State nonprofit agency lowers interest rates on private student loans

NC GAZETTE / WBRT RADIO
Education news

Thursday, Dec. 9, 2021 — Kentucky students and families who need extra help paying for college expenses can now save even more with the state’s only nonprofit private student loans.

The Kentucky Higher Education Student Loan Corporation (KHESLC) has lowered the interest rates on its Advantage Education Loans.

As a not-for-profit public agency, KHESLC keeps its rates as low as possible to help students and their families pay for college. To help borrowers who are repaying their loans, the corporation also lowered the eligible months for the cosigner release benefit from 36 to 12 months.

Interest rates on student and parent loans now range from 3.09 percent to 6.48 percent. Those rates drop to 2.84 percent and 6.23 percent if borrowers use autopay.

People who cosign loans for borrowers can now be released from their obligations if the borrower makes 12 consecutive months of payments on time.

People who are repaying multiple student loans will also see lower interest rates on refinance loans from KHESLC. Rates on those loans will now range from 3.19 percent to 6.49 percent. Again, borrowers who use autopay will see their interest rates drop by 0.25 percent.

The Kentucky General Assembly created KHESLC in 1978 as an independent public agency to provide low-cost student loans to students and parents. It is a sister agency to the Kentucky Higher Education Assistance Authority, the state agency that administers the Kentucky Educational Excellence Scholarship (KEES) and other state student aid programs.

To learn more about Advantage Education Loans, visit AdvantageEducationLoan.com.

-30-