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About Our Loans
FAQ
- How to Help the Student
- Private Parent Loan Basics
- Private Loans
- Advantage Parent Loans
- Is the Advantage Parent Loan a secured loan?
- My daughter/son has received the financial aid award letter but still needs additional money to cover the school costs. Are there loans I can apply for?
- Who is eligible for an Advantage Parent Loan?
- Should I apply for a parent loan if the student hasn’t finished applying for scholarships and grants?
- If the student plans to go to school half time, am I eligible for an Advantage Parent Loan?
- What if the student is attending school less than half time? Am I still eligible for your parent loan?
- Can I still apply for a parent loan if the student is studying abroad this semester?
- How do I know if the student’s school is an approved school?
- I already have an Advantage Parent Loan. Do I need to apply for a new loan each year?
- Do I qualify for a tax benefit on my parent loan?
- Who owns my Advantage Parent Loan?
- How can you offer fixed interest rates that are lower than other lenders?
- Decisions Before Application
- Interest/ Fees/ Credit Check
- Are the interest rates fixed or variable?
- What is the difference between an interest rate and APR?
- How do you determine the interest rate on my loan?
- Can I find out what my interest rate will be before I begin the application?
- How is the accrued interest calculated on my Advantage Parent Loan?
- Are there any fees associated with getting an Advantage Parent Loan?
- What credit score do I need in order to get the lowest interest rate on my loan?
- What types of credit inquiries does the Advantage Parent Loan program make?
- Can you check if I am approved without pulling my credit?
- Your Application
- When to Apply
- Steps to Application
- What is the private parent loan application process?
- What information do I need when filling out the application?
- What additional documents need to be submitted with the application?
- What is an Application and Solicitation Disclosure (ASD)?
- What if the student’s school is not listed on the drop down list of approved schools?
- How do I check the status of my application or my cosigner application?
- Cosigner
- What is a cosigner?
- Why is a cosigner important?
- Do I need a cosigner?
- How is a cosigner added?
- What makes a good cosigner on a loan?
- How many cosigners can be on an Advantage Parent Loan?
- What happens after the primary borrower adds me as a cosigner to their application and you check my credit?
- Can I withdraw my cosigner application after I submit it?
- What happens to my application if the primary borrower does not select me as a cosigner?
- If I cosign a loan, am I responsible to pay it back if the primary borrower doesn’t make payments?
- How do I check the status of my application or my cosigner application?
- Can a cosigner view the borrower’s loan account online?
- As a cosigner, can I receive statements?
- Can the cosigner be released from the loan?
- Is the cosigner release application available on Advantage's website?
- Is a cosigner's income, debt and credit history reviewed in the cosigner release process?
- How will the borrower and cosigner be notified of the decision?
- If the cosigner is released from liability, will there be any changes made to the credit bureau report for the borrower or cosigner?
- Processing Your Loan
- Certification
- What is School Certification?
- Does the school have to certify my loan?
- What is a Self-Certification form, and why do I need it?
- How can I increase my loan if my child’s school certified for a lower amount than what I requested?
- Once my loan application is submitted to the school for certification, how long before the funds disburse?
- Processing
- How quickly does the loan processing take once I’m approved for the Advantage Parent Loan?
- How do I sign my loan documents?
- I need to send in supporting documents for my Advantage Parent Loan. How can I do that?
- How do I check the status of my application or my cosigner application?
- I forgot my User ID/Password. How do I access my application?
- Disbursement
- Certification
- Payments / Repayment
- Payments
- Who is KHESLC?
- When do my principal and interest payments start?
- Do I have to make payments on my Advantage Parent Loan while my daughter/son has an in-school status?
- I picked Postponed Repayment so I don’t have to make payments while my child is attending school. Can I make payments anyway?
- What should I know about choosing the Postponed Repayment option — to postpone all payments while the student is in school?
- Can I change my repayment plan?
- Do you offer extended repayment on private student loans?
- Can I change my loan term?
- Will my Advantage Parent Loan be sent to a third party to manage payments and service the loan?
- What is the autopay or EFT discount?
- How can I pay less interest?
- Can I pay off the loan early before the payment period ends?
- Forbearance/ Trouble Making Payments
- Death and Disability
- Payments
The Advantage Parent Loan:
- Covers the cost of college without adding the burden of debt to the student.
- Enables parents and stepparents to borrow a private parent loan under their own signature for their student.
