Best student loan refinance lenders of August 2023

Best lenders for refinancing your student loans in August 2023

Dori Zinn

BLUEPRINT

Updated 6:20 a.m. ET Aug. 2, 2023

Student loan refinancing is the process of combining all or some of your current loans into one new loan. This means you’ll have a single monthly payment. You might also get a lower interest rate than what you’ve been paying, depending on your credit.

Refinancing is only available through private lenders, and with so much competition, it might be hard for you to find the right one for your needs. Keep in mind that the best student loan lenders generally offer the lowest interest rates, multiple repayment options and the fewest fees. To find these lenders, we also considered how easy it is to qualify, customer experience, ease of the application process and more when determining the top lenders.

Best student loan refinancing lenders

SoFi
: Best for perks
Laurel Road
: Best overall
Citizens
: Best for non-graduates
College Ave
: Best for repayment options
Discover
: Best for no fees
Compare the best student loan refinance lenders
Why some lenders didn’t make the cut
Methodology
Frequently asked questions (FAQs)

Why trust our student loan experts

Our team of experts evaluated hundreds of student loan products and analyzed thousands of data points to help you find the best fit for your situation. We use a data-driven methodology to determine each rating. Advertisers do not influence our editorial content. You can read more about our methodology below.

10 student loan refinancing lenders reviewed.
160 data points analyzed.
6-stage fact-checking process.

Blueprint Rating

What you should know

If you want a company that goes above and beyond the call of duty for customers, SoFi might be a good fit. It offers a plethora of borrower assistance programs as well as financial planning and unemployment protection. There’s also a members-only Facebook group and in-person local networking events.

Pros and cons

Pros

Term lengths up to 20 years.
Members-only benefits.
Autopay and loyalty discounts available.

Cons

Degree required.
Does not disclose min. income needed to qualify.
Bar loans and residency loans aren’t eligible.

More details

Interest rate types: Fixed and variable.
Loan terms: 5, 7, 10, 15 or 20 years.
Perks: Autopay discount (0.25%), member benefits (such as tailored financial planning, unemployment protection, referral bonuses, personalized career advice and more).
Fees: None.
Requirements: You need to have graduated with an associates degree or higher from an accredited Title IV college or university. You must also be employed (or have an offer of employment to start in the next 90 days) and show that you earn enough money to responsibly repay your refinanced student loan.

Blueprint Rating

Compare Rates

Via Credible's Website

What you should know

Out of all the companies we reviewed, Laurel Road scored highest because of its low interest rates, high maximum loan term (up to 20 years) and quality of service. Refinancing student loans with Laurel Road also gives you the option for forbearance in some circumstances and ability to refinance in your final semester of school if you have a signed employment contract or offer.

Pros and cons

Pros

Term lengths ranging from 5 to 20 years.
Low interest rates.
Can refinance before completing your degree.

Cons

Charges a late payment fee.
Co-signer release only available after 36 months.
Does not disclose min. income needed to qualify.

More details

Interest rate types: Fixed and variable.
Loan terms: 5, 7, 10, 15 or 20 years.
Perks: Autopay discount (0.25%), forbearance in some cases.
Fees: Late payment fee (5% of the late payment or $28, whichever is less).
Requirements: You need to be in at least your final semester of associates (some professions), undergraduate or graduate studies or have already graduated to qualify. Parents who took out loans for their child’s school are also eligible.

Blueprint Rating

Compare Rates

Via Credible's Website

What you should know

Not everyone who goes to school graduates—but those who left school without a degree are still on the hook for paying off any student loans they might have taken out. If you’re looking to refinance your loans but don’t have a degree, Citizens might be a good option.

Pros and cons

Pros

Term lengths ranging from 5 to 20 years.
No degree required.
Low min. income needed to qualify.
Can refinance up to $750,000 for some degrees.

Cons

Co-signer release only available after 36 months.
Charges a late payment fee.
Must refinance at least $10,000.

More details

Interest rate types: Fixed and variable.
Loan terms: 5, 7, 10, 15 or 20 years.
Perks: Autopay discount (0.25%).
Fees: Late payment fee (5% of payment amount) and returned payment fee ($15).
Requirements: You must have at least $10,000 in student loans and have made at least 12 payments on those loans to be eligible for refinancing.

Blueprint Rating

Compare Rates

Via Credible's Website

What you should know

Many lenders on this list have a few different repayment options, but College Ave offers the most. You can choose any term between five and 15 years when you refinance with College Ave. This means tailoring your repayment options to best fit your budget and payoff timeline.

