Amazon Is Now Offering Discounted Student Loans as a Prime Perk
Wells Fargo will do the actual lending. Amazon is taking its nickname—the Everything Store—quite seriously. On Thursday, the e-commerce behemoth and bank Wells Fargo announced a partnership to supply some Amazon customers with student loans. The bank will give a new interest rate discount—0.5%—to borrowers who are members of Amazon Prime Student, a subscription-based service for college students that costs half the price of regular Amazon Prime. Wells Fargo explained the alliance as a marketing opportunity for the bank. John Rasmussen, head of Wells Fargo’s personal lending group, said in a statement that the company is “focused on innovation and meeting our customers where they are–and increasingly that is in the digital space.” Rasmussen told Fortune that Amazon’s goal is to increase its Prime Student membership, while Wells Fargo wants to “communicate more broadly that [it’s] here to help” students and families pay for college. He said t...