- Is often a better alternative to the Federal PLUS Loan for qualified applicants.
- Allows you to pay for a student's expenses, in part or in full, without having to tap into your own savings, investment or retirement funds.
- Offers better benefits than some other types of credit.
Private education loans are also known as school-certified private loans or alternative student loans. The money borrowed through a private education loan can be used for tuition, room and board, books and supplies, a computer, studying abroad and more. The loans must be repaid based on the terms and conditions of the loan note you sign when you take out the loan.
Among them are the following:
- Private parent loan borrowers and their cosigners, if applicable, are responsible for paying back the loan, even if the student doesn't complete coursework, doesn't graduate from college or can't find a job after graduating.
- Private parent loan borrowers and their cosigners must notify the lender or servicer if:
- There is a change in name, address, phone number or Social Security number.
- The student drops below half-time enrollment status.
- The student graduates, withdraws or transfers to another school.
- Scheduled loan payments cannot be made as scheduled.
- Loan repayment needs to be delayed or put on hold.
- The student or cosigner becomes an active servicemember in the military.
- Borrowers and cosigners should open and read all mail related to the loan.
- Be a U.S. citizen or noncitizen with proof of residency card.
- Be the parent or stepparent of an eligible student.
- Have an acceptable income and credit history or an approved cosigner.
- Tuition
- Room and board
- Fees
- Books
- Supplies and equipment
- Computers and electronics for school
- Transportation
- Personal needs at school
Repayment options:
Immediate Full Repayment — With this option, regular loan payments of both the principal and the interest begin within 60 days after the school receives the final disbursement (loan funds). This option will save you the most money overall if you can afford to make payments while the student is in school.Immediate Interest-Only Repayment — You pay only the accrued monthly interest while the student is in school. Principal and interest payments begin six months after the student’s graduation or if the student drops below a half-time status.Postponed Repayment — Both the principal and interest payments are postponed while the student is in school at least half time. Principal and interest payments begin six months after the student’s graduation or if the student drops below a half-time status. Postponed Repayment is the most costly repayment option because any interest that has accrued while the student is in school and in the grace period will be capitalized (added to the loan’s principal balance) when repayment begins. Opting to make payments while the student is in school isn’t required, but doing so will typically lower the total amount of interest paid over the life of the loan.
With any option, interest that is unpaid will accrue and will be capitalized at the time repayment begins. The repayment option you choose can make a big difference in your loan's overall cost — so review your options carefully. It's essential to understand how your rates and payments will be affected by your choices, because once you complete your loan application with those selections, you cannot make any further changes. When you apply, a repayment calculator will be available to check the impact of different repayment options to the loan's overall cost and estimated payment amounts.
NOTE: You may only use this six-month grace period, in full, one time per loan. If the benefiting student goes back to school and you take out a new Advantage Parent Loan, you will have a grace period on the new loan, depending on the repayment option you choose when applying.
The minimum loan amount is $1,000. The minimum monthly payment is $50.
- When there is no cosigner, we take the parent’s aggregate education loan debt into consideration.
- When there is a cosigner on a loan, we take the parent’s and cosigner’s aggregate education loan debt into consideration.
We perform a soft credit pull during the application process to determine if you are eligible. The soft credit check does not affect your credit score.
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
For our private parent loans, you will need to submit our application each year you need additional funds from the Advantage Parent Loan program.
- You must complete the online loan application.
- You must submit the required loan documents.
- Your school must certify the loan.
- You must review and accept your Approval Disclosure.
- You must review your Final Disclosure.
- The loan funds will be sent to the school.
Please pay attention to emails and messages from Advantage Parent Loans, as well as from KHESLC, the owner of the loan.
- Your permanent U.S. address. If you've lived at your address less than one year, you'll need to provide your previous address too.
- Your Social Security number.
- Benefiting student information including:
- Student’s name and Social Security number.
- College or university name, enrollment status, year in school, major or course of study, degree expected, and grades.
- Loan amount you’re requesting, cost of attendance and estimated amount of financial assistance you expect to receive (if applicable).
- Two personal contacts to use as references, other than your cosigner (if applicable.)
Consider applying with a cosigner. Although a cosigner is not required to apply, having a cosigner may help you qualify and/or receive a lower interest rate. If you’re applying with a cosigner, we’ll ask your cosigner to provide some information and documents about his or her circumstances too.
