FAQWe're here to answer all your questions.
We make loans to students demonstrating high career and academic potential who have 2 years or less of school remaining before graduation. Check to see if you’re eligible for a loan.
We lend to students from 190+ countries who attend school in the U.S. Check your eligibility for an MPOWER loan here.
Because our loan decisions are based on your future potential, we do not require a co-signer. And, while we do not require a credit score, we do need to review your detailed credit report to verify payment history and good standing.
At this time, MPOWER only lends to students in the last 2 years of their program of study.
Your credit report is a living record of your credit activity and financial history as reported to credit bureaus by your creditors. This includes information such as the total credit that is available to you, the utilization of that credit, lender information, and your payment history. You may also see public records such as tax liens, collection accounts, and information regarding which lenders have accessed your credit history for various purposes such as potentially extending new credit.
The three national credit bureaus are Experian, TransUnion, and Equifax. In addition, there are a number of smaller, regional credit bureaus that collect and provide credit information.
Your credit history and credit score are the means by which most U.S. lenders judge your repayment reliability and trustworthiness. Not having a credit history makes it very difficult for them to evaluate your creditworthiness – which in turn usually means less credit available to you and at higher rates. Having a positive credit and payment history means that you will likely have greater access to more credit at a lower cost.
Any potential lender that pulls your credit information, including MPOWER, will show up as an inquiry on your credit report. As part of that inquiry, there may be a slight lowering of your overall credit score. This impact is temporary, though it can take several months for your score to bounce back up. The U.S. credit bureaus (Experian, TransUnion, and Equifax) can also see if you are rate shopping when you apply for several different student loans during a 30-day period of time. Typically, multiple inquiries in a short amount of time are treated as a single inquiry and will have a relatively small impact on your score. You can learn more about how multiple inquiries affect credit scores by visiting the credit bureaus’ websites. MPOWER obtains U.S. credit information from TransUnion, and the company’s FAQs can be found at https://www.transunion.com/credit-report.
MPOWER reports your loan balance and monthly payment history to the U.S. credit bureaus (Experian, TransUnion, and Equifax) each month. Showing a positive payment history allows you to build a solid U.S. credit history. Other creditors can see this information when they pull your credit history and this enables them to make decisions regarding your creditworthiness.
It can take several months for your MPOWER loan and payment history to show up on your U.S. credit report. Though the U.S. credit bureaus (Experian, TransUnion, and Equifax) can see your information fairly quickly, it can take a few months for them to update your credit file with your new MPOWER account.
Currently, the maximum an individual can borrow from MPOWER is $50,000.00. This is limited to $25,000.00 for each academic period.
Please note that each application is reviewed independently of the other.
You can borrow with fixed interest rates between 7.99% () and 13.99% (). These will be the maximum rates and will never increase. However, MPOWER offers borrowers 3 ways to qualify for discounts:
1) 0.50% rate discount by repaying your loan through automatic withdrawal,
2) an additional 0.50% discount for making 6 consecutive on-time payments while repaying your loan through automatic withdrawal,
3) and another 0.50% discount for reporting proof of graduation and employment
If you qualify for all these discounts, your rate will range between 6.49% () and 12.49% ().
Yes. Your rate will never increase.
Our loans can be used for all university-related expenses, including but not limited to tuition, books, meal plans, housing, and health insurance.
You will make small, interest-only payments in school and after graduation during the 6 month grace period. Loan repayment term is 10 years and starts after the grace period ends.
Here’s a payment sample if you qualify for discounts: For a loan amount of $10,000 at an interest rate of 11.99% (), your monthly interest-only payment is $100.54 for the first 6 months and $96.16 for the next 8 months. You are required to make this interest-only payment during your in-school period as well as the 6-month grace period post-graduation. After the grace period ends, you are required to make interest and principal payments of $141.62 for the next 120 months.
No. If you decide to repay part or all of your loan ahead of schedule, there is no penalty.
There is no fee to apply for a loan. If you are approved and choose to proceed with the loan, a 5.0% origination fee will be added to your loan balance and must be repaid over the term of your loan. You are not required to pay this fee upfront, instead you pay it back with your monthly loan payments.
Origination fees are a common loan fee. It covers the cost of processing your loan and having the funds disbursed.
Typically, we require a combination of the following documents:
1. Resume: Be sure to include your contact information, prior school information, and employment history
2. Past university transcripts: These documents must include your name, the name of the school, the dates you attended, and the grades you received
3. Current university transcripts or the admission letter from the school you’ll be attending
4. Standardized entrance exam scores or a waiver note: This includes the SAT and ACT for undergraduate applicants; the GRE, GMAT, LSAT, or MCAT for graduate applicants; and the TOEFL or
IELTS for international applicants
5. Most recent invoice from your university or a university financial summary: The invoice should be dated within 30 days and must include your name and the name of the university. If you
are just beginning your program, a list of fees from the university is acceptable
6. Employment letter or pay stub: This should include your name, your employer’s name, and salary information
7. Address verification: Verification of your U.S. address with a utility bill, a copy of your lease, a letter from your school, etc.
