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8 Best Student Loan Refinance Companies of 2024

Before you refinance your student loans, compare top lenders to find the best option for your needs.

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By Emily Guy Birken

Written by

Emily Guy Birken

Writer

Emily Guy Birken is a Credible authority on student loans and personal finance. Her work has been featured by Forbes, Kiplinger's, Huffington Post, MSN Money, and The Washington Post online.

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Edited by Alicia Hahn

Written by

Alicia Hahn

Senior Editor

Alicia Hahn is a student loans editor with more than a decade of editorial experience. She has worked with major finance and lifestyle brands including Mastercard, Forbes, Care.com, The Balance, and others. When she’s not working, Alicia enjoys cooking, traveling, watching true crime documentaries, and doing crosswords.

Updated January 31, 2024

Editorial disclosure: Our goal is to give you the tools and confidence you need to improve your finances.

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If you’re having trouble managing your student loans, refinancing them could make things easier. 

Depending on your existing debt and credit, you might qualify for lower rates or a different repayment term — both of which could lower your monthly payments or save you in interest fees. In addition, you can combine several loans into one, streamlining your payments and making it easier to track your debt payoff. 

Compare student loan refinancing rates

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4.44.4

Credible rating

Fixed (APR)

5.48% -

Loan Amounts

$10,000 - $250,000

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

4.64.6

Credible rating

Fixed (APR)

5.49% -

Loan Amounts

$5,000 - $250,000

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

3.93.9

Credible rating

Fixed (APR)

5.85% -

Loan Amounts

$5,000 - $250,000

Min. Credit Score

670

Check Rates

on Credible’s website

View Details

3.83.8

Credible rating

Fixed (APR)

6.00% -

Loan Amounts

$7,500 - $200,000

Min. Credit Score

700

Check Rates

on Credible’s website

View Details

44

Credible rating

Fixed (APR)

6.20% -

Loan Amounts

$10,000 up to the total amount

Min. Credit Score

670

Check Rates

on Credible’s website

View Details

3.73.7

Credible rating

Fixed (APR)

6.34% -

Loan Amounts

$7,500 - $250,000

Min. Credit Score

680

Check Rates

on Credible’s website

View Details

4.74.7

Credible rating

Fixed (APR)

6.49% -

Loan Amounts

$10,000 - $750,000

Min. Credit Score

700

Check Rates

on Credible’s website

View Details

All APRs reflect autopay and loyalty discounts where available | LightStream disclosure | SoFi Disclosures | Read more about Rates and Terms

Best student loan refinancing lenders

Every refinancing lender uses its own methods to determine whether you qualify for a loan and what rates you’re eligible for. That’s why comparison shopping is so vital — you’ll likely receive different terms from each lender you prequalify with. Check out Credible's partner lenders below.

Flexible terms

Brazos

4.4

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

720

Fixed APR

4.75 -

Variable APR

5.32 -

Loan Amount

$10,000 - $400,000

Term

5, 7, 10, 15, 20

Pros and cons

More details

Current account holders

Citizens

4.7

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

700

Fixed APR

6.49 -

Variable APR

7.02 -

Loan Amount

$10,000 - $750,000

Term

5, 7, 10, 15, 20

Pros and cons

More details

High balances

Education Loan Finance

4.4

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

680

Fixed APR

5.48 -

Variable APR

5.28 -

Loan Amount

$10,000 - $250,000

Term

5, 7, 10, 12, 15, 20

Pros and cons

More details

High balances

EdvestinU

3.8

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

700

Fixed APR

6.00 -

Variable APR

8.04 -

Loan Amount

$7,500 - $200,000

Term

5, 10, 15, 20

Pros and cons

More details

Forbearance

INvestEd

3.9

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

670

Fixed APR

5.85 -

Variable APR

8.51 -

Loan Amount

$5,000 - $250,000

Term

5, 10, 15, 20

Pros and cons

More details

Graduates with excellent credit

LendKey

4.6

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

680

Fixed APR

5.49 -

Variable APR

5.52 -

Loan Amount

$5,000 - $250,000

Term

5, 7, 10, 15

Pros and cons

More details

No degree

MEFA

4

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

670

Fixed APR

6.20 -

Variable APR

-

Loan Amount

$10,000 up to the total amount

Term

7, 10, 15

Pros and cons

More details

Income-based repayment

RISLA

3.7

Credible Rating

Check Rates

on Credible’s website

Min. Credit Score

680

Fixed APR

6.34 -

Variable APR

-

Loan Amount

$7,500 - $250,000

Term

5, 10, 15

Pros and cons

More details

Other lenders to consider

Online lender SoFi offers competitive student loan refinancing. With zero fees — not even late fees — and specialized refinance options for medical, law, and MBA students, it offers customizable loans at attractive rates. In addition, there are ample member benefits, including free financial planning, career coaching, and unemployment protections.

