Citizens Bank Student Loans

Citizens Bank Student Loans

Dear Valued School Client, Thank you for the opportunity to provide information about Citizens Bank and Citizens Bank Student Loans. Citizens Financial Group, Inc. is one of the oldest and largest financial services firms in the United States. Headquartered in Providence, Rhode Island, where its roots date back to 1828, Citizens offers award-winning mobile apps and robust online offerings. We have a proven track record as a trustworthy resource and successful industry advocate, and we re proud to have been named one of America s most reputable banks by American Banker/Reputation Institute. 1 I look forward to working with you in the year ahead to achieve our mutual goals. Please contact me if I can provide any further information about this proposal. Sincerely, Donna Shelby Vice President Citizens Bank Student Lending 770 Legacy Place Dedham, MA 02026 603-493-9009 www.citizensbank.com/student-loans

Citizens Bank Student Loan The Citizens Bank Student Loan is a private student loan designed to bridge the gap after students maximize grants, scholarships and Federal loan options. Applicants may borrower up to the cost of attendance less other aid received. Citizens Bank offers multiple processes for schools to certify and disburse Citizens Bank Student Loans, along with competitive pricing and flexible repayment options. Eligibility Students must be enrolled at least half-time in a program that s been certified by their school of attendance. Satisfactory academic progress is not required. Students completing certificate programs are ineligible. International students may apply, provided they have a qualified co-signer who is a U.S. citizen or permanent resident. For all other students, a co-signer is not required, although students must meet the age of majority in their state of residency if they wish to apply without a co-signer. We also encourage students to apply with a creditworthy co-signer to increase their chances of approval and maximize the opportunity for a lower interest rate. Rates and Fees The Citizens Bank Student Loan charges no application, origination or disbursement fees. We also offer our borrowers a choice of fixed or variable interest rates in 5, 10 and 15 year repayment terms. Variable Rate Option Interest rates range from 1-month LIBOR 2 + 2.50% to 1-month LIBOR + 9.75%. Fixed Rate Option Interest rates range from 5.75% to 11.99%. Borrower Benefits Automated Payment Discount During periods when payments are due, borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their loan by authorizing our loan servicer to automatically deduct their payments each month from any bank account they designate. Loyalty Benefit Borrowers will be eligible for a 0.25 percentage point interest rate 3 reduction on a new Citizens Bank Student Loan if they or their co-signer (if applicable) has a Citizens Bank Student Loan or qualifying account at the time of application submission. Loan Features Co-signer Release Borrowers may apply for co-signer release after making any 36 consecutive payments on-time. On-time payments are defined as within 15 days of the due date. Lump sum payments do not qualify. In addition, borrowers cannot have used any forbearance prior to receiving the co-signer release benefit. Student borrowers must also meet credit guidelines at the time of application for the release. 4 Loan Forgiveness In the unfortunate event of the student borrower s death or total and permanent disability, the Citizens Bank Student Loan will be forgiven, regardless of whether the loan is co-signed. Past Due Balances - The Citizens Bank Student Loan can be used for past due balances. Loan applications received up to 180 days after the end of the enrollment period will be processed,

Total Citizens Bank Private Student Loan Debt Total Private & Federal Student Loan Debt provided that the student borrower is enrolled at least half-time and is working towards a degree or has recently graduated. Loan Limits Borrowing Limits Minimum Maximum Maximum Citizens Bank Student Loan Undergraduate $90,000 $120,000 Graduate $110,000 $150,000 $1,000 Business and Law $130,000 $175,000 Repayment Options Medical and Dental $170,000 $225,000 All Citizens Bank Student Loan applicants are given a choice of repayment option upon application, regardless of whether they select fixed or variable rate. The minimum monthly payment is $50. The repayment options available are: Deferred repayment Interest-only repayment Immediate repayment Deferment and Forbearance Options Under certain circumstances, borrowers may request deferment of payments. The following deferments are available: In-School Period Student borrowers have the option of deferring principal and interest or deferring principal and paying interest only as long as they remain enrolled at an approved school. In-school deferment length is capped at eight years. Once the initial sixmonth grace period is used, it cannot be reinstated, however if a borrower only uses part of their grace period before re-enrolling, the full six month grace period will be reinstated prior to full repayment. Residency or Internship Program Participation - Student borrowers who enroll in an eligible internship or residency program as defined by Citizens Bank are eligible for a maximum of 48 months of deferment. Military Deferment Student borrowers who are members of the National Guard or the Ready Reserves called to active duty for a period of more than 30 days, or regular activeduty members of the Armed Forces reassigned to another duty station due to a military mobilization, may request a military deferment. During this deferment period, no minimum payments are required. Hardship Forbearance Student borrowers and/or co-signers who are experiencing financial difficulty may temporarily postpone principal and interest repayment through approval of a hardship forbearance. Delinquent accounts may be granted a hardship forbearance to bring the account current in no more than two-month increments, with a maximum of 12 months available during the life of the loan.

