Our goal is to give you the tools and confidence you need to improve your finances. Although we receive compensation from our partner lenders, whom we will always identify, all opinions are our own. Credible Operations, Inc. NMLS # 1681276, is referred to here as "Credible."
Private student loan interest rates have
decreased for borrowers with credit scores of 720 or higher who used the Credible marketplace to take out 10-year fixed-rate loans and increased for those who took out 5-year variable-rate loans.
Here are the latest trends in private student loan interest rates from the Credible marketplace, updated weekly.
During the week of November 27, 2023:
- Rates on 10-year fixed-rate student loans averaged 7.49%, down from 7.68% last week and from 7.52% a year ago. Rates hit a record low of 4.87% on April 4, 2022.
- Rates on 5-year variable-rate student loans averaged 9.69%, up from 9.17% last week and from 8.79% a year ago. Rates hit a record low of 1.84% on February 8, 2021.
Private student loan historical rate trends
The chart above shows average selected prequalified rates for borrowers with credit scores of 720 or higher who used the Credible marketplace to select a lender. The chart lists weekly rates for the last two years.
As in most other types of borrowing, private student loan rates began to trend upward in March 2022 after the Federal Reserve approved its first rate hike in three years. Since then, the Fed has continued to slowly increase rates in an effort to tamp down inflation. As of October 2023, the Fed’s benchmark rate is the highest it’s been in more than 20 years, though signs indicate that the rate hikes may be slowing.
While the Fed’s rate increases can significantly affect the cost of private student loans, federal student loans are generally more stable. That’s because federal loans come with fixed rates that are set annually by Congress. For the 2023-24 school year, federal loan rates are:
- Direct Subsidized Loans and Direct Unsubsidized Loans (undergrads): 5.50%
- Direct Unsubsidized Loans (professional or graduate students): 7.05%
- Direct PLUS Loans (professional or grad students, or parents of undergrads): 8.05%
However, not everyone is eligible for federal student loans, or borrowers may have reached their maximum borrowing limits. In that case, private student loans can provide a convenient source of funding for college.
In addition to general economic conditions, rates on private student loans depend on factors including the borrower or cosigners’ credit, income, and loan term. Because each lender is likely to offer you a different rate, it’s important to research and compare lender offers to see which can offer you the best deal.
Compare student loan rates from top lenders
- Multiple lenders compete to get you the best rate
- Get actual rates, not estimated ones
- Finance almost any degree
See Your Rates
Checking rates will not affect your credit
Current private student loan interest rates by credit score
Find Your Student Loan
If you qualify for a private student loan, the interest rate offered to you depends on many factors, including:
- Your credit. One of the most significant factors that determines your interest rate is your credit score and credit report. If you have weak credit, consider adding a cosigner to your application. Doing so can help you get approved or qualify for better rates than you would have alone.
- Your debt-to-income (DTI) ratio. Your DTI represents how much of your monthly income goes to paying off your debt. The lower your debt-to-income ratio, the lower rate you can likely qualify for.
- If you choose a fixed or variable rate. Fixed rates stay the same over the life of your loan, while variable rates can fluctuate according to market conditions. It’s common for variable rates to start out lower than fixed ones, but it’s possible that variable rates could increase in the future, making your loan more expensive.
- The loan repayment term. Lenders typically view longer term loans as riskier. Because of this, you may get a lower interest rate if you agree to pay off your loan more quickly. Note that this will make your monthly payments higher than a longer loan term would.
Every lender has its own methods of evaluating borrowers, so it’s a good idea to request private student loan rates from multiple lenders and compare your options. Through Credible, you can compare rates from the lenders below without affecting your credit score.