Both students and parents can refinance education loans with Laurel Road, and borrowers in medical residencies can access specialized repayment plans. Customers who opt to also link a Laurel Road checking account and meet deposit requirements can get a discount of up to 0.55 percentage points on their refinancing rate. Plus, you can schedule a free student loan consultation to help you explore repayment options, forgiveness opportunities, and refinance benefits. 

Discover’s student loan refinancing option includes all the standard benefits, including no fees of any kind. But what really sets it apart is its ample repayment assistance options. Borrowers who return to school, serve in the military, work in eligible public service organizations, or enroll in a medical residency program may be eligible to defer payments for three to five years. In addition, you could temporarily pause payments or reduce your interest rate if you experience financial hardship.

Methodology

Credible evaluated these student loan refinancing lenders based on interest rates and origination fees, loan amounts, loan terms, discounts, whether cosigners are accepted, and more. Credible’s team of experts gathered information from each lender’s website, customer service department, directly from our partners, and via email support. Each data point was verified by a third party to make sure it was accurate and up to date.

How to refinance student loans

If you’re ready to refinance your student loans, follow these four steps:

  1. Research and compare lenders: Since each lender is likely to offer you a different rate and terms, compare as many lenders as possible to find the right loan for you. Consider not only interest rates but also repayment plans and any fees charged by the lender.
  2. Choose your loan option: After comparing lenders, choose the option that best suits your needs.
  3. Complete the application: Once you’ve picked a lender, fill out a full application on their site and submit any required documentation, such as loan verification statements, proof of employment, and proof of income.
  4. Manage your payments: If you’re approved, make sure to keep up with payments on your old loans until the refinance is processed. Afterward, consider signing up for autopay so you won’t miss any payments in the future — many lenders offer rate discounts for borrowers who opt for automatic payments.

Read More: What Is Student Loan Refinancing?

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Important:

Be cautious before refinancing federal student loans, as doing so means you’ll permanently lose access to federal protections like loan forgiveness. Review the advantages of federal loans and be sure you won’t need these perks before refinancing.

Pros and cons of refinancing 

Like any financial decision, refinancing student loans comes with risks and benefits. Here’s what to consider before you submit your application.

Benefits

  • Potentially lower interest rate: Those with good credit and a stable income may qualify for a lower interest rate than what they’re currently paying. Depending on the exact terms of your debt, this can save you significant money in interest fees, and reduce your monthly payments. 
  • Can lower monthly payments: If your current payments are too high, switching to a longer repayment term can also lower your monthly costs. Doing so often means you’ll pay more interest over the life of the loan, but that might be a fair trade for borrowers who are struggling to afford their debt. 
  • Simplify debt management: Refinancing allows you to combine multiple loans into one account, making it easier to track due dates and payoff goals. 
  • Remove a cosigner: If your current loans have a cosigner and the lender doesn’t allow you to release them, refinancing offers an opportunity to remove them from your loan. However, you must be able to meet the refinancing requirements on your own. 
  • Switch your loan servicer: If you’re unhappy with your current lender, switching to a new provider may provide better customer service, additional discounts, or other perks. 

Risks

  • Loss of federal benefits: Refinancing federal student loans means you’ll permanently lose access to all federal protections, including income-driven repayment plans and forgiveness opportunities. 
  • Fewer repayment plans: Unlike federal loans, private refinanced loans generally don’t offer a wide variety of repayment options to choose from, such as income-driven or extended repayment plans. You also typically can’t switch your repayment plan after you’ve begun to make payments. 
  • Strict eligibility requirements: To qualify for a refinance loan, you typically need good credit and documented income. Some borrowers may struggle to get approved or may not receive low enough rates. In that case, a cosigner may be necessary. 
  • May not save you money: Refinancing doesn’t always offer significant benefits, especially if you already have a relatively low interest rate or are close to paying off your loans for good.

