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Sallie Mae is a solid lender that includes four months of Chegg with its undergraduate loans. Sallie Mae interest rates are higher than you can get elsewhere if you have excellent credit, and it charges late fees.
Sallie Mae Student Loans Overview
To get a student loan with Sallie Mae, you must meet the following qualifications:
- Be enrolled in a degree-granting school full time, half time, or less than half time
- Be pursuing a degree or certificate
- Be the age of majority in your state (18 years or older in many cases)
- Pass a credit check
You should consider your federal student loan options before applying for any private student loan, including one with Sallie Mae, as you can often get better terms and protections through the government.
You can contact customer support by phone Monday through Thursday from 8 a.m. to 9 p.m. ET or on Friday from 8 a.m. to 8 p.m. ET. You are also able to send mail to Sallie Mae at its Delaware address.
Sallie Mae has a well-reviewed app that has received 4.6 out of 5 stars on the Apple store and 4.0 out of 5 stars on the Google Play store. You may like this feature if you want to manage your loan on the go.
Who Is Sallie Mae Best For?
Sallie Mae is best for part-time students looking to get a loan. They may find it hard to locate another lender that will offer them a loan.
However, borrowers with excellent credit will probably find lower rates elsewhere.
Sallie Mae Undergraduate Student Loans
Regular Annual Percentage Rate (APR)
5.37% – 15.70% variable and 4.15% – 15.49% fixed
Fees
late payment of 5% of the amount due, capped at $25
Recommended Credit
Undisclosed
Loan Amount Range
Starts at $1,000
- No prepayment or origination fees
- Part-time students eligible
- Four months of Chegg included with your loan
- International students eligible with an eligible cosigner
- Relatively high APR
- Sallie Mae sets repayment term length
- Credit check required
- Customer service unavailable on Saturday and Sunday
- Late payment fee
- No loan preapproval
Insider’s Take
Sallie Mae is a solid lender that includes four months of Chegg with its undergraduate loans. Sallie Mae charges late fees, though, and you can get better student loan interest rates elsewhere.
Product Details
- Apply through your computer or mobile device
- Customer service available via phone Monday through Thursday from 8 a.m. to 9 p.m. ET or on Friday from 8 a.m. to 8 p.m. ET
- Five, 10, or 15 year repayment term, which will be assigned by Sallie Mae
- Loan approval requires a hard credit pull
- Loan amounts available: $1,000 minimum, up to 100% cost of attendance
- Repayment options available:
- Deferred: No payments for up to six months after leaving school
- Interest only: Only make payments on the loan’s interest while in school and during grace period
- Fixed payments: Pay $25 per month while in school and during grace period
Pros and Cons of Sallie Mae student loans
Pros
- Four months of Chegg included with undergraduate loans. The study service Chegg offers expert Q&A, and students can submit up to 20 questions per month.
- No origination fee. Other lenders may hit you with origination fees which are deducted from your overall loan proceeds.
- Part-time students are eligible. Most lenders don’t offer loans to part-time students, making Sallie Mae stand out from the pack.
Cons
- Only one term length for graduate loans. Graduate students will have a term length of 15 years.
- Term length assigned for undergraduate loans. Sallie Mae has five, 10, and 15-year term length options. It will assign you one when you take out a loan.
- Late payment of 5% of the amount due, capped at $25. Other lenders don’t charge late fees at all if you fall behind on your payments.
- Customer service unavailable on the weekends. If you need help with your loan on the weekend, Sallie Mae won’t be able to help you.
How to Apply for Sallie Mae Student Loans
1. Gather required information. This includes your Social Security number, your school of enrollment, your enrollment status, the loan amount you need, your address, and other financial documents.
2. Put in the details of your online application. You’re apply to complete the application in about 15 minutes, and after doing so you’ll get your rates.
3. Send the required supplementary documents. Sallie Mae may need to see financial documents including proof of income and residency.
4. Sign your loan agreement. After you get all your documents in order, Sallie will send you a formal loan agreement. Sallie Mae will fund your loan after you sign on the dotted line.
