Vermont Advantage Loans

VSAC’s fixed-rate education loans for students and parents

As Vermont’s nonprofit higher education agency, VSAC provides fixed-rate Vermont Advantage student and parent loans  to finance education for students coming to Vermont for college—and for Vermont residents attending colleges in the U.S. and abroad.

We want to help you pay smarter for your education or training and offer competitive rates, as low as 5.80% APR, for our Vermont Advantage loans for 2017-2018.

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With VSAC, you get:

  • Your choice of student or parent loans
  • To choose a fixed interest rate as low as 5.80% APR, based on the repayment option you select
  • No or low origination fees
  • Local service from Vermont’s nonprofit higher education organization
  • Access to a Vermont Advantage Loan Coach

Both the Vermont Advantage Student Loan and the Vermont Advantage Parent Loan  have lower interest rates than the 2017-2018 federal Direct PLUS and may be better financing options, depending on your situation.

Use the chart below to compare.

 

VSAC’s Vermont Advantage Student Loan

VSAC’s Vermont Advantage Parent Loan

Federal Direct PLUS

What are the payment options?

Your choice of 3 payment options:

 

1. Immediate: Start principal and interest payments once loan is fully disbursed
 

2. Interest only: Make monthly interest payments while enrolled

 

3. Deferred: Begin paying after enrollment ends

Your choice of 2 payment options:

 

1. Immediate: Start principal and interest payments right away

 

2. Delayed: Begin paying 12 months after loan is fully disbursed

 

 

Your choice of 2 payment options:

 

1. Deferred (for student borrowers) and can be requested by parent borrowers: Begin paying 6 months after you graduate, leave school, or drop below half-time enrollment

 

2. Immediate (for parent borrowers): Start principal and interest payments once loan is fully disbursed; may request a 6-month deferral once your child leaves school

 

What are the interest rates?

 

Interest rate depends on your chosen payment option:

 

1. Immediate: 5.80% fixed (APR of 5.80% to 6.58%)

 

2. Interest only: 6.20% fixed (APR of 6.20% to 6.82%)

 

3. Deferred: 7.10% fixed (APR of 6.83% to 7.36%)

Interest rate depends on your chosen payment option:

 

1. Immediate: 5.80% fixed (APR of 5.80% to 6.58%)

 

2. Delayed: 6.95% fixed (APR of 6.91% to 7.61%)

 

1 interest rate:

 

7.00% fixed for loans taken out between July 1, 2017, and June 30, 2018


The federal government does not provide APR information.

 

Is the interest rate fixed (the same) throughout life of loan?

Yes

Yes

Yes

Is there an origination fee?

For some borrowers (one-time fee is 0-5% based on cosigner’s credit)

For some borrowers (one-time fee is 0-5% based on parent borrower’s credit)

Yes (one-time fee is 4.264%-4.276% based on first disbursement date of loan)

May interest be tax deductible?

Yes

Yes

Yes

Whose name is on the loan?

Student and cosigner

Parent borrower

Parent on a Parent PLUS or Student on a Graduate PLUS

 

Is there flexibility during repayment?

 

Yes (temporary postponements available for financial hardship at VSAC’s discretion)

 

Yes (postponements available for economic hardship, unemployment, or other situations)

All loans: Interest continues to accrue when payments postponed

Will the loan be cancelled in case of death or total and permanent disability?

Yes

 

[Note: if cosigner dies, cosigner is removed from loan, which remains in student name]

Yes

 

Yes

 

Who do I contact if I need additional help?

Contact your Vermont Advantage Loan Coach at 800-226-1029 (Monday – Friday 8:00 a.m. to 4:30 p.m.)

Contact your Vermont Advantage Loan Coach at 800-226-1029 (Monday – Friday 8:00 a.m. to 4:30 p.m.)

Call 1-800-FED-AID or visit StudentAid.ed.gov

 

The Bottom line: When comparing to the PLUS loan, your lowest-cost option may be a Vermont Advantage Student or Parent loan.

“I’ve always been impressed when I call VSAC. You guys always give me a straight answer.”
--Kenyon, Vermont

“Thank you so much for speaking to our family! It’s so nice to actually talk to someone who can explain all of our choices. Thank you. I’m so relieved!” –Talia, Vermont 

“I’m always impressed by your high level of customer service. You have an outstanding organization.” — Christopher, Massachusetts

No one should have to face college loans on their own.  We’ll walk you through the process up front—and support you along the way with personalized counseling as you prepare to begin repayment.

Contact your loan coach at 800-226-1029 (Monday – Friday 8:00 a.m. to 4:30 p.m.).