Requirements to refinance

While eligibility criteria vary between lenders, there are common requirements for student loan refinancing that you’ll likely come across, including:

  • Good credit: You’ll typically need good-to-excellent credit to qualify for refinancing. Generally, borrowers with strong credit can qualify for lower interest rates compared to borrowers with poor or fair credit.
  • Low debt-to-income ratio: Your debt-to-income ratio (DTI) is the percentage of your gross monthly income that’s required to pay expenses like your rent or mortgage, car loan, and other debts. In general, you’ll need a DTI below 50% — though some lenders might require a lower ratio.
  • Verifiable income: Lenders want to see that you’ll be able to afford your future loan payments. Some lenders have a certain minimum income you’ll have to meet while others don’t — but in either case, you’ll typically have to show proof of income.

How to get the best student loan refinance rate

Lenders review your credit to determine not only how good of a loan candidate you are, but also your interest rate. In general, the best rates on student loan refinancing are reserved for borrowers with good-to-excellent credit. 

However, the exact conditions of your loan can affect your final rates as well. For example:

  • Shorter terms often have lower rates: Loans with a faster payoff timeline are less risky for lenders. You might nab a lower rate if you opt for a shorter-term loan.
  • Discounts can help: Many lenders offer a rate discount for enrolling in autopay, but you might also get reduced rates if you already have an existing account with the lender or refer a friend. 
  • Comparing lenders is key: Each lender has its own way of calculating your interest rate, and one may offer you a better deal than another. It’s vital to see what each company can offer you before you submit an application. 

If your credit isn’t strong enough to get you low rates, consider adding a cosigner to your application. A cosigner is someone with good credit who agrees to share responsibility for your debt. Because they agree to help you with your loan, it can be easier to get approved for refinancing with a well-qualified cosigner. Even if you can get approved on your own, using a cosigner can help you lock in lower rates.

However, cosigning a loan is no small task. Any missed payment will show up on both of your credit reports, and if you fail to make payments, your cosigner is required to do so. Some lenders allow you to remove a cosigner later if you meet certain requirements. Selecting a lender that offers cosigner release may make someone more willing to cosign your loan, knowing they can be removed later.  

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Is refinancing student loans worth it?  

Whether or not refinancing is worth it depends on your personal situation and financial outlook. Those refinancing federal student loans face additional risk, as they irreversibly give up access to federal benefits and protections. But if you don’t qualify for federal forgiveness opportunities and aren’t likely to need payment assistance in the future, losing those perks may not matter much to you.

Borrowers with private student loans face fewer hazards when refinancing, and most lenders charge no fees to complete the process. If you can save money, reduce your monthly payments, or gain some other benefit by refinancing, it may be worth it. However, make sure you read the fine print on your new loan terms and compare both monthly and lifetime costs on your debt before committing to anything. 

Will Biden forgive federal student loans?

Federal loan borrowers have been strung along for years with the promise of widespread forgiveness, and may be hesitant to refinance before a final conclusion is reached.

After President Joe Biden’s initial forgiveness plan — which would have erased $10,000 to $20,000 of debt for millions of borrowers — was struck down by the Supreme Court in June 2023, his administration vowed to continue the effort through other avenues. An October 2023 proposal from the Department of Education seeks to forgive student debt for specific borrower groups, including those who:

  • Currently owe more than they originally borrowed
  • Have been in repayment for more than 25 years
  • Are eligible for other forgiveness programs, such as Public Service Loan Forgiveness, but have yet to apply
  • Borrowed loans for career-training programs that created unreasonably high debt, offered few job prospects, or meet other criteria

However, this proposal is still in the early stages of development and has several hurdles to overcome before it can be approved. Much may change during the negotiations process, and the plan may not be passed at all. Even if the plan is enacted in its current form, forgiveness is unlikely to be processed until at least 2025.

For now, the future of widespread forgiveness is uncertain — and will likely remain so for some time yet.

Student loan refinancing FAQ

Can you refinance private loans?