Citizens Bank Student Loan Multi Year Borrowing Option Many student loan borrowers worry about their ability to secure financing each year through graduation. With the Citizens Bank Student Loan Multi Year Borrowing Option, approved borrowers have access to a simplified, streamlined process to request funds in subsequent years. Terms and conditions apply. 5 If the Citizens Bank Student Loan borrower meets credit qualification requirements, they will be offered an opportunity to take advantage of the Multi Year Borrowing Option during the application process for the Citizens Bank Student Loan. Once approved, the student need only complete the Self-Certification each year and request their loan amount. The loan will immediately be sent for school certification and no further documentation requirements are needed. Of course, borrowers must maintain their credit quality during school, avoid defaults or delinquencies on the loan and continue attending an eligible school. For more details, visit https://www.citizensbank.com/student-loans/private-student-loan.aspx. Citizens Bank Student Loan for Parents For approved borrowers, the Citizens Bank Student Loan for Parents can offer significant savings when compared to the Federal Direct PLUS Loan. Our loan features include: A lower fixed interest rate No origination fee Easy online application FAFSA not required Borrower does not have to be the parent School certified We encourage schools to counsel families on both Federal and private student loan options because the Federal Direct PLUS loan offers some Federal benefits that may not be available with the Citizens Bank Student Loan for Parents. Rates and Fees The Citizens Bank Student Loan for Parents charges no application, origination or disbursement fees. We also offer our borrowers a fixed interest rate and choice of 5 or 10 year repayment terms. 5 Year Term Interest Rate: 6.45% 10 Year Term Interest Rate: 6.55% Borrower Benefits In addition, approved borrowers can save an additional 0.50 percentage points with an automatic payment discount and loyalty discount, making the already highly competitive Student Loan for Parents an even more attractive choice.

Total Citizens Bank Private Student Loan Debt Total Private & Federal Student Loan Debt In the unfortunate event of the student borrower s death or total and permanent disability, the Citizens Bank Student Loan for Parents will be forgiven. Repayment Options All Citizens Bank Student Loan for Parent applicants are given a choice of repayment option upon application. The minimum monthly payment is $50. The repayment options available are: Interest-only repayment Immediate repayment Who Can Apply? Parents who seek to ease their child s overall education debt burden Parents who want to leverage their own good credit to secure a lower interest rate and better terms on the loan Grandparents or other credit-qualified individuals who seek to support the student s education For more details, visit www.citizensbank.com/studentloanforparents Citizens Bank Student Loan for Graduates Citizens Bank recognizes that many students seek advanced degrees to further their education. Applicants may borrower up to the cost of attendance less other aid received. We offer several specialized loan packages for students pursuing graduate degrees. Loan Limits Borrowing Limits Minimum Maximum Maximum Citizens Bank Student Loan for Graduates Graduate $110,000 $150,000 Business and Law $1,000 $130,000 $175,000 Medical and Dental $170,000 $225,000 Rates and Fees The Citizens Bank Student Loan for Graduates charges no application, origination or disbursement fees. We also offer our borrowers a choice of fixed or variable interest rates in 5, 10 and 15 year repayment terms. Variable Rate Option Interest rates range from 1-month LIBOR 2 + 2.50% to 1-month LIBOR + 8.75%. Fixed Rate Option Interest rates range from 4.24% to 11.75%.

