Borrower Benefits

For Loans First Disbursed July 1, 2003 - Nov 30, 2007

How the Program Works:

With our Low Cost Borrower Benefits Program you can reduce your interest rate by as much as 2.25%. This savings program provides you with financial incentives resulting from timely repayment of your federal educational loans. IDAPP has developed features to save you money on the repayment of your loans! Loans eligible for the Low Cost Borrower Benefits Program are Federal Stafford and Federal PLUS loans.

Origination Fee Rebates
For Federal Stafford loans guaranteed after May 1, 2006, IDAPP will offer zero origination fees. This offer will be extended to both undergraduate and graduate school borrowers.

For Federal Stafford and Federal PLUS loans first disbursed July 1, 2003 thru Nov 30, 2007, IDAPP will rebate 1% of the principal balance when your loans enter into repayment status. The rebate will show as a credit to your loan account. This 1% represents a partial refund of the loan origination fees you paid when your loans were disbursed. If you were not charged an origination fee, this benefit is not applicable. (Federal Consolidation Loans and new Federal Stafford loans guaranteed after May 1, 2006 have no origination fees and loans purchased from other institutions are not eligible for this benefit. Click here for IDAPP’s UnILoan consolidation benefits.

Direct Debit Program (DDP)
Reduction schedule for Federal Stafford and PLUS loans
Sign up for IDAPP's automated payment feature. You can choose to have your loan paid directly from your checking or savings account. Selecting this feature will reduce your interest rate by .25%. For IDAPP’s UnILoan consolidation Direct Debit Program.

On-Time Payments Interest Rate Reductions
Reduction schedule for Federal Stafford and PLUS loans
If we receive your first 24 consecutive on-time* monthly payments, IDAPP will reduce your interest rate by 1%.

Continue to make payments on-time* and IDAPP will reduce your interest rate again by 1% after your first 48 consecutive on-time* monthly payments.

Reduction schedule for Federal Consolidation loans
If we receive your first 36 consecutive, on-time* monthly payments, we will reduce your interest rate by 1%, for the remaining term of your loan.

*A payment is considered on-time if it is received within 15 days of the due date. Eligibility of ALL benefits will be revoked when an account becomes more than 15 days delinquent. Subsequent eligibility is prohibited.

Why Does IDAPP Offer Such Terrific Benefits?

Under IDAPP’s Low Cost Borrower Benefits Program, you receive your benefits much earlier than other benefit and savings programs, thus saving you more money during the life of the loan.

• Because of IDAPP’s commitment to the aversion of default, periods of deferment or forbearance will not void interest rate reduction eligibility.
• Once eligibility is established, the reduced rate remains in effect for as long as you maintain a timely payment history.
• If eligibility is lost due to a late payment, it cannot be reinstated.

IDAPP provides federal educational loan borrowers with innovative products and services. As a leader in the industry, IDAPP remains committed to providing access to higher education and default prevention.

Borrowers Save More Money with IDAPP!

Compare the Benefits
In comparison with other borrower benefits programs, IDAPP provides greater savings, much earlier. For example, most programs do not offer borrower benefits until after the 33^rd or 48^th consecutive on-time payment. With IDAPP, you can realize benefits immediately with our Direct Debit Program as well as interest rate reductions as early as the 24^th month of consecutive on-time payments on new federal Stafford and PLUS loans and the 36^th month of consolidated loans.

*Student receives 1% more at the time of disbursement than other loan programs. In this example that equals a $200 savings.

(This comparison is based on a $20,000 loan at 8.25% with a 10-year standard repayment schedule.)