8. Identification verification: Provide a copy of the following identification documents, as applicable:
a. U.S. Citizen: valid U.S. passport or birth certificate AND your driver’s license
b. Permanent Resident: valid passport from country of origin AND proof of permanent residency
c. International Student: valid passport from country of origin AND valid U.S. Visa AND National ID card from country of origin. If you do not have a National ID, please provide a
second form of photo ID
9. I-20 (when available) and supporting financial documentation: Our application asks you to fill out a short form outlining your sources of funding and debt. For each item referenced, we
need supporting documentation. Some examples:
a. Personal savings: most recent bank statements
b. Family savings: family member’s most recent bank statements AND signed and dated intent letter confirming that they will be supporting you financially through the duration of your
c. Scholarship: award letter
d. Income: pay stubs / tax return / job offer letter
e. Loans: detailed loan statement that includes balance, term, payments, and interest rate
Please ensure that your name is on all submitted documentation.
Based on your application data, we might make a conditional offer within 2-3 business days. If you receive a conditional offer, you will be prompted to upload supporting documentation and to complete a short video activity. Then, our credit team will be in touch within 3-5 business days with a final credit decision.
We take great care in assessing each student’s application and work speedily to provide funding to our borrowers. If your payment deadline is approaching and you feel that your funds will not reach the university in time, reach out to your university’s financial aid office to see if you can extend your deadline. If your MPOWER application has been approved and your loan documents are in the process of being finalized, most universities will allow for an extension.
Approval and Servicing
The disbursement dates are set up by your school electronically in accordance with MPOWER’s rules. You may check the status of your loan in real time on our online borrower portal.
MPOWER disburses funds directly to your university. There is no additional effort required from your end to send the money to your school.
In-school interest only payments will begin 45 days after loan funds have been disbursed. Making consistent on-time payments will help build your U.S. credit history and will avoid the accumulation of interest.
Our auto-withdrawal option allows you to make on-time monthly payments directly from your U.S. bank account. This option also reduces your interest rate by 0.50%. We can also accept payment online through our payment portal, via the phone, via check through U.S. mail and even international money transfers.
As a global company, we are able to accept multiple methods of payments. You can pay directly from your U.S.-based bank account, pay from your home country-based bank account through our partnership with Flywire, or pay over the phone with our loan servicing partner, Firstmark.
In order to be eligible for a loan and to proceed with your application, you must have been accepted into the school for which you are requesting funds. For support in your college application process, please consider some of the options below:
- Mentorverse: Expert mentors who provide one-on-one help for international students applying to U.S. colleges
- Globalizers: India-based education consulting firm
- Fortuna Admissions: MBA admissions consulting firm with strong personal focus
- GMAT Club: An information sharing and resource center that can improve the business school application process
All circumstances are unique. In order to truly understand your potential and accurately calculate your rate, we’ll need to look over your submitted application. If you submit an application and find that you no longer wish to take out a loan with MPOWER, you can turn down the terms at no cost.
Having an available co-signer will not affect the interest rate you receive. Our loan process was created so students wouldn’t have to worry about having a co-signer or credit score. Several options are in place to help you lower your rate, from our auto-withdrawal payment option (0.50% rate discount) to our on-time payment discount (0.50% discount for 6 consecutive on-time payments) to proof of graduation and employment (0.50% rate discount). You can receive a total discount of 1.50% on your interest rate.
I have already taken out a loan from another company. Can I use an MPOWER loan to repay my current loan?
Not at this time. Loans from MPOWER are disbursed directly to the university to pay for university-related expenses.
Automatic withdrawal, or auto-ACH, is the electronic method we use to collect payments from our borrowers on a recurring basis. You provide us with your U.S. bank account information through our secure portal, and when it’s time to pay your loan, your bank will automatically transfer the money to us. You’ll see these withdrawals reflected in your bank statements.
If you are unsure of the loan size that will be needed to cover the cost of your education, we suggest that you request the maximum amount of $25,000. During the application process, you will have the opportunity to decrease the amount of funds initially requested. For example, if you initially applied for $25,000, but then realize that you only need $10,000, your loan amount can be reduced. However, If you apply for a smaller loan and want to increase the amount later in the process, you may be required to fill out a new application as our credit analytics team will need to re-review your application.
MPOWER certifies your outstanding expenses with the university and only disburses the amount required to pay your balance. You only pay back the amount that was disbursed.
As a supplement to your school’s career services and alumni network, we offer a range of exclusive professional development tools including resume review, networking opportunities, mock interviews, informational interviews, and a private message board for full-time and internship opportunities.
Upon credit approval, MPOWER is able to issue support letters free of charge to assist with the visa process.
Yes. We have an office in Bangalore, India. We are located at WeWork, 43, Residency Rd, Ashok Nagar, Bengaluru, Karnataka 560025.
If you are having technical issues with our online customer dashboard or application portal, please follow these instructions:
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If you have followed through with these steps, we’ll be able to get your issue resolved in a timely manner.