INvestED Snapshot

INvestED offers private student loans, parent loans, and student loan refinancing. INvestED’s student loan offering is best if you are a resident of or student in Indiana seeking competitive interest rates, a variety of repayment options, and a flexible repayment option.

Fixed APR Range: 4.61% to 8.67%

Variable APR Range: 7.88% to 12.34%

Loan Amounts: $1,001 up to the total cost of attendance minus other aid received

Minimum Credit Score: 670

Best Features Drawbacks
• Competitive interest rates
• Variety of repayment options
• Offers a six-month grace period
• Allows up to 24 months of forbearance 
• Offers a Parent Loan option
• Only available to students that are residents of or attending school in Indiana
• Not accessible to students enrolled less than half-time
• No biweekly payment via autopay


What’s Inside

Best Features of INvestED Student Loans

Competitive interest rates

When looking for a student loan, finding a low interest rate is typically a top priority. If you qualify for an INvestED student loan, you’ll have access to competitive interest rates, and won’t have to pay origination fees, application fees, or prepayment penalties.

UndergraduateParent Loan
Fixed APR*4.61% – 8.61%4.61% – 7.62%
Variable APR*7.88% – 12.34%6.10% – 9.51%
*Rates as of October 01, 2023. May include 0.25% AutoPay Discount, which requires you to agree to make your scheduled monthly payments by an automatic monthly deduction (ACH) from a savings or checking account. 

Variety of repayment options

While still in school, INvestED offers you three repayment options for your student loans, with terms ranging from 5, 10, or 15 years. If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment OptionTermsProsCons
Immediate RepaymentMake full payments as soon as the loan is disbursed, while you’re still in school.You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment Pay only interest while you’re in school.Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Deferred RepaymentDon’t make any payments while you’re in school for up to 78 months. Begin repayment after graduation or 6 months after graduation.You won’t have to make payments while you’re in school.You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period. 

Offers a six-month grace period 

Similar to federal student loans, INvestED offers a six-month grace period before you are required to begin making full principal and interest monthly payments. The grace period is available if you are no longer in school at least half-time – because you’ve graduated, left school, or dropped below half-time enrollment. 

Allows up to 24 months of forbearance

INvestED offers up to 24 months of forbearance (a pause on your repayment due to financial hardship, unemployment, or a disability). INvestED’s forbearance is offered in increments of 3 months, with a maximum of 24 months available over the life of the loan. Borrowers are eligible for up to two 3-month increments of forbearance within a 12-month period.

Offers a parent loan option

Unlike several other private student lenders, INvestED offers a parent loan option. Parent loans are a good option for parents or guardians who would like to borrow on behalf of a dependent child.

Drawbacks of INvestED Student Loans

Only available to students that are residents of or attending school in Indiana

While INvestED offers a high-quality student loan, it is unfortunately only available to borrowers who are residents of or attending school in Indiana. If you are neither, you will need to apply with a different lender.

Not accessible to students enrolled less than half-time

If you are not enrolled in school at least half-time, you are ineligible for an INvestED student loan. If you’re studying less than half-time, you will need to consider another lender. 

No biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, some borrowers choose to make biweekly payments via autopay, where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

Unfortunately, when you borrow through INvestED, you don’t have the option to make biweekly payments via autopay. 

You do, however, have the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With INvestED, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

INvestED: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range4.61% to 8.61%
Variable APR Range7.88% to 12.34%
Loan Terms5, 10, or 15 years.
Loan Amounts$1,001 up to the total cost of attendance minus other aid received.
Application or Origination FeeNo.
Prepayment PenaltyNo.
Late FeesYes, 5% of the unpaid past-due amount or $10, whichever is less.

Eligibility Requirements – Financial

Minimum Credit Score670.
Minimum Income$39,996.
Typical Credit Score of Approved Borrowers or Cosigners710.
Typical Income of Approved Borrower$31,671.
Maximum Debt-to-Income Ratio30%.
Ability to qualify if you’ve filed for bankruptcyYes, after 5 years have passed.

Eligibility Requirements – Personal

CitizenshipMust be a U.S. citizen or permanent resident. DACA borrowers are not eligible.
LocationBorrowers must attend an eligible school in Indiana or be a resident of Indiana. Indiana residents attending schools in Colorado, Oklahoma, South Carolina, and Wisconsin are ineligible.
Must be enrolled half-time or moreYes.
School requirementsMust be enrolled at an eligible Title IV, four-year institution in the U.S.
Percentage of borrowers who have a cosigner88%.

Repayment Options

In-school Repayment OptionsImmediate repayment: Make payments as soon as the loan is disbursed, while you’re in school.

Interest-only repayment: Pay only the interest every month while you’re in school and during the grace period.

Deferred repayment: Don’t make any payments while in school.
Grace Period6 months.
In-school DefermentYes.
Military DefermentYes.
Disability DefermentDid not disclose.
ForbearanceYes. INvestED offers borrowers up to 24 months’ forbearance over the life of the loan. Forbearance is given in 3-month increments. Borrowers can receive up to 2 forbearances in a 12-month period.
Cosigner ReleaseYes, after 48 months of eligible, on-time payments.
Death or Disability DischargeYes. INvestED loans are forgiven if the borrower dies or becomes permanently disabled.
Loan discharge if cosigner dies or becomes disabledNo.
AutopayAllows for surplus payments via autopay: Yes.
Allows for biweekly payments via autopay: No.

Customer Service

Loan ServicerAmerican Education Services.
In-house Customer Service TeamYes.
Process for Escalating ConcernsYes.
Borrowers get assigned a personal customer service representativeNo.
Average time from application to approvalDid not disclose.

Before you take out a loan from INvestED…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is INvestED a legitimate lender?

Yes, INvestED is a legitimate lender that has been working with students for over 40 years.

Is INvestED available in all 50 states?

No, INvestED is only available to borrowers who are studying in or residents of Indiana.

How long does it take to get a INvestED student loan?

Submitting an application through INvestED takes a few minutes. Once you’ve submitted your loan application, INvestED will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.

It may take some time to actually receive your loan. Your school must approve the loan which may take between four to six weeks. 

What happens if I don’t qualify for an INvestED student loan?

If you don’t qualify for an INvestED student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are INvestED student loans federal or private?

INvestED offers private student loans. Before you take out a private student loan, we recommend that you exhaust your federal funding options, including grants and scholarships.

Does applying for a loan through INvestED hurt my credit score? 

In order to see what rate you qualify for, INvestED conducts a hard credit check to verify your information. A hard credit check may temporarily impact your credit score.

See INvestED’s disclosures here.

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