BECU Student Loan Refinance Review

The original purpose of BECU student loan was to serve as a credit union for Boeing workers and their families. Today, this financial institution provides a range of financial services and products to its customers, who may be connected to Boeing, hail from the Pacific Northwest, or be a part of specific groups and associations. 

A personal loan is only one of the many services that BECU provides. In comparison to other lenders, BECU offers personal loans up to $30,000 with durations of up to 72 months and APRs starting at 7.49%. 

But BECU personal loans can be used for a variety of things, such as paying off credit card debt, covering unforeseen costs, funding medical operations, making home upgrades, and more.

Your monthly loan payment may be reduced if you refinance your student loans. 

Lower interest rates might result in cost savings if you have strong credit and a steady income. 

For graduates of student loans and parent borrowers who want to combine several loans, refinancing may also be a smart alternative. 

Parents who have taken out loans for both themselves and their kids may decide to consolidate them in order to pay a cheaper interest rate overall. 

Learn more about our parent borrower loan consolidation option.

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Features and Benefits

  • zero origination costs There is no application fee required by BECU to process your loan. 
  • You can reduce your interest rate by 0.25% APR by setting up automatic payments. 
  • 2 No early payment fee. 
  • Cosigner release option available after 24 months; information below. 
  • Recurring student loan borrowers should use the LendKey website to access their accounts. Click the green “Apply for an Additional Loan” button after logging in.

Pros & Cons

Pros 

Term up to 72 months:  You can repay your BECU personal loan at a fixed rate for up to 6 years. 

No  Loan Origination or Application Fees: There are no fees for applying for or obtaining a personal loan through  BECU.  

Cons 

Low Loan Limits: Personal Loans with  BECU are only available up to $30,000. If you need a large loan, you should consider another lender. 

AVAILABLE FOR  BECU MEMBERS ONLY: Her  BECU products, including personal loans, are only available to current members. Membership terms include Boeing employees, employees of another credit union, etc., living in some counties of Washington or Oregon or Idaho.  

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Higher interest rates than other lenders: APR for BECU personal loans ranges from 7.49% to 18.0% APR depending on terms and credit history.  

Creditworthy borrowers may be able to find much lower interest rates from other lenders.

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Eligibility

  • Join BECU (it’s free to do so). 
  • Students must have graduated from a school that qualifies. 
  • Refinancing federal ParentPlus or private student loans is also available to parents. 
  • Legal adult in the state you call home (age 18 in most states). 
  • Social security number (SSN) validity is a necessity; U.S. citizenship is not. 
  • Your cosigner must have a current SSN if you are applying with a cosigner. It is not necessary to be an American citizen.

Cosigner Information

  • Although cosigners are not necessary for refinance loans, doing so could help you get the best rate and lower your monthly payment. 
  • Upon making 24 consecutive on-time payments, cosigners may be dismissed. 
  • 3 The cosigner is invited to apply once the student or primary borrower does so.

Can You Refinance a Personal Loan with BECU in 2024?

One strategy to cut your interest rate, lower your monthly payments, and pay off your debt sooner, or all three is to refinance a personal loan. 

Despite the fact that BECU does not explicitly state whether current personal loan borrowers can refinance, it does frequently examine members’ credit scores. 

You might be able to get a better rate without formally refinancing your personal loan if your credit has improved since you took out the loan.

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How BECU Compares to Other Personal Loan Companies

BECU and LightStream offer personal loans to eligible borrowers needing funds for almost any purpose. 

Both lenders allow joint applications and there are no processing or application fees for taking out a personal loan.   

However, there are a number of important differences between BECU and LightStream that you should be aware of.  

BECU personal loan interest rates start at 7.49%, higher than many other top personal financial institutions. In contrast, LightStream offers a low interest rate of 2.99%, saving borrowers a lot of money in the long run.  

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LightStream offers personal loans to borrowers nationwide and can only be applied for by members of BECU.  

Both lenders offer relatively long repayment terms, but LightStream’s 12-year repayment term option outperforms BECU’s longest term of 6 years.

BECU Frequently Asked Questions 

Which loans can be refinanced?  

federal bonds (government bonds).  personal loans (loans from other financial institutions).  Eligible student loans include Federal Stafford, Federal Direct, Grad PLUS Loans, and private student loans on your behalf.  Eligible guardianship loans include federal plus loans and private parent loans made for children so long as the parent or guardian is the primary borrower of all loans being consolidated.  Please note that combining federal loans through refinancing may result in the loss of forgiveness and repayment options available only through federal loans.   

 How much can I borrow?  

Undergraduate:  $10,000 – $100,000.  Graduate Program Graduate:  $10,000 – $125,000. Parents of  Graduates (both programs):  $10,000 – $125,000.   

Does BECU offer student loans?  

Your loan is managed by LendKey, a trusted student loan partner since 2009. You can choose to be the sole applicant for a  loan, but creditworthy co-signatories can increase your chances of approval and even lower interest rates. After 24 months of on-time payments, most borrowers are eligible to have the shipper removed from credit.

 How can I pay?  

To make a payment, please visit the LendKey maintenance page.    

What is the difference between fixed and variable interest rates?  

There are two types of interest rates.  Fixed rate means that the interest rate is “locked” and will not change. The second interest rate is a variable interest rate. In other words, the interest rate changes depending on the current economic situation.  

What choices do I have if I’m having financial difficulties? 

We are here to assist you if you are having financial difficulties. As soon as possible, get in touch with your loan servicer, or benefit from free financial counseling sessions offered by BECU through GreenPath.

Conclusion 

Funding is subject to BECU membership, credit approval and other underwriting criteria. Not all applicants are eligible. 

Interest rates are based on an evaluation of your credit history and other loan-specific factors (such as loan term and loan amount) and may be higher than the minimum published interest rates. 

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The final APR may differ from the loan interest rate as additional charges may apply. Loan programs, including interest rates and terms, are subject to change without notice. 

The payment example shows the estimated annual rate (APR) and monthly payments for a $10,000 loan at various maturities.

 If you choose a 10-year term, you will be making 120 months of payments ranging from $108.50 to $127.98 depending on your APR.  

All tariffs include 0.25% Autopay discount. If automatic payments are canceled at any time after signing up, the price reductions will stop. This rate cut may be postponed or suspended during the postponement. 

 The principal borrower may request the removal of the co-guarantor after making 24 timely payments of principal and interest during the repayment period, subject to credit approval and other underwriting standards.

Borrowers will typically find that credit unions are more flexible in their underwriting standards, making it easier to obtain personal loans from them than from other financial institutions (such as online lenders or banks). 

For this reason, it may be easier to approve a personal loan through BECU if your credit score is low or your credit history is poor.   

However, you must apply for membership before opening a BECU account or taking out a personal loan. To become a member, you must live in one of the three states or meet other eligibility criteria.   

BECU personal loans also do not offer the best loan terms. It has a credit limit of $30,000 and an APR starting at 7.49%, which is relatively high compared to its competitors. 

A repayment term of up to 72 months is competitive, but may not be enough to offset the small loan limits and his high APR.

References 

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