Home LOANS CommonBond Private Student Loans – Eligibility & Interest Rate,

CommonBond Private Student Loans – Eligibility & Interest Rate,

CommonBond is a respected lender that offers private student loans while emphasizing transparency, community, and responsible lending. In this post, we will look into CommonBond Private Student Loans, its distinctive characteristics, and how they help students succeed.

CommonBond has considerable financial backing from the finance and banking industries. Its lending capability is provided by financial institutions such as Goldman Sachs, Citibank, Barclays, BMO, and ING. The CommonBond financing mechanism has propelled it to the forefront of the market. To far, CommonBond has closed approximately $5 billion in financings.

As referral agents, CommonBond collaborates with a diverse set of partners. Large US banks and corporations provide crucial referrals. CommonBond, as a successful lender, has the trust of individual borrowers and their families, who also make referrals.

CommonBond’s mission is to give an alternative to traditional lending ideas and procedures used by private lenders. Online operations can pass on savings to borrowers because to increased efficiency, lower funding costs, and lower transaction costs. Online financing can be more convenient, simple, and straightforward than traditional in-person transactions. In most cases, CommonBond can process an application within one business day.

Key Features of CommonBond Private Student Loans

CommonBond offers a range of features that make their private student loans an attractive option for students:

  1. Competitive Interest Rates: CommonBond provides competitive interest rates, ensuring that borrowers can access financing at affordable terms.
  2. No Application or Origination Fees: Borrowers are relieved from the burden of application or origination fees, allowing them to maximize the loan amount without unnecessary costs.
  3. Cosigner Release Option: CommonBond offers a cosigner release option, allowing borrowers to remove the cosigner from the loan agreement after meeting specific criteria, such as making a designated number of on-time payments.
  4. Repayment Flexibility: Borrowers can choose from various repayment terms, ranging from 5 to 15 years, to find a plan that fits their financial situation and preferences.
  5. Personalized Customer Service: CommonBond takes pride in providing personalized support and guidance throughout the loan application and repayment process, ensuring a positive borrower experience.

Eligibility and Requirements

To be eligible for a CommonBond Private Student Loan, applicants must meet certain criteria, which may include:

  • U.S. citizenship or permanent residency.
  • Enrollment in an eligible undergraduate or graduate program.
  • Satisfactory credit history or a creditworthy cosigner for students with limited credit.

The CommonBond Community

CommonBond not only offers private student loans but also fosters a strong sense of community among its borrowers. Borrowers gain access to a network of like-minded individuals through CommonBond’s “Social Promise.” This community-oriented approach allows students to connect, network, and support each other on their educational and professional journeys.

Responsible Borrowing with CommonBond

CommonBond is committed to responsible lending practices, ensuring that borrowers are equipped with the resources and support they need for successful repayment. The lender offers a variety of tools, such as student loan calculators and budgeting guides, to help borrowers make informed financial decisions.

What types of loans does CommonBond offer?

CommonBond offers education loans for undergraduate students, graduate school students, business school students, and students seeking professional degrees in dental or medical schools. Loans range from $2,000 to the full costs of attendance. The lifetime loan maximum is $500,000, and the refinance maximum is $500,000.

Undergraduate loans are available for qualified students seeking a bachelor’s degree with a co-signor. Legally, many undergraduate school applicants qualify to sign on their own, CommonBond requires a co-signor. The loan program is not available in every state and students must inquire about eligibility in their locations.

Undergraduate loan program the below-listed features.

  • Application review and a personalized rate estimate with soft credit check.
  • Individual student information support
  • Flexible repayment options while in school
  • Co-signor required for all undergraduate loans

The undergraduate loan program works well with applicants that have a co-signor and that value the benefit of strong customer support. The repayment options have in-school choices and post school options.

The in-school options include immediate repayment, a fixed low monthly in-school repayment, and interest-only in-school repayment. Undergraduates can defer all payment until after graduation.

The post-school options include academic and military service deferments. With signed job offers, students can get deferments for internships, residency, or fellowships. Post -school grace period is six months. Each loan has up to 12 months of forbearance that borrowers can use in three-month increments.

There is no prepayment penalty, and the lender applies excess payments to Borrowers can apply to substitute the student borrower for the co-signor and release the co-signer’s obligation. Student borrowers must apply for approval to release the co-signor; the basic requirements are twenty-four consecutive on-time payments and qualifying or taking over the payments.

Graduate Loans

CommonBond works with graduate students and medical school students. The loan programs include professional students in law schools, MBA programs, and dental schools. Students can borrow to refinance parents PLUS loans. Borrowers can participate that reside in any US state except Missouri and Nevada.

Graduate loans offer up to 12 months of deferment over the course of the loan. Graduate school loans have no prepayment penalty, and borrowers can release cosigners after two years of on-time, consecutive payments. Rates depend on the type of education (Dental, Law, MBA, or Medical), the strength of the borrower’s credit and employment if any.

CommonBond does not charge origination fees. The annual percentage rate includes a two percent origination fee for medical, dental, and business school degree.

Refinancing your CommonBond Loan

Refinance loans can help borrowers with a bachelor’s degree or higher level of education. The loan terms offer up to 24 months forbearance during the life of the loan. CommonBond has features that at can be helpful. They include a SmartSave option to reprogram refinance savings into a high-yield savings account. CommonBond makes donations to an international education charity for each new refinance contract.

CommonBond provides student loan refinancing for graduates, parents, or graduate students with loans. Refinancing can help lower the monthly costs of loans and consolidate multiple loans into a more convenient and affordable payment plan. Refinancing can reduce interest and help pay off loans faster than a student’s original loan or loans.

