Discover Bank Loans Review

Discover Bank is one of the more trustworthy Banks out there to date, and some of you may not be quite familiar with their products that venture out of bank accounts and credit cards, so in this post, we will be evaluating the strengths and weaknesses that lies within Discover Bank’s Personal, Student and Home-Equity Loans.

Discover may be the ideal solution for individuals considering that they do not charge any origination fees, and are definitely suitable for those with good credit and a strong financial history. Whether you want to consolidate your debt, pay off your student loans or borrow a fixed amount and secure your equity in your home; Discover Bank has a variety of options when it comes to your loan needs!

Discover Personal Loan Analysis:

Discover Personal loans are unsecured loans used to consolidate debt or pay for life’s big events. You will be able to choose between a fixed rate or fixed term with them. Personal loans could help you save hundreds—or even thousands—of dollars by eliminating higher-interest debt. A Discover personal loan has no origination fees which may be the ideal solution for people with good credit and a strong financial history. Note that the minimum income requirement is $25,000.

Borrowers have the ability to change their payment due date at least twice within the duration of the loan, a minimum of one year between changes is a must. Note that Discover charges a late fee for missed or delayed payments. Those who have difficulties making payments will be able to call the company to discuss other options. ~ Borrowers who return their loan amount within 30 days do not need to pay interest. ~ Note that it can take either a day up to a week to get the loan.

• Fixed Rates from 6.99% to 24.99% APR
  • Lock in your rates. Your monthly payment will never change
• Flexible Repayment Terms
  • Choose your repayment plan from 36 to 84 months.
• Loans up to $35,0000, minimum is $2,500.
  • Estimate a monthly payment with Discover’s personal loan calculator

Discover Personal Loan Process:

1. You can start the process anytime. Select a loan amount and term and find out your personal loan interest rate.
2. Once you get your interest rate, apply for the loan either online or over the phone. You could receive a decision in minutes.
3. If your application is approved, your funds can be sent as early as next business day after acceptance.

Discover Student Loan Analysis:

Before you consider any student loans, find out if you’re eligible for FAFSA – Free Application for Federal Student Aid. If you maxed out all your available federal aid, then you can proceed into considering for a loan. Now, Discover offers a wide variety of loan options from undergraduates to graduate students pursuing MBA to the Health Profession. Here’s what you should expect:

• Fixed: 6.24% to 11.99% APR
• Variable: 3.99% to 10.99% APR.
• Six- to nine-month grace periods, 15- to 20-year terms.
• Up to 100% of school-certified college costs are covered. (Aggregate loan limits apply).
• There’s $0 fees, meaning no loan application fees. No origination fees. And no late fees.
• Get a 3.0 GPA or better and get a full 1% cash reward on each new student loan. Redemption period is limited.
• All of our Student Loan Specialists are US-based. We’re here anytime day or night to help you.
• Deferment and forbearance options available.

A Student Loan from Discover Bank should be a good option IF you have excellent credit and you have considered the variable rates and you’re readily able or confident to make more than your minimum payment after you graduate. Since Discover’s student loans have no fees attached, the costing factor relies on your variable interest, especially if you go all in with their repayment terms.

Discover Student Loan Requirements: 

• Social Security Number (if applicable)
• School information, including field of study and academic period of enrollment
• Loan amount requested, as well as any financial aid you expect to receive
• Financial information, including income, monthly mortgage/rent payments (if applicable)
• Permanent address and temporary/in-school address

Discover Home Equity Loan Analysis:

Before we get into Discover’s Home Equity, it’s necessary that I establish just what a Home-Equity Loan is for you first-time home buyers out there. Essentially, you can borrow a fixed amount, secured by the equity in your home and receive your money in one lump sum. Moreover, most home equity loans have a fixed interest rate, fixed term and fixed monthly payment.  Interest on a home equity loan may be 100% tax deductible.

Are you trying to make a big life change but need a little financial help? With Discover’s Home Equity Loan, you can borrow up to $150,000 with the minimum starting at $35,000. You will have the freedom to use the set cash however which way you need so, either to improve your home, consolidate debt, pay for major expenses, or possibly refinance your current mortgage. Reach your goals and simplify your debt or transform your home with Discover. Here’s what you should expect from Discover:

• Lower interest rates: Home equity loans typically have much lower interest rates than credit card APRs. This type of loan is considered “secured” by the collateral of your home, so lenders are more confident in your ability to pay your debt. Lower risk means lower rates.
• Potential tax deduction: 100% of your home equity loan interest payments may be tax deductible, which may not be the case with credit card debt. Consult your tax advisor to see if you qualify.
• Cash payment: Unlike lines of credit, a home equity loan provides a lump sum of money. This allows you to knock out medical bills, contractor costs or other major expenses with one check.
• Loans from $35,000 to $150,000
  • 10, 12, 15 or 20 year plans
  • Fixed rates as low as 4.99% APR
• Your own Personal Banker
  • Answers at every turn
  • Straightforward process
• Zero application fees
• Zero processing fees
• Zero closing costs

Discover Home-Equity Loan FAQ Section:

How can I figure out how much equity I have?

• You can get a rough estimate of your available equity by subtracting all the debts secured by your home (i.e., your mortgage and any other home equity loans) from your home’s estimated market value. For example, if the market value of your home is $300,000 and you owe $100,000, you have $200,000 in home equity.

Conclusion:

Before I wrap things up on this post, I want to point out that there’s been quite the melting pot of mixed reviews when it comes to JP Morgan Mortgages. Frankly speaking with regards of changing rate lock, origination and underwriting fees. Seems to me that either the location or preference in customers with prior banking relationship may have played a factor. I’ve written my fair share of mortgage loan reviews, but switching up on a rate is definitely a red flag and could cost you significantly more money in the process. Be sure to check out our Best Mortgage Rates for all your home-buying needs!

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