- Employment and income information for the borrower and/or cosigner (if applicable), including the employer’s company name and your gross income. Submit either a W2 or 1040 tax form along with a current pay stub, or two recent pay stubs in lieu of a W2.
- Financial information, including your bank accounts, and monthly mortgage or rent payments.
Consider applying with a cosigner. A cosigner may help you qualify and/or receive a lower interest rate; however, a cosigner is not required to apply. If you’re applying with a cosigner, we’ll ask your cosigner to provide some information and documents about their circumstances too.
- This form will be provided during the application process.
- The ASD displays current interest rate ranges, loan cost examples, federal student loan alternatives, and other general loan information.
- Completion of an application is not required in order to view an ASD with current interest rates; however, all applicants must acknowledge that they have reviewed this disclosure before continuing the application process.
- Has a substantial credit history
- Does not have any serious negative items on his or her credit report
- Meets his or her credit obligations on time
- Is not overburdened with debt
- Has steady employment and/or income sufficient to meet debt obligations
For new Advantage loans, those first disbursed after 7/1/21, a cosigner release may be available after 12 consecutive months of on-time regularly scheduled principal and interest payments, although lump sum payments count as well.
For loans disbursed from 5/31/19 to 6/30/21, a cosigner release may be available after 36 consecutive months of on-time regularly scheduled principal and interest payments, although lump sum payments count as well.
For loans disbursed prior to 5/31/19, borrowers are not eligible for a cosigner release unless they refinance.
For the cosigner, there will be changes to the credit reporting. The historical reporting for the loan will remain in place, however the loan will not show any balance owed by the cosigner since the cosigner will have been released from the loan.
A certification request is sent to your daughter/son’s school after your loan is approved. All schools have different processes for certification — some certify daily, weekly, biweekly, etc.
The federal government mandates certain regulations be followed for private education loans in an effort to provide more transparency to borrowers. The Applicant Self-Certification is one of those mandates. About this form:
- This form is provided during the application process but it can also be obtained from the school’s financial aid web site.
- All private student loan lenders must obtain this form prior to disbursing any private loan funds.
- During the application process, you will be asked for your child’s total cost of attendance and estimated financial assistance in order to complete the form.
- Upload your documents securely anytime, from anywhere, when you log in to www.advantageeducationloan.com using the login and password created during the application process. On the right side, click the option for Upload, then select the case you’re looking to upload documents for. Click the blue UPLOAD button and select your file on your device. You should receive a confirmation message that the upload was completed successfully.
- Special Delivery (FedEx, UPS, etc.) — KHEAA, 100 Airport Rd, Frankfort, KY 40601
- U.S. Postal Service Mail — P.O. Box 4250 Frankfort, KY 40604-4250
- Fax — 502-696-7305
Keep a copy of your documents. Once you send us your documents, it usually takes about 3-5 business days for us to process your documents. We will contact you if we need additional information.
If you chose a repayment option that requires in-school payments, your monthly payments will begin within 60 days after the funds are fully disbursed.
If you apply early and documentation is received promptly, the school will likely receive the funds in plenty of time. If you're unsure of the school's loan deadlines, contact the financial aid office or check the school website for a published timeline.
Immediate Full repayment — Full payments of principal and interest begin within 60 days after the loan is fully disbursed.Immediate Interest-only repayment — Interest-only payments begin within 60 days after the loan is fully disbursed. Full payments of principal and interest begin six months after the student leaves school or drops below half time.Postponed repayment — Full payments of principal and interest begin six months after the student leaves school or drops below half time.
Immediate Full Repayment — Yes. Full payments of principal and interest.Immediate Interest-Only Repayment — Yes. Interest-only payments.Postponed Repayment — No payments required while the student is in school at least half time.
Postponed Repayment is the most costly repayment option because any unpaid interest that has accrued during the time the student is in school and the grace period will be capitalized (added to the loan’s principal balance) when repayment begins.
Opting to make payments while the student is in school isn’t required, but doing so will typically decrease the total amount of interest paid over the life of the loan.
The standard loan term is set up for 120 months (10 years). You can request an extended repayment term of 180 months (15 years) if your outstanding Advantage Education Loan balance is more than $10,000. The extended repayment option is only offered to loans disbursed before May 1, 2017.
To earn a 0.25% interest rate reduction, choose autopay! Using autopay can lead to significant savings over the life of the loan.
