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2/c Loan

Discussion in 'Naval Academy - USNA' started by wannabe2013, Apr 2, 2009.

  1. wannabe2013

    wannabe2013 5-Year Member

    Nov 20, 2007
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    What is the interest rate on the 2/c class loan? Is this a fixed rate?
    Is it only available through NFCU?
    If you choose USAA will you not have access to this loan?
    How much is the loan worth right now?

    I looked all over NFCU and USAA's websites and couldn't find any of these answers...
  2. Capt MJ

    Capt MJ 5-Year Member

    Sep 27, 2008
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    For the last several years, both of these military-oriented financial companies have offered unsecured career launching loans at USNA, similar to other SA's. Most sea service officers do business with both companies.

    Unsecured = loan given on basis of signature, no collateral required to secure the loan and future pay as an O-1. Fixed APR, always well below market rates for an unsecured loan. Amount and APR vary with the market for any given loan associated with a particular class year, but over the last 10 years it has gone up from about $20k to $30k or so. Payments begin 3 months after graduation by automatic transfer from your checking account at either institution.

    For the CU loan, you have to apply in person at the on-Yard branch. I don't believe there is anything on their website. For the other company, application is by phone or on-line. If you are registered online as a 2/C or a 1/C on their site, you will be able to access the portal for the loan and will receive e-vites to apply.

    The word gets out when the loans are on the street -- will be sometime in 2012 for '13 folks.
  3. theraven

    theraven 5-Year Member

    Nov 15, 2008
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    im just wondering exactly what this loan is because i thought you start paying off the loan for the academy the first month you're there
  4. Profmom2

    Profmom2 5-Year Member

    Feb 26, 2007
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    Two different loans.

    ACE is the Additional Clothing and Equipment loan that all Midshipmen recive upon arrival on IDay. There will be information in your permit to report package. It is a 0% government loan and payback actually starts about November Plebe year (may be earlier now given that there is no upfront deposit)

    2/C Loan - otherwise known as a Career Starter Loan: offered by both NFCU and USAA. This year I believe USAA offered in the fall and NFCU offered this spring. Interest rates vary between institutions and are quite low. Payback begins 3 month after commissioning. This is completely optional and you can use it any way you desire. Some bank it all, some buy their "Ensign Mobile" - i.e. very nice car, some just buy a used car, some set aside for basket leave trip, some actually use it to buy new uniforms (especially those going Marines)

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