Borrower Benefits As referenced above, approved borrowers can save an additional 0.50 percentage points with an automatic payment discount and our loyalty discount. Repayment Options All Citizens Bank Student Loan applicants are given a choice of repayment options upon application, regardless of whether they select fixed or variable rate. The minimum monthly payment is $50. The repayment options available are: Loan Features Deferred repayment Interest-only repayment Immediate repayment Co-signer Release Borrowers may apply for co-signer release after making 36 consecutive payments on-time. Loan Forgiveness In the unfortunate event of the student borrower s death or total and permanent disability, the Citizens Bank Student Loan for Graduates will be forgiven, regardless of whether the loan is co-signed. Deferment Options In addition to the deferment and forbearance options mentioned in the Citizens Bank Student Loan section, we wanted to highlight the following: Residency or Internship Program Deferment - Student borrowers who enroll in an eligible internship or residency program as defined by Citizens Bank are eligible for a maximum of 48 months of deferment. Interest will be capitalized at the end of the residency or internship deferment. For more details, visit www.citizensbank.com/student-loans/graduate-loans/default.aspx Citizens Bank Education Refinance Loan The Citizens Bank Education Refinance Loan lets applicants refinance or consolidate all of their student loans at a competitive rate and simplify repayment into one new private student loan with one monthly payment. Refinancing student loans is a personal decision best made according to each student s individual needs and circumstances. We are here to help borrowers who seek: The convenience of repaying one monthly private student loan payment To refinance a variable rate into a fixed interest rate loan To potentially lower their interest rate; and/or To lower their monthly payment, increase their monthly cash flow and extend their repayment period over a longer period of time

Loan Limits Citizens Bank Education Refinance Loan Bachelor's degree or below Borrowing Limits Annual Minimum Annual Maximum $90,000 Graduate or Doctoral Degree, including MBA $10,000 $225,000 Professional degree such as Dental, Law, or Medical $300,000 Eligibility Former students may use the Citizens Bank Education Refinance Loan to refinance private and federal student loans. To be eligible, applicants must be in repayment on their existing private and federal student loan(s) and cannot be currently enrolled. Borrowers with a bachelor s degree may be eligible to refinance their private and federal student loan(s) upon making three consecutive, on-time monthly payments of principal and interest. Borrowers with a Master s degree or higher may be eligible to refinance their private and Federal student loan(s) if they are not currently enrolled. Borrowers without a bachelor s degree may be eligible to refinance their private and Federal student loan(s) upon making 12 consecutive, on-time monthly payments of principal and interest. Borrowers must be a U.S. citizen, permanent resident or resident alien, with a valid U.S. Social Security Number, residing in the United States. Resident alien applicants require co-signers. Co-signers (if applicable) must be a U.S. citizen or permanent resident, with a valid U.S. Social Security Number, residing in the United States. Personalized Rates and Savings Customers now have the opportunity to get a personalized interest rate and monthly savings estimate in under two minutes for our Citizens Bank Education Refinance Loan. This enables customers the opportunity to understand the personalized terms available to them before submitting an application with no negative impact to their credit score. Bankers will have the opportunity to help customers at their local branch or customers can utilize this new toll via our website at: www.citizensbank.com/edrefinance. Rates and Fees The Citizens Bank Education Refinance Loan charges no application, origination or disbursement fees. We also offer our borrowers a choice of fixed or variable interest rates in 5, 10, 15 and 20 year repayment terms. Variable Rate Option Interest rates range from 1-month LIBOR 2 + 2.11% to 1-month LIBOR + 7.40%. Fixed Rate Option Interest rates range from 4.24% to 8.24%.

Borrower Benefits Automated Payment Discount During periods when payments are due, borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their loan by authorizing our loan servicer to automatically deduct their payments each month from any bank account they designate. Loyalty Benefit Borrowers will be eligible for a 0.25 percentage point interest rate reduction if they or their co-signer (if applicable) has a Citizens Bank Student Loan or qualifying account at the time of application submission Loan Features Co-signer Release Borrowers may apply for co-signer release after making 36 consecutive payments on-time. Loan Forgiveness In the unfortunate event of the student borrower s death or total and permanent disability, the Citizens Bank Education Refinance Loan will be forgiven, regardless of whether the loan is co-signed. For more details, visit citizensbank.com/educationrefinanceloan Contact and Processing Information Primary Contact We place a high value on maintaining single points of contact for school administrators to ensure your needs are met and to streamline loan processing. Donna Shelby is your primary contact. As your advocate, Donna will work on your behalf should any questions arise. She is available Monday through Friday, from 8:30 a.m. to 5:30 p.m. EST. You can reach Donna by phone or email. Name: Donna Shelby Phone: 603-493-9009 Email: donna.shelby@citizensbank.com School Services Team Our School Services Team (SST) provides financial aid administrators with superior service, from initial product set-up through processing and disbursement. The SST will serve as the primary contact for school customers who need assistance with loan certifications, disbursements and general inquiries. Schools can call 888-333-0169 or email schoolservices@citizensbank.com for assistance. Normal business hours are Monday through Friday, 8:30 a.m. to 8 p.m. EST.