When your payments are automatically deducted from your checking or savings account each month with our EFT/autopay, your interest rate on the Advantage Parent Loan may be reduced by 0.25%. Example: A loan having a 3.80% interest rate would be reduced to 3.55% while using our EFT service.
Since there are no service fees for using autopay, sign up as soon as your loans are in repayment and start saving time and money! For more information and an EFT application, visit the ARC Servicing website and click on General Information > Forms > Repayment Forms > Electronic Funds Transfer (EFT) or click this direct link.
If your forbearance allows you to stop making payments, you can make full or partial interest payments at your discretion, in order to lessen the amount of interest that will be capitalized.
If you have any trouble making your payments, please contact us immediately to explore your options. Contact an ARC Servicing Representative at 800-693-8220 or 888-599-7768.
Caution:
By using forbearance, interest continues to accrue and will be capitalized (added to the principal balance of your loan) at the end of the forbearance period. To avoid this, you can make payments during forbearance to cover the accruing interest.
If you take out another new Advantage Parent Loan and choose either Postponed Repayment (Principal and interest deferred) or Interest Only Repayment (principal deferred), the parent can postpone payments on their new Advantage Parent Loan while the benefiting student is in school at least half time.
Your family or representative can get the loan forgiven by sending proper documentation to ARC Servicing.
If the benefiting student becomes totally and permanently disabled prior to loan payoff, the parent borrower and cosigner on the parent loan (if applicable) are still required to make payments.
Additional Information
Do you have additional questions?
Do you currently have an Advantage Education Loan, Advantage Parent Loan or Advantage Refinance Loan and have servicing questions?
I forgot my User ID/Password. How do I access my application?
How to Help the Student
Is there a loan that I can take out for my child's college education?
The Advantage Parent Loan:
- Covers the cost of college without adding the burden of debt to the student.
- Enables parents and stepparents to borrow a private parent loan under their own signature for their student.
- Is often a better alternative to the Federal PLUS Loan for qualified applicants.
- Allows you to pay for a student's expenses, in part or in full, without having to tap into your own savings, investment or retirement funds.
- Offers better benefits than some other types of credit.
Any other way I can help my student pay for college?
Private Parent Loan Basics
Private Loans
What is a private education loan?
Private education loans are also known as school-certified private loans or alternative student loans. The money borrowed through a private education loan can be used for tuition, room and board, books and supplies, a computer, studying abroad and more. The loans must be repaid based on the terms and conditions of the loan note you sign when you take out the loan.
What is the main difference between private and federal education loans?
What are my responsibilities as a private parent loan borrower?
Among them are the following:
- Private parent loan borrowers and their cosigners, if applicable, are responsible for paying back the loan, even if the student doesn't complete coursework, doesn't graduate from college or can't find a job after graduating.
- Private parent loan borrowers and their cosigners must notify the lender or servicer if:
- There is a change in name, address, phone number or Social Security number.
- The student drops below half-time enrollment status.
- The student graduates, withdraws or transfers to another school.
- Scheduled loan payments cannot be made as scheduled.
- Loan repayment needs to be delayed or put on hold.
- The student or cosigner becomes an active servicemember in the military.
- Borrowers and cosigners should open and read all mail related to the loan.
What types of private loans do you offer?
Advantage Parent Loans
Is the Advantage Parent Loan a secured loan?
My daughter/son has received the financial aid award letter but still needs additional money to cover the school costs. Are there loans I can apply for?
Who is eligible for an Advantage Parent Loan?
- Be a U.S. citizen or noncitizen with proof of residency card.
- Be the parent or stepparent of an eligible student.
- Have an acceptable income and credit history or an approved cosigner.
Should I apply for a parent loan if the student hasn’t finished applying for scholarships and grants?
If the student plans to go to school half time, am I eligible for an Advantage Parent Loan?
What if the student is attending school less than half time? Am I still eligible for your parent loan?
Can I still apply for a parent loan if the student is studying abroad this semester?
How do I know if the student’s school is an approved school?
I already have an Advantage Parent Loan. Do I need to apply for a new loan each year?
Do I qualify for a tax benefit on my parent loan?
Who owns my Advantage Parent Loan?
How can you offer fixed interest rates that are lower than other lenders?
Decisions Before Application
Funds Can Be Used For
What can an Advantage Parent Loan be used for?
- Tuition
- Room and board
- Fees
- Books
- Supplies and equipment
- Computers and electronics for school
- Transportation
- Personal needs at school
Can my loan cover the student’s past due college account balances?
