Interest Rates

Skills Fund Loan 36 Month Loan 60 Month Loan
Cosigners Note: Up to 1 cosigner might be required in some instances.
Origination Fee 4.0% of loan requested (1)
Interest Rate(2) Fixed
8.99%
Fixed
10.99%
Capitalization of Interest None, since interest payments are mandatory 30 days after the loan is disbursed
Payments Required While Enrolled? Yes, monthly interest payments are required while in program and for 2 months following graduation (3).
Principal and Interest Repayment Term 36 months (3 years) 60 months (5 years)

This example shows the monthly payments of a $10,000 interest-only Skills Fund loan for an eligible V School program:

Example on a $10,000 loan 36 Month Loan 60 Month Loan
General Annual Percentage Rate 11.16% (4) 12.51% (5)
Finance Charge (the dollar amount the credit will cost you) $2,294 (4) $4,040 (5)
Monthly Payment $331 (4) $226 (5)
  • (1) The 4.0% origination fee is assessed to all loans, and is added to the principal request, so for example, requesting $10,000 will result in a $400 origination fee that will be added to your loan balance and increase the amount you will accrue interest against to $10,400.
  • (2) Interest rates are fixed and never vary.
  • (3) Graduation dates are determined by the school, and full repayment begins 2 months after that date.
  • (3) General Annual Percentage Rate (APR): finance charge and monthly payments are based upon borrowing $10,000, a 4.0% origination fee, paying interest on the loan for 3 months while enrolled in the program and 2 months of grace, then the 36 month principal and interest period.
  • (4) General Annual Percentage Rate (APR): finance charge and monthly payments are based upon borrowing $10,000, a 4.0% origination fee, paying interest on the loan for 3 months while enrolled in the program and 2 months of grace, then the 60 month principal and interest period.