Lender Codes To streamline the certification process for schools, our product options are available under a single Alternative Lender and Guarantor code. Lender Code 700700 Citizens Bank Student Loan Program Code S01 Guarantor Code S09 Citizens Bank Parent Loan Program Code S04 Servicer Code 1stmark Certification Methods Schools may choose one of the following certification options ELMOne ScholarNet School Portal Website at https://citizens.appworksasp.com/appworks Fax School administrators who wish to obtain a username and password for our school portal or change their preferred processing option should contact their Account Executive directly or our School Services Team at schoolservices@citizensbank.com. Disbursement Options Loan proceeds are transmitted directly to the school in up to four disbursements. Schools can choose one of the following disbursement options: EFT, ELM NDN, ScholarNet CDS, individual checks, or master checks. Paper checks will be drawn from Citizens Bank, N.A. Borrower Customer Service Our Student Lending Specialists, located in Cranston, Rhode Island and Pittsburgh, Pennsylvania, counsel both students and parents on the financial aid process. Their areas of expertise include indepth knowledge of financing options, the financial aid application process and loan repayment options. Prospective borrowers can call our Student Lending Specialists toll-free at 800-708-6684. Specialists are available Monday through Friday from 8:00 a.m. to 9 p.m. and Saturday from 8:30 a.m. to 5 p.m. EST. Borrowers who prefer to receive electronic assistance may also email our Customer Service Team at studentloan@citizensbank.com. Method to Apply Citizens Bank is an innovator in student lending and we are proud to offer many different methods for our applicants to apply for their student loan: 1) NEW in 2016! Applicants can apply for any loan product at their local branch we can handle your application process in person! 2) Via web at www.citizensbank.com/student-loans.

3) We also offer a phone application at 800-708-6684; either the borrower or co-signer may initiate their application via the phone. Applicants receive a credit decision and/or loan status immediately once a completed application is submitted. Upon loan approval, the applicants are invited to sign the promissory note and complete their required disclosures electronically. We adhere to all requirements mandated by Title X of the Higher Education Opportunity Act. Citizens Bank Loans are originated in-house at our Rhode Island operations center. Applicants can call our Student Lending Specialists at 800-708-6684 or email us at studentloan@citizensbank.com for technical assistance, including password reset, accessing or signing documents or help with the online application. Repayment Servicing Firstmark Services, a subsidiary of Nelnet, is the repayment servicer for the Citizens Bank Student Loan products. Once the borrower s loan has disbursed, Firstmark Services will maintain an account with balance and repayment information. Borrowers have full access to their account information online at https://www.firstmarkservices.com/index.aspx. They can check their current balance and most recent payments, review and/or edit account information (including changing mailing address and phone number), make payments online and set up KwikPay TM for automated payments. Student Banking for a Good Start We re committed to helping young citizens get off to a great start. Our checking accounts offer an easy and affordable way for students to build sound financial habits with No-fee debit cards for immediate cash needs at Citizens Bank ATMs The ability to make purchases in store and online Easy account access 24/7 with online and mobile banking The ability to pay bills from anywhere on a mobile device or via email Easy mobile alert set-up For further details, visit https://www.citizensbank.com/student-services/default.aspx. Financial Literacy and Default Prevention At Citizens Bank, we get what it s like to pay for college because we ve been there, too. That s why we created a one-stop site filled with educational tools and helpful resources to help guide your students and their parents to make the best choice for their student lending needs. Please visit http://payforcollege.citizensbank.com to view our educational tools. Last year, more than 400 Citizens volunteers brought Financial Literacy education into our communities. This year, we will invest more than $1.3 million into our communities. The Citizens Helping Citizens Manage Money program was recognized with the 2015 Joe Belew Award from the Consumer Banking Association. We send an Annual Summary to all Citizens Bank Student Loan borrowers and co-signers, which summarizes the total Citizens Bank Student Loan borrowing to date for loans not yet in repayment, estimates monthly payments based on the total amount borrowed and shows when payments are scheduled to begin.

