Wells Fargo announced it would no longer offer new private student loans to new customers for the 2020-2021 academic year, effective July 1, 2020.
However, if you currently have an outstanding balance on a Wells Fargo private student loan, you may still be eligible to receive new private student loans and private refinance. Cosigners of these loans are also eligible for a new loan.
Borrowers who applied for a Wells Fargo private student loan prior to July 1, 2020 may still receive a new private student loan even if they did not have an outstanding balance on a Wells Fargo private student loan.
Wells Fargo is also not refinancing federal student loans at this time. The company will continue to service the private student loans.
If you were planning on applying for a private student loan with Wells Fargo, there are many other lenders to consider. For example:
- Discover offers partial forbearance options, no fees on late payments, and a graduation and good grades reward. Read our full review.
- Sallie Mae offers a cosigner release after 12 months and generous deferment options. Read our full review.
- Commonbond comes with a free money mentor.
- College Ave allows for cosigner release after requirements are met. Read our full review.
- Earnest allows you to skip one payment per 12 months with prior approval. Read our full review.
- LendKey offers a partial forbearance option and the ability to customize your payment date. Read our full review.
Credible is also a great tool for comparing multiple lenders at once.
As always, before you borrow private student loans, exhaust your other options. These include scholarships, grants, employer tuition assistance and choosing an affordable college. Federal loans are often recommended over private since they offer a slew of benefits, including an option for income-driven repayment, the potential for loan forgiveness, possibility for subsidized loans, and generous deferment options.
At Savingforcollege.com, our goal is to help you make smart decisions about saving and paying for education. Some of the products featured in this article are from our partners, but this doesn’t influence our evaluations. Our opinions are our own.