Frequently Asked Questions: Student Loan Refinancing for Parents

1. Click Get My Rate to determine the rate you may qualify for
2. Fill out an application for an Education Refinance Loan for Parents which will include personal information as well as details about existing loans in your name or loans you have co-signed
3. Determine if you would like to apply as an individual or with a co-signer
4. We will review your and your co-signer’s credit profile and your application to determine eligibility
5. We will present you with different loan options, including new rates, terms and monthly payment amounts
6. You choose the option that works best for you. Need additional assistance? Contact our Student Lending specialists at 1-877-405-2262
7. We will make payment(s) to your current loan servicer(s) to pay-off your student loans.
8. Continue to make on-time loan payments until you receive confirmation that the loans have been paid-in-full

1. Federal Direct PLUS
2. Student loans and alternative student loans from other lenders (including loans you may have co-signed)

During our review process, we will confirm whether the loans that you have submitted are eligible for refinancing with Citizens Bank.

You must have been a party to the original loan (either primary borrower or co-signer) in order to be eligible to refinance.

You cannot include any other debt that is not an education loan (for example, credit card or mortgage), even if it was used to pay education expenses.

Minimum: $10,000

Maximum: $500,000

• Borrowers must be a U.S. citizen, permanent resident, or resident alien with a valid U.S. Social Security Number residing in the United States. Resident aliens must apply with a co-signer that is a U.S. Citizen or permanent resident with a valid U.S. Social Security Number residing in the United States.
• Borrowers must have at least $10,000 in student loans to refinance

You will need the following personal information in order to find out your rate and savings:

• Name
• Address
• Date of Birth
• Social Security Number
• Email Address
• Phone Number
• Total Amount to Refinance
• Total Current Monthly Payments

The FAFSA is considered the application for federal student loans, and is typically a student's first step in applying for financial aid.

You can fill out the form online at www.fafsa.ed.gcov. Students are strongly encouraged to apply online, but if you prefer, you can complete a paper version of the FAFSA and send it via mail. Check with your high school guidance counselor or college financial aid office for a paper form.

The types of loans, and amount you're eligible to borrow each year is determined by your school each year. However, there are limits to the amount you can receive. Annual and lifetime limits vary based on the year of school you are in, and whether you filed as a dependent or independent student. You can visit the Federal Student Aid site for more details, but to give you an idea of what to expect, below are the current annual limits:

• First-year undergraduate: $5,500
• Second-year undergraduate: $6,500
• Third-year & beyond undergraduate: $7,500
• Graduate or Professional (independent students): $20,500

We offer the Citizens Bank Student Loan for Parents, which enables parents to borrow a private student loan to cover the cost of college without adding the burden of debt to the student. With no origination fee, this could be a better alternative to the Federal PLUS Loan for qualified applicants.

If you are a dependent, undergraduate student, your parent(s) can apply for a Federal Direct PLUS Loan. This loan allows your parents to apply for whatever amount they need to cover your balance for the year.

You may borrow up to the maximum qualified loan amount or the total cost of education, whichever is lower. Our student loan does have lifetime aggregate limits (including both federal and private loan debt) of:

• Minimum: $1000
• Undergraduate: $225,000
• Graduate Degrees: $225,000
• MBA and Law: $300,000
• Healthcare: $225,000 or $400,000 depending on your degree²

All you need to do is fill out the quick and easy online application. Before you apply, make sure you have the following items available so you can easily complete your application:

• Name, address, phone number, email address
• Date of birth
• Social Security Number
• Recent pay stub (no more than 60 days old) or other proof of income and monthly housing payment.
• Employer name, phone number and length of employment (if applicable)
• Name of school you plan to attend
• Cost of attendance and any financial aid received (see award letter from your school)
• Student's anticipated graduation date, loan period and loan amount needed.
• Student borrowers will need to provide a reference.
• Co-signer name and valid email address (if applicable)

Remember, students are encouraged to apply with a qualified co-signer to increase their chances of approval and receiving the lowest rate possible. If you're a parent, take a look at our Student Loan for Parents—with an average fee savings of $643¹, it's a better alternative to the Federal Direct PLUS Loan.

