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How to Consolidate Student Loans with a Spouse

Published on Author Purefy Staff

Consolidating Student Loans With your Spouse

Engagement season is wrapping up, but one thing that doesn’t get looped into planning your happily ever after is student loans. PenFed wants to change that conversation. Through the Spouse Loan, married couples can combine and refinance their student loans together – one application means getting all of your loans on the same rate and term. The application process is slightly different from a typical application, so read on to learn everything you need to know about refinancing with a spouse.

Eligibility and Benefits of Spouse Student Loan Consolidation

Our eligibility requirements differ slightly when spouses apply together. Unlike a typical cosigned application, we combine your income and debts to determine eligibility. This is beneficial in certain situations – for example, if only one partner is working while the other is a stay at home parent. Your interest rate will be based on the type of degree you have and the higher credit score between the two applicants, so when married couples join forces and refinance together, they may benefit from an even lower interest rate.

The Application: Tips and Tricks for Refinancing Student Loans with Your Spouse

Here are a few things to keep in mind when applying:

  • • To get started, go to our Find My Rate tool and follow the steps to estimate your savings. When you apply, select a loan term from PenFed Credit Union to apply for a Spouse Loan. You will specify that you are refinancing with your spouse when you enter their information on the cosigner section of the application.

  • • The person with the highest level of education should apply as the primary borrower. The cosigner won’t have the ability to enter their degree information, so applying this way will help maximize your savings and get the lowest interest rate for your joint loan.

  • • The primary borrower will need to enter each loan to be refinanced, including the ones that belong to the cosigner. The spouse acting as cosigner will not be able to enter any loans on their portion of the application.

  • • Each applicant will need to enter their own income information, so make sure you don’t add your partner’s income to the “additional income” field when applying.

After You Apply

After both partners submit their portion of the application, a PenFed representative will follow up with an update on the application status.

Finances can be a tricky thing for couples to navigate but refinancing your student loans together gives you one less thing to worry about. If you have any questions about the process, don’t hesitate to call, text or chat one of our student loan experts. We are here to help every step of the way.