HEALTH EDUCATION PROGRAM FAQs
- What types of loans are available through the Chase Health Education Program?
- How much can I borrow?
- What are the eligibility requirements?
- What are the borrower benefits associated with this program?
- Are there any origination or repayment fees?
- What are the interest rates?
- Will adding a cosigner for a private or residency loan lower my interest rate?
- Who will service my Chase Health Education Loans?
- Who should I call with questions?
- What is the address to send in my forms?
- What is the difference between a federal student loan and a private student loan?
The Chase Health Education Program is made up of three loans:
Federal*
Chase Health Stafford Loan
Chase Health Grad PLUS Loan
Private*
Chase Health Residency Loan
A Chase Health Stafford Loan is the first health education loan you should explore to pay for your healthcare studies.
A Chase Health Grad PLUS Loan is a federal loan that can supplement your Chase Health Stafford Loan, by helping to fill the gap between the money you have for school, plus other aid received, and the cost of healthcare education.
A Chase Health Residency Loan is a private loan that can pay certain costs associated with your residency or internship, including travel expenses for interviews and relocation and fees for exam prep courses.
Chase Health Stafford Loan: Eligible healthcare graduate students can receive from $500 up to $47,167 annually (of which up to $8,500 may be subsidized), based on discipline and length of academic year if you're enrolled in a participating school as least half time. Your school will determine your eligibility for subsidized and/or unsubsidized health education loans based on need, once you fill out the Free Application for Federal Student Aid (FAFSA).
Chase Health Grad PLUS Loan: Borrow a minimum of $500 up to the cost of your education minus other aid. Unpaid interest accrues and may be deferred until graduation or the student drops below half-time enrollment. It’s added to the principal loan balance at repayment and following uninterrupted periods of deferment and forbearance.
Chase Health Residency Loan: Borrow a minimum of $500 up to a maximum one-time limit of $15,000 with this private loan. The Chase Health Residency Loan may be borrowed only once—even if you borrow less than the maximum amount.
Eligibility requirements vary between private and federal loans. In general, eligible borrowers must:
- Be enrolled in a Chase Health Education Program-participating school
- Be enrolled at least half time in an eligible program
- Be a U.S. citizen, national or eligible non-citizen (applies to both borrower and cosigner) with a valid Social Security Number
- Have a United States address (no P.O. Boxes)
- Be at least 18 years of age, or other age required by applicable law (applies to both borrower and cosigner and may be higher based on your state of residence)
- Not be in default on a federal student loan
- Not have borrowed in excess of annual and aggregate (lifetime) program limits
- Meet credit eligibility requirements (applies to Grad PLUS and private loans)
Federal loan borrowers must meet additional federal program requirements necessary to qualify for school certification and loan guarantee, including satisfactory academic progress and Selective Service registration, if applicable.
The borrower benefits for the Chase Health Education Program include:
Chase Health Stafford Loan*
- 0.25% interest rate reduction for having monthly payments automatically deducted from your bank account (ACH) by Chase
Chase Health Grad PLUS Loan*
- 0.25% interest rate reduction for having monthly payments automatically deducted from your bank account (ACH) by Chase
Chase Health Residency Loan*
- 0.25% interest rate reduction for having monthly payments automatically deducted from your bank account (ACH) by Chase
Borrower benefits are subject to change. Contact us for information on current benefits.
The Chase Health Education Program has no repayment fees for the Chase Health Stafford Loan or the Chase Health Residency Loan. There is a 3.00% origination fee for the Chase Health Grad PLUS loans. There is a 1.50% origination fee charged for Stafford loans first disbursed between July 1, 2007, and June 30, 2008, and a 1.00% origination fee charged for Stafford loans first disbursed on or after July 1, 2008. There is a 1.00% default fee for Stafford and Grad PLUS loans. However, the default fee may be waived by participating guarantors.
Chase Health Stafford Loan
The interest rate for a Chase Health Stafford Loan first disbursed on or after July 1, 2006, is fixed at 6.80% (including periods when the borrower is in school, grace, deferment and repayment).
Chase Health Grad PLUS Loan
PLUS loans first disbursed on or after July 1, 2006 have a fixed interest rate of 8.50% (before borrower benefits).
Chase Health Residency Loan
The interest rates are divided among three levels based on borrower and (as applicable) cosigner credit-worthiness. The rates range from the Prime Rate minus 0.25% to Prime plus 4.00%. The Prime Rate is a variable rate that is updated on the first day of each quarter (January 1, April 1, July 1, October 1) using the index found in The Wall Street Journal on the first business day of the preceding month.
