Ascent Graduate Loans Review: When to Choose Private Over Federal Grad PLUS
Introduction and context: when Ascent graduate loans make sense
In this Ascent Graduate Loans review, you’ll learn that Ascent offers competitive fixed and variable rates often lower than federal Grad PLUS loans for borrowers with strong credit. They stand out by offering non-cosigned options based on future income potential, making them a strong contender for MBA, medical, and law students.
For many families and students, the path to a graduate degree involves a patchwork of funding sources. While scholarships, grants, and federal Direct Unsubsidized Loans should always be the first line of defense, they often fall short of covering the total cost of attendance. This is where private lenders fill the gap. However, not all private loans are created equal. Ascent has carved out a unique niche by offering flexible eligibility criteria that look beyond just credit scores, specifically catering to graduate students who might not have a cosigner but possess high earning potential.
Understanding when to pivot from federal to private financing is crucial. Federal Grad PLUS loans are available to almost everyone, but they come with high origination fees and interest rates that can be significantly higher than market rates for creditworthy borrowers. If you or your family have established strong credit, or if you are a student in a high-return graduate program, Ascent graduate loans can offer a lower overall cost of borrowing. This review will guide you through the specific rates, terms, and unique benefits Ascent offers, helping you decide if this lender is the right tool to finance your advanced degree.
Ascent graduate loans at a glance: quick comparison
Before diving into the fine print, it is essential to see how Ascent stacks up against the federal alternative and the broader private market. For many graduate students, the decision comes down to a direct comparison between Federal Grad PLUS loans and a private lender like Ascent. The table below outlines the key differences to help you visualize the trade-offs regarding costs and protections.
| Feature | Ascent Graduate Loans | Federal Grad PLUS Loans | Typical Private Lender |
|---|---|---|---|
| Interest Rates | Fixed & Variable (Competitive ranges based on credit) | Fixed at 9.08% | Fixed & Variable (varies widely) |
| Origination Fees | $0 (No fees) | 4.228% | Usually $0 |
| Grace Period | 9 months | 6 months | 6 months |
| Cosigner Release | Available after 12 or 24 months | Not applicable (Endorser release only) | Available (terms vary, usually 24-36 mo) |
| Repayment Options | 5, 7, 10, 12, 15, 20 years | Standard, Graduated, Extended, IDR | 5–15 years |
| Federal Protections | No (No PSLF or IDR) | Yes (PSLF, IDR eligible) | No |
Source: Ascent Funding and StudentAid.gov (Federal rates and fees effective July 1, 2024–June 30, 2025; Ascent data as of January 2025).
To determine if you should proceed with an application, review this checklist. If you check most of these boxes, Ascent is likely a strong candidate for your financing strategy:
- Credit Profile: You (or your cosigner) have a credit score of 660+ and a history of on-time payments.
- Career Path: You are not pursuing a career in public service that would qualify for Public Service Loan Forgiveness (PSLF).
- Cost Sensitivity: You want to avoid the origination fee charged on Grad PLUS loans.
- Repayment Strategy: You plan to pay off the loan aggressively or within a standard timeframe rather than relying on income-driven repayment (IDR).
- Cosigner Status: You have a creditworthy cosigner, OR you are an upperclassman/grad student in a specific major eligible for Ascent’s outcomes-based (non-cosigned) loans.
- Flexibility Needs: You value a longer grace period (9 months) to find employment after graduation.
If you meet these criteria, Ascent offers a compelling alternative to federal borrowing. Compare rates from leading private lenders to find your best option.
Eligibility requirements for Ascent graduate loans
Ascent is known for its “Non-Cosigned Outcomes-Based” loan, which allows students without a credit history to qualify based on their degree program, school, and future earning potential. However, the majority of borrowers still qualify through traditional credit-based underwriting. Understanding these requirements is the first step toward securing funding.
For Ascent’s credit-based loans, the borrower (or cosigner) typically needs a minimum credit score. As of January 2025, according to Ascent Funding, a FICO score of roughly 660 or higher is generally required to qualify, though the most competitive rates are reserved for those with scores in the mid-to-high 700s. Beyond the score itself, Ascent looks for a clean credit history. This means no recent bankruptcies, serious delinquencies, or defaults. For the outcomes-based loan option, the credit score requirement may be waived or lowered, provided the student meets specific academic criteria, such as being within nine months of graduating with a high-demand degree.
