RISLA Parent Student Loan Review
Parent Loan
Rewards: Autopay Discount
Flexibility: Multi-Year Option available
Yearly Loan Limits: $45,000
Overall Loan Limits: $1,500 (minimum), $175,000 (aggregate maximum)
Cosigner Terms: Cannot apply with a cosigner
The Rhode Island Student Loan Authority (RISLA) is about as close as you can get to finding a federal loan in the private market. Though it only offers a single fixed-rate loan option for parents, RISLA offers borrowers an income-based repayment plan and forgiveness options (unheard of in the private loan market).
Pros
- Does not have any enrollment status limitations
- Offers a Multi-Year Option
- Offers an income-based repayment plan and forgiveness options
Cons
- Only offers a single fixed-rate loan option
- Only offers one repayment term of 10 years
- Borrower is limited to the student’s parent
How does this loan compare?
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| 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. Interest rates listed include an autopay discount if available. |
Fixed:
5.74% - 8.74%
Variable:
Not Available
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Fixed:
6.50% - 14.83%
Variable:
6.32% - 15.86%
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Fixed:
3.59% - 17.99%
1
Variable:
5.59% - 17.99%
1
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| Loan repayment terms (Years) | 10 years | 5 years, 10 years, 15 years | 5, 15 years |
| Cosigner release? | None | Yes, after 24 months on-time principal and interest payments | Not specified |
Full Review
RISLA’s parent loans are remarkable in that their repayment policies share a lot in common with superior federal loan repayment policies. If you want your monthly payments tied to your income, RISLA allows you to do that. And when it comes to forgiveness options, though that’s usually only something you can pursue with federal loans, RISLA also offers a few.
On the flip side, they are also remarkably rigid. They only offer one fixed rate for all borrowers and one repayment term of 10 years. To qualify, you must make over $40,000 a year and be the parent of the student. Grandparents, aunts and uncles cannot borrow through this loan program. RISLA will not, however, require the student to maintain a certain enrollment status or Satisfactory Academic Progress.
Rhode Island Student Loan Authority (RISLA) - Private Student Loan Details
- Credit Check: Hard
- Repayment Terms: 10 years
- Minimum Borrowing Limit: $1,500
- Yearly Borrowing Limit: $45,000
- Aggregate Borrowing Limit: $175,000
- Application Fee: None
- Origination Fee: None
- Prepayment Penalty: None
- Late Fee: Yes
- Minimum Credit Score: Not specified by lender
- Minimum Annual Income: $40,000
- Citizenship Restriction: Citizens or Residents
- Minimum Enrollment Restriction: None
- List of States where Loan is Not Available: None
- Approved Schools Include: All
- Immediate Principal and Interest Repayment: Yes
- Fixed Monthly Repayment: None
- Interest-Only Repayment: None
- Full Deferment: None
- Length of Grace Period: None
- Maximum Deferment Period: None
- Maximum Forbearance Period: 12 months
- Cosigner Release Option: None
- Death Discharge: Yes
- Disability Discharge: Yes
- US-Based Call Center: Not specified by lender
- Hours of Operation (in addition to weekdays): Not specified by lender
- Application Timeline: Not specified by lender
- Scholarship Search Tool: Yes
- Sponsors a Scholarship: Not specified by lender
- Job and Career Assistance: None
- Financial Literacy Training: Not specified by lender
