How To Apply

1. Apply online (or fill out a paper application)
2. Add a cosigner if you don't have a qualifying credit score
3. Sign your loan documents online (fastest!) or mail them to ACPE
4. Provide payoff information for the loans you're refinancing
5. Accept the terms set out in your loan disclosure
6. You're done!

Eligibility

You may qualify even if you did not finish your degree program.

• Be an Alaska resident (primary borrower only)
• Have at least $7,500 in qualifying education loan(s), in good standing
• Have a minimum FICO credit score of 720 or higher, or a cosigner who meets the FICO score requirement

Accepting Your Award

Once your Refi application is approved, we'll send you a Loan Application Disclosure (LAD). You must accept the disclosure before we can finalize the refinancing process. The quickest way to accept your loan terms is electronically, through your ACPE online account.

Disbursement

After you accept your LAD, ACPE will pay off your loans with your lender(s). You'll be notified when the payment is sent. Please continue making payments with your current lender until you can verify they've received ACPE's pay off check.  

Interest Rate, APR, and Fees

The Alaska Refinancing Loan has a fixed interest rate that ranges between 4.60% (4.60% APR) and 5.30% (5.30% APR). Your interest rate is determined based on your credit history or your cosigner's credit, if applicable. You will be notified of the interest rate you qualify for when your loan is approved. More about how we set your rate: acpe.alaska.gov/myrate .

What is APR?

APR stands for the Annual Percentage Rate and is the yearly cost of borrowing your loan, shown as a percent of the amount you borrowed.

Fees

There are no origination fees or prepayment penalties.

Credit Requirements

To qualify for the Alaska Refinancing Loan, you must have a FICO score of at least 720, or an eligible cosigner. Your interest rate is determined based on your credit history or your cosigner's credit if you plan to apply with one.

Visit our Understanding Credit page to learn more about FICO scores, credit reports, and establishing good credit.

Consider a Cosigner

If you do not meet the credit requirements or you would like to try for a better interest rate, you may want to consider adding a cosigner. The online application process gives you the opportunity to send an instant request to a potential cosigner. If you elect to add a cosigner, that person will be responsible for the loan even in the event you meet the credit conditions independently.

What is a Cosigner?

A cosigner assumes responsibility for the loan if the borrower should fail to repay the loan. A cosigner has an independent responsibility to repay the debt and to notify ACPE in the event of changes affecting the loan. ACPE can collect from the cosigner without first having to collect from the primary borrower.

ACPE will notify the cosigner of delinquency in repayment or any changes in the loan terms that increases the amount due on the loan.

Repayment

You will have the choice of a 5-, 10-, or 15-year repayment term. If you choose a shorter repayment term, you will have the option to extend your term in qualifying situations. A repayment schedule will be established no later than 60 days following loan origination. Your monthly payment amount will be based on your total debt and term length, subject to a minimum payment of $100.00 a month. Payments can be as much as $500 or greater depending on the total amount you refinance.

Choosing Wisely

Even though refinancing may offer many potential benefits, be sure you understand what you're giving up – even a lower payment may not be worth the loss of certain benefits afforded to federal Direct and/or Stafford loans, the Alaska WWAMI Biomedical Program and benefits offered by other lenders.

• Read your promissory notes carefully, and don't be afraid to ask questions if there is something you do not understand.
• When you refinance, you give up all benefits associated with the old loans. This may include options such as forgiveness, deferments, and income-based repayment options, available on some federal loans, or ACPE's 48-On Time Payment cost reduction or auto-pay benefit.
• If you have loans with interest rates below 5.30%, refinancing may not lower your costs, so be sure to check the rates on your existing loans before refinancing.