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Navy Federal Credit Union
Quick take: Navy Federal Credit Union offers members-only student loans and refinancing. You must have a connection to the military to join. Low interest rates, no fees, and quick cosigner release help Navy Federal student loans stand out. But repayment terms are limited, and you must make small payments toward the loan while you’re in school.
- Interest rates
- Repayment
- In-school payments
- Cosigner release
How did we calculate this?
Pros
- Low interest rates
- 24 month cosigner release
- No fees
Cons
- Limited repayment terms–5 or 10 years
- Mandatory payments during school
- Must have a military or Department of Defense connection
Navy Federal Student Loans
Navy Federal offers full-service banking, including private student loans for college and graduate school students. To join the credit union, you must have a connection to the military or the Department of Defense, making it impossible for some borrowers to apply.
But if you qualify for membership, you can access:
- Competitive rates
- No fees
- Straightforward repayment terms
Here’s how Navy Federal student loans work.
Interest Rates, Fees and Terms
Navy Federal’s interest rates are competitive. With an AutoPay discount of 0.25%, fixed rates start at 4.75%, and variable rates start at 7.79%.
You won’t pay any fees when you apply, and you can pay off your loan early without a penalty. But repayment terms are limited, and you can only choose between a 5- or 10-year term.
Requirements
Student loans are for members only. To become a Navy Federal Credit Union member, you must be:
- Active or retired military
- Department of Defense personnel
- Or an immediate family member of one of the above
To be a cosigner, you must:
- Qualify for Navy Federal membership
- Be a legal adult
- Earn a minimum income of $15,000
- Be a U.S. citizens or resident
You and your cosigner must be legal adults and earn a minimum income of $15,000. You both need to be U.S. citizens or residents. Students need to have a GPA of at least 2.0.
Students also must:
- Be a legal adult and a U.S. citizen or resident
- Have a GPA of at least 2.0
- Be enrolled at least part time in an eligible school
- Meet the satisfactory academic progress standards of their school
Thanks!
Repayment Options
You must make small payments while in school–either $25 per month or interest-only. Most lenders allow students to defer loans while in school, but Navy Federal doesn’t provide that option.
Once you graduate or drop below half-time enrollment, you have a 6-month grace period. After that, full payments begin.
How to Contact Navy Federal
If you have questions or need additional information, call 1-877-304-9302, Monday through Friday from 8 a.m. to 8 p.m. ET. You can also email navyfederal@lendkey.com to chat with a loan specialist.
How to Apply
The application process is quick and only takes five minutes to complete. You can apply online, either by yourself or with a cosigner. Navy Federal requires proof of income and enrollment. Most borrowers provide transcripts and recent pay stubs as proof.
Navy Federal Refinancing
Pros
- No application, origination, or repayment fees
- 12 month cosigner release
- Competitive interest rates
Cons
- Must qualify for membership
- Low maximum loan amounts
- Can’t transfer Parent PLUS loans to students
What Navy Federal offers
Navy Federal Credit Union offers student loan refinancing for private and federal loans, including Parent PLUS loans. Refinancing can help you lower your interest rate and secure better terms. The rates are competitive, and you can apply with a cosigner.
Interest Rates, Fees and Terms
Navy Federal’s refinance interest rates are solid. If you take advantage of the AutoPay discount of 0.25%, fixed rates start at 4.85%, and variable rates start at 6.48%.
You won’t pay any application, origination, or prepayment fees. Compared to Navy Federal’s student loans, the repayment terms for refinancing are more extensive. You can choose from a 5-, 10-, or 15-year repayment term.
Requirements
You must be a Navy Federal Credit Union member to qualify for refinancing. You must also be a U.S. citizen or resident and a legal adult in your state. In most states, the age of legality is 18 years old. Borrowers must earn a gross monthly income of at least $2,000.
The minimum loan amount is $2,000. The maximum loan amount is up to $120,000 for undergraduates and $160,000 for graduate students.
Repayment Options
You can choose from three repayment terms–5, 10, or 15-years. If you’re a parent borrower, you can apply to refinance before your student graduates. You can also combine loans for multiple students to streamline your monthly payment.
Why Choose Them
Navy Federal Credit Union offers straightforward loans with transparent terms. You can easily find information about rates, terms, and fees online, which isn’t the case with every lender. Navy Federal also has competitive rates, an easy application, and manageable eligibility requirements.
One of the biggest perks is that the cosigner release period is short. You can apply to release your cosigner after 12 consecutive payments. Parents can also refinance multiple Parent PLUS loans for different children into one loan, streamlining the repayment process.
Eligibility
Borrowers must qualify for membership through a connection to the military or Department of Defense.
The loans must also be from an eligible university, including Title IV, degree-granting, domestic schools on the eligible school list.
FAQ
- What credit score do you need for a Navy Federal student loan?
- Navy Federal does not state a specific score that borrowers need to qualify for a loan. Instead, Navy Federal says that borrowers must have an “established credit history”. If you want to view your credit history before you apply, you can check your report at AnnualCreditReport.com. Borrowers also have the option to apply with a cosigner. An eligible cosigner with a solid credit history and strong income can help you qualify for a student loan.
- How long does it take to get approved for a Navy Federal student loan?
- The student loan application process with Navy Federal is quick. You can apply online, which usually takes about five minutes to complete. Once your application is approved, your school receives the money in four to six weeks. Navy Federal recommends applying one to two months before you need the funds.
- How do I contact Navy Federal about student loans?
- If you have questions, you can call LendKey, Navy Federal’s student loan partner, at 1-877-304-9302, Monday through Friday, from 8 a.m. to 8 p.m. ET. To chat with a loan specialist via email, send a message to navyfederal@lendkey.com. You can also visit a local branch or call the general phone lines, which are available 24 hours a day, seven days a week. For general information about membership or other questions, call 1-888-842-6328.
- Does Navy Federal have student loans?
- Navy Federal offers full-service banking, including business accounts and personal savings accounts. You can also apply for private student loans and refinancing through Navy Federal. You can refinance private or federal student loans, including Parent PLUS loans. Rates are competitive, and there aren’t any fees. But you must be a member to apply, which excludes some borrowers.
- Can I refinance my student loan with Navy Federal?
- Navy Federal allows you to refinance your federal or private student loans. The application process is digital and only takes a few minutes to complete. Parents can also refinance Parent PLUS loans, including loans for multiple children. Refinancing can help you lower your interest rates and monthly payments if you can find competitive terms.
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