Income verification is a standard part of the process. For credit-based loans, according to Ascent Funding, there is a minimum income requirement, typically around $24,000 annually for the borrower or cosigner. Ascent also evaluates the Debt-to-Income (DTI) ratio to ensure the borrower can manage the monthly payments. A lower DTI ratio increases the likelihood of approval and may result in better interest rates.
To be eligible, students must be enrolled at least half-time at an eligible Title IV institution. Ascent covers a wide range of graduate degrees, including MBA, medical, dental, law, and general masters programs. For the unique non-cosigned option, the student must be a junior, senior, or graduate student. This flexibility is vital for older students who may not have family members willing or able to cosign.
Borrowers must be U.S. citizens or permanent residents. However, Ascent is one of the few lenders that offers options for DACA students and international students, provided they have a creditworthy U.S. citizen or permanent resident cosigner.
While Ascent offers pathways for independent borrowers, adding a cosigner often leads to a higher chance of approval and lower interest rates. According to Mark Kantrowitz, financial aid expert, “Most students will need a cosigner to qualify for a private student loan.” This is particularly true for students who have taken a break between undergrad and grad school and haven’t yet built a substantial credit history. If you are worried about your credit score, building a strong credit profile through on-time payments and low credit utilization can significantly improve your approval odds before applying.
Interest rates and APR for Ascent graduate loans
The cost of borrowing is arguably the most critical factor when choosing a lender. Ascent graduate loans use a tiered pricing structure based on the borrower’s (or cosigner’s) creditworthiness. Understanding how these rates work and how they compare to federal options can save you thousands of dollars over the life of the loan.
Ascent offers both fixed and variable interest rates.
- Fixed Rates: These rates remain the same for the entire life of the loan. This provides stability and predictable monthly payments, which is excellent for budgeting. As of January 2025, fixed APRs for graduate loans are 2.89% - 15.31% for highly qualified borrowers.
- Variable Rates: These rates may start lower than fixed rates but can fluctuate monthly or quarterly based on market benchmarks (typically SOFR). While they offer potential savings if rates drop, they carry the risk of payments increasing if market rates rise.
To help lower costs, Ascent offers an automatic payment discount. According to Ascent Funding, by enrolling in autopay, borrowers typically receive a rate reduction ranging from 0.25% to 1.00%, depending on the specific loan product. This simple step can significantly reduce the total interest paid over a 10 or 15-year term.
When evaluating Ascent, you must compare the Annual Percentage Rate (APR) against the federal Grad PLUS loan. According to StudentAid.gov, for the 2024-2025 academic year, the Grad PLUS interest rate is fixed at 9.08%. However, the true cost is higher because of the 4.228% origination fee. When you factor in this fee, the effective APR for a Grad PLUS loan is often higher than 10%.
Example Scenario:
If a student borrows $20,000 for graduate school:
- Federal Grad PLUS: The 4.228% fee removes roughly $845 immediately, meaning you borrow $20,000 but only receive about $19,155 for school expenses. You pay interest on the full $20,000.
- Ascent Graduate Loan: There are no origination fees. If you borrow $20,000, the full $20,000 goes to your school. If you qualify for an APR lower than the federal effective rate, you save money on both the upfront fee and the accruing interest.
Quick tip: check your rates without impacting credit
Ascent allows you to see your estimated rates with a soft credit inquiry. This means you can check if you beat the federal Grad PLUS rate without hurting your credit score. Check your prequalified rates now.
Loan amounts and borrowing limits
Once you have determined that the rates are competitive, the next question is whether Ascent can cover your financial needs. Graduate school costs—including tuition, fees, housing, and materials—can be substantial, and borrowing limits are a key constraint for many students.
According to Ascent Funding, Ascent typically has a minimum loan amount of $2,001, though this can vary slightly by state due to local lending laws (e.g., Massachusetts often has a higher minimum). On the upper end, Ascent allows students to borrow up to 100% of the school-certified Cost of Attendance (COA). The COA is determined by your university’s financial aid office and includes tuition, room, board, books, and miscellaneous personal expenses.
