Is Wells Fargo getting out of student loans?

Is Wells Fargo getting rid of student loans?

Wells Fargo is no longer issuing student loans. Wells Fargo stopped offering private student loans and refinancing student loans after Jan. 28, 2021. Wells Fargo is selling and transferring all existing student loans, which means it will no longer service private or refinancing loans.

Why is Wells Fargo not doing student loans anymore?

Wells Fargo stopped taking applications for private student loans and loan consolidations on Jan. 28, 2021. But the financial services company began exiting the student loan business in June 2020, partly because of COVID-19 disruption. That month, Wells Fargo said that it was narrowing its student loan focus.

Are Wells Fargo student loans federally backed?

Wells Fargo works with the Federal government to administer and manage many of their student loan programs. For example, the Federal Stafford loan, while funded and guaranteed by the government, can be borrowed from a private lending organization like Wells Fargo.

Why are banks selling student loans?

“Selling loans allows lenders to continue to make new loans,” explained student loan expert Mark Kantrowitz, the Vice President of Strategy at college-comparison site Cappex. “Otherwise, they would be limited to making loans up to the capital they have available and then would have to stop making new loans.

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Does Wells Fargo offer parent/student loans?

Parent Student Loans

If you have good credit and are a Wells Fargo customer and can take advantage of its customer loyalty discounts, you could qualify for a lower interest rate with a Wells Fargo parent student loan. You can borrow up to $25,000 per year.

Can you get a student loan through a bank?

Banks, credit unions, state-based agencies and online lenders all offer student loans. Shop around with multiple lenders, weighing repayment flexibility and forbearance options as well as the interest rates offered.