Can I use Advantage Parent Loan funds for the student’s living expenses?
Can I borrow a loan to help pay for the student’s books and personal expenses while at school?
Picking Your Repayment Option
What repayment options are available?
Repayment options:
Immediate Full Repayment — With this option, regular loan payments of both the principal and the interest begin within 60 days after the school receives the final disbursement (loan funds). This option will save you the most money overall if you can afford to make payments while the student is in school.Immediate Interest-Only Repayment — You pay only the accrued monthly interest while the student is in school. Principal and interest payments begin six months after the student’s graduation or if the student drops below a half-time status.Postponed Repayment — Both the principal and interest payments are postponed while the student is in school at least half time. Principal and interest payments begin six months after the student’s graduation or if the student drops below a half-time status. Postponed Repayment is the most costly repayment option because any interest that has accrued while the student is in school and in the grace period will be capitalized (added to the loan’s principal balance) when repayment begins. Opting to make payments while the student is in school isn’t required, but doing so will typically lower the total amount of interest paid over the life of the loan.
With any option, interest that is unpaid will accrue and will be capitalized at the time repayment begins. The repayment option you choose can make a big difference in your loan's overall cost — so review your options carefully. It's essential to understand how your rates and payments will be affected by your choices, because once you complete your loan application with those selections, you cannot make any further changes. When you apply, a repayment calculator will be available to check the impact of different repayment options to the loan's overall cost and estimated payment amounts.
What is a grace period?
NOTE: You may only use this six-month grace period, in full, one time per loan. If the benefiting student goes back to school and you take out a new Advantage Parent Loan, you will have a grace period on the new loan, depending on the repayment option you choose when applying.
How Much to Borrow
How do I figure out how much I'll need for my child’s college costs?
How much can I borrow?
The minimum loan amount is $1,000. The minimum monthly payment is $50.
As a parent, if I have other education loans in my name, do they influence the amount I can borrow?
- When there is no cosigner, we take the parent’s aggregate education loan debt into consideration.
- When there is a cosigner on a loan, we take the parent’s and cosigner’s aggregate education loan debt into consideration.
Interest/ Fees/ Credit Check
Are the interest rates fixed or variable?
What is the difference between an interest rate and APR?
How do you determine the interest rate on my loan?
Can I find out what my interest rate will be before I begin the application?
We perform a soft credit pull during the application process to determine if you are eligible. The soft credit check does not affect your credit score.
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
How is the accrued interest calculated on my Advantage Parent Loan?
Are there any fees associated with getting an Advantage Parent Loan?
What credit score do I need in order to get the lowest interest rate on my loan?
What types of credit inquiries does the Advantage Parent Loan program make?
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
Can you check if I am approved without pulling my credit?
During the final steps of completing the loan process, we perform a hard credit pull to get your actual rate. This hard credit check will show up on your credit report and may affect your credit score.
Your Application
When to Apply
Does the student need to file the Free Application for Federal Student Aid (FAFSA) to apply for a federal student loan?
Does the student need to file the Free Application for Federal Student Aid (FAFSA) to apply for a private student loan?
For our private parent loans, you will need to submit our application each year you need additional funds from the Advantage Parent Loan program.
When should I apply for financial aid?
Steps to Application
What is the private parent loan application process?
- You must complete the online loan application.
- You must submit the required loan documents.
- Your school must certify the loan.
- You must review and accept your Approval Disclosure.
- You must review your Final Disclosure.
- The loan funds will be sent to the school.
Please pay attention to emails and messages from Advantage Parent Loans, as well as from KHESLC, the owner of the loan.
What information do I need when filling out the application?
- Your permanent U.S. address. If you've lived at your address less than one year, you'll need to provide your previous address too.
- Your Social Security number.
- Benefiting student information including:
- Student’s name and Social Security number.
- College or university name, enrollment status, year in school, major or course of study, degree expected, and grades.
- Loan amount you’re requesting, cost of attendance and estimated amount of financial assistance you expect to receive (if applicable).
- Two personal contacts to use as references, other than your cosigner (if applicable.)
Consider applying with a cosigner. Although a cosigner is not required to apply, having a cosigner may help you qualify and/or receive a lower interest rate. If you’re applying with a cosigner, we’ll ask your cosigner to provide some information and documents about his or her circumstances too.
What additional documents need to be submitted with the application?
