Citizens Bank today announced the launch of the Citizens Bank Student
Loan for ParentsTM, a new alternative to federal loans for
parents who are helping students pay for college. With no origination
fee, the Student Loan for Parents will save families an estimated
average of $6272 in annual fees alone and also guarantees
approved borrowers receive a lower interest rate than the federal
William D. Ford Direct PLUS rate.
The new loan is the latest offering from Citizens Bank designed to help
people pay for higher education in a more affordable way, and furthers
Citizens’ Bank Better commitment to make banking simple, clear
and personal for consumers. In addition, the Student Loan for Parents is
an option for anyone who is looking to help a student finance their
education, allowing parents or other sponsors to finance a student’s
education without obligating the student to the debt.
"A college education remains one of the best investments students can
make, but many families continue to struggle with the cost,” said
Brendan Coughlin, President of Auto and Education Finance for Citizens
Bank. “Our new Student Loan for Parents provides approved borrowers with
a guaranteed lower interest rate than they can get from PLUS loans, with
more term flexibility and no fees. We are excited to be providing this
new option for parents as they develop strategies for managing the cost
of college.”
Last year, parents spent an estimated $400 million dollars in
origination fees through the William D. Ford Direct PLUS loan program1.
With no origination fees and rates as low as 6.60 percent when borrowers
take advantage of rate-reducing benefits, the Citizens Bank Student Loan
for Parents offers borrowers an attractive alternative. In addition to
an improved interest rate, borrowers of the Citizens Bank Student Loan
for Parents can save an average of $627 every year simply by avoiding
the Federal Direct PLUS loan’s annual origination fee. The loan is
available in multiple repayment terms. In the event the parent does not
qualify, Citizens Bank will redirect the customer back to the PLUS
program ensuring the family always has the information they need to make
the best loan decision.
The Student Loan for Parents is the latest offering from Citizens Bank
which also offers the Citizens Bank Student Loan (formerly known as the
TruFit Student Loan) and the Citizens Bank Education Refinance LoanTM,
which enables borrowers to refinance federal and private student loans.
Since launching the Ctizens Bank Education Refinance Loan last year, the
average customer savings is $145 a month, meaning customers are
thousands of dollars in interest payments over the life of their loans.
Detailed information on qualifications required for the loan is
available on the Citizens
Bank website and the Citizens
One website. As part of its commitment to student loan borrowers
through the life of their student loans, Citizens also has a dedicated
team of student lending specialists that can be reached by phone at
1-888-411-0262.
Money Magazine recently selected Citizens Bank as one of the
nation’s best banks in its 2014 list of "The Best Banks in America,"
recognizing the company for its level of customer convenience. Citizens
won similar honors from Money Magazine in 2013 in the customer
experience category. To learn more about Citizens Bank, customers can
call the 24/7 customer contact center at 1-800-922-9999, Like the bank
on Facebook,
follow the bank on Twitter
or visit the Citizens
Bank website. To learn more about Charter One, customers can call
the 24/7 customer contact center at 1-877-242-7837, Like the bank on Facebook,
follow the bank on Twitter
or visit the Charter
One website.
About Citizens Financial Group, Inc.
Citizens Financial Group Inc. is one of the nation’s oldest and largest
financial institutions, with $132.9 billion in assets as of December 31,
2014. Headquartered in Providence, Rhode Island, the company offers a
broad range of retail and commercial banking products and services to
individuals, small businesses, middle-market companies, large
corporations and institutions. Consumer Banking helps its retail
customers “bank better” with mobile and online banking, a 24/7 customer
contact center and the convenience of approximately 3,200 ATMs and
approximately 1,200 Citizens Bank and Charter One branches in 11 states
in the New England, Mid-Atlantic and Midwest regions. Citizens also
provides mortgage lending, auto lending, student lending and commercial
banking services in selective markets nationwide. Citizens Commercial
Banking offers corporate, institutional and not-for-profit clients a
full range of wholesale banking products and services including lending
and deposits, capital markets, treasury services, foreign exchange and
interest hedging, leasing and asset finance, specialty finance and trade
finance.
Citizens operates via subsidiaries Citizens Bank, N.A., and Citizens
Bank of Pennsylvania. Additional information about Citizens and its full
line of products and services can be found on the Citizens
Bank website.
1 Average savings and total fees are calculated using the
2014/2015 Award Year Federal Direct PLUS Loan program reporting.
![](http://cts.businesswire.com/ct/CT?id=bwnews&sty=20150402006059r1&sid=ntxv4&distro=nx&lang=en)
Copyright Business Wire 2015