SoFi vs. College Ave: Which Lender Should You Choose?

If you need private student loans to pay for college, you can choose from many banks, credit unions, and online lenders. SoFi and College Ave are two popular options. SoFi is a nationwide, online-only bank offering various financial products, while College Ave focuses on student loans.

Both offer a wide array of loan options with varying terms, but each has its own pros and cons to consider as a borrower. This guide can help you determine the right choice to cover the cost of your education. 

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SoFi and College Ave at a glance

SoFi and College Ave both offer student loans for undergraduate and graduate students. Here’s a quick look at each lender’s basic details and loan products.

SoFi

SoFi is an online bank that offers a wide variety of financial products, including student loans. It also offers personal loans, mortgages, investing services, credit cards, bank accounts, and more. 

Its student loan options run the gamut, including undergraduate, graduate, law school, MBA, health profession, international student, and parent loans, as well as several refinancing programs. Its SmartStart refinance loan is a notable option, as it allows for interest-only payments for the first nine months of the loan term.

SoFi offers various rate discounts — including for applying within certain time periods, enrolling in autopay, having a family member with a SoFi loan, or having taken out a SoFi loan before. The bank also allows you to borrow as much as the school-certified cost of attendance, offers a rewards-earning program (which you can use to pay down your loan), and has a $250 cash bonus for maintaining a 3.0 GPA or higher. 

College Ave

College Ave is an online private student loan lender. It offers undergraduate loans, parent loans, career loans, and refinancing, as well as graduate student loans for those in dental, MBA, health professions, law, medical, or PhD programs. 

As with SoFi, College Ave borrowers can get a discount for enrolling in autopay, and there are no application or origination fees. The lender also has a number of scholarship and cash sweepstakes programs that give borrowers a chance to earn more money to put toward their education. 

SoFi and College Ave compared

Borrower eligibility and requirements

Neither College Ave nor SoFi discloses its credit score requirements, but private student loan lenders typically look for a minimum score in the mid-600s or higher. The companies also don’t publicly state their income requirements. However, if you’re looking to get a loan and are enrolled less than half-time, College Ave is the way to go. SoFi requires at least half-time enrollment in a degree program for its student loan borrowers. Many of College Ave’s programs do not.

Repayment options

SoFi and College Ave offer very similar loan terms, each with five-, 10-, and 15-year terms. The main difference is that SoFi’s fourth option is a seven-year loan, while College Ave’s is an eight-year one. College Ave also offers a longer loan term of 20 years for health professionals. 

Both lenders also offer deferment and forbearance options if you face financial hardship. With both lenders, you can defer payments, make flat $25 payments, pay interest only while in school, or choose to make full principal-and-interest payments from the start.

Fees and discounts

SoFi charges no late fees, prepayment fees, or origination fees, though you can choose to pay an origination fee in exchange for a lower interest rate. College Ave also has no origination or prepayment fees, but it does have late fees, which are assessed once a payment is 15 days late.

Both lenders offer autopay discounts, though that’s all College Ave offers. SoFi offers additional discounts for family members and repeat borrowers.

Borrower experience

As a company, SoFi is generally well-reviewed, and 86% of its Trustpilot reviews are either four or five stars. The lender offers 24/7 support via online chat, and phone support is available every day of the week (though only for certain hours). Borrowers also have access to SoFi’s student loan tracker, which they can use to make payments, track payoff progress, and more. In addition, cosigner release can happen after as little as one year. 

College Ave has a rating of 4.5 on Trustpilot, and support is available via text, online chat, email, or phone. There’s also a loan repayment app you can use to track your loan repayment progress and request help. Like SoFi, College Ave offers cosigner release. However, it takes longer than SoFi’s, since at least half of your repayment term must have passed to qualify. 

SoFi vs. College Ave: Which is better for you?

SoFi and College Ave can both help you finance the cost of your education, but in some cases, one may be a better fit than the other. For example, if you’re looking to release your cosigner quickly or want to utilize more rate discounts, SoFi is the better choice. Thanks to its SmartStart program, it may also be the right choice for borrowers who want to refinance student loans. If you’re looking for more career- and program-specific loans, or you’re not going to be enrolled at least half-time, College Ave is likely the better fit.

The right choice will depend on your unique goals as a student, as well as your credit, repayment preferences, and other factors. Consider speaking to a financial aid counselor if you need help picking the right loan program.