Partnership Advance Education Loan

The Partnership Advance Education Loan is a supplemental private student loan for students who are Iowa residents or are attending an Iowa school. Review additional details and eligibility and underwriting criteria.

Download comparison chart and loan details. (PDF)

At a Glance

The Partnership Advance Education Loan offers borrowers, who meet the underwriting and credit criteria on their own or with cosigner(s), five options.

Loan	Partnership Advance Education Loan
	Fixed-Rate Options			Variable-Rate Options
	Option 1	Option 2	Option 3	Option 4	Option 5
Origination Fee	0%	0%	4%	0%	4%
Interest Rate	7.75%	7.85%	7.90%	4.25% + 3-month Libor index1,2	4.35% + 3-month Libor index1,2
Payments Required While Enrolled and During Separation Period?	Yes, interest-only payments3	Yes, interest-only payments3	No	Yes, interest-only payments3	No
Separation Period	10 Months4	8 Months4	6 Months	10 Months4	6 Months
Principal and Interest Repayment Term	10 Years5	15 Years5	18 Years5	10 Years5	15 Years5

This example shows the monthly payments for a $10,000 Partnership Advance Education Loan.

Example on a $10,000 Loan	Partnership Advance Education Loan
	Fixed-Rate Options			Variable-Rate Options
	Option 1	Option 2	Option 3	Option 4	Option 5
Annual Percentage Rate	7.75%6	7.85%6	7.86%6	4.70%6	5.01%6
Finance Charge	$7,9536	$10,5126	$15,4776	$4,7076	$7,3166
Interest-Only Monthly Payment	$656	$656	n/a	$396	n/a
Principal and Interest Monthly Payment	$1206	$956	$1166	$1056	$946

¹ The rate is subject to increase after consummation. The three-month Libor index is defined as the daily average of the 3-month London Interbank Offered Rate (Libor) (currency in U.S. dollars) that was calculated and published on the British Bankers' Association's website on each business day during the 91-day period ending on the 20th day of March, June, September and December. The three-month Libor index for the quarter Jan. 1 – March 31, 2012, is 0.45%.

² The rate will not exceed 21.00%.

³ Borrowers with delinquencies during the interest-only repayment period may have future disbursements and/or loans suspended or canceled.

⁴ The in-school and separation periods cannot exceed 60 months. Interest-only repayment required during this period.

⁵ A loan of $1,000 or less has a maximum repayment term of 37 months.

⁶ Annual percentage rate (APR), finance charges and monthly payments are based on borrowing $10,000. Option 1 is based on deferring principal for 55 months and a fixed rate of interest of 7.75% during the 55-month in-school and separation period and the 120-month principal and interest repayment period. Option 2 is based on deferring principal for 53 months, and a fixed rate of interest of 7.85% during the 53-month in-school and separation period and the 180-month principal and interest repayment period. Option 3 is based on deferring interest and principal for 51 months, and a fixed rate of interest of 7.90% during the 51-month in-school and separation period and the 216-month principal and interest repayment period. Option 4 is based on deferring principal for 55 months while maintaining a constant interest rate on a variable rate loan of 4.70% during the 55-month in-school and separation period and the 120-month principal and interest repayment period. Option 5 is based on deferring interest and principal for 51 months while maintaining a constant interest rate on a variable rate loan of 4.80% during the 51-month in-school and separation period and the 180-month principal and interest repayment period. APR examples are based on quarterly interest rates Jan. 1 – March 31, 2012.