How To Get Customer Perks And Referral Bonuses For Private Student Loans

Reyna Gobel READ TIME: 4 MIN.

Current students with private student loans or graduates who refinance student loans often can get lender-specific perks, ranging from members-only events to hundreds of dollars in referrals when a friend pursues taking out a loan of their own.

Lenders may change their bonuses offered due to holidays and other promotions. It never hurts to call lenders or check their websites to explore current offers. Here's how you can find the best perks for you as a potential private or student loan refinance borrower.

Chat with Friends Who Have Private Student Loans

If you have a friend with private student loans now, they may be able to share their experience with their lender and give you a referral bonus. For instance, SoFi offers both the person with the original loan and the new customer $10 if you check your potential rate on a student loan product, and another $300 if the loan goes through.

In addition, CommonBond and SoFi offer financial coaching and career counseling services, respectively, for members. Ask your friend what membership perks they've used and what the results have been.

On the other end, knowing which of your friends have private student loans they may want to refinance will help you when it's your turn to give referrals.

CommonBond offers $200 each time someone gets a private student loan or refinanced loan using your own personal referral link. You get paid by PayPal and don't need a loan from them to get a referral link. That means you don't need to have a loan through CommonBond to get the bonus..

Use a Lender Comparison Website

You may get special gifts for taking out a new loan from the website your friend chose their lender from. Loan comparison site Credible offers e-gift cards as referral bonuses for refinancing student loans and taking out personal loans. Private loans for current students don't count.

Here's how it works: If your friend got their loan through Credible, they can refer you to refinance student loans. If your balance is $30,000 or more, your friend will receive an e-gift certificate from TangoCard.com for $500 for stores such as Best Buy. You receive a $200 e-gift card. If your loan balance is less than $30,000, you'll each get $100. Those with personal loans get $100 for themselves and $100 for friends.

Even if none of your friends have loans they received through a comparison site, you may decide to use one that offers referral cash for your loan. That way you can get the larger referral bonuses when you refer a friend in the future while having a choice of a variety of loans so you can compare interest rates, too.

Get Airline Miles for Refinancing Student Loans

SoFi also offers a sign-up bonus of Alaska Airlines miles at a rate of 1 mile per $2 financed. You must already have, or set up in advance, an Alaska Airlines Mileage Plan account to qualify. You can earn up to 50,000 miles, which would require refinancing $100,000.

To get a round-trip coach ticket from New York to Los Angeles – which costs at least 25,000 Mileage Plan miles – you would need to refinance at least $50,000 in student loans. Shorter round trips may cost as few as 10,000 miles. Miles also can be used on American Airlines and Ravn Alaska airlines within the U.S. Miles also can be used or saved for international trips.

Ask About Member Perks

There is a wide range of member perks lenders may offer, including help with money management, getting a job or getting access to concert tickets when they're available.

Here are just a few perks to consider:

Temporary Payment Breaks

Depending on the lender, they may offer temporary payment breaks when you need it for up to 12 to 24 months. Others may offer unemployment insurance. Always ask the lender what their options are if you hit an economic snag.

Money Management Help

Money management help is a fairly common perk from private lenders. You'll want to ask how deep the services are. Is it basic coaching on how to handle bills or will it help you with managing retirement goals? Does the advice come from customer service representatives, financial coaches or certified financial advisors?

Common Bond, for example, offers Money Mentor, which helps undergraduates find scholarships and internships.

Career Services

SoFi, for example, offers one-on-one career coaching and online career tools for all borrowers. It also allows borrowers to pause payments if you lose your job.

Ask questions about either perk. Confirm, for example, if your lender requires you to provide evidence of unemployment and if there are any restrictions on the forbearance you can receive as a result. For career services, ask about the kind of jobs they are getting members and the details of how coaching works.

Co-signer Release

Whether refinancing a private student loan, getting new private loans or keeping the ones you have, check out rules for releasing co-signers. Depending on the loan, you could be able to remove your co-signer from the loan after, for instance, 12 to 36 months of on-time payments, as long as you meet other requirements such as having good credit and stable income.

Bottom Line

Deciding to refinance your private student loan or take out a new one is a complicated decision that involves comparing interest rates, determining what you can afford to borrow and exploring whether the monetary or customer service perks outweigh benefits from other lenders. While exploring options, look into what the lender can do for your career and what they'll do for you when you have economic difficulties.

Since choosing a lender is a long-term commitment, ask friends which lender they chose. You may find out they have a referral bonus that could put money in your pocket, too.


by Reyna Gobel

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