Credible student loans is an online company that offers loans to students. They are the go-to solution to people seeking low-interest rates to refinance their current loans or take out new personal or private student loans. In addition, they also offer mortgages and credit cards to their lenders.
Their mode of operation is far from traditional, because what credible does is to connect borrowers with partner lenders within their platform, who are willing to lend to students.
Borrowers are able to locate options that can best suit their needs.
The company has been around since 2012, and they have since risen in popularity to become one of the most preferred loan processing company.
If you wish to use them, you shall be required to fill out an application form, after which you shall receive interest quotes from a selection of lenders simultaneously.
Basically, there are usually several offers spread out before them in an easy format that can give you the lowest APR’s and most flexible repayment terms.
The one thing that borrowers will appreciate about the site is how fast everything happens. There are no long waits, and no sitting around waiting for approval or rejection. You also don’t have to deal with annoying selling points from an agent.
How Credible Loans Work
This loan company has the simplest platforms. It is straightforward and takes approximately 2 minutes to find a lender. The procedure is as follows;
1. Finding a Rate
When you log onto the site, the first thing you should do is click on “Find My Rate.”
You will then be required to fill out a short form, and this takes a very short time. You will need to provide information about your current finances and education.
You should also fill out how much debt you want to take.
The best thing about this application process is that it does not impact your credit score because credible shall only do a soft credit pull.
2. Comparing Options
This is the next step. After you have filled out your personal information on the portal, you shall then be directed to a dashboard that contains lots of offers from different lenders, which you qualify for.
None of this is 100% guaranteed, because your information is not yet verified, and as such, the offers are subject to change. But regardless, they are your pre-qualified rates.
Now, assuming nothing shall change as a result of your credit report, and the market rates do not change, then you can rely on the rates you pre-qualify for.
3. Applying For The Loan
After choosing a lender, it is now time to apply for the loan. During the process, you shall be subjected to some more in-depth questions concerning the loan and your financial history. In addition, the lender shall run another credit check that is more intense.
All this shall happen on the site. When you are done, the lender will then work directly with you on finalizing all of the details.
In case you shall require a cosigner, you can also start this process on the website as well and have it all streamlined together.
How Much Does It Cost?
For students, this is the main selling point. Credible student loans are absolutely free.
You get to apply, compare rates and complete the entire process without paying a single cent. They also do not charge any origination, service or prepayment fees.
You shall, however, be required to pay back the loan to the lender, plus the interest he shall charge on the loan, and any other charges he shall impose on the loan.
But worry not. Credible only partners with lenders who also do not charge any service, origination, and prepayment fees on their loans.
Benefits & Drawbacks of Credible Loans
Before making a final decision, it’s important you’ll be aware of both the pros & cons. Let’s start with the benefits:
The site is simple and easy to use, plus the entire process takes the least amount of time.
They are able to solve most of your problems in the same platform, without needing to keep moving you from one site to another.
Comparison of Rates
This has got to be the best benefit of all time.
Rarely do you get a lender that is willing to give you options. Credible loans give you an opportunity to compare loan rates which enables you to choose the cheapest lender.
From the application to review and disbursement, the process is absolutely free. In addition to this, they do not charge any fees to the lender for applying for the loan.
There are very few lenders who offer their services for free, and credible is definitely on top of the list.
Don’t Affect Your Credit Score
Checking the rages will only require a soft credit inquiry which does not affect your credit report or score.
Most other lenders will do a hard pull that most definitely end up messing with your credit.
Don’t Control The Rates And Terms
This company is just a middleman and as such, they have no control over the loan rates or the terms the lenders give to the students.
For a lender to become part of the Credible platform, they pay hefty fees, and as such, this blocks other better-rated lenders from joining.
On the other side, the borrowers miss out on great rates due to this.
Pre-Qualified Rates Are Almost Never Accurate
Initially, after filling out the form, you will receive the pre-qualified rates, but these rates are not based on a pulled credit report, and they, therefore, tend not to be accurate.
You may end up with slightly higher rates than what you pre-qualified for.
Here are the main products you can find as a customer:
– Loan Refinancing
Credible offers students loan refinancing options at low-interest rates.
The company connects students with lenders who can offer loans that can be utilized to repay all of their existing liabilities.
They also allow you to refinance your federal student loans, although this is not advisable since federal loans have the lowest interest rates and rarely can any company match that.
But if you just want to get rid of the loan liability, then, you can refinance using a credible lender.
– Private Student Loans
They work with lenders to offer private loans to students who are enrolled in school.
These lenders will offer both variable as well as fixed rates to the students. Credible student loans are constantly in the list of the best private loan lenders in the country.
Just like other loans, you shall be required to fill out a very simple form, and then compare offers from multiple lenders.
This does not prompt a hard credit check either. They make it easy for the students to use a co-signer if they do not qualify as a result of their credit reports.
With private loans, ensure that you understand in full, exactly what you are getting into. It is advisable not to take out private loans unless they absolutely must.
However, if you have to, using credible loans is the best option.
– Credible Personal Loans
Credible provides personal loans on its platform as well. They use the same procedure outlined above for student loans.
This, however, doesn’t make sense for everyone especially if you are paying for college yourself but they do make sense for people looking to consolidate their credit card debts.
They offer personal loans from $1,000 up to $50,000 and their APRs basically range from 5.99%. The purpose of the loan determines the loan terms, but basically, you are likely to receive anywhere from 2 – 8 years.
– Credible Credit Cards
Credible has a credit card comparison tool that allows you to specify the type of card you want and compare the rates from possible lenders.
If for example, you wish to have a card with the most reward programs and zero-interest rates or the best in travel rewards, then you only need to fill out an application form and quickly compare the many options available.
You can also be able to filter out your selections based on credit score and other criteria available on the site.
– Credible Mortgage
They make it easy for you to request for pre-qualified rates from many different mortgage lenders.
Again, all you need to do is fill out a form and credible, in partnership with lenders and credit bureaus will provide you with prequalified rates and other fees associated with mortgages for you to choose from.
There is a reason why Credible student loans are at the top of the list when it comes to the best student loan companies.
They offer their services for free, they give you a list of lenders to choose from and they have a wide variety of products for students. You could say that the credible website is a sort of “one-stop-shop” for all things loans.
As a student, it is important that you find the cheapest and most reliable lender because paying student loans is no fun. Credible offers one of the best options for students.