed; Wells Fargo doesn’t offer any extra perks. That’s in stark contrast to other lenders like SoFi, which offer robust benefits, such as referral bonuses, career counseling, and member events.
Are Co-Signers Required?
Wells Fargo doesn’t require applicants to have a co-signer. But if you don’t have excellent credit and steady income, you can improve your chances of qualifying for a loan and a competitive interest rate by adding a co-signer to your application. Plus, Wells Fargo allows borrowers to apply for co-signer releases after 24 months of on-time payments.
Forbearance and Loan Discharge Options
Wells Fargo does have support programs in place for borrowers experiencing financial hardships. If you can’t find a job, get laid off, or have an unplanned medical expense, you could qualify for short-term payment relief for up to two months if you’re up-to-date with your payments. Or, you may be eligible for Wells Fargo’s loan modification program, where your monthly payment is temporarily or even permanently reduced to make it more affordable for you. To discuss your options, call 1-800-658-3567.