Ascent Borrower Benefits – Terms & Conditions

Last updated on: 11/08/2024

These Ascent Borrower Benefits (the “Borrower Benefits”) are a legal agreement between you, as a current or prospective customer of Ascent’s services (“you,” “your,” “applicant,” or “borrower”), Ascent Funding, LLC (“Ascent,” “we,” “our” or “us”), and our bank partners (the Bank of Lake Mills (“BOLM”), and DR Bank (“DR Bank”), together, the “Bank Partners”). The Borrower Benefits described on this site, including their terms, conditions, availability, or pricing, are subject to change at any time, without notice. Borrower Benefits may differ for Ascent’s Parent Loan, please review Section 4 for details.

1. Automatic Payment Discount

            a. Eligibility

The Automatic Payment Discount is applicable to eligible loan applications received on or after 07/1/2021.

Eligibility for the Automatic Payment Discount is limited to borrowers that have an Ascent loan that was originated by either DR Bank or BOLM and are enrolled in and making automatic debit payments from their personal checking account and the amount is successfully withdrawn from the authorized bank account each month with the loan servicer.

Additional eligibility terms include:

• The loan must be current. Loans in a delinquency and/or default or charge-off status, or loans in modified or
  reduced repayment programs other than the Ascent Progressive Repayment program are not eligible.
• The required minimum monthly payment amount must successfully be made on time.
• If a borrower has a deferred repayment plan, they will still need to make a monthly payment of $1.00 or more
  while in school to be eligible for the Automatic Payment Discount.

Eligibility for the Automatic Payment Discount by repayment plan or status:

• Interest-Only Repayment: Borrowers are eligible to receive the Automatic Payment Discount when they are enrolled in automatic debit payments with the loan servicer and pay at least the in-school interest payment amount on-time each month during the in-school and grace periods. Full principal and interest payments will be debited when the loan enters repayment at the end of the grace period.
• $25 Minimum Repayment: Borrowers are eligible to receive the Automatic Payment Discount when they are enrolled in automatic debit payments with the loan servicer and pay at least the $25 minimum payment amount on-time each month during the in-school and grace periods. Full principal and interest payments will be debited when the loan enters repayment at the end of the grace period.
• Deferred Repayment: Borrowers are eligible to receive the Automatic Payment Discount only when a payment amount of at least $1.00 is debited from their account. Borrowers may satisfy this requirement by enrolling in automatic debit payments with the servicer and authorizing an optional additional fixed payment amount of at least $1.00 more than the minimum monthly payment. During deferment, the minimum monthly payment is zero ($0.00), but the fixed amount will be debited. When the loan enters repayment at the end of the grace period, full principal and interest payments plus the fixed payment amount will be debited.
• Full Principal and Interest Repayment (and Progressive Repayment): Borrowers are eligible to receive the Automatic Payment Discount when they are enrolled in automatic debit payments with the loan servicer and pay at least the required minimum principal and interest payment amount on-time each month.

Under any repayment options listed above, borrowers may elect to include an optional additional fixed payment amount to be debited in addition to the required monthly minimum.

            b. Additional Terms

Automatic Payment Discounts are applied as a reduction in the rate at which interest accrues on an eligible student loan. This may change the amount of a borrower’s minimum monthly payment, may change the total number of payment necessary to pay off a borrower’s loan, and may change the amount of a borrower’s final payment.

The amount of the Automatic Payment Discount offered is dependent upon proprietary credit decisioning criteria used in rendering a loan approval. The available Automatic Payment Discount for a particular loan is disclosed to applicants upon presentation of the loan offer.

No more than one Automatic Payment Discount may be applied to an eligible student loan.

