The $129 million Texas Partners Federal Credit Union in Killeen has joined the pool of about 500 credit unions that offer Sallie Mae’s Smart Option Student Loan referral program, the credit union announced.
Texas Partners FCU said the Smart Option Student Loan will help degree-seeking members obtain low interest rates, graduate with less debt and pay off their loans faster than they would with other alternatives.
The credit union, in return, will earn fee income in exchange for marketing Sallie Mae’s loan product to members.
In-school monthly repayment options allow borrowers to save 17% to 49% in interest and pay off their loans three to eight years faster than they would with a conventional, payment-deferred, 15-year term loan, Texas Partners FCU said.
The credit union said the Smart Option Student Loan is designed to supplement federal student loans and other forms of financial aid, can cover up to 100% of borrowers’ education expenses, and offers rewards for on-time and automatic payments.
Texas Partners FCU serves around 19,000 members who live, work, worship or attend school in Bell, Coryell and Lampasas counties in Texas.