A new rewards program is helping members tackle one of the most significant debts many face: student loans. Bilt Rewards, which currently allows members to earn rewards points when they pay their rent, is expanding to include student housing properties and will now let members redeem their points toward eligible student loan payments.
Student debt is now the second-largest category of U.S. consumer debt, trailing only mortgages. The average public university student borrows nearly $32,000 to earn their undergraduate degree, according to research from Education Data Initiative. With the Trump administration set to resume collections on defaulted student loans next month, the market is ripe for innovative solutions.
For the new student housing program, Bilt is partnering with American Campus Communities. Students age 18 and older living in ACC properties will be eligible to earn rewards on their student housing payments. The collaboration will begin in late May at Baylor University, with plans to expand across ACC’s broader portfolio—serving nearly 140,000 students—in the coming months.
Boosting Credit Scores
Rewards members can also opt in to rent reporting, which allows Bilt to report information about their rent payments to the three major credit bureaus. Since many landlords only report negative information, like a missed rent payment, this offers students an opportunity to build up their credit scores.
Members can also earn points on rent payments through a rewards card. Points can be applied toward student loans serviced by Nelnet, MOHELA, Sallie Mae, Aidvantage, and Navient, with additional services expected to become available in the coming months. In addition to loan payments, points can also be redeemed for more traditional rewards like travel.
A Growing Market
Bilt isn’t the only student loan rewards program—Laurel Road also offers cashback rewards for student loans expenses.
“Now is an especially ripe time to be launching a program that suits the needs of student loan borrowers, who are under a lot of financial stress right now,” said Ben Danner, Senior Analyst of Credit and Commercial at Javelin Strategy & Research. “Although the redemption offering isn’t earth shattering, it will help borrowers make at least some progress towards their loans as they go about their daily lives.”
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