Student loan refinancing gives you the ability to refinance one or more federal and private student loans into a single loan with new terms, including a new interest rate, monthly payment amount, or repayment length. Even if you have previously consolidated or refinanced your student loans, you may be able to lower your interest rate and/or your monthly payment by refinancing with the Citizens Bank Education Refinance Loan^®.

For people with multiple student loans, consolidation can help simplify payments by combining these separate loans into one. When you use an Education Refinance Loan, Citizens Bank will combine these separate loans into a new, single loan. This new loan will have new terms, such as a new monthly payment amount, interest rate and repayment length. Student loan consolidation is for people carrying multiple student loans with separate due dates, payment amounts and interest rates. By combining these many loans into one, you can simplify your loan payments and make it easier to fit student loan repayment into your budget.

Federal loan consolidation is common, but only recently have students been able to consolidate their federal and private loans together. If you need to simplify your student loan payment process, the Citizens Bank Education Refinance Loan® gives you the option of consolidating your federal and private loans together and receive a new term, a new repayment length and a new interest rate. Unlike federal loan consolidation where your new interest rate is based on a weighted average of each loan's rate, Citizens Bank will base your new interest rate on the market and your credit score.

If you have questions about whether student loan consolidation is right for you, speak with one of our Student Lending Specialists.

You will need the following personal information in order to find out your rate and savings:

• Name
• Address
• Date of Birth
• Social Security Number
• Email Address
• Phone Number
• Total Amount to Refinance
• Total Current Monthly Payments

You can include any student loan debt used for financing your education (for example, Citizens Bank Student Loans, other private student loans from other lenders, or your federal loans like Federal Direct PLUS or Stafford loans). You cannot include any other debt (for example, credit card or mortgage), even if it was used to pay education expenses. You may also be able to refinance your student loan debts, even if you previously consolidated them into a single loan.

Our application has a list of the most common loan servicers; however, you may submit loans for which the servicer is not on our list. When we review your application, we will review whether loans from that servicer may be refinanced.

Minimum: $10,000

Maximum Aggregate Loan Amounts:
$300,000 (Bachelor's degree or below)
$500,000 (Graduate degree)
$750,000 (Professional degree)

• The student loans you refinance must be in repayment and you cannot currently be attending school. If you are currently enrolled in school and are seeking additional financing, please consider the Citizens Bank Student Loan.
• You must be a U.S. citizen, permanent resident or resident alien with a valid U.S. Social Security Number, residing in the United States. Resident aliens must apply with a co-signer who is a U.S. citizen or permanent resident.
• You must have at least $10,000 in student loans to refinance. Borrowers with a verified bachelor's degree must have made at least three (3) full on-time payments on all the loans you wish to refinance and may need to provide proof of graduation.
• Federal loans currently on an income driven repayment plan are not eligible to refinance. Ineligible Federal repayment programs include: Revised Pay As You Earn Repayment Plan (REPAYE Plan), Pay As You Earn Repayment Plan (PAYE Plan), Income-Based Repayment Plan (IBR Plan), and Income-Contingent Repayment Plan (ICR Plan).
• Borrowers with a verified graduate degree do not have a minimum payment requirement and may apply while in their grace period.
• If you have not earned at least a bachelor’s degree from a federally accredited college or university, you must have made at least twelve (12) full on-time payments on all the loans you wish to refinance.

For more information about eligibility requirements, speak to a Student Lending Specialist.

• You will need to present a reasonably strong credit history, which is derived from your credit score, along with a minimum household income (for either the borrower or co-signer) of $24,000.
• Although a co-signer is not required, if you have little or no credit history, we strongly encourage you to apply with a qualified co-signer to increase your chances of being approved. A qualified co-signer can also help you secure a lower interest rate.
• Borrowers may apply for co-signer release after making 36 consecutive on-time payments of principal and interest on your Education Refinance Loan. The borrower must meet certain credit and eligibility guidelines when applying for the co-signer release.

Both the borrower and co-signer may need to submit the following:

• Social Security number (or Alien ID number for permanent resident)
• Gross monthly income
• Employer name, phone number, and length of employment (if applicable)
• Monthly rent or mortgage payment (if applicable)
• The current lender/servicer of your existing student loans, full account number of those loans, current loan balances, your monthly payment, the next payment due date, and the interest rate and type. Your most recent monthly billing statement will have all of this information.