Consolidation of Federal Student loans keeps the loans within the federal system. Protections and policies like public service forgiveness and income-based repayment are federal policies. Refinancing with CommonBond converts federal loans to private loans. Federal policies will no longer cover borrower rights. Private loans do not have to offer forgiveness, public service credits, or repayment based on income.

A Commitment to Social Impact

CommonBond stands out not only as a private student loan provider but also as a company committed to social impact. For every loan funded, CommonBond funds the education of a child in need through its partnership with Pencils of Promise. This philanthropic approach adds a meaningful dimension to borrowing for education, allowing students to contribute positively to the global community.

How Does a CommonBond Private Student Loan Work?

Students and student families can apply for loans with CommonBond. The interface is simple and easy to follow. Applications get quick answers. Eligible loan categories include undergraduate studies, graduate programs, MBA, dental, and medical school education, and education loan refinancing. The lender disburses loan funds to educational institutions with exceptions for some graduate and professional loans that allow a limited direct disbursement.

Degree holders must have graduated from an accredited college or university that would be eligible for federal student loan program participation. Eligible students will be US citizens, permanent residents, or qualified Visa holders (categories H1-B, J-1, L-1, E-2, or E-3).

CommonBond requires co-signers for all undergraduate loans and some graduate loans. Disbursements go to the school in which the borrower must be enrolled at least halftime.

Graduate loans trigger a charitable contribution to the international educational partnership- Pencils of Promise- to help underprivileged Third-world children.

Credit score

Credit score is an essential part of qualifying for CommonBond loans and the costs of borrowing. CommonBond uses credit scores when deciding to accept or reject undergraduate loan applications. The co-signor requirement should be read as a co-signor with qualified credit scores. Bankruptcy may not be a factor if longer than seven years in the past. While a typical minimum credit score may be as high as 680 and the minimum annual income in the range of $65,000, the lender assesses each case on an individual basis.

The CommonBond process uses two types of credit reviews. To provide an estimated interest rate on a loan application, the lender uses a soft credit pull. Typically, a soft pull will not affect the applicant’s credit score and it allows the lender to set a good estimate of the final interest rate. The next step towards finalizing the loan is a hard credit pull.

The hard credit pull examines the borrower’s credit files in depth and will show on the credit report. The hard pull is necessary to examine the credit profile and set the actual rate for the loan.


CommonBond enjoys a good rating from the Better Business Bureau. One rating service awarded five stars for student loan refinancing, and the lending program was rated highly for parent borrowers. The 24-month forbearance is longer than typical payment pause provisions. Student borrowers can refinance a parent Plus loan in the name of the student borrower.

CommonBond like most student loan businesses has strengths that appeal to some borrowers and do not fit well with others. Borrowers with a bachelor’s degree may favor CommonBond because it offers a wide range of payment flexibility options. Co-signors with excellent credit scores will often find lower rates from other lenders. In such situations, high credit score borrowers should balance all Commonbond features when considering the interest rates such as flexibility, deferment, and grace period.

CommonBond’s reputation includes recommendations and referrals form borrowers and their families. Word of mouth is a powerful form of advertising and while one cannot buy or sell trust. Customer confidence is the best CommonBond Private Student Loan review; customer testimonials demonstrate that staff involvement creates positive customer connections.


CommonBond agreements permit academic deferment. Students that have begun to pay or are in a repayment grace period can request deferment when returning to education. Graduates frequently decide the add to their education or training by further education for graduate degrees or post-graduate specialization. The repayment terms also provide a deferment for military service.

Forbearance is a contract right under nearly all CommonBond loan repayment terms. Over the life of the loan, borrowers can use up to 24 months of non-payment due to forbearance. While forbearance may extend the term or repayment and add to the costs of the loan, a pause can be a valuable asset when navigating unexpected occurrences, career changes, and other life events.

The loan can be discharged upon the death or disability of the borrower. Further, the discharge provision applies to the death or disability of the co-signor. The COVID-19 pause on Federal Student Loans did not apply to private loans. Each lender is free to determine a policy toward Covid-19 relief for borrowers.


In the CommonBond system, deferment means postponing payments while still in school and for up to six months after graduation. Deferments may be granted for return to school, military service, and participation in internships, fellowships, or residency programs. Undergraduate and graduate loans may each get 12 months of deferment. The overall maximum is 24 months per borrower.

Deferment relieves the obligation to make monthly payments, but it does not pause the accumulation of interest and debt. Students must be mindful of the impact of deferment on the repayment timetable and the overall amount to be repaid. Deferments extend the time needed to repay the loan and increase the interest and overall amount of the debt.


Interest rates depend on the applicant’s creditworthiness, amount financed, and length of repayment. The repayment terms available are fixed-rate loans, variable-rate loans, and hybrid-rate loans.

  • Fixed-rate loans offer terms of five, seven, ten, 15 or 20 years.
  • Variable rate loans offer terms of five, seven, ten, 15 or 20 years
  • Hybrid-rate loans offer ten-year terms divided into five years of fixed-rate payments and five years of variable-rate payments.

All CommonBond refinance loans have no origination fees, no pre-payment penalty, and grace period deferment. Monthly payments begin between 3- to 60 days after disbursement of loan funds.


CommonBond Private Student Loans stand out not only for their competitive interest rates and borrower-friendly features but also for their commitment to social impact and community building. With a focus on responsible lending, personalized customer service, and support for educational access, CommonBond empowers students to pursue their academic aspirations without unnecessary financial stress.
Responsible borrowing and financial planning remain essential components of a successful college experience. By choosing CommonBond as a trusted partner in financing education, students can embark on their higher education journey with confidence, knowing that they are supported by a lender that values their success and the greater good of the global community.

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