Rates do not reflect any applicable borrower benefits.
Depending on your credit history and your cosigner’s credit history, applying with a cosigner for a residency loan may allow you to receive a better interest rate than by applying on your own. Through the Chase Health Education Program, borrowers can request a cosigner release on a residency loan if their first 24 scheduled principal-and-interest payments are made on time, and if the borrower meets certain credit criteria.
If you are applying with a cosigner, you and your cosigner should complete a paper application then mail it to the Chase Health Education Program Processing Center. Electronic application capability is not yet available to cosigners through this site.
Chase has partnered with Great Lakes Education Loan Services, Inc., to service the Chase Health Education Program. Great Lakes maintains loans on Chase's behalf and helps us with a variety of duties, including collecting payments, applying deferments and forbearances, and answering telephone and e-mail inquiries about accounts.
Call a Chase Health Education Loan Program Specialist toll-free at 1-877-744-2633 for both general questions and detailed account and servicing information.
Send application and enrollment forms to:
Chase Health Education Processing Center
c/o Great Lakes Educational Loan Services
P.O. Box 64080
St. Paul, MN 55164-0080
Federal student loans, like the Chase Health Stafford Loan and the Chase Health Grad PLUS Loan, usually have lower interest rates than private student loans and may include government-subsidized interest payments during qualifying periods of enrollment and deferment. Federal loans have standard rates and fees that don't vary by lender, though borrower benefits may. Chase provides funds for federal student loans but also offers the Chase Health Residency Loan. Private loans are designed to supplement federal loans when federal loans, grants and other forms of financial aid aren't enough to cover the entire cost of your education.
You should always exhaust your free aid and federal student loan options before applying for private loans.
Federal loans—For loans that are guaranteed on or after June 1, 2008, the 0.25% interest rate reduction is available to borrowers in repayment who elect to have their monthly payments automatically deducted from a bank account by Chase. This interest rate reduction will begin when the borrower enrolls and begins having payments automatically deducted by Chase and will remain in effect as long as automatic payments continue without interruption. The reduced interest rate will return to the non-discounted rate if automatic payments are canceled, rejected or returned for any reason or during periods of deferment or forbearance. The 0.25% interest rate reduction will not lower the monthly payment amount but will instead reduce the interest that accrues, thereby reducing the total amount repaid and the time in which the loan is repaid. Chase may sell this loan to the U.S. Department of Education, and the U.S. Department of Education may continue to honor this automatic payment interest rate reduction. Visit ChaseStudentLoans.com/rates for current interest rates. Generally, Stafford and Grad PLUS borrowers have up to 10 years (excluding authorized periods of deferment and forbearance) to repay their loans. New borrowers after October 7, 1998, whose total outstanding principal and interest in Federal Family Education Loan Program (FFELP) loans exceeds $30,000, may repay on a level or graduated repayment plan for a period that may not exceed 25 years. There are no penalties for early repayment of FFELP loans. Contact Chase to learn more about repayment term options. Terms and conditions apply. Benefit programs are subject to change. Loans are subject to submission of a completed application, credit approval and other required documentation and verification, as applicable.
Private loans—As you determine the best way to finance your education, you should consider the full range of student financial aid options available. Private loans, like the Chase Health Residency Loan, can be used when federal loans, grants and other forms of financial aid are not sufficient to cover the full cost of education. Private loans are subject to credit approval, receipt of a completed and signed application/Promissory Note and other required documentation, and verification of income and enrollment. The 0.25% interest rate reduction is available to borrowers in repayment who elect to have their monthly payments automatically deducted from a bank account by Chase. This interest rate reduction will begin when the borrower enrolls and begins having payments automatically deducted by Chase and will remain in effect as long as automatic payments continue without interruption. The reduced interest rate will return to the non-discounted rate if automatic payments are canceled, rejected or returned for any reason or during periods of deferment or forbearance. The 0.25% interest rate reduction will not lower the monthly payment amount but will instead reduce the interest that accrues, thereby reducing the total amount repaid and the time in which the loan is repaid.
Chase may sell your loan to another lender, but the terms and conditions of your loan will not be affected by the sale. For further information, please go to www.ChaseStudentLoans.com/saledisclosure.
This information was current as of 01/27/2009 and is subject to change. Contact Chase for the most up-to-date product terms.
