Amazon, Wells Fargo To Provide 0.5% Private Loan Discount To Student Prime Members
Amazon and Wells Fargo have teamed up to offer another customer incentive for folks who sign up for its Prime membership. Both partnerships will provide students with a 0.5 percent student loan interest rate discount to Student Prime program members – a program geared toward college students.
To benefit from this offer, students will need to apply for a new private Wells Fargo loan. If they have private loans from another bank, they’ll need to refinance or consolidate them with Wells Fargo.
Although a 0.5 percent discount isn’t that big, every bit of money counts for students who need to borrow money to pay for their college expenses. Many students have resorted to taking out private loans – that often has higher interest rates and fewer options in repayment – after appropriating what they can from the federal student loan program.
First-year college students are only eligible to borrow $5,500 or less through the public program with an interest rate of 3.76 percent. Students tend to need more to cover tuition costs, books, fees, housing, etc.
Both fixed (5.94 to 10.93 percent) and variable (3.39 to 9.03 percent) interest rates are offered on the undergraduate student loans. The bank offers similar discounts for borrowers with an established Wells Fargo accounts or sign up for the automatic payments. Qualified prime members can also take advantage of these discounts.
The bank will not charge either origination fees or application fees. Loan repayment can start six months upon either graduation or leaving school.
Wells Fargo provides graduate student loans as well.
Wells Fargo’s Personal Lending Group leader John Rasmussen said the bank is putting their attention on innovation and meeting their customers’ needs.
An Amazon student Prime membership cost $49 a year (half of the regular Prime cost). For Amazon student Prime members, check out the website to find out about the discount program from Wells Fargo.