PROVIDENCE, R.I.--(BUSINESS WIRE)--Citizens Bank has today announced the introduction of new loan modification options for qualified students who may be struggling to make their payments. Citizens, a leader in student lending and the only national bank to offer refinancing options for both private and federal student loans, has also introduced an option for new student-loan borrowers – 12 months of interest-only payments following their existing six month grace period after graduation.
The loan modifications announced today include these and other new options for qualified borrowers in repayment whose payments are less than 100 days past due:
- A 12-month period of interest-only payments
- Extensions of repayment terms
- Temporarily reduced interest rates
- A 6-month period of no payments
“We are committed to helping our customers manage the rising cost of college,” said Brendan Coughlin, president of Consumer Lending for Citizens Bank. “Although 99 percent of our borrowers make their payment each month, we understand that certain borrowers may have difficulty paying back their loans, particularly young people who have recently graduated and are starting new careers. Our new loan modification options invite greater communication between Citizens Bank and our customers and offer borrowers greater long-term financial stability.”
The modifications introduced today are available on all Citizens Bank Student Loans, Citizens Bank Student Loans with Multi-Year Borrowing, Citizens Bank Parent Loans and the Citizens Bank Education Refinance Loans.
Borrowers experiencing difficulty making their payments are encouraged to contact their loan servicer to discuss all of the options that are available to them.
Like the loan modifications announced today, the new option for borrowers to make interest-only payments for the first 12 months of repayment is also designed to give borrowers more choices in how they finance and pay for the cost of college.
“Whether we are helping borrowers refinance loans, modify payment terms or secure more flexibility in the terms of their loans at the front end, our goal is to provide our customers with more choices when it comes to paying for college,” Coughlin said.
About Citizens Financial Group, Inc.
Citizens Financial Group, Inc. is one of the nation’s oldest and largest financial institutions, with $135.4 billion in assets as of September 30, 2015. Headquartered in Providence, Rhode Island, Citizens offers a broad range of retail and commercial banking products and services to individuals, small businesses, middle-market companies, large corporations and institutions. In Consumer Banking, Citizens helps its retail customers “bank better” with mobile and online banking, a 24/7 customer contact center and the convenience of approximately 3,200 ATMs and approximately 1,200 Citizens Bank branches in 11 states in the New England, Mid-Atlantic and Midwest regions. Citizens also provides mortgage lending, auto lending, student lending and commercial banking services in select markets nationwide. In Commercial Banking, Citizens offers corporate, institutional and not-for-profit clients a full range of wholesale banking products and services including lending and deposits, capital markets, treasury services, foreign exchange and interest hedging, leasing and asset finance, specialty finance and trade finance.
Citizens operates through its subsidiaries Citizens Bank, N.A., and Citizens Bank of Pennsylvania.
Citizens Bank is a brand name of Citizens Bank, N.A. (NMLS ID# 433960) and Citizens Bank of Pennsylvania (NMLS ID# 522615). Member FDIC,Equal Housing Lender.