After you apply, here are the steps to getting your loan:

1. Decision
   We will validate your income and existing student loans and run a credit check. Then, we will notify you whether you're approved for a refinance loan.
2. Term Selection
   If approved,* we'll outline the loan options you qualify for, and you'll choose terms like a fixed or variable interest rate and a 5, 10, 15, or 20 year term to pay back the loan.
3. Closing
   You (and your co-signer, if applicable) must accept the loan terms and sign the promissory note. You'll receive a Final Disclosure that confirms your loan terms and provides your Right to Cancel notice.
4. Old Loans Paid Off
   Citizens Bank will pay off the federal and/or private student loans you're refinancing or consolidating.
5. New Loan Begins
   You begin repaying your Education Refinance Loan right away.

*Approval and rates for a student loan refinance will depend on your credit score and presence of a co-signer. Rates and terms available may not be better than your original loan, and lower monthly payments may cause you to pay more in interest over the extended life of the loan.

We’ll validate your income and the existing student loans you want to refinance. Then we’ll notify you of a credit decision. If you’re approved, you will choose your loan terms from the options you qualify for, including the interest rate and how many years you have to pay back the loan. If you decide to accept the loan, you will be required to:

• Acknowledge and accept the terms of our offer.
• You and your co-signer, if applicable, will be required to review and sign your application and promissory note.

Before we deliver your refinance loan proceeds to your prior lenders, we'll provide you with (1) a Final Disclosure that will confirm the terms of the refinance loan and (2) a Right to Cancel notice that explains you have at least three business days to cancel your refinance loan without penalty along with instructions on how to do so.

Yes, there are interest rate reductions available for borrowers of the Citizens Bank Student Loan, Student Loan for Parents, and the Education Refinance Loan. Check out each of the product pages for detailed information on available discounts.

If you’ve received an email that you need to take action on your loan, you should choose either “Log In” or “Check My Loan Status.” If you do not already have a user account you should create one at this time.

If your application has not been submitted for a credit review, you should choose "Finish an Application." There, you will see four options:

• I have a saved application I would like to finish. If you didn't finish your application when you began it, please select this option and you will be able to log in with your user account.
• I started an application by phone or online and need to create an account. If you have not yet created a user account, please select this option.
• I am the borrower, and for the first time I am logging in to finish the loan the co-signer started. If your co-signer completed his or her portion of the application and you have not started yours, then please select this option.
• I am the co-signer and for the first time I am logging in to finish the loan the borrower started. If the borrower has completed his or her portion of the application but you have not started your portion yet, then please select this option.

If you have already submitted your application for a credit review or created a username and password, you can always choose either to "Log In" or "Check My Loan Status" from the main page to access your most up-to-date loan status. If you need to get back to the main page, you can select "Start Over."

You may choose whether to physically sign or e-sign your student loan application and promissory note.

Physically Signing: If you choose to physically sign your note, provide a bank statement verifying your name and physical address as stated on the application. If you cannot provide a bank statement, then a utility bill with this information is acceptable, along with a W-2 or first two pages of your 1040 verifying your name, address, and SSN. If you do not file taxes or receive W-2s but can be claimed as a dependent on another's tax return, we will accept the 1040 of the individual who claims you as a dependent.

E-signing: This must be done through our application portal, not through the Sign and Certify function on Adobe Acrobat products. You must first review and agree to the Electronic Documents Consent. Then, under your Loan Documents Checklist, you can choose to complete your signature on the application and promissory note. You will be asked to complete four steps: 1) review your application/promissory note, 2) enter and validate the e-sign code found on the bottom of the last page of the note, 3) consent to the terms of the note, and 4) consent to verify identity using the information found on your credit report.

After you select "Continue," you will be asked to answer four questions related to your credit report. These questions are generated by Equifax, a credit reporting agency, and relate to items in your personal credit profile. These questions allow us to verify your identity and protect you from fraud.

• Via Standard Mail:
  Education Finance
  P.O. Box 42124
  Mailstop RTL295
  Providence, RI 02940
• Via Overnight Mail: Education Finance
  One Citizens Way
  Mailstop: JCA295
  Johnston, RI 02919

For assistance with the Education Refinance Loan call 1-888-333-0128.

For assistance with the Student Loan, or Student Loan for Parents call 1-800-708-6684.