Yes, private student loans are eligible for refinancing. Keep in mind that you can refinance more than once, which means you could refinance your private loan again if you can get a lower rate or better terms in the future.

Can you refinance federal loans?

Yes, you can refinance federal student loans. However, doing so will turn your federal student debt into a private loan — which means you’ll lose access to federal protections, such as income-driven repayment plans and student loan forgiveness programs

Refinancing is permanent and irreversible, so make sure you won’t need those benefits before refinancing federal loans.

What is federal student loan consolidation?

Federal student loan consolidation is a different process than refinancing. If you have federal student loans, you can consolidate them with a federal Direct Consolidation Loan. While you’ll retain your federal protections with this process, it won’t save you money. Your new interest rate will be the weighted average of the rates on the loans you consolidate.

Additionally, you could extend your repayment term up to 30 years through federal consolidation, which could lower your monthly payment and lessen the strain on your budget. Just keep in mind that having a longer term means you’ll likely pay more in interest over time.

Can you refinance more than once?

Yes, there’s no limit to how many times you can refinance. Refinancing more than once could be a good idea if you can qualify for a lower interest rate or better repayment terms, as you could save money on interest and potentially pay off your loan faster.

When is the best time to refinance?

The best time to refinance your student loans is whenever it makes the most financial sense for you to do so. For example, if you have good credit and will benefit from refinancing, then it could be a good time for you to do it.

But if you have poor credit or unstable income, then you might wait to refinance until your credit improves or your earnings are more reliable.

What is the average student loan refinance rate?

While refinancing rates quickly increased during the COVID-19 pandemic, rates have begun to level off. As of Nov. 6, 2023, good-credit borrowers who refinanced through Credible received the following average rate offers for student loan refinancing:

  • 10-year fixed-rate loans: Rates averaged 7.65%, up from 7.53% the week before and from 6.07% a year ago.
  • Five-year variable-rate loans: Rates averaged 5.68%, down from 6.25% the week before and up from 3.16% a year ago.

Keep in mind that your credit, as well as other factors, will play a role in determining the interest rates you might be offered.

Can refinancing student loans hurt your credit?

When you apply for refinancing, the lender typically performs a hard credit check to review your finances and determine how strong of a candidate you are. This could cause a slight drop in your credit score — though usually by only five points or less. Additionally, this is typically only temporary, and your score will likely bounce back within a few months.

However, making on-time payments on a refinanced loan could actually help improve your credit over time — which means the positive impact could eventually outweigh any negative consequences to your score if you manage your debt wisely.

What credit score is needed in order to refinance?

You’ll generally need good-to-excellent credit to qualify for refinancing — a good credit score is usually considered to be a FICO score of 670 or higher. Some lenders offer refinancing for bad credit, but these loans tend to come with higher interest rates compared to good-credit loans.

If you’re struggling to get approved, consider applying with a cosigner who has strong credit to improve your chances. Even if you don’t need a cosigner to qualify, having one could get you a lower interest rate than you’d get on your own.

What’s the difference between refinancing and consolidation?

While refinancing and consolidation both allow you to combine your student loans, they mean something different for private and federal student loans.

  • Private student loan refinancing (also known as private consolidation) is the process of taking out a new private student loan to pay off your old debts. Depending on your credit, you might get a lower interest rate through refinancing. Keep in mind that you can refinance both private and federal loans — but if you refinance federal student loans, you’ll no longer have access to federal benefits and protections.
  • Federal student loan consolidation is the process of consolidating federal loans into a Direct Consolidation Loan. While this won’t change your interest rate, it will allow you to extend your repayment term up to 30 years, which could greatly reduce your monthly payments. Just remember that you’ll likely pay more interest over time with a longer term.

What’s the difference between a fixed rate and a variable rate?

Many refinancing lenders offer both fixed and variable interest rates on their loans. Fixed rates stay the same throughout the life of the loan. This means your interest and payments won’t ever change.

Variable rates can fluctuate based on broader market conditions — so your interest and payments could rise or fall in the future.

Meet the expert:
Emily Guy Birken

Emily Guy Birken is a Credible authority on student loans and personal finance. Her work has been featured by Forbes, Kiplinger's, Huffington Post, MSN Money, and The Washington Post online.

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