- Employment and income information for the borrower and/or cosigner (if applicable), including the employer’s company name and your gross income. Submit either a W2 or 1040 tax form along with a current pay stub, or two recent pay stubs in lieu of a W2.
- Financial information, including your bank accounts, and monthly mortgage or rent payments.
Consider applying with a cosigner. A cosigner may help you qualify and/or receive a lower interest rate; however, a cosigner is not required to apply. If you’re applying with a cosigner, we’ll ask your cosigner to provide some information and documents about their circumstances too.
What is an Application and Solicitation Disclosure (ASD)?
- This form will be provided during the application process.
- The ASD displays current interest rate ranges, loan cost examples, federal student loan alternatives, and other general loan information.
- Completion of an application is not required in order to view an ASD with current interest rates; however, all applicants must acknowledge that they have reviewed this disclosure before continuing the application process.
What if the student’s school is not listed on the drop down list of approved schools?
How do I check the status of my application or my cosigner application?
Cosigner
What is a cosigner?
Why is a cosigner important?
Do I need a cosigner?
How is a cosigner added?
What makes a good cosigner on a loan?
- Has a substantial credit history
- Does not have any serious negative items on his or her credit report
- Meets his or her credit obligations on time
- Is not overburdened with debt
- Has steady employment and/or income sufficient to meet debt obligations
How many cosigners can be on an Advantage Parent Loan?
What happens after the primary borrower adds me as a cosigner to their application and you check my credit?
Can I withdraw my cosigner application after I submit it?
What happens to my application if the primary borrower does not select me as a cosigner?
If I cosign a loan, am I responsible to pay it back if the primary borrower doesn’t make payments?
How do I check the status of my application or my cosigner application?
Can a cosigner view the borrower’s loan account online?
As a cosigner, can I receive statements?
Can the cosigner be released from the loan?
For new Advantage loans, those first disbursed after 7/1/21, a cosigner release may be available after 12 consecutive months of on-time regularly scheduled principal and interest payments, although lump sum payments count as well.
For loans disbursed from 5/31/19 to 6/30/21, a cosigner release may be available after 36 consecutive months of on-time regularly scheduled principal and interest payments, although lump sum payments count as well.
For loans disbursed prior to 5/31/19, borrowers are not eligible for a cosigner release unless they refinance.
Is the cosigner release application available on Advantage's website?
Is a cosigner's income, debt and credit history reviewed in the cosigner release process?
How will the borrower and cosigner be notified of the decision?
If the cosigner is released from liability, will there be any changes made to the credit bureau report for the borrower or cosigner?
For the cosigner, there will be changes to the credit reporting. The historical reporting for the loan will remain in place, however the loan will not show any balance owed by the cosigner since the cosigner will have been released from the loan.
Processing Your Loan
Certification
What is School Certification?
A certification request is sent to your daughter/son’s school after your loan is approved. All schools have different processes for certification — some certify daily, weekly, biweekly, etc.
Does the school have to certify my loan?
What is a Self-Certification form, and why do I need it?
The federal government mandates certain regulations be followed for private education loans in an effort to provide more transparency to borrowers. The Applicant Self-Certification is one of those mandates. About this form:
- This form is provided during the application process but it can also be obtained from the school’s financial aid web site.
- All private student loan lenders must obtain this form prior to disbursing any private loan funds.
- During the application process, you will be asked for your child’s total cost of attendance and estimated financial assistance in order to complete the form.
How can I increase my loan if my child’s school certified for a lower amount than what I requested?
Once my loan application is submitted to the school for certification, how long before the funds disburse?
Processing
How quickly does the loan processing take once I’m approved for the Advantage Parent Loan?
How do I sign my loan documents?
I need to send in supporting documents for my Advantage Parent Loan. How can I do that?
- Upload your documents securely anytime, from anywhere, when you log in to www.advantageeducationloan.com using the login and password created during the application process. On the right side, click the option for Upload, then select the case you’re looking to upload documents for. Click the blue UPLOAD button and select your file on your device. You should receive a confirmation message that the upload was completed successfully.
- Special Delivery (FedEx, UPS, etc.) — KHEAA, 100 Airport Rd, Frankfort, KY 40601
- U.S. Postal Service Mail — P.O. Box 4250 Frankfort, KY 40604-4250
- Fax — 502-696-7305
Keep a copy of your documents. Once you send us your documents, it usually takes about 3-5 business days for us to process your documents. We will contact you if we need additional information.
