Loan Terms

How much can I borrow?

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.

What interest rate can I expect?

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% ().

 

Is the interest rate fixed for the life of the loan?

Yes. Your rate will never increase.

What can the loan be used for?

Our loans can be used for all university-related expenses, including but not limited to tuition, books, meal plans, housing, and health insurance.

How much time do I have to pay back the loan?

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.

How much will I pay monthly while I’m in school?

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.

Is there a pre-payment penalty?

No. If you decide to repay part or all of your loan ahead of schedule, there is no penalty.

Are there any fees associated with getting the loan?

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.

What is an origination fee?

Origination fees are a common loan fee. It covers the cost of processing your loan and having the funds disbursed.

© MPOWER Financing, Public Benefit Corporation

DISCLAIMER - Subject to credit approval, loans are made by Bank of Lake Mills or MPOWER Financing, PBC. Bank of Lake Mills does not have an ownership interest in MPOWER Financing. Neither MPOWER Financing nor Bank of Lake Mills is affiliated with the school you attended or are attending. Bank of Lake Mills is Member FDIC. None of the information contained in this website constitutes a recommendation, solicitation or offer by MPOWER Financing or its affiliates to buy or sell any securities or other financial instruments or other assets or provide any investment advice or service.