Types of Student Loans Offered by Sallie Mae
Sallie Mae offers student loans for many types of degrees, including graduate and undergraduate loans.
Sallie Mae Undergraduate Student Loans
You may like Sallie Mae undergraduate student loans if you want to avoid origination and prepayment fees, as the lender doesn’t charge any. You also get four months of the study service Chegg for free. Chegg offers expert Q&A, and students can submit up to 20 questions per month.
However, there are significant drawbacks to Sallie Mae’s student loans. The lender charges a late payment of 5% of the amount due, capped at $25. You won’t be able to decide your repayment term length — the company assigns you a repayment term. Sallie Mae will also have to generate a hard credit inquiry to give you an approval decision, which could negatively impact your credit score. Most lenders only do a soft inquiry during this process, then a hard pull before you receive your funds.
Sallie Mae Graduate Student Loans
Graduate student loans aren’t Sallie Mae’s best offering, as the lender has higher APRs than competitors and doesn’t offer many perks. Your only term length option is 15 years. On the bright side, you will avoid paying origination and prepayment fees.
What Options Do I Have to Repay My Sallie Mae Student Loans?
After taking out your loan, you have three options to repay it: deferred, fixed, and interest-only. Each option has its benefits for different types of borrowers.
Sallie Mae Student Loan Alternatives
Compare Sallie Mae student loans against top student loan providers.
Sallie Mae Student Loans vs. College Ave Student Loans
College Ave comes with a better minimum APR on your loan than Sallie Mae, so if your credit is in good shape, College Ave might be the better choice.
You won’t pay origination fees or prepayment penalties with either company, but you will pay a late payment of 5% of the amount due, capped at $25, with both lenders.
You’ll be able to get your rate and loan approval with College Ave via a soft credit check, which won’t impact your credit score. With Sallie Mae, the lender will perform a hard credit inquiry to determine your eligibility, which may negatively affect your credit score.
College Ave Student Loan Review
Sallie Mae Student Loans vs. Earnest Student Loans
Earnest Graduate Student Loans offer a much lower APR on graduate student loans than Sallie Mae, similarly to College Ave. While both Sallie Mae and Earnest do not charge origination or prepayment fees, with Earnest, you won’t run into late fees or application fees. With Sallie Mae, you’ll be charged 5% of your outstanding balance for late payments.
Earnest may be a better choice if you’re looking for more flexibility. Sallie Mae only offers loans with a term length of 15 years, whereas Earnest allows the borrower to choose between five, seven, 10, 12, 15, and 20 years.
Earnest Student Loan Review
Why You Should Trust Us: How we rated Sallie Mae student loans
We rate all student loan products in our reviews and guides on a 1-5 scale. The overall rating is a weighted average that takes into account seven different categories, some of which are judged more heavily than others. They are:
- Interest rate (20% of rating)
- Fees (20% of rating)
- Term lengths (15% of rating)
- Repayment options while in school (15% of rating)
- Borrower accessibility (15% of rating)
- Customer support (7.5% of rating)
- Ethics (7.5% of rating)
Each category’s weighting is determined based on its importance to your borrowing experience. Rates and fees have the most significant impact on the total cost of your loan, so we weigh those the most heavily. Customer support and ethics are still crucial parts of the borrowing experience, but do not directly tie to a student loan’s terms, so they have less of an impact on the overall rating.
Read more about how we rate student loans >>
Sallie Mae Student Loans Frequently Asked Questions
The approval will likely take a few business days.
Sallie Mae offers five, 10, or 15 year repayment terms for its student loans.
Sallie Mae undergraduate student loan APRs are 5.37% – 15.70% variable and 4.15% – 15.49% fixed.
While there is always a possibility a private company could decide to forgive student loans, the likelihood is extremely slim. No private loans are likely to be forgiven.
The Better Business Bureau rates Sallie Mae, a BBB-accredited company, an A+. This means the BBB deems the company truthful in how it handles business, effective in its responses to customer complaints, and honest in its advertising.
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