Hi, I am currently considering student loan applications. I want to apply for those that accept cc payments.
Low interest and no-cosinger.....
Thanks for the info
Thanks for your information. I currently have FAFSA student loans but I am looking for additional private student loans, that's why.
Thanks for your reply. I have signed the MPN. I also have the Federal loan,subsidized and unsubsidized. I am currently in school.
I don’t think there are any student loan service providers left that offer credit card payment, but I have been using an awesome workaround to allow me to still make payments toward my student loans with a credit card. So far I have racked up almost $600 in cc rewards by doing this, and I still have plenty to go!
I tried many different strategies before reaching this one. First Platiq, but their fees did not make the exchange worthwhile. Then American Express preloaded debit cards, but Great Lakes only accepts Visa and Mastercard for debit payments. Finally I reached this solution and have been using it successfully for months. This has been working great with my provider (Great Lakes), but I would love to hear some feedback from you guys about how it has worked with your own providers.
Use your credit card to purchase online Visa preloaded debit cards in $500 increments and use TopCashBack to get your purchase fees basically refunded. Then make payments with the Visa debit cards over the phone.
1. Go to TopCashback and log in or sign up (it's a free cash back service). Search for "giftcards.com" on their website, find the option for Visa, and click the big pink button that says "Get Cashback." You'll be redirected to the giftcards website.
2. In the giftcards Visa page, click "Virtual Gift Accounts." Change the value to $500 (their max). Enter your own name, email address, etc. Click "Next Step." (Don't get scared away by the fact that it says "internet use only." This just means that you can't use this digital card with in-person stores. If you read the fine print, you will see that they work over the internet AND over the phone.)
3. In the Review Your Order page, duplicate that card until you have as many multiples of $505.95 as your credit card can handle (up to a daily max of $1500 in virtual gifts). Click "Add to Cart." (Don't worry about the $5.95 fee - TopCashBack will pay you back $5.00 in rewards, which turns it into a $0.95 fee, so as long as the rewards on your credit card are greater than 00.19%, you'll be making money in the end.)
4. Check out using your credit card information. Your new $500 cards will be sent to your email.
5. Using the links in the emails, open up the cards online and associate your name to activate them.
6. Call your student loan service provider and tell the representative that you are calling to make a payment with a DEBIT card. It's also polite to warn them that you will be making multiple payments using multiple debit cards during that call. The Great Lakes reps are always so great about this. Just this morning I made nine of these payments during one call and the lady was super chill about it.
7. Pay off the charge on your credit card ASAP.
And there you have it - you just earned credit card rewards on your student loan payment! For each $500 payment you earn full rewards from your credit card, minus the 95¢ in net fees. This process might seem like a lot at first, but the steps become second nature once you're used to it.
Now, is this strategy a good match for you? That depends on a couple things. Let's look:
This should WORK if...
- You use Great Lakes or another provider that accepts debit payments using Visa debit cards (the giftcards site has a mastercard option too).
- Your credit card earns greater than 00.19% rewards on online purchases (most earn at least 1%, so you should be fine).
- You can (and will remember to) pay off the full credit card balance immediately.
This should NOT work if...
- Your student loan service provider that does not accept debit payments via Visa or Mastercard.
- Your credit card that doesn't earn rewards on online purchases.
- You will end up paying credit card interest.
(Mod cut / edit - sorry, referral codes or links are not permitted on the myFICO forums)
I hope this strategy helps many people earn more rewards while paying off their student loans! I would love to hear how this strategy is helping you.