RISLA continues to be one of the few refinance lenders that accepts borrowers who have not completed a degree and offers repayment flexibility that is hard to find among private refinance programs. The Rhode Island Student Loan Authority provides nationwide access, fixed rate refinance options, and rare income based repayment flexibility for borrowers who qualify. This makes RISLA an interesting option for physicians with medical school debt, although the program also comes with limitations borrowers should understand.
If you want to compare RISLA with physician focused lenders, you can check your rates through LeverageRx and review your options before refinancing.
RISLA Student Loan Refinance Details
RISLA refinance loans are fixed rate only and are available with five, ten, or fifteen year repayment terms. Loan amounts typically range from seven thousand five hundred dollars up to two hundred fifty thousand dollars, depending on the borrower’s completed degree level. Late fees apply on past due payments.
To qualify, borrowers must meet the following criteria:
- Minimum credit score of at least six hundred eighty
- Minimum annual income of forty thousand dollars
- Maximum debt to income ratio of fifty percent
- No bankruptcies filed within the past five years
- U.S. citizenship or permanent residency
Both federal and private loans that are in good standing can be refinanced through RISLA.
Pros of Refinancing Your Student Loans With RISLA
Income Based Repayment Option With Forgiveness
RISLA stands out by offering an income based repayment program for eligible borrowers. Monthly payments are capped based on a percentage of income, and any remaining balance may be forgiven after twenty five years. This is rare among private refinance lenders. Borrowers should note that forgiven balances are subject to taxation.
No Degree Required to Refinance
RISLA allows borrowers to refinance even if they did not complete a degree program. This helps individuals who left school before graduating and are seeking a way to manage existing student debt.
Deferment and Forbearance Availability
RISLA provides several repayment protections. Academic deferment is available for borrowers enrolled at least half time in graduate school. Military deferment is available while serving on active duty. Forbearance may be granted for up to twelve months for borrowers experiencing financial hardship.
Cons of Refinancing Your Student Loans With RISLA
No Cosigner Release
RISLA does not offer a cosigner release option. Once a cosigner agrees to the refinance, they remain legally responsible for the loan until it is fully repaid.
Hard Credit Check Required
RISLA does not allow rate checks through a soft inquiry. All applicants must complete a hard credit check at the start of the application process. This can be a drawback for borrowers who want to compare multiple lenders without lowering their credit score.
No Personalized Rate Estimates
RISLA does not provide estimated rates before applying. This makes it harder for borrowers to compare their options or understand what they might qualify for without submitting a full application.
Key Takeaways
RISLA offers a few uncommon features such as income based repayment and eligibility for borrowers without a completed degree, but the program also has strict credit requirements, no cosigner release, and no soft credit checks. Physicians considering RISLA should compare it carefully with other lenders and review what they might give up by refinancing federal loans. You can check your rates through LeverageRx to see how RISLA compares with physician focused refinance options.
Authors
