Have you ever borrowed a federal loan and paying back seems to be difficult? Well, CornerStone loan is one of the loan service providers that makes it easy for you. In this single read, you will be getting a review of CornerStone Loans, its pros, and cons, how to go about it as well as its legitimacy.
What Is Cornerstone Loan?
CornerStone Loan is a legit loan service provider with over 35 years of experience serving the United States Department of Education to help students get federal loans, these loans are paid back to CornerStone
It has succeeded in helping numerous borrowers all over the country, although it is a non-profit organization by the Utah Higher Education Assistance Authority.
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What does Cornerstone Loan do?
CornerStone loan service provider is charged with the responsibility of helping student process their loan paperwork, collect loans and manage loan payments as well as give a guide to students on the loans options available to them. Other responsibilities of CornerStone Loan includes;
- Guide borrowers on loan management,
- Help borrowers change the due dates of payments,l
- Aid different federal income-driven repayment plans and standard Repayment Plans,
- Determines the students that qualify for student loan discharge and forgiveness,
- Give guidance on deferment options and forbearance in cases where clients can’t afford payments, etc.
Types of Student Loans serviced by CornerStone
CornerStone works for only the Federal student loans which include;
- The Perkins Loans,
- The Direct Subsidized Loans,
- Direct Unsubsidized Loans,
- The Direct Consolidation Loans,
- The Direct PLUS Loans.
What are The Payment Plans offered by CornerStone Loan?
Standard Repayment
This is a plan where you pay a fixed amount every month till your loan is repaid.
Graduated Repayment
This is the plan where you are allowed to pay smaller amounts during the start of repayment, but the amount you pay increases over time.
Extended Repayment
This involves you making reduced payments monthly for a longer period with interests accumulation over time.
Income-Based Repayment
This is where you pay 10% of your after-tax income for 20 years or 15% of your after-tax income for 25 years.
Income-Contingent Repayment
Here, you are expected to pay 20% of your after-tax income or a fixed amount on your repayment plan for 12 years in line with your income.
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Pay As You Earn
This allows you to pay 10% of your after-tax income that does not exceed the fixed standard amount.
Note: All of these plans have eligibility requirements.
How to Make Payment on CornerStone Loan?
You can pay on Cornerstone Loan through the following ways;
Digitally
You can achieve this by creating an account on the online portal. CornerStone has no app, but a website.
Direct Debit
This is for those who don’t have time to think about payments each month, here, your payment is automatically withdrawn from your checking account each month.
Phone
To make payment by phone, it can only be done during CornerStone’s regular business hours of Monday through Friday. Payments get deducted between 24-48 hours after your call.
Check Through Mail
You can make your payments by snail mail, however, your check must have been sent five to seven days before your due date which must include your account number.
What to do if you can’t make payment on your CornerStone Loan
If you can’t make payment on your CornerStone Loan, below are what to do.
Change the Due Date
If making payment seems difficult, all you need to do is to request a different due date convenient for you. This you can do by reaching out to Customer Service at 800-663-1662. However, the following should be adhered by;
- Be in repayment,
- Be active on your monthly payments,
- Pick a due date between the 1st and 28th of the month.
Reduce Your Payments
You can as well opt for another repayment plan that gets your payments options reduced.
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Place Your Loans in Deferment or Forbearance
If you are going through financial hardship, you can opt for a deferment or forbearance. The deferments allow you to temporarily put a stop to monthly repayments, while your interests will be borne by the federal. To be eligible for deferment, you must be;
- Be enrolled as a part-time student atleast.
- Prove three years experience of economic hardship which can be unemployment,
- Active on military duty during war, a military operation, or a national emergency,
- Have a disability or caring for someone with a disability,
- Leave from work due to some conditions, etc.
While forbearance allows you to pause your repayments, all interests accrued will be borne by you.
Pros of CornerStone Loan
Non-profit status
CornerStone Loan has no intention of profiting from this, its goal is to help students succeed in their endeavors.
Dedicated customer service
They have customer care providers who are available five days a week and can be reached through call, mail, or chat.
Payment options
With CornerStone loan different payment options you can go with the one that makes you comfortable.
Cons of CornerStone Loan
Servicing Only
All they do is service, they do not offer a loan product that allows you to get extra help if you need more money.
Prepayment details
Your funds are automatically put in outstanding accrued interest if you want to make an extra loan payment.
How to Contact CornerStone Loan?
You can reach out to a representative through call via 800-663-1662. Through Fax via 801-366-5122. Or mail through
P.O. Box 145122
Salt Lake City, UT
84114-5122
However, if you stay in the Utah area and you’d love to meet a representative in person, you can visit their address Board of Regents Building, The Gateway 60 South 400 West, Salt Lake City, UT 84101-1284 between the hours of 8 am to 5 pm, Monday through Friday.
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Conclusion
CornerStone Student Loan is an accredited student loan servicer with over 35 years of experience in helping to borrow and pay off student loans.
It has a friendly and easy-to-navigate website that helps students with calculators, games, financial literacy content as well as other several ways of reaching out to their representatives.
Its call center operates between the hours of 6 am to 7 pm on Monday to Thursday and 6 am to 5 pm on Friday. The only place it has fallen short is its aspect of customer service as well as online form submission.
MyCornerStone Loan is a great platform to use, give them a trial, and come back with your review in the comment section.