Pros and cons

Pros

Offers 11 different term lengths (between 5 and 15 years).
Can prequalify without affecting your credit.
Certain doctorate degree types can refinance up to $300,000.

Cons

Co-signer release available only after at least half of the original repayment term has passed.
Degree required.
Poor customer reviews on Trustpilot.

More details

Interest rate types: Fixed and variable.
Loan terms: Any term between 5 and 15 years.
Perks: Autopay discount (0.25%).
Fees: Does not disclose.
Requirements: You’ll need to have graduated and be the borrower on the loan in order to be eligible. A minimum of $5,000 is required to refinance student loans.

Blueprint Rating

What you should know

Many student loan refinance lenders don’t charge excessive fees—but the best ones offer loans without application, prepayment or origination fees. Discover rightfully boasts that it doesn’t charge refinance borrowers any fees. This can help you save money in the long run.

Pros and cons

Pros

No application, origination or late fees.
No degree required.
Hardship assistance available.

Cons

No co-signer release available.
Only offers two loan terms (10 or 20 years).
Poor customer reviews on Trustpilot.

More details

Interest rate types: Fixed and variable.
Loan terms: 10 or 20 years.
Perks: Autopay discount (0.25%).
Fees: None.
Requirements: Applicants must have verifiable income and no more than $150,000 in student loan debt.

Compare the best student loan refinance lenders

	Fixed APR	Variable APR	Loan terms (years)	Autopay discount	Can refinance without degree?
SoFi	4.99% to 8.99%	5.99% to 9.24%	5, 7, 10, 15, 20	0.25%	No
Laurel Road	4.99% to 10.74%	4.74% to 10.64%	5, 7, 10, 15, 20	0.25%	Yes (must be in last semester of eligible degree program)
Citizens	6.80% to 10.99%	6.83% to 12.17%	5, 7, 10, 15, 20	0.25%	Yes
College Ave	5.99% to 11.99%	5.99% to 11.99%	5 through 15	0.25%	No
Discover	5.99% to 9.99%	7.37% to 11.37%	10 or 20	0.25%	Does not disclose
All rates include discounts where noted by the lender and are current as of August 3, 2023.

Why some lenders didn’t make the cut

Of the 10 student loan refinancing lenders that we reviewed, five made the cut. The lenders that didn’t have high enough scores to be included received lower ratings due to higher interest rates and lower maximum loan terms as well as having no co-signer release and fewer customer service options.

Methodology

Our expert writers and editors have reviewed and researched 10 popular lenders to help you find the best lender to refinance your student loans. Out of all the lenders considered, the six that made our list excelled in areas across the following categories (with weightings): loan details (10%), loan cost (40%), eligibility and accessibility (30%), customer service experience (15%) and ease of application (5%).

Within each major category, we considered several characteristics, including available loan repayment terms, APR ranges and applicable fees. We also looked at minimum credit score requirements, whether each lender accepts co-signers and if they offer co-signer release. Finally, we evaluated each provider’s customer support options, borrower perks and features that simplify the borrowing process—like mobile apps.

Student loans: When does repayment start?

Frequently asked questions (FAQs)

The best time to refinance is when you can lower your interest rate and pay off your student loans sooner to avoid paying more in interest than you need to. There are also other benefits that could make refinancing worth it—but refinancing isn’t right for everyone. For example, refinancing federal student loans might not be a good idea..

“If you have federal student loans, you should consider the pros and cons of refinancing your loans with a private lender even if you get a lower interest rate,” says Saki Kurose, associate financial advisor at Omega Wealth Management. “Federal student loans have special benefits, such as access to loan forgiveness programs, income-driven repayment plans and forbearance/deferment options if you cannot make your loan payments.”

If you refinance your federal loans into a private student loan, you’ll lose out on these benefits.

Every lender has different credit score requirements and not all of them require good or excellent credit. Many evaluate your entire credit profile and don’t necessarily have a credit score minimum for refinancing student loans. However, if you don’t have good to excellent credit, you’ll likely get a higher interest rate or might need a co-signer to get approved.

Getting approved for a student loan refinance generally requires decent credit and a solid credit history. You’ll also need steady employment with proven income to show you can pay back your student loans.

Remember to compare loan options from multiple lenders and consider not only interest rates but also eligibility requirements. This can help you find a quality lender as well as a good rate.