The student loan industry has undergone a lot of changes over the years.
Between new regulations and changing economic conditions, many traditional private lenders have decided to stop providing their services.
Just recently, Chase Student lending has stopped originating new private loans for new borrowers.
But during this time of great change, we see new lenders entering the market. This is good news for consumers looking for lower rates. Credit unions have stepped up big time to offer lower rates on private student loans, along with a gateway to credit union membership. Additionally, private student loan consolidation is now available to help the many borrowers who took private loans and need a better debt exit strategy now they have completed college.
Again, it’s credit unions helping students when they need it most.
A new article, “Private college loans: 7 things you need to know,” from Lynn O’Shaughnessy at CBS Money Watch highlights the advantages of credit union-based student lending. Credit unions carry lower rates, as noted in the article, and they also provide much more by way of additional products and services for students. Low-rate student loans are just the beginning, when credit unions can offer low- and no-fee checking and savings, better rates on credit cards, auto and mortgage loans, and superior services with financial literacy to help provide common sense knowledge on how to handle money.