Education loan debt was a tremendous load for the majority of Us americans

Really individuals place wants to end this type of financing. Merging government funds decrease interest rates. Government loans are entitled to earnings-dependent fees arrangements, which are applied of the financing servicers particularly Cornerstone Mortgage. Straight down interest levels can be acquired by way of private education loan lenders, compliment of refinancing away from a national mortgage to an exclusive mortgage renders the fresh debtor ineligible getting money-established repayment agreements.

In advance of considering refinancing a student-based loan, it’s important to see the difference between government and personal figuratively speaking. In this article, we see government student loan servicer Cornerstone Education loan Properties and you will compare it to three individual student loan people. Consumers should think about their finances very carefully when selecting financing terminology and you may comprehend the gurus and you may dangers of refinancing that have a private education loan bank.

Cornerstone Student loan Qualities

As a Department of Education approved student loan
servicer, Cornerstone Education Loan Services owns many types of federal student
loan debt. The company does not handle private student loans or other types of
debt, such as credit cards or auto loans. In this way, Cornerstone differs from
many other student loan servicers. Cornerstone Loan’s specialization in student
loans makes it an especially good choice for borrowers. Banks that dabble in student loans lack the focus on the market segment needed for excellent customer service. They tend to take a passive approach to customer service. Their goal is to service the loans with as little expense as possible. Customer service initiatives aimed at helping borrowers cuts into their profits. As a nonprofit, Cornerstone Education Services funnels its resources back into fulfilling its mission rather than extracting profits for the benefit of shareholders. Cornerstone Loan has grown popular because of its customer service philosophy. The company has been in business since 1983. In that time, it has developed programs that assist students and their families throughout the entire education financing process.

Alternative Customer support Programs

Ahead of college students get into university, Cornerstone Mortgage provides economic and you will education loan studies. At the same time, Foundation Loan offers advice and you will guidance when you look at the scholarship and you can grant programs. The organization performs this to assist students obtain intelligently and relieve its personal debt accounts.

During the Education

During schooling, Cornerstone Loan continues providing financial education and helps students stay on track with their loans. Many students forget the principles of wise borrowing and money management once they get on campus. College is an exciting time for young adults who are on their own for the first time. With their new found freedom comes responsibilities they are still learning to manage.
Traditional Arkansas loan students have limited income and no experience with money management. As a result, they are prone to getting into debt. With the rising cost of post-secondary education and the high cost of living in many areas, students are finding themselves squeezed. Often, they turn to credit cards and other high interest loans to fill the gap without realizing the harmful impact these types of debts can have on their future. Cornerstone Loan continues its financial and debt education initiatives to help students manage their finances better and avoid these pitfalls. Because of its nonprofit business model, the interest payments made to the company are invested for the benefit of students. The company provides some of the most robust education and student borrower support in the nation.

Immediately after Graduation

Immediately following college students graduate, they could depend on Cornerstone Mortgage to enable them to during their transition from beginner- so you can doing work lifestyle. The firm even offers total customer support that assists children find the most beneficial commission package and create a sustainable budget. Cornerstone’s proactive approach results in an incredibly low-level away from non-payments to the fund they attributes. When borrower’s sense economic worry, Cornerstone Mortgage will bring help in restructuring loans so that they remain in balance. Today’s workforce is more fluid than ever before, leading to reduced occupations cover. So you’re able to comply with the brand new ecosystem, government entities has created applications so you can restructure student education loans as well as in rare cases cancel her or him. Cornerstone Financing has good-sized desire to greatly help the consumers attain the reorganizing you to definitely masters him or her by far the most. Because good nonprofit, Cornerstone Loan provides the independence working about needs of the student individuals.