Who says it doesn’t pay to work hard and get good grades? Not Discover Student Loans. According to The Wall Street Journal, the private student loans lender has just introduced a unique program that pays a 1% cash reward to undergraduate and graduate students who achieve at least a 3.0 GPA (grade point average). This program is designed as both an incentive and a reward for those students who are determined to study hard, earn good grades, and make an investment in their own future.
Discover Student Loans is building its reputation as a responsible private student loans lender that can provide additional funds to students who have exhausted their federal financial aid eligibility. The company’s terms and conditions state that the reward will be available for Discover undergraduate, health professions, law, MBA, or graduate student loans. The student loan application must be submitted after May 1, 2014, and the reward applies to the academic term covered by the loan.
Discover Student Loans can cover up to 100% of school-certified college and graduate school costs. The website says that it offers competitive rates and that all of their student loans have zero origination fees, zero prepayment fees, zero late payment charges, and zero returned payment fees.
Students are required to submit a Redemption Request Form within six months after the end of the covered academic term to redeem their reward. Discover will send out the reward by check. The check can be used for whatever the student wants, but it would be a great way to help cover the next semester’s expenses.
Discover says that it believes in the value of a college education, and that this program is another example of its efforts to help students get there. They also just closed the application deadline for their scholarship contest, and will notify everyone who entered of their status by the end of May.
Students and parents should always sit down to evaluate and understand all of their financial aid options before deciding on any one approach. But, if you have a student who is likely to achieve good grades in college, and decide that private student loans will be helpful in supplementing the federal financial aid package, the Discover Student Rewards program could provide a nice boost to your financial picture when you start planning for the next semester.
Research All of Your Financial Aid Options
Federal and private student loans are just one piece of the entire college financial aid puzzle. It can be difficult trying to sort through all of these options on your own. Talk to a professional college financial aid advisor who can help you sort through the entire financial aid process including grants, work-study programs, scholarships, and student loans to find the best combination that fits your unique financial situation.
If you need any help understanding your college financial aid opportunities, or would like more information on federal and private student loans, contact College Financial Aid Advisors (CFAA).