Discover's private consolidation loan allows existing Discover student loan customer to refinance their federal and private student loans. In addition, borrowers can potentially lower their interest rate and monthly payments, combine their loans into one monthly payment, and obtain a loan with or without a cosigner.
The minimum loan amount is $5,000, and payments are due 30-45 days after the loan is disbursed and consolidation is complete.
Customers receive a .25% interest rate discount by signing up for automatic payments.
The website is extremely transparent and includes all of the most important information. Their FAQ section is helpful and informative.
Discover has a mobile app for both iOS and Android devices, and allows users to view account activity, earn reward points and more.
People who go back to school at least half-time can enter a deferment period. Additionally, military active duty members, people in the public service (with eligible organizations), and health professionals doing a residency program can also qualify for deferment.
Discover is a well-known company with a long history of helping their clients. The company runs a Facebook, LinkedIn, Twitter, and Youtube page, each with a large number of followers.
Customers are not charged an application, origination, prepayment, late, or annual fee.
After borrowers apply, it can take around 30-45 days to process. It is during this time that Discover checks credit history and similar points.
According to the company's website, the following loans are not eligible for Discover's private consolidation loan:
While Discover clearly states that personal loans are available in 50 states, the company does not provide any information on state availability for private consolidation loans.
Discover does not provide a detailed description of their repayment terms upfront. The main private consolidation loan homepage excludes this information. Discover does not give specific rate ranges for each term offered.
The private consolidation loan is meant for existing Discover student loan customers. People who are not current Discover student loan members are out of luck.