CommonBond offers private student loans and refinancing for undergrads, graduate students, and MBA, medical, and dental students. It offers both variable and fixed interest rates, as well as several repayment terms to help student loan borrowers find the loan that works for them.
What makes CommonBond stand out is its top-notch customer service, easy application process, and its commitment to social impact. For each loan CommonBond funds, the cost of education for one student in a developing country is covered.
This CommonBond review will cover the loans, rates, eligibility requirements, and benefits of CommonBond student loans, so you can decide if it’s the right lender for you.
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CommonBond student loan refinancing
What we like:
Long forbearance options
| Fixed APR | 3.48% – 8.22% |
| Variable APR | 2.41% – 7.95% |
| Loan Terms | 5, 7, 10, 15, 20 years |
| Loan Amounts | $5,000 – $500,000 |
Student loan borrowers who are no longer attending school or who have graduated may qualify for student loan refinancing with CommonBond.
Both private and federal loans—including Parent PLUS loans—may be refinanced with the company.
| CommonBond student loan refinancing | |
| Loan amounts | $5,000 – $500,000 |
| Loan terms | 5, 7, 10, 15, or 20 years |
| Fixed rate | 3.21% – 6.45% |
| Variable rate | 2.60% – 6.08% |
| Origination fee | $0 |
| Prepayment fee | $0 |
Borrowers have several repayment terms available, as well as variable and fixed interest rate options. Student loan refinancing with CommonBond requires a borrower to meet certain eligibility criteria, as listed below.
>> Read More: Best Lenders to Refinance Parent PLUS Loans
Eligibility requirements
Student loan borrowers who refinance with CommonBond must be a U.S. citizen or permanent resident and must have graduated from one of more than 2,000 Title IV accredited colleges or universities.
Borrowers also need to provide a recent loan statement for all loans included in a refinance application.
Borrowers must also provide proof of residency and proof of income/employment. The latter can be satisfied with a recent paystub, offer letter from a soon-to-be employer, or two years of tax returns. CommonBond does not list a minimum income requirement.
Borrowers must also have credit score of at least 670 to be eligible for refinancing with CommonBond.
Pros & cons of refinancing with CommonBond
Pros
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Autopay discount.
First, borrowers can enroll in automatic repayment and receive a 0.25% discount on their interest rate.
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Wide range of repayment terms.
Borrowers have several options for repayment term lengths including a long maximum term of 20 years.
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Unique hybrid interest rate option.
CommonBond is one of the only lenders to offer a hybrid interest rate. The interest will remain fixed for the first five years then variable after. This can be beneficial because rates will be predictable during the beginning of repayment when loan balances are at their highest.
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No fees.
Like most refinancing lenders, CommonBond charges no origination fees, application fees, and prepayment penalties.
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Deferment and forbearance options.
CommonBond stands out from other student loan refinance companies with its forbearance and deferment options. CommonBond allows borrowers to delay payments if they join the military, are in a residency or fellowship, or are facing financial hardship.
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Death or disability discharge.
If you die or become permanently disabled while repaying a CommonBond loan, that debt will be discharged unless you have a cosigner. If you have a cosigner, he or she would become responsible for repayment.
Cons
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Cosigner responsible if primary borrower dies or becomes disabled.
If the primary borrower dies or becomes permanently disabled, the cosigner will become responsible for repayment. Some other lenders will discharge the loan regardless of whether there is a cosigner.
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Some borrowers may be ineligible.
Like with most other refinancing lenders, some borrowers won’t qualify for refinancing with CommonBond based on their credit score or income level.
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Federal borrowers will lose protections.
As with any refinancing company, federal loans refinanced with CommonBond will lose federal student loan protections and repayment options.
Application Process
The application process for a CommonBond student loan refinance is straightforward.
First, borrowers can check their interest rate online first without submitting a full application. CommonBond uses a soft credit pull for this step which will not affect your credit score.
If the decision is made to go through with an application, it can be completed online in a matter of minutes. Applicants may be asked to submit income verification documents to complete the application.
Once the application is complete and documents are sent, CommonBond provides an approval or denial. Then, within a matter of days, the loans refinanced through CommonBond are paid off, and repayment begins on the new refinanced loan.
Private CommonBond student loans
What we like:
Their ‘Pencils of Promise’ initiative
| Fixed APR | 5.45% – 9.74% |
| Variable APR | 3.66% – 9.64% |
| Loan Terms | 5, 10 and 15 years |
| Loan Amounts | Not disclosed |
The information above is for the undergraduate student loan.
Private student loans are available to qualified borrowers through CommonBond. The company provides private loans for undergraduate, graduate, and MBA students, so long as they meet eligibility requirements.
The loan terms, rates, pros, and cons for each program are provided below.
| CommonBond Undergraduate Student Loan | CommonBond Graduate Student Loan | CommonBond MBA Student Loan | |
| Loan amounts | School certified cost of attendance | 100% of attendance cost | $5,000 – $500,000 |
| Loan terms | 5, 10, or 15 years | 5, 10, or 15 years | 10 or 15 years |
| Fixed rate | 5.45% – 9.74% | 5.40% – 9.74% | 5.37% – 7.20% |
| Variable rate | 3.31% – 9.29% | 3.21% – 9.29% | 5.00% – 6.71% |
| Origination fee | $0 | $0 | 2% |
| Prepayment fee | $0 | $0 | $0 |
Requirements & repayment options
For all three types of private student loans offered by CommonBond, borrowers need to be enrolled at least part-time with one of the company’s eligible schools.
Also, borrowers must be a U.S. citizen or permanent resident, and have proof of residency.
A credit check is also required, but if borrowers do not qualify on their own, a cosigner may be added to the application for all three loan programs.
Additionally, while borrowers are in school, they have the option of making interest-only payment, fixed payments, or deferring repayment until after leaving school.
Pros & cons of CommonBond student loans
Pros
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The most significant advantage to getting a private student loan with CommonBond is the ease of the application process, all completed online.
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Private student loans are available for far higher amounts than most other private student loan lenders.
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Borrowers also have the option to add a cosigner if needed to qualify, and there are no origination, application, or pre-payment fees charged for a new loan.
Cons
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Some borrowers may not qualify independently for a CommonBond private student loan.
A cosigner is allowed, but a request for cosigner release is only available after 24 months of consecutive on-time monthly payments.
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The interest rates available for CommonBond private student loans may be higher than other lenders or federal student loans, depending on the borrower’s credit history.
Application process
The application process for getting a private student loan with CommonBond is simple.
Borrowers submit their loan request online, for whatever degree program they are pursuing. The lender then reviews the application details and makes a decision based on credit history, amount of the loan, and degree program.
Once approved, the loan proceeds are sent directly to the school to pay for the cost of attendance.
Bottom line: Is a CommonBond student loan right for you?
CommonBond may be the right choice for a student loan borrower looking to refinance for a lower interest rate or lengthier repayment term, or an individual in need of additional funding for their degree program costs.
The application process is simple and fast, and the loan amounts available exceed what other private student loan lenders offer. However, some borrowers may not qualify based solely on their credit history or income, making a cosigner necessary.
However, if CommonBond doesn’t seem like the right company for your needs, you can check out our list of the best student loan providers. Lenders such as College Ave and Earnest may be a better fit for you. You can also check out our list of student loan companies for more reviews.
If you want to learn more about CommonBond, check out our interview with David Klein, the company’s CEO, to see his thoughts on the student loan industry.