Notice to borrowers:

• It is your responsibility to notify the loan servicer if you believe the Automatic Payment Discount has not been applied correctly.
• To enroll in automatic payments, you must contact Ascent’s loan servicer, Launch Servicing, directly after your loan has been disbursed:

Ascent Funding, LLC
c/o Launch Servicing, LLC
P.O. Box 91910 | Sioux Falls, SD 57109
Phone: 877-209-5297
Email: [email protected]
Website: AscentFunding.LaunchServicing.com

• The Automatic Payment Discount will begin after successful completion of your first payment that is made through automatic debit.
• If you cancel your enrollment in automatic debit, the Automatic Payment Discount will be discontinued as of the date of the last payment made through automatic debit.

            c. Automatic Payment Discount Details

The current offered Automatic Payment Discounts for Ascent private education loans are an interest rate reduction of either 0.25% (for Credit-Based Loans) or 1.00% (for Undergraduate Outcomes-Based Loans).

• 0.25% Automatic Payment Discount applied when eligible borrowers are making automatic payments on their Ascent credit-based student loan via auto debit from their personal checking account.
• 1.00% Automatic Payment Discount applied when eligible borrowers are making automatic payments on their Ascent non-cosigned outcomes-based student loan via auto debit from their personal checking account.

The Automatic Payment Discount is applicable to eligible loan applications funded by BOLM and received on or after February 4, 2021, or funded by DR Bank and received on or after June 28, 2023. Ascent and BOLM, and DR Bank reserve the right to amend these Borrower Benefits at any time, without notice.

2. 1% Cash Back Graduation Reward

            a. Eligibility

In order to be eligible for the 1% Cash Back Graduation Reward, borrower must meet the following criteria after graduation:

• The borrower must initiate the request for the granting of the graduation reward.
• The borrower has graduated from the degree program that the loan was used to fund.
• The borrower must provide adequate documentation to verify proof-of-graduation under the requisite degree program.
• The borrower may change majors and/or transfer to a different school, but must obtain the same level of degree (e.g. Bachelor’s, Master’s, Doctorate, etc).
• The graduation date is more than 90 days and less than five (5) years after the date of the loan’s first disbursement.
• Any loan that the student has borrowed under the Ascent loan is not more than 30-days delinquent or in a default status as of the graduation date and until any Graduation Reward is paid.
• The loan must not have been refinanced or consolidated with another lender prior to redeeming the reward.
• The borrower must enroll in Automatic Debit payments for repayment of the loan.
• The borrower must provide information that enables Ascent to deliver the funds electronically.
• Ascent (or loan owner at the applicable time) will calculate the 1% Cash Back Graduation Reward based on the original principal balance of the applicable loan. Such amount will be sent to the borrower in an agreed upon format, such as direct deposit or check.
• The student borrower is only eligible to receive the reward one time.
• The Ascent Parent Loan is not eligible for this reward.

            b. Additional Terms

This reward is considered taxable income and may be reported on IRS Form 1099-MISC. We recommend you consult a tax professional for advice.

The borrower must meet certain eligibility requirements and complete a 1% Cash Back Graduation Reward application. See full eligibility requirements and application here: 1% Cash Back Graduation Reward application.

3. Cosigner Release

For loan applications submitted prior to 7/1/2022

Borrowers can apply to release their cosigner based on the following eligibility requirements:

• The borrower must meet the eligibility criteria requirements for an Ascent Non-Cosigned Credit-Based Loan.
• The borrower must have successfully paid at least the first twenty-four (24), full principal and interest payments on-time or an equivalent prepayment amount and meeting other eligibility criteria to qualify
• The borrower must make the request to release a cosigner directly with Ascent’s loan servicer, Launch Servicing, or the loan holder.

Ascent’s loan servicer, Launch Servicing, LLC, will notify the borrower within ten (10) business days of applying to release their cosigner if they have been approved or they will be advised if additional information is needed.

The borrower must meet certain minimum credit and income requirements and complete a Cosigner Release application. See full eligibility requirements here: Cosigner Release application.