Lender | Fixed Rates From (APR)
| Variable Rates From (APR) |
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.53%+10
|
6.16%+10
|
- Fixed APR:
4.53%+10
- Variable APR:
6.16%+10
- Min. credit score:
Does not disclose
- Loan amount:
$2,001* to $400,000
- Loan terms (years):
5, 7, 10, 12, 15, 20
- Repayment options:
Full deferral, fixed/flat repayment, interest only, academic deferment, military deferment, forbearance, loans discharged upon death or disability
- Fees:
None
- Discounts:
0.25% to 1.00% automatic payment discount, 1% cash back graduation reward
- Eligibility:
Must be a U.S. citizen or permanent resident or DACA student enrolled at least half-time in a degree-seeking program
- Customer service:
Email, phone
- Prequalified rates with a soft credit check:
Yes
- Cosigner release:
After 12 on-time principal and interest payments
- Loan servicer:
Launch Servicing, LLC
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.99%+1
|
6.37%+
|
- Fixed APR:
4.99%+1
- Variable APR:
6.37%+
- Min. credit score:
720
- Loan amount:
$1,000 to $350,000
- Loan terms (years):
5, 10, 15
- Loan types:
Any private or federal student loan
- Repayment options:
Full deferral, full monthly payment, interest only, immediate repayment, academic deferment, military deferment, forbearance, loans discharged upon death or disability
- Fees:
Late fee
- Discounts:
Autopay, loyalty
- Eligibility:
Available in all 50 states (international students can apply with a creditworthy U.S. citizen or permanent resident cosigner)
- Customer service:
Email, phone, chat
- Soft credit check:
Yes
- Cosigner release:
After 36 months
- Loan servicer:
Firstmark Services
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.49%+2,3
|
5.59%+2,3
|
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.43%+
|
5.39%+
|
- Fixed APR:
4.43%+
11
- Variable APR:
5.39%+
11
- Loan amount:
$1,000 to $99,999 annually
($180,000 aggregate limit)11
- Loan terms (years):
7, 10, 1511
- Repayment options:
Full deferral, immediate repayment, interest-only repayment, flat/full repayment, academic deferment, military deferment, forbearance, loans discharged upon death or disability
- Fees:
None
- Discounts:
Autopay11
- Eligibility:
Available to borrowers in all 50 states. Must be a U.S. citizen or permanent resident.
- Customer service:
Phone, email
- Prequalified rates with a soft credit check:
Yes
- Cosigner release:
After 36 months11
- Loan servicer:
American Education Services
- Min. income:
$1
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.6%+8
|
7.64%+8
|
- Fixed APR:
4.6%+8
- Variable APR:
7.64%+8
- Min. credit score:
670
- Loan amount:
$1,001 up to cost of attendance
- Loan terms (years):
5, 10, 15
- Repayment options:
Full deferral, full monthly payment, interest only, immediate repayment, academic deferment, forbearance
- Fees:
Late fee
- Discounts:
Autopay, reward for on-time graduation
- Eligibility:
Must be an Indiana resident or a U.S. citizen attending an eligible Indiana school
- Customer service:
Email, phone, chat
- Prequalified rates with a soft credit check:
Yes
- Cosigner release:
After 12 months
- Loan servicer:
American Education Services
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.35%+
| N/A |
- Fixed APR:
5.35%+
- Variable APR:
N/A
- Min. credit score:
670
- Loan amount:
$1,500 up to cost of attendance less aid
- Loan terms (years):
10, 15
- Repayment options:
Full deferral, interest only, immediate repayment, academic deferral, forbearance
- Fees:
None
- Discounts:
None
- Eligibility:
Must be a U.S. citizen or permanent resident and be making satisfactory academic progress.
- Customer service:
Email, phone
- Prequalified rates with a soft credit check:
Yes
- Cosigner release:
After 48 months
- Loan servicer:
American Education Services (AES)
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.50%9
-
15.49%9
|
6.37%9
-
16.70%9
|
- Fixed APR:
4.50%9
-
15.49%9
- Variable APR:
6.37%9
-
16.70%9
- Min. credit score:
Does not disclose
- Loan amount:
$1,000 up to 100% of school-certified cost of attendance
- Loan terms (years):
10 to 209
- Repayment options:
Full deferral, fixed/flat repayment, interest only, academic deferment, forbearance, loans discharged upon death or disability
- Fees:
Late fee, non-sufficient funds (NSF) fee
- Discounts:
Autopay
- Eligibility:
Must be a U.S. citizen or permanent resident. Also available to non-U.S. citizen students (including DACA students) attending a school located in the U.S. who apply with a qualifying cosigner.
- Customer service:
Phone, chat
- Prequalified rates with a soft credit check:
Yes
- Cosigner release:
Borrowers can apply after graduation, 12 consecutive on-time principal and interest payments, and meeting certain credit requirements.
- Loan servicer:
Sallie Mae
|
Compare Prequalified Private Student Loan rates.
Compare Private Loans Now
|
Lowest APRs reflect autopay, loyalty, and interest-only repayment discounts where available. Prequalified rates are not an offer of credit. | 10Ascent Disclosures | 1Citizens Bank Disclosures | 2,3College Ave Disclosures | 11Custom Choice Disclosures | 7EDvestinU Disclosures | 8INvestEd Disclosures | 9Sallie Mae Disclosures
|
About Credible
Credible is a multi-lender marketplace that empowers consumers to discover financial products that are the best fit for their unique circumstances. Credible’s integrations with leading lenders and credit bureaus allow consumers to quickly compare accurate, personalized loan options ― without putting their personal information at risk or affecting their credit score. The Credible marketplace provides an unrivaled customer experience, as reflected by over 6,600 positive Trustpilot reviews and a TrustScore of 4.7/5.
About the author
Carter Sherman
Carter is an Editorial Assistant at Credible.
Read More
Home » All » Data Insights » Private Student Loan Interest Rates Plunge for 5-Year Terms Only