In addition to the annual limit (capped at COA), there is a lifetime or “aggregate” loan limit. According to Ascent Funding, for graduate loans, Ascent’s aggregate limit is generally $200,000. This figure includes all student loans—both federal and private—that you have taken out for your undergraduate and graduate education combined. For certain high-cost professional degrees, such as medical, dental, or law degrees, these aggregate limits may be higher to accommodate the steeper tuition prices.
Ascent, like all private lenders, adheres to the “School Certification” process. This means you cannot simply request $50,000 cash. The school must verify that the loan amount fits within your budget. The formula is simple:
Cost of Attendance – Financial Aid Received (Scholarships, Grants, Federal Loans) = Maximum Private Loan Amount.
Before applying for the maximum amount, ensure you have maximized all available federal student aid options, which typically offer more favorable terms and protections than private loans.
Repayment options and terms
How you repay your loan is just as important as how much you borrow. Ascent offers a variety of repayment terms and in-school payment options designed to fit different budget constraints and career trajectories.
Borrowers can typically choose from loan terms of 5, 7, 10, 12, 15, or even 20 years for variable rate loans. A shorter term (like 5 or 7 years) will result in higher monthly payments but significantly less interest paid over time. A longer term (15 or 20 years) lowers the monthly obligation, freeing up cash flow for new graduates, but increases the total cost of the loan.
Ascent provides four distinct ways to handle payments while you are still studying:
- Deferred Repayment: You make no payments while in school and during the grace period. Interest accrues and is added to the balance (capitalized) at the end of the grace period. This is the most expensive option long-term.
- Fixed Repayment: According to Ascent Funding, you pay a flat fee (e.g., $25) every month while in school. This helps build payment habits and lowers the accrued interest slightly.
- Interest-Only Repayment: You pay the interest charges each month while in school. This prevents the balance from growing, ensuring you owe the same amount you borrowed when you graduate.
- Full Principal & Interest: You begin making full payments immediately. This is the greatest money-saving option but requires significant income while studying.
One of Ascent’s standout features for graduate students is the 9-month grace period. Most federal and private loans only offer 6 months. This extra three months can be crucial for graduate students finding their footing in competitive job markets or relocating for work. Ascent also offers temporary forbearance options for economic hardship, allowing borrowers to pause payments for short periods (typically in 3-month increments, up to 24 months total over the life of the loan).
It is important to note that unlike federal loans, Ascent does not offer Income-Driven Repayment (IDR) plans or Public Service Loan Forgiveness (PSLF). If your strategy relies on forgiveness or payments capped at a percentage of your income, you should prioritize federal options. For more details on managing payments, developing a comprehensive repayment strategy that considers your career path and financial goals is essential before choosing between federal and private loans.
Unique features and benefits for graduate students
Beyond rates and terms, Ascent includes several borrower-friendly benefits that differentiate it from other private lenders. These features are designed to support students not just during school, but as they transition into their careers.
For students who needed a cosigner to qualify, Ascent offers a clear path to financial independence. According to Ascent Funding, borrowers can apply to release their cosigner from the loan obligation after making 12 consecutive on-time full principal and interest payments (or 24 months for certain loan types). To qualify, the primary borrower must meet credit and income requirements on their own at the time of the request. According to Mark Kantrowitz, financial aid expert, “Cosigner release is a valuable feature offered by some private lenders, rewarding responsible repayment,” as it protects the cosigner’s credit and debt-to-income ratio for their own future borrowing needs.
According to Ascent Funding, Ascent rewards students for completing their degree. Borrowers can receive a 1% cash back reward on the principal amount of their loan upon graduation. To qualify, you must request the reward within 90 days of graduating and meet specific criteria, such as having an account in good standing. On a $40,000 loan, this is a $400 check sent directly to you—a helpful bonus for moving expenses or a first apartment deposit.
Ascent provides access to AscentUP, a career success program that offers internship and job search support, resume reviews, and financial wellness coaching. This resource is particularly valuable for graduate students looking to maximize the return on their degree immediately upon entering the workforce.
Application process and timeline
Applying for an Ascent graduate loan is a digital-first experience designed to be quick and transparent. Understanding the steps can help ensure your funds arrive before tuition is due.
The process begins with a prequalification tool on the Ascent website. You (and your cosigner, if applicable) enter basic information including your school, degree, income, and requested loan amount. Ascent performs a soft credit check, which does not impact your credit score. Within minutes, you can see if you qualify and view estimated interest rates and terms.
