Cons Explained
- Interest rates: Wells Fargo’s interest rates ple, fixed-rate loans for undergraduate students range from 4.53% (the lowest rate with discounts) to %, not including any customer discounts. To qualify for loans with an interest rate on the lower end of the range, you need excellent credit. By contrast, federal loans for all undergraduate students have a fixed rate of 3.73%, regardless of credit score. However, Wells Fargo is no longer accepting new http://www.getbadcreditloan.com/ applicants for student loans.
- Loan limits: Wells Fargo limits how much you take out in total education debt. The limit for undergraduate student loans, combined with all other education debt-including federal student loans-is $120,000. If you need to borrow more than that, you’ll have to find another lender.
- No alternative repayment options: While other lenders offer multiple payment options-such as interest-only payments or fixed payments-Wells Fargo only offers one repayment method for most student loans. You get a six-month grace period, then start making full principal and interest rate payments on your debt. The limited repayment options are a significant drawback compared to other lenders.
Wells Fargo Student Loans Available
It also has loans for students in their residency, completing the bar exam, or pursuing career training or studying at community colleges.
Undergraduate Student Loans
Depending on your dependency status, the most you can borrow each year in federal direct loans as an undergraduate student is between $5,500 and $12,500. If your tuition and room and board cost more than that, a private student loan from Wells Fargo can help cover the remaining amount.
Wells Fargo’s undergraduate student loans have no origination or application fees and no prepayment penalties. You can borrow up to the total cost of attendance, minus the other financial aid you received. The limit Wells Fargo allows for all education debt-including federal student loans-is $120,000.
Graduate School Loans
If you are planning on getting a master’s degree, MBA, law degree, or other professional credential, a graduate school loan from Wells Fargo can be a cost-effective alternative to federal student loans. Depending on what federal loans you qualify for, your interest rate could be 5.28% to 6.28%. But if you have good credit, you could qualify for a loan with Wells Fargo with a fixed interest rate as low as 5.64%.
Most graduate loans are subject to the same $120,000 cap as undergraduate loans. However, graduate loans used for law or business degrees have a lifetime limit of $180,000.
Medical School Loans
For graduate students in medical, nursing, dental, or other health-related programs, Wells Fargo offers MedCAP Medical School Loans. These loans give you a six-month grace period. But allopathic and osteopathic medical students can qualify for a 36-month grace period, giving them time to start their careers before they have to start making payments.
- Allopathic or osteopathic medicine and dentistry: $250,000
- Graduate nursing, occupational therapy, optometry, pharmacy, physical therapy, physician assistant, podiatry, and veterinary medicine: $180,000
- Other eligible disciplines: $120,000
Medical Residency and Relocation Loans
Medical residents who need help covering expenses related to their residency, medical boards, or relocation expenses may be eligible for Wells Fargo’s MedCAP-XTRA loans. There is a six-month grace period (36 months for allopathic and osteopathic students) and you can borrow up to $15,000 for qualifying expenses.
| Loan Terms | 7 years |
Bar Exam Loan
If you’re a law school student preparing to take the bar exam, you can use a Wells Fargo bar exam loan to pay for registration fees, test preparation materials, and your living expenses. You can borrow up to $12,000, and no payments are required until six months after you leave law school.