DEAL One Loan - Bank of North Dakota

What will I need to complete a DEAL One Loan application?

  • Information on any loans to be included in the consolidation loan such as: Current lender’s name, account number, loan balance, loan type, interest rate Smart Move Tip
  • Social security number
  • Driver’s license number
  • Three personal references (living at three different addresses)

Why should I consolidate/refinance my student loans?

The terms consolidation and refinancing are often used interchangeably. Refinancing with the DEAL One Loan allows you to combine multiple student loans from different lenders into one loan. This means one payment to one lender. You may be able to lower your interest rate, extend your repayment term or change your interest rate type from variable to fixed, or vice versa.

This may decrease your monthly payment or you can choose to make higher monthly payments and save money by repaying the loan more quickly.

Is this program just for recent graduates?

No. The program is available to anyone who has been a resident of North Dakota for at least six months, has student loans and is not attending school. The borrower or cosigner must meet credit criteria.

What is the difference between a fixed and variable interest rate?

A fixed interest rate is set on a specific date and remains the same until the loan is paid in full. A variable interest rate can change based on changes to an “index.”

Special variable rate parameters have been established for the DEAL One Loan. If you select the variable interest rate, your interest will not increase by more than 1% per year and will never increase beyond 10% APR. If the interest rate decreases below your current rate, you will be given the lower interest rate.

Learn about BND’s fixed and variable interest rate options in the Interest rates tab above.

What is the difference between Annual Percentage Rate (APR) and interest rate?

The interest rate is the rate of interest you will pay on the loan for borrowing the funds. The APR reflects not only the interest rate but also the fees

or other charges that you have to pay to get the loan. Looking at APR is the most accurate way to compare different loan offers.

Can a married couple consolidate/refinance their loans together?

No. However, your spouse is eligible to be a cosigner on your loan.

How will I know if my loan is approved?

Log in to your online account and view your application status. Click here for an example. It will state “Credit is approved” or “Needs to find a creditworthy cosigner.” If you are still unsure about the status of your loan, please email BND or call us at 701.328.5660 and we would be happy to assist you.

Do I need a cosigner?

A creditworthy cosigner is required if you do not meet BND’s credit criteria.

Can a cosigner be released?

To be released as the cosigner of a loan, each of the following requirements must be met:

  • The borrower must be found creditworthy based on the credit criteria in effect at the time the request is made.
  • Borrowers must make 48 consecutive, regular on-time payments on the DEAL One Loan to BND.
  • A regular on-time payment is a payment  received within 15 days of the due date while in repayment status. This does not include payments made during forbearance, deferment or income sensitive repayment periods.
  • The payment counter restarts if there is a period of reduced payments, income sensitive, deferment or forbearance or a payment is received more than 15 days past the due date.
  • The borrower must submit the DEAL Request for Release of Cosigner form.

How long does the application process take?

The biggest factor impacting the length of the loan process is how quickly documents are returned to BND.
Smart Move Tip

Check out “Steps for getting a loan” above.

When will my other loans be paid off?

Loan payoffs will be made directly to all of your lenders after BND has sent you the Final Loan Disclosure and the required time has passed. They loan payoffs are sent by BND directly to your lender(s).

You can see the “Steps for getting a loan” above.

Category: Bank loan

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