Our experts answer readers' student loan questions and write unbiased product reviews (here's how we assess student loans). In some cases, we receive a commission from our partners; however, our opinions are our own.
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College Ave Undergraduate Student Loans
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Sallie Mae Undergraduate Student Loans
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Ascent Undergraduate Cosigned Credit-Based Loan
Who is MPower Financing Best For?
MPower Financing is best for international students who want to take out a loan and don't have a cosigner who is a US citizen to add to their loan.
Types of Student Loans Offered by MPower Financing
MPower Financing has student loans for only a couple of degree types, including:
- Undergraduate
- Graduate
MPower Financing Student Loans Details
MPower Financing loans are fixed-rate loans, meaning the interest rate is locked for the life of the loan. You don't need a cosigner, collateral, or a credit history to apply for a loan.
Go after federal student loan options before you think about taking out private student loans, including an MPower Financing loan, as you usually get better terms and protections through the government.
You'll pay a 5% origination fee on your student loan, which will be deducted from your loan proceeds. Additionally, if you're late on your payments, you'll pay an undisclosed fee.
MPower Financing only offers loans if you're beginning a one- or two-year program, or if you will graduate from school in the next two years. You may qualify to get a loan if you attend one of MPower's 350 approved schools; if you go to a school outside of this list, you won't be eligible to get a loan.
To contact MPower's customer support, you can fill out a form on the website or give the lender a call.
MPower Financing Undergraduate Student Loans
MPower offers undergraduate loans at set rates, with no variable-rate option available.
You can get up to a 1.5% reduction on your interest rate by signing up for automatic payments, making six on-time payments, and reporting proof of graduation and employment. Each of these three requirements will qualify you for 0.5% off, or up to 1.5% total.
MPower Financing Graduate Student Loans
MPower has better rates on its graduate student loans than on its undergraduate student loans, but its APR range is still much higher than what similar competitors charge.
MPower Financing Student Loans Pros and Cons
How to Apply for an MPower Financing Student Loan
1. Collect the required documents and information. This includes your passport (which is different from other lenders), your school of enrollment, your major field of study, the loan amount you need, your address, and certain financial documents. If your school isn't one of the 350+ MPower supports, you won't be able to take out a loan.
2. Fill out MPower Financing's online application. The application will take about 20 minutes to complete. After doing so you'll get your prequalified rates without affecting your credit score or needing to enlist a cosigner.
3. Review loan offers and pick the one you can afford. After you submit your information, MPower will give you different term options. A shorter term length means larger monthly payments — but you'll save more in interest.
4. Accept your loan terms and plan for repayment. After you sign the document accepting your loan terms, your loan will be approved and funded. Make sure you've worked your loan payments into your budget — late payment may add significant costs to your loan.
MPower Financing Competitors
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MPower Financing Undergraduate Student Loan
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Custom Choice Undergraduate Student Loans
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Sallie Mae Undergraduate Student Loans
MPower Financing vs. Custom Choice Undergraduate Student Loans
MPower is the lone lender to only offer fixed-rate loans, Custom Choice offers variable-rate loans as well. MPower's APR range is significantly higher than Custom Choice's range.
You can choose your term length with Custom Choice.
MPower Financing vs. Sallie Mae Undergraduate Student Loans
Sallie Mae sets your repayment term length, while MPower only offers one term length.
Neither Sallie Mae nor MPower Financing charges prepayment fees. Sallie Mae doesn't charge origination fees, though MPower does. MPower and Sallie Mae both charge late fees.
MPower Financing Frequently Asked Questions
MPower Financing is a legitimate company that offers student loans to a variety of borrowers. You can take out an MPower Financing loan with a minimal credit history.
MPower Financing has a one to three day process to get your student loan. You may be able to get a loan more quickly with another lender.
Yes, it is possible to repay your loan early without any penalty. Most lenders offer this perk.
MPower Financing Trustworthiness
MPower Financing is rated an A+ by the Better Business Bureau. The BBB, a non-profit organization focused on consumer protection and trust, determines its ratings by evaluating a business' responses to consumer complaints, honesty in advertising, and clarity about business practices.
Keep in mind that a great BBB score doesn't guarantee that you'll have a good relationship with the business. The score is simply a baseline to start your search for a lender.
MPower Financing doesn't have a history of any scandals or controversies, so you may feel comfortable borrowing from the lender.
What options do I have to repay my MPower Financing student loans?
Interest-only payments are the only option you have to repay your loans with MPower Financing. You'll pay a loan's interest monthly while in school and during the six-month grace period. After that grace period, you'll begin paying off the loan's principal and interest in full.
Other lenders have additional options for repayment, like a fixed payment per month while in school or full payments on the loan's principal and interest right away.
How We Rated MPower Financing Student Loans
We rate all student loan products in our reviews and guides on a 1-5 scale. The overall rating is a weighted average that takes into account seven different categories, some of which are judged more heavily than others. They are:
- Interest rate (20% of rating)
- Fees (20% of rating)
- Term lengths (15% of rating)
- Repayment options while in school (15% of rating)
- Borrower accessibility (15% of rating)
- Customer support (7.5% of rating)
- Ethics (7.5% of rating)
Each category's weighting is determined based on its importance to your borrowing experience. Rates and fees have the most significant impact on the total cost of your loan, so we weigh those the most heavily. Customer support and ethics are still crucial parts of the borrowing experience, but do not directly tie to a student loan's terms, so they have less of an impact on the overall rating.
Read more about how we rate student loans »
Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by any card issuer. Read our editorial standards.
Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.
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