FAQ

Private education loans are also known as alternative loans. 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 refinance loan borrowers and their cosigners, if applicable, are responsible for paying back the loan.
• Private refinance 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.
• Scheduled loan payments cannot be made as scheduled.
• Loan repayment needs to be delayed or put on hold.
• The borrower or cosigner becomes an active service member within the military.
• Borrowers and cosigners should open and read all mail related to the loan.

• Advantage Education Loans for students
• Advantage Parent Loans
• Advantage Refinance Loans

• Be a U.S. citizen or noncitizen with proof of residency card.
• Have an acceptable income and credit history or an approved cosigner.
• Have entered grace or repayment on the loans he or she wants to refinance.

So if you have high monthly payments, high interest rates and/or variable interest rates on your loans, now is the best time to get an Advantage Refinance Loan! The earlier you refinance to get that lower FIXED rate, the more money you can save over the life of the loan.

• Direct
• Stafford
• Parent PLUS
• Graduate PLUS
• Perkins loans

Private or alternative loans:

• Advantage Education Loan
• Advantage Parent Loan
• Any other private, school-certified student loan

With the Advantage Refinance Loan, you can combine these loans into one convenient loan and lower your monthly payments. However, there are a few benefits associated with federal loans which will not apply after the refinance/consolidation transaction occurs. Visit https://studentaid.ed.gov/sa/types/loans/federal-vs-private to learn about the available options.

Student borrowers may refinance/consolidate their own education loans and any parent loans for which they are the benefiting student. Parents may refinance/consolidate their own student loans and any parent loans they have taken out for their children.

• Student borrowers may refinance/consolidate their own education loans and any parent loan for which they are the benefiting student.
• Parents may refinance/consolidate their own student loans and any parent loans they have taken out for their children.

• When a longer repayment term is chosen through refinancing, it is likely that more interest will be paid over the life of the loan unless the interest rate is significantly lower.
• Conversely, when a shorter repayment term is chosen through refinancing, it is likely less interest will be paid over the life of the loan unless the interest rate is significantly higher.

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.

• Complete the online loan application.
• Submit the required loan documents.
• Review and accept your Approval Disclosure.
• Review your Final Disclosure.
• The loan funds will be sent to your lenders.

Please be attentive to emails and messages from Advantage Refinance 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.
• School attended including school name, attendance dates, your major or course of study, degree, and grades.
• Two personal contacts to use as references, other than your cosigner (if applicable.)

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.

• Loan amount you’re requesting and copy of loan statement for each loan you will be including in your refinance/consolidation.
• 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 their credit report
• Meets their credit obligations on time
• Is not over burdened with debt
• Has steady employment and/or income sufficient to meet debt obligations

For new Advantage Refinance Loans, those first disbursed on or after 7/1/21, a cosigner release may be available after 12 consecutive months of on-time regularly scheduled principal and interest payments, or an equivalent lump sum payment.

For loans disbursed prior to 7/1/21, a cosigner release may be available after 36 consecutive months of on-time regularly scheduled principal and interest payments, or an equivalent lump sum payment.

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.

1. 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.
2. Special Delivery (FedEx, UPS, etc.) — KHEAA, 100 Airport Rd, Frankfort, KY 40601
3. U.S. Postal Service Mail — P.O. Box 4250 Frankfort, KY 40604-4250
4. 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.

We’ll notify you when we’ve sent payments to cover the original loans, so you’ll know when you can stop making those payments and when your first Advantage Refinance Loan payment will be due.

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 Refinance 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 the Advantage Refinance Loan borrower dies or becomes totally and permanently disabled prior to loan payoff, the borrower and cosigner (if applicable) are released from the outstanding debt. Your family or representative can get the loan forgiven by sending proper documentation to ARC Servicing.