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Edly Income-Based Loans: 2022 Review

Updated on 6-30-2022
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Edly is a private lending platform based in New York that offers students income-based repayment student loans issued by FinWise Bank, a Utah-chartered commercial bank. Edly’s loans function as income-share agreements – where borrowers receive a set loan amount and make payments according to a percentage of their income after school. Unlike ISAs offered by schools, however, Edly’s loan product is issued by an FDIC-insured bank and comes with the same protections as other lending products.

Loan amount Up to $25,000
APR from N/A
Clock Wait
Term lengths 60 months
This lender is best for borrowers who need a small amount of money to fill in gaps in their funding.
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Edly features

Edly offers loans to undergraduate juniors and seniors, as well as graduate students, enrolled in an eligible major at one of the 1,700-plus schools that Edly partners with. Edly requires just 60 payments once you meet the minimum income threshold, and it offers a relatively long grace period of four months.

One benefit of Edly is its commitment to helping borrowers find the right solution for them. Edly and its lending partner, FinWise Bank, say that they will provide disclosures to students allowing them to compare its loan product with more traditional student loans. This can help borrowers decide whether an Edly’s product is truly right for them, compared with a potentially cheaper student loan.

Edly Income-Based Loans: in the details

Loan Amount
Up to $25,000
APR from
Term lengths
60 months of payments
Min. annual income
Additional requirements
Payment cap: 2.25 times the amount borrowed or 23% APR

Pros and cons of Edly

Here are the benefits and downsides to be aware of before going with a loan from Edly.


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    Transparent minimum income threshold: Edly doesn’t require borrowers to make any payments until their yearly gross income either meets or exceeds $30,000.

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    Uses factors other than credit score: Edly doesn’t base approval on credit score, but rather your academic transcript, expected graduation date and anticipated gross annual income. You’ll go through only a soft credit check during the application, so your credit score won’t be affected until you submit an application.

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    Many partner schools: Edly works with more than 1,700 schools and more than 100 majors, so its products are available to many types of students.


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    Limited loan amounts: Edly limits its total loan amount to $15,000 per year or $25,000 total, so it’s not a great option for students who need to cover the full cost of their education at an expensive school.

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    Rates not specified: Edly does not disclose any of its income rate percentages publicly. Students will need to get a quote from the company to accurately estimate how much a loan will cost them.

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    Few eligibility requirements disclosed: Edly is cagey about who qualifies for its product. To find out if you’re eligible, you’ll have to submit a request for a quote.

Eligibility requirements

Edly does not disclose many of its eligibility requirements. According to a representative, borrowers will need to attend an eligible institution and be pursuing an eligible major as an undergraduate junior or senior or a graduate student. While Edly does not have a minimum credit score requirement, it will do a soft pull to check for an adverse credit history, such as late payments or default. Borrowers with negative marks may have a harder time being approved. Like traditional ISAs, Edly does not require a co-signer.

Who is this loan good for?

Edly is a good choice for borrowers who need a small amount of money to fill in gaps in their funding, since Edly’s loan cap is only $15,000 per year. Borrowers who expect to enter a field with a high income may want to consider a traditional lender, since Edly’s payment cap is high: 2.25 times what you initially borrowed.

Income share rate

Edly doesn’t disclose its rates, but it does mention that it’ll cap payments if your payments hit the equivalent of 23 percent APR.

Fees and penalties

According to an Edly representative, Edly charges a late fee equal to 6 percent of your payment or $25 per month, whichever is less. It also charges a $25 returned check fee.

Repayment terms and grace period

Edly requires 60 months of payments. According to a representative, the maximum repayment timeline is 10 years.

Edly provides a four-month grace period after graduation and allows for hardship deferment upon a job loss.

Income requirements

Payments on your loan from Edly won’t begin until you earn at least $30,000 a year. Repayment is also capped at 2.25 times what you initially borrowed. This means that if you borrowed $10,000, you would no longer be required to make payments once you’ve repaid $22,500.

Customer service

You can contact the Edly customer service team by calling 914-775-8299, by filling out the online contact form on Edly’s website or by utilizing the live chat feature.

How to apply for a loan with Edly

Edly’s application process is entirely online. According to the website, it takes less than three minutes to go through the preapproval and application process.

Here’s how to apply with Edly:

  1. Click “Get Started” to see if you meet the eligibility criteria. You’ll be asked basic questions about your education, like your school name, major and anticipated graduation date. This will allow you to see your potential rates and terms with only a soft credit check.
  2. After seeing your prequalified terms, you’ll need to go through a hard credit pull to receive your final loan terms.
  3. If you accept your final loan terms and sign the loan document, Edly will verify your transcript and send the information over to your school for certification and disbursement.