Updated: September 22, 2021

KHESLC Parent Student Loan Review

Advantage Parent Loans

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Parents
Student Loan Rating
4 of 5
Fixed APR i x While Savingforcollege.com strives to keep the information up to date, the lender rates, terms and other information are subject to change at any time.
3.50% - 6.99%
Variable APR i x While Savingforcollege.com strives to keep the information up to date, the lender rates, terms and other information are subject to change at any time.
Not Available
Repayment Terms
10 years, 15 years
Important Information

Rewards: Autopay Discount

Yearly Loan Limits: 100% Cost of Attendance

Overall Loan Limits: $1,000 (minimum)

Cosigner Terms: Cosigner optional, offers cosigner release after 36 months

The bottom line:

Charging below-average costs and offering remarkable repayment policies, Kentucky Higher Education Student Loan Corporation (KHESLC) has one of the best parent loans. That being said, expect some shortcomings when it comes to customer service and don’t expect to have the option of a variable-rate loan.

Pros

  • Offers a full deferment in-school repayment option
  • Offers a graduated repayment plan
  • Offers a partial forbearance option 

Cons

  • Performs a hard credit inquiry, even for a pre-application rate check
  • Only offers two repayment terms, 10 years or 15 years
  • Call center is not available on evenings or weekends
Kentucky Higher Education Student Loan Corporation (KHESLC) Discover Student Loans College Ave
Rates from (APR) i x While Savingforcollege.com strives to keep the information up to date, the lender rates, terms and other information are subject to change at any time.
Fixed:
3.50% - 6.99%
Variable:
Not Available
Fixed:
5.49% - 13.99%
Variable:
3.99% - 12.99%
Fixed:
3.59% - 13.24%
Variable:
1.29% - 12.23%
Loan repayment terms (Years) 10 years, 15 years 15 years 5, 15 years
Cosigner release? Yes, after 36 months on-time payments None Not specified

KHESLC provides one of the most desirable parent loans out there, especially when it comes to repayment. They offer a full deferment in-school repayment option, allowing you to start repaying the loan after the student graduates. Other lenders require payments to begin while the student is still in school. After the student graduates, you can select a graduated repayment plan or level payment plan. If you run into financial trouble, they offer a partial forbearance option, allowing you to lower your monthly payments without letting your loan balance grow out of control. 

 

When it comes to overall costs, their rates are below average and they don’t charge any fees. However, if you’re looking to take advantage of swings in the interest rate market, note that KHESLC only offers fixed-rate loans.

 

The biggest drawback to KHESLC, however, is their customer service. If you have a question, ask it on a weekday during normal business hours, because they don’t have weekend or evening call centers open. If you’re curious about your rate before applying, they’ll perform a hard credit inquiry before giving it to you (something many other lenders do not do).

Kentucky Higher Education Student Loan Corporation (KHESLC) - Private Student Loan Details

Interest Rates, Fees and Terms
  • Credit Check: Hard
  • Repayment Terms: 10 years, 15 years
  • Minimum Borrowing Limit: $1,000
  • Yearly Borrowing Limit: 100% of Cost of Attendance
  • Aggregate Borrowing Limit: Not specified by lender
  • Application Fee: None
  • Origination Fee: None
  • Prepayment Penalty: None
  • Late Fee: None
Requirements to Qualify
  • Minimum Credit Score: Not specified by lender
  • Minimum Annual Income: Not specified by lender
  • Citizenship Restriction: Citizens or Residents
  • Minimum Enrollment Restriction: Half-Time
  • List of States where Loan is Not Available: None
  • Approved Schools Include: All
Repayment Options
  • Immediate Principal and Interest Repayment: Yes
  • Fixed Monthly Repayment: None
  • Interest-Only Repayment: Yes
  • Full Deferment: Yes
Repayment Details
  • Length of Grace Period: 6 months
  • Maximum Deferment Period: Does not offer
  • Maximum Forbearance Period: Not specified by lender
  • Cosigner Release Option: Yes, after 36 months on-time payments
  • Death Discharge: Yes
  • Disability Discharge: Yes
Customer Service
  • US-Based Call Center: Not specified by lender
  • Hours of Operation (in addition to weekdays): No Evenings or Weekends
  • Application Timeline: Not specified by lender
Extras
  • Scholarship Search Tool: None
  • Sponsors a Scholarship: Not specified by lender
  • Job and Career Assistance: Yes
  • Financial Literacy Training: Not specified by lender
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