Earnest Student Loan Refinancing
APR | 5.72% to 9.74% APR with autopay |
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Loan amount | $5,000 - $500,000 |
Min. Credit Score | 650 |
If you want to take on your student debt and you don’t qualify for any debt relief, refinancing could help. You may be able to combine your various loans together into one manageable monthly payment and possibly get a lower interest rate, saving you money long term.
Earnest Student Loan Refinancing
APR | 5.72% to 9.74% APR with autopay |
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Loan amount | $5,000 - $500,000 |
Min. Credit Score | 650 |
SoFi Student Loan Refinancing Variable Rate (with Autopay)
APR | 6.24% to 9.99% |
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Loan amount | Starting at $5,000 |
Min. Credit Score | 650 |
LendKey Student Loan Refinancing (with AutoPay)
APR | Rates as low as 4.54% (w/AutoPay) |
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Loan amount | $5,000 - $300,000 |
Min. Credit Score | 660 |
Advantage Education Loan Refinance Loan
APR | Starting at 4.24% |
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Loan amount | Starting at $7,500 |
Min. Credit Score | 670 |
Laurel Road Student Loan Refinancing
APR | 4.49% to 6.65% |
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Loan amount | Starting at $5,000 |
Min. Credit Score | 680 |
Iowa Student Loans
APR | 4.44% to 8.98% |
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Loan amount | $10,001 - $300,000 |
Min. Credit Score | 670 |
We compared dozens of lenders before narrowing down to our best six picks. The most important factors came down to interest rates offered for fixed and variable rates, loan terms, number of repayment options, existence of various fees, ease of application, lender reputation and state availability.
Most student loan refinancing lenders allow for cosingers, so we also considered the option of cosigner release and when that option is available. We also listed each lender’s advertised interest rate without any discounts applied for transparency.
With student loan refinancing, you take out a new loan to repay your loan servicers — hopefully with lower rates or more favorable terms. The new loan is used to pay off your student loans, and you work to repay the new loan.
Most student loan refinancing lenders will send funds directly to your loan service provider for you, then issue you the new loan.
Keep in mind that student loan refinancing doesn’t reduce the amount of debt you have, but it can reduce the amount you pay in the end.
Consider refinancing if:
You may want to hold off if:
Narrow down top-rated providers by APR, minimum credit score and more to find the best for your budget and financial goals. Select Compare for up to four products to see their benefits side by side.
On August 24, 2022, it was announced that student loan holders may be able to get $10,000 in student debt forgiven, or as much as $20,000 forgiven if they were Pell Grant recipients. Individuals who earn less than $125,000 per year or households that earn less than $250,000 per year may be eligible for the debt relief, according to StudentAid.gov.
If you do refinance your federal student debt, or have already, you aren’t eligible for the most recent debt forgiveness initiative and possibly future ones. Additionally, refinancing can mean losing out on other federal student loan benefits, including repayment protections like deferment and forbearance.
Before you go through with refinancing your student loans, weigh your options.
Requirements for student loan refinancing vary, but here are some general guidelines to expect:
Again, these requirements vary, and there are some lenders that will refinance your student loans if you didn’t graduate, such as Earnest.
You and your cosigner can usually apply online by filling out a simple application that often doesn’t take more than a few minutes.
The most time-consuming part is getting your documents together and waiting for your lender to reach out to your servicer. It can take as long as a month or two to refinance your student loans, though some lenders advertise a one- to two-week turnaround time.
You might need a cosigner to refinance your student loans if you have bad credit or you don’t have a strong work history. Most of the student refinancing lenders we’ve researched do accept cosigners.
However, the process for applying with a cosigner varies by lender. Some consider your cosigner’s information alone when determining your eligibility and rates. Others look at a combination of the two. Some only consider your cosigner’s credit to help you lower your rates but still require you to meet basic eligibility requirements on your own.
Cosigner release allows you to take your cosigner’s name off your loan. To qualify, you typically need to make 12 to 24 months of on-time payments and be able to meet the lender’s credit requirements on your own. Some lenders let you keep your current rates and terms, while others might adjust them to reflect your solo creditworthiness.
Parent PLUS Loans come with higher interest rates than federal loans and are one of the few cases where refinancing can help lower your overall loan cost. They’re also in the parent’s name rather than the student’s.
Parents generally have two options for refinancing Parent PLUS Loans: Refinancing in your name or refinancing in your child’s name. Refinancing in your child’s name allows you to get better rates, but more importantly, it lets you transfer the debt so you can qualify for other types of credit.
Not all lenders are willing to refinance Parent PLUS Loans, so look for one that specifically mentions it does before you start your application.
Refinancing isn’t the only way to save on your student loans or make your repayments more affordable. If it’s not the right time or you have federal loans, you might want to look into some of your other choices.
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