Commitment to the Code of Conduct We re committed to upholding the principles of our Student Lending Code of Ethics. It offers our colleagues practical guidance in making decisions and judgments consistent with our commitment to maintain our position as a leading provider of fair and affordable education financing products. We ve worked hard to earn a reputation as a lender who conducts business with the highest standards of honesty and integrity, and we re proud to have been named one of America s most reputable banks by American Banker/Reputation Institute (Source: American Banker/Reputation Institute Survey of Bank Reputations, June 29, 2015). Our code of ethics is an integral part of, and will be enforced in accordance with, our business conduct and ethics policies.

Footnotes 1 Source: American Banker/Reputation Institute Survey of Bank Reputations, June 29, 2015. 2 Based on the one-month London Interbank Offered Rates ( LIBOR ) published in The Wall Street Journal on the twentyfifth day, or the next business day, of the preceding calendar month. Current LIBOR 0.78% as of March 1, 2017. Terms and conditions apply. 3 The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower has a qualifying account in existence with us at the time the borrower has submitted a completed application authorizing us to review their credit request for the loan. The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account, or other student loans owned by Citizens Bank, N.A. Please note, our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI, and VT and some products may have an associated cost. This discount will be reflected in the interest rate disclosed in the Loan Approval Disclosure that will be provided to the borrower once the loan is approved. Limit of one Loyalty Discount per loan and discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan. 4 Interest-only payments do not qualify. If the lender has provided a forbearance on the loan, then the loan is not eligible for cosigner release. Terms and conditions apply. 5 Borrowers need to remain credit qualified in order to access funds in subsequent years. We reserve the right to discontinue this loan program at any time. If we do, we will provide you with advance notice. If you enroll in this loan program, your Promissory Note will describe the complete terms, conditions and limitations of the program. Citizens Bank and Citizens Bank Student Loans are brand names of Citizens Bank, N.A.

Citizens Bank Disclaimer We understand that your institution agrees to respect and protect the security and confidentiality of any information contained in this response. Your institution shall ensure that all of its directors, officers, employees, representatives, agents and affiliates will comply with this notice of confidentiality. Citizens Bank reserves the right to modify or discontinue products, services or program features and benefits (such as interest rate reductions), at any time, without notice. Changes to these benefits, if any, will affect only applications taken after the changes occur. Should Citizens Bank need to make changes to any of our programs, we will notify you immediately. Applicants should check our website at www.citizensbank.com/student-loans close to their loan application date to obtain current information regarding our product offerings. Loyalty Discount: The borrower will be eligible for a 0.25 percentage point interest rate reduction on their loan if the borrower or their co-signer (if applicable) has a qualifying account in existence with us at the time the borrower and their co-signer (if applicable) have submitted a completed application authorizing us to review their credit request for the loan. The following are qualifying accounts: any checking account, savings account, money market account, certificate of deposit, automobile loan, home equity loan, home equity line of credit, mortgage, credit card account or other student loans owned by Citizens Bank, N.A. Please note that our checking and savings account options are only available in the following states: CT, DE, MA, MI, NH, NJ, NY, OH, PA, RI, and VT, and some products may have an associated cost. This discount will be reflected in the interest rate disclosed in the Loan Approval Disclosure that will be provided to the borrower once the loan is approved. There is a limit of one Loyalty Discount per loan and the discount will not be applied to prior loans. The Loyalty Discount will remain in effect for the life of the loan. Automated Payment Discount: Borrowers will be eligible to receive a 0.25 percentage point interest rate reduction on their student loans owned by Citizens Bank, N.A. during such time as payments are required to be made and our loan servicer is authorized to automatically deduct payments each month from any bank account the borrower designates. The benefit is not available when payments are not due, such as during forbearance. If our loan servicer is unable to successfully withdraw the automatic deductions from the designated account two or more times within any 12-month period, the borrower will no longer be eligible for this benefit. Citizens Bank reserves the right to sell student loans to a third party, although this is not a standard practice today. We will only sell loans to a third party if they agree to honor all of our promises to the consumer, including all benefits the borrower received or are eligible to receive under the terms of the promissory note.