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1.13% to 11.23%
APR
Cost of attendance
Max. Loan Amount
Not stated
Min. Credit Score
Product Name | Sallie Mae® Smart Option Student Loan |
---|---|
Minimum Loan Amount | $1,000 |
Max. Loan Amount | Cost of attendance |
APR | 1.13% to 11.23% |
Interest Rate Type | Variable |
Fixed rate | 4.25% to 12.59% |
Minimum Loan Term | 5 years |
Maximum Loan Term | 15 years |
Requirements | At least 18 years old and be a US citizen or permanent resident |
Review by
Aliyyah Camp is a writer and personal finance blogger who helps readers compare personal, student, car and business loans. Aliyyah earned a BA in communication from the University of Pennsylvania and is based in New York, where she enjoys movies and running outdoors.
Sallie Mae’s tailor-made student loans can suit most students’ needs, especially if you have the credit score to qualify for a low interest rate. This lender can provide your funding for a wide array of educational endeavors, from undergrad to med school to studying for the bar exam to even your child’s K-12 education.
However, one of its biggest drawbacks is that it’s not the most forthcoming about eligibility requirements. And you can’t prequalify to see what rates you might expect — which can potentially be quite high.
Before you apply, check out our list of other private student loan providers to see how Sallie Mae stacks up to the competition.
Sallie Mae doesn’t have many restrictions on who can apply for a loan. Provided you meet these two criteria, you may be eligible:
Sallie Mae is a direct lender and provides a range of flexible loans to pay for undergraduate and graduate education. You can borrow up to 100% of the cost of your education, including housing, books and travel expenses. For most students, this amount ranges from $1,000 to $200,000 with repayment terms of up to 20 years. In addition, Sallie Mae also offers loans for private K-12 schools, dental residency, medical residency and bar exams.
Unlike many student loan providers in the market, you have some say in how you repay your loan through competitive fixed or variable rates. Loans also come with interest rate reductions with autopay, low fees, deferment and helpful tools to track your financial health.
Sallie Mae student loans are designed to provide funding when your savings, scholarships and federal student aid fall short. Your wide range of loan options include:
Yes, Sallie Mae offers loans for parents looking to pay for their child’s education. Like its undergraduate and graduate student loans, you can finance up to 100% of the cost of attending school. When you borrow, you’ll be able to choose from interest-only payments or full payments while your child is in school. And depending on your credit, you may qualify for a fixed rate between 5.49% and 13.87% with autopay or a variable rate between 3.50% to 13.12% with autopay.
Sallie Mae is one of only a handful of student loan providers that offers financing for career-related expenses after you leave school. Its residency relocation loans for medical and dental students cover the cost of traveling, studying for and taking board exams, as well as interviews and moving costs associated with a residency.
Final year M.D., D.O., D.V.M., V.M.D., or D.P.M. students can apply for a medical residency relocation loan and D.D.S. or D.M.D. students can apply for a dental residency relocation loan. If you’ve graduated within the past 12 months, you may still qualify.
Variable rates range from 3.03% to 9.62% APR with autopay for both types of loans, and students can defer repayments for up to three years after graduation. You can apply for cosigner release after making only 12 on-time repayments in a row.
Since none of these loans come with an origination fee or prepayment penalty, the main cost you need to worry about is interest. Sallie Mae offers the choice between variable or fixed interest rates on most of its student loan offerings.
Its undergraduate student loans have variable rates ranging from 1.13% to 11.23% with autopay and fixed rates ranging from 4.25% to 12.59% with autopay. Graduate students can expect variable rates between 2.25% and 11.76% with autopay and fixed rates between 4.75% and 12.11% with autopay, although the exact APR you can expect will depend on your field and may change if you’re in an MBA, medical, dental or law program.
Sallie Mae has an automatic payment discount that reduces your interest rate by 0.25%. This automatic deduction is worked into the rates shown on Sallie Mae’s website, so keep it in mind when you’re comparing lenders. If you don’t want to use automatic payments, your APR will be slightly higher.
Your loan term and repayment options differ depending on the type of loan you borrow. For undergraduate loans, you can choose one of three repayment plans:
Sallie Mae offers in-school deferment followed by a standard six-month grace period once you graduate or drop below half-time enrollment. You may also be eligible for deferment if you return to school or start an internship, fellowship or residency. Check with Sallie Mae to see if you qualify.
Forbearance is also available if you’re having trouble making repayments due to a job loss or other unexpected event. You can apply to postpone repayments for up to three months at a time for a total of 12 months during your loan term. To qualify, you’ll have to meet a few requirements and make a “good faith” payment of $50 per loan toward your current balance. While it can be helpful if you hit a rough patch, remember that interest continues to accrue, so you’ll owe more on your loan when you get out of forbearance than when you started.
You’ll find many benefits beyond competitive fixed and variable rates with Sallie Mae, including:
A student loan from Sallie Mae could be just what you need to fill any funding gaps, but there are a few potential drawbacks to consider:
Before you apply, confirm you and your cosigner are eligible for a loan. Then follow these steps to apply online:
Sallie Mae will process your application, which may take a few minutes. You’ll receive details on your approval or rejection shortly after. If approved, Sallie Mae will give your more information on how to finalize your loan and the next steps you’ll need to take.
Have the following information on hand to speed up the application process:
If the application includes a cosigner, you’ll need to submit similar information for them as well.
Sallie Mae services its own student loans. While it has relatively few complaints compared to other student loan servicers of its size, its not without its share of problems. Some borrowers reported issues changing their repayment plan or having incorrect information show up on their credit report. You can learn more about what to expect with Sallie Mae servicing and out how to avoid these common problems with our guide.
Sallie Mae was founded in 1972 as the Student Loan Marketing Association to support the Guaranteed Student Loan Program set forth in the Higher Education Act of 1965. Today, it’s helped more than 30 million Americans plan, pay and save for education through flexible private loans. Unlike many banks and other lenders, it offers one of the widest selections of private student loans out there. And alongside its resources that help borrowers understand the student loan process, Sallie Mae also offers personal loans and credit cards.
Check out our guide to student loans to compare other lenders and learn your options.
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★★★★★ — Good
★★★★★ — Average
★★★★★ — Subpar
★★★★★ — Poor
We rate student loan providers on a scale of 1 to 5 stars based on factors like transparency, costs and customer experience. We don’t take into account elements like eligibility criteria, state availability or payment frequency — we save that for our reviews.