Loan Options

We help you break down barriers to education – without breaking the bank.

Overview

HESC is a nonprofit organization dedicated to helping Texas students and their families realize their educational dreams through our Texas Extra Credit Education Loan program. We offer two low-cost loan options:

  • Private Student Loans for students who may or may not require a cosigner for credit approval

  • Private Parent Loans for parents, family members or other creditworthy individuals who wish to help pay for a student’s college costs

Before applying for a Texas Extra Credit Education Loan, we highly recommend you apply for and make use of all federal student aid through the Free Application for Federal Student Aid (FAFSA®) at fafsa.gov. To learn more about the types of federal student aid available, when to apply and eligibility requirements, visit studentaid.gov. 

Offering Borrowers Low-Cost Loan Options

  • Competitive Fixed Rate Loans ranging from 2.74% (with Auto Pay discount 6) - 6.89% APR 1 

  • Initial Credit Decision in Minutes 2 

  • Multiple Repayment Terms and Options 

  • No Application, Origination or Disbursement Fee 

Which Loan Is Right for Me?

Student Loan

For: Student borrowers attending an approved school at least half-time that may or may not require a cosigner for credit approval

  • Student borrower and cosigner, if applicable, are jointly and severally liable for repayment of the loan

  • Up to 0.50% interest rate reduction

    • 0.25% for Graduation Benefit 5

    • 0.25% for Auto Pay Discount 6

  • 3 repayment options, 3 repayment terms

  • Competitive fixed rates

  • Cosigner Release 7

Parent Loan

For: Parents, family members or other creditworthy individuals that wish to take out a loan on behalf of a student attending an approved school at least half-time

  • Repayment of the loan is the sole responsibility of the borrower; the student holds no responsibility

  • 0.25% Auto Pay interest rate reduction 6

  • Immediate, Interest-Only or Full Deferment Repayment Options

  • 5, 10 or 15 year repayment terms

  • Competitive fixed rates

How the Application Process Works

Apply

Start your loan with our easy online application.

Submit

Receive an initial credit decision within minutes of submitting your application.

Verify

Provide any required documentation to verify the information on your application.

Sign

If approved, sign your loan application. We’ll then request the school certify the loan.

Approve

Once certified, provide final loan approval and your funds can be disbursed.

Compare Our Rates

Use the table below to determine what Annual Percentage Rate (APR) you may qualify for before you apply. Each tab represents one of our repayment options - simply select a tab to view available rates based on our three repayment terms and your estimated credit score.

Immediate Repayment

Start making full monthly payments on the principal and interest once the loan is fully disbursed.

5 Year Repayment Term

CREDIT SCORE

APR

Excellent

2.75%

Great

4.19%

Good

4.86%

Fair

5.78%

10 Year Repayment Term

CREDIT SCORE

APR

Excellent

3.77%

Great

4.39%

Good

5.06%

Fair

5.98%

15 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.29%

Great

5.01%

Good

5.58%

Fair

6.25%

Note: APRs listed above assume immediate repayment of a $10,000 loan disbursed over two transactions and includes a 0.25% interest rate reduction for payments made via auto pay6. Lowest APR rates are only available for the most creditworthy applicants. Actual rates are determined based on the applicant’s loan application, credit history and supporting documentation as well as the repayment option and term selected. The applicant's credit score and history are evaluated using Equifax's Scorecard 9.
Interest Only Repayment

Only pay the interest on the loan while the student is enrolled at least half-time, postponing payments on the principal balance for up to 66 months.

5 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.11%

Great

4.79%

Good

5.42%

Fair

6.05%

10 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.31%

Great

4.99%

Good

5.63%

Fair

6.25%

15 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.59%

Great

5.27%

Good

5.90%

Fair

6.53%

Note: APRs listed above assume interest only repayment for 60 months (including a 6-month grace period) of a $10,000 loan disbursed over two transactions and includes a 0.25% interest rate reduction for payments made via auto pay6. Lowest APR rates are only available for the most creditworthy applicants. Actual rates are determined based on the applicant’s loan application, credit history and supporting documentation as well as the repayment option and term selected. The applicant's credit score and history are evaluated using Equifax's Scorecard 9.
Fully Deferred Repayment

Postpone all repayment up to 66 months, or until the student graduates or drops below half-time enrollment.

5 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.40%

Great

5.04%

Good

5.75%

Fair

6.20%

10 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.64%

Great

5.31%

Good

6.05%

Fair

6.50%

15 Year Repayment Term

CREDIT SCORE

APR

Excellent

4.94%

Great

5.61%

Good

6.36%

Fair

6.67%

Note: APRs listed above assume fully deferred repayment for 60 months (including a 6-month grace period) of a $10,000 loan disbursed over two transactions and includes a 0.25% interest rate reduction for payments made via auto pay6. Lowest APR rates are only available for the most creditworthy applicants. Actual rates are determined based on the applicant’s loan application, credit history and supporting documentation as well as the repayment option and term selected. The applicant's credit score and history are evaluated using Equifax's Scorecard 9.

ELIGIBILITY REQUIREMENTS

To be eligible for a Texas Extra Credit Education Loan, you must meet the following requirements:

Resident of Texas

The borrower and cosigner, if applicable, must be permanent residents of Texas – the student can attend any approved college or university throughout the United States.

Income

The applicant applying as creditworthy must earn at least $30,000 per year and provide proof of current income. 

Citizenship

Applicant(s) must be United States citizen/national or lawful permanent resident alien of the United States.

Additional Information

Click a link below to learn more about the specifics of our programs:

Multiple Repayment Options

Initial Credit Decision in Minutes 2

Easy to complete online application.

Choose between a 5, 10 or 15-year repayment term and three repayment options.

Compare Loan Scenarios

Low-Cost Private Loan Programs

Compare loan scenarios in real-time by selecting different repayment options.

Compare our Interest Rates by FICO, Repayment Term and Option.

Zero Fees

No Application, Origination or Disbursement Fees.

Program Benefits

Lower your interest rate with our borrower benefits program.