For applications submitted on or after 7/1/2022

            a. Eligibility

Borrowers can apply to release their cosigner based on the following eligibility requirements:

• The borrower must have successfully paid twelve (12) consecutive, full principal and interest payments on-time or an equivalent prepayment amount and meeting other eligibility criteria.
• The borrower must make the request to release a cosigner directly with Ascent’s loan servicer, Launch Servicing, or the loan holder.
• The borrower must meet certain minimum credit and income requirements and complete a Cosigner Release application.

Ascent’s loan servicer, Launch Servicing, LLC will notify the borrower within ten (10) business days of applying to release their cosigner if they have been approved or they will be advised if additional information is needed.

The borrower must meet certain minimum credit and income requirements and complete a Cosigner Release application. See full eligibility requirements here: Cosigner Release application.

            b. Terms and Conditions

In order to be eligible for a cosigner to be release from an Ascent loan, all of the following terms and conditions must be met:

• The borrower must submit a completed and signed Cosigner Release Application (“Application”), which may be downloaded from the Ascent website here: Cosigner Release application.
• The borrower must meet the age of majority requirements in the borrower’s state of residence to enter into a legally binding contract, which is 18 years of age in all states except Alabama (19), Nebraska (19) and Puerto Rico (21).
• The borrower must be a U.S. citizen, U.S. permanent resident alien at the time the request is submitted. If the borrower’s citizenship / residence status changed since originally applying for the loan(s) in question, the borrower must provide proof of U.S. citizenship or U.S. permanent residence.
• The borrower must have demonstrated satisfactory repayment performance on each loan for which a cosigner release is being requested by prepaying an amount equal to the required twelve (12) principal and interest payments or by making the required twelve (12) consecutive full principal and interest payments on-time. Payments made during the in-school and grace periods (or “Interim Period” as defined in the Loan Agreement(s)), including any payments made under any interest only or minimum payment repayment plans do not count towards this requirement. On-time payments must be made within ten (10) days of their scheduled due date.
• All of the borrower’s outstanding Ascent loans are current have been current for the past twelve (12) months.
• None of the loans for which the borrower is requesting a cosigner release have been in any form hardship forbearance or modified repayment program (including any graduated or progressive repayment program) during the twelve (12) months preceding the date of the cosigner release request.
• The borrower must have minimum verifiable income of at least $24,000 annually and provide proof of such income (e.g. – two pay stubs, including one current paystub within the last 60-days, a most recent W-2 or tax return along with a current paystub, or Social Security income/disability award letters).
• The borrower must have graduated from the same degree program or a degree program of the same level (e.g. – Bachelors, Masters, Doctoral Degree, etc.) that the loan(s) for which the cosigner release is being requested were used to fund and provide evidence of the same (such as a copy of a diploma or certificate of completion and/or transcript).
• The borrower must pass a credit review that demonstrates a satisfactory credit history, including but not limited to the following:
  • Must not have defaulted on any private or government student loan; and
  • Have no reported bankruptcy within the past five (5) years; and
  • Have no unsatisfied repossessions, judgments, tax liens, foreclosures or garnishments by creditors
• A cosigner release is only available for loans that are in an open and active status.

Please be aware that these Cosigner Release terms are subject to change.

4. Ascent Parent Loans

The Borrower Benefits describe in this Section 4 apply to Ascent Parent Loans. To the extent there is a conflict between this Section 4 and the Borrower Benefits described elsewhere on this page, the terms in this Section 4 shall control with respect to the Ascent Parent Loan only.

The Ascent Parent Loan is eligible for Automatic Payment Discount of 0.25% in interest rate reduction. The remaining eligibility criteria and terms listed in Section 1 of these Borrower Benefits apply to the Ascent Parent Loan as well.

The Ascent Parent Loan is not eligible for the 1% Cash Back Graduation Reward described in Section 2 of these Borrower Benefits.

Cosigner release is not applicable to the Ascent Parent Loan, which does not have a cosigned option.

5. Additional Details

These Borrower Benefits are subject to change without notice. We may change them at any time including, but not limited to, changing the eligibility criteria or imposing additional conditions.