Once you select a rate and term, you proceed to the full application. At this stage, a hard credit inquiry is performed. You will need to upload documentation, which typically includes:
- Government-issued ID (Passport or Driver’s License)
- Proof of income (pay stubs or tax returns)
- Proof of address
Having these documents ready can speed up the approval process significantly.
After Ascent approves the loan, they send the details to your university for certification. The school confirms your enrollment status and that the loan amount does not exceed the cost of attendance. This step can take anywhere from a few days to a few weeks, depending on your school’s financial aid office speed. Once certified, the funds are disbursed directly to the school to pay tuition and fees. Any remaining balance is refunded to the student by the school for living expenses.
Pros and cons of Ascent graduate loans
No single lender is perfect for every student. To make an informed choice, you must weigh the specific advantages of Ascent against the limitations inherent in private lending.
- No Fees: Zero origination, application, or prepayment fees, offering immediate savings over Federal Grad PLUS loans.
- Extended Grace Period: The 9-month grace period provides 50% more time to find a job compared to the standard 6-month window.
- Non-Cosigned Options: The outcomes-based loan is a rare option for juniors, seniors, and grad students with thin credit files but bright career prospects.
- Cosigner Release: Offers a relatively fast track (12-24 months) to remove a cosigner compared to other lenders.
- Graduation Reward: The 1% cash back is a tangible financial benefit that most competitors do not offer.
- No Federal Protections: You lose access to Income-Driven Repayment (IDR) plans and Public Service Loan Forgiveness (PSLF).
- Credit Requirements: Unlike federal loans, approval is not guaranteed. You need good credit or a creditworthy cosigner to get the best rates.
- Limited Forbearance: While Ascent offers hardship forbearance, it is not as generous or flexible as the deferment options available with federal loans.
Why it matters
If you are entering a high-paying private sector field (like business or engineering), the “Pros” of lower rates and fees likely outweigh the “Cons.” However, if you plan to work in non-profit or government roles, the lack of PSLF makes federal loans the superior choice regardless of the interest rate.
Frequently asked questions
They can be. According to StudentAid.gov, Federal Grad PLUS loans have a fixed rate of 9.08% for 2024-25 plus a 4.228% origination fee. Ascent offers rates based on creditworthiness. If you or your cosigner have excellent credit (typically 740+), your interest rate with Ascent could be significantly lower than the federal rate, and you will avoid the origination fee entirely.
Not always. Ascent is unique in offering an outcomes-based loan for eligible juniors, seniors, and graduate students that does not require a cosigner. Approval is based on your school, program, GPA, and future earning potential. However, adding a creditworthy cosigner usually results in a lower interest rate.
Yes, international students (including DACA recipients) are eligible to apply for Ascent loans. However, they must have a creditworthy cosigner who is a U.S. citizen or permanent resident to qualify.
Ascent allows borrowers to apply for cosigner release after making 12 consecutive, on-time full principal and interest payments. Some loan types require 24 months. You must also meet Ascent’s credit and income requirements on your own at the time of the request.
Yes, as long as the online program is through an eligible Title IV school. You can check your school’s eligibility directly on the Ascent website during the prequalification process.
Ascent Graduate Loans offer a compelling mix of flexibility, competitive pricing, and unique benefits that make them a top contender in the private student loan market. For graduate students with strong credit profiles—or those with creditworthy cosigners—Ascent can provide significant savings compared to high-interest federal Grad PLUS loans.
- Check Your Rate: If you have a credit score over 700, you may beat the federal Grad PLUS rate and save the origination fee.
- Unique Eligibility: Ascent is one of the few lenders offering non-cosigned options based on academic outcomes, perfect for independent students.
- Flexibility: With a 9-month grace period and progressive repayment options, Ascent understands the transition from grad school to career.
However, remember that federal loans remain the best choice if you need Public Service Loan Forgiveness or extreme repayment flexibility. If you are ready to see what rates you qualify for without affecting your credit score, take the next step today.
Compare prequalified grad loan rates in 2 minutes — Trusted by 50,000+ students and families
(Soft credit check • No impact to credit score)
Many or all of the products presented on this page are from sponsors or partners who pay us. This compensation may influence which products we include, as well as how, where, and in what order a product appears on the page.
