Even if you have already accepted a student loan from a different lender, you may still take advantage of the negotiated deal.
Last year, many students cancelled existing loans and took the negotiated deal.
Switching to the negotiated deal from the federal loan is simple. Follow the steps below to make the switch.
You don't have to pay the origination fee or any other fees if you cancel the federal loan prior to disbursement.
You don't have to pay the origination fee or any other fees if you cancel the federal loan even up to 120 days after disbursement.
Here is an email template you can use to inform the financial aid office that you want to switch:
Hi Financial Aid Office,
I applied for a student loan from [insert lender name here] and received better rates than the federal loan option. The amount of the loan is $XX,XXX.
I want to [reduce / cancel] the federal loan by the same amount.
If you recently accepted loan terms* and it’s more than 15 days from your tuition deadline
*Private lenders are required to give you a ‘right-to-cancel’ period for at least 3 business days after you receive final disclosures (happens after your school certifies the loan)
**Applying will cause a hard credit check - you can also call to confirm you are able to cancel your existing loan before you apply through LeverEdge
If your loan has already been certified or it’s within 15 days of your tuition deadline
*Applying will cause a hard credit check - if you want to make sure you can switch before applying, it’s never a bad idea to give the financial aid office a call first