How do I check the status of my application or my cosigner application?
I forgot my User ID/Password. How do I access my application?
Disbursement
How does disbursement work?
If you chose a repayment option that requires in-school payments, your monthly payments will begin within 60 days after the funds are fully disbursed.
How do I get my funds sooner than the scheduled disbursement date?
Do private parent loan funds come to me or go directly to the school?
How quickly can the school get the loan funds?
If you apply early and documentation is received promptly, the school will likely receive the funds in plenty of time. If you're unsure of the school's loan deadlines, contact the financial aid office or check the school website for a published timeline.
Payments / Repayment
Payments
Who is KHESLC?
When do my principal and interest payments start?
Immediate Full repayment — Full payments of principal and interest begin within 60 days after the loan is fully disbursed.Immediate Interest-only repayment — Interest-only payments begin within 60 days after the loan is fully disbursed. Full payments of principal and interest begin six months after the student leaves school or drops below half time.Postponed repayment — Full payments of principal and interest begin six months after the student leaves school or drops below half time.
Do I have to make payments on my Advantage Parent Loan while my daughter/son has an in-school status?
Immediate Full Repayment — Yes. Full payments of principal and interest.Immediate Interest-Only Repayment — Yes. Interest-only payments.Postponed Repayment — No payments required while the student is in school at least half time.
I picked Postponed Repayment so I don’t have to make payments while my child is attending school. Can I make payments anyway?
What should I know about choosing the Postponed Repayment option — to postpone all payments while the student is in school?
Postponed Repayment is the most costly repayment option because any unpaid interest that has accrued during the time the student is in school and the grace period will be capitalized (added to the loan’s principal balance) when repayment begins.
Opting to make payments while the student is in school isn’t required, but doing so will typically decrease the total amount of interest paid over the life of the loan.
Can I change my repayment plan?
Do you offer extended repayment on private student loans?
Can I change my loan term?
The standard loan term is set up for 120 months (10 years). You can request an extended repayment term of 180 months (15 years) if your outstanding Advantage Education Loan balance is more than $10,000. The extended repayment option is only offered to loans disbursed before May 1, 2017.
Will my Advantage Parent Loan be sent to a third party to manage payments and service the loan?
What is the autopay or EFT discount?
To earn a 0.25% interest rate reduction, choose autopay! Using autopay can lead to significant savings over the life of the loan.
When your payments are automatically deducted from your checking or savings account each month with our EFT/autopay, your interest rate on the Advantage Parent Loan may be reduced by 0.25%. Example: A loan having a 3.80% interest rate would be reduced to 3.55% while using our EFT service.
Since there are no service fees for using autopay, sign up as soon as your loans are in repayment and start saving time and money! For more information and an EFT application, visit the ARC Servicing website and click on General Information > Forms > Repayment Forms > Electronic Funds Transfer (EFT) or click this direct link.
How can I pay less interest?
Can I pay off the loan early before the payment period ends?
Forbearance/ Trouble Making Payments
What is forbearance?
If your forbearance allows you to stop making payments, you can make full or partial interest payments at your discretion, in order to lessen the amount of interest that will be capitalized.
Does the Advantage Parent Loan offer forbearance options if I have trouble making payments?
If you have any trouble making your payments, please contact us immediately to explore your options. Contact an ARC Servicing Representative at 800-693-8220 or 888-599-7768.
Caution:
By using forbearance, interest continues to accrue and will be capitalized (added to the principal balance of your loan) at the end of the forbearance period. To avoid this, you can make payments during forbearance to cover the accruing interest.
Can my Advantage Parent Loan be deferred if the benefiting student goes back to school again?
If you take out another new Advantage Parent Loan and choose either Postponed Repayment (Principal and interest deferred) or Interest Only Repayment (principal deferred), the parent can postpone payments on their new Advantage Parent Loan while the benefiting student is in school at least half time.
Can my Advantage Parent Loan be deferred if I (the parent) go back to school?
Death and Disability
Is my Advantage Parent Loan forgiven should I die or become totally and permanently disabled?
Your family or representative can get the loan forgiven by sending proper documentation to ARC Servicing.
Is my Advantage Parent Loan forgiven should the benefiting student die or become totally and permanently disabled?
If the benefiting student becomes totally and permanently disabled prior to loan payoff, the parent borrower and cosigner on the parent loan (if applicable) are still required to make payments.