Best Student Loans Of

How we Determined the Best Student Loans

For millions of people in the U.S., student loans provide a way to make continuing education possible. And while the first step to funding your future should always start with filling out the FAFSA and exploring what federal loan options are available to you, sometimes it’s still necessary to explore different, or additional, paths.

If you’ve exhausted your options for scholarships, grants and other opportunities like work-study funds, and are still falling short on covering costs for your education, it may be time to explore your options for private student loans.

With a multitude of private student loans available, choosing the right lender for you is key to getting the money you need, while managing costs and minimizing debt. But with the number of options seemingly increasing as steadily as the cost of education itself, and so many factors to consider, the task can feel daunting. If this sounds familiar, you’ve landed in the right spot.

Our ranking of the top student loans separates the best from the rest, providing you with a list of companies that have been vetted and researched, helping you easily compare loan options, interest rates and flexible repayment terms.

If you’re curious about how we decided on the best student loans available today, keep reading for a breakdown of the criteria we used.

Our Criteria

Here’s what went into our decision for choosing the best student loan providers, and tips on how to determine which option is best for you:

Loan Types

There are several types of private student loans, and they generally differ in terms of eligibility requirements, loan structure and repayment options. Here are the main types you’ll see when shopping for a private student loan:

Undergraduate

• Designed for students pursuing a bachelor’s or associate degree
• Requires enrollment at an accredited institution and a good credit score
• Borrowed funds can cover tuition, fees, books and other educational expenses
• Repayment terms vary, with options for deferred, interest-only or full payments while in school

Graduate

• Specifically for students pursuing a master’s, doctoral or professional degree, such as law, medical or business
• Generally allows for higher borrowing limits compared to undergraduate loans 
• Loan amount can be used to cover the cost of tuition, fees and other educational expenses
• Repayment options are similar to undergraduate loans but may offer more flexible terms since grad students often have higher earning potential after graduation

International Loans

• Designed for students who are studying in the U.S. but are not citizens or permanent residents
• Typically requires a cosigner who is a U.S. citizen or permanent resident
• Borrowed funds can be used to cover tuition, educational and living expenses
• Repayment terms are similar to those for U.S. students, with flexible options depending on the lender 

Refinance & Consolidation

• Options to refinance your existing loan for a better interest rate, or to consolidate multiple loans into one monthly payment
• Requires solid credit history, stable income and completion of schooling to qualify
• Benefits include reducing your overall monthly payment or saving on interest if you qualify for a lower rate

Interest Rates

Private student loan providers typically offer fixed and variable interest rates. A fixed rate remains the same throughout the loan term, while variable rates can change periodically based on market conditions. The pro to a fixed rate is that you know exactly what your monthly payment will be. With a variable rate loan, you might get a lower rate at some point and a higher rate at others, and you need to make sure your budget can accommodate for those fluctuations.

When shopping for student loans, you’re able to compare interest rate ranges between vendors for a general idea, but keep in mind that your exact rate will be determined by your creditworthiness.

Another feature to look out for is a rate-match guarantee, and it’s just what it sounds like: Some loan companies offer to match any of their competitors’ loan rates, to make them an even more attractive option. This is another reason to do your homework (or let us do it for you!) when it comes to interest rates. 

Terms

A loan term refers to the length of time that you have to repay the loan. Typically, private student loans offer repayment terms ranging from five to 20 years. A shorter loan term means higher monthly payments, but less paid in interest over the life of the loan. A longer loan term will offer smaller monthly payments, but you’ll end up paying more in interest over the life of the loan, and that can add up.

Most loan companies will have several loan repayment terms to choose from, and the best ones have an interactive tool that you can use to see how the length of a loan affects your monthly payment, interest and total cost of the loan over time, so you can select the loan term that works best for you.

Fees

Some private lenders charge an origination fee for processing your loan, which can range between one and five percent of your total loan amount. If possible, look for a lender with no origination fee. All of the companies on our list have this benefit, and it’s a great way for you to save money.

Many private student loan companies also advertise no fees for disbursement, prepayment or late payments, but this isn’t necessarily true across the board, so this is another area where it pays to do your research. Be sure you know and understand what fees apply, and whether there is anything you can do to avoid them.

Repayment Options

Another feature you’ll find with private student loan providers is flexible repayment terms, including deferred, fixed, full and interest-only payments while you’re in school. Here’s how they work:

• Deferment: No payments while in school
• Fixed: Small, set payment while in school, sometimes referred to as flat payments 
• Full: Full monthly payments while in school, including principal and interest
• Interest-Only: Pay only loan interest while in school, instead of letting it accrue

Credit Requirements

When it comes to creditworthiness, student loan companies typically require a few criteria to be met, including a minimum credit score and a favorable debt-to-income ratio. Here’s some more in-depth information about these criteria:

• Credit Score: Most private student loans require a solid credit score, typically 650 or higher. If you have limited or poor credit, you’ll need to look into a cosigner for the loan, or a different loan option with less stringent requirements.
• Income & Debt-to-Income Ratio: Student loan providers will also typically look at your current income, and your debt-to-income ratio, which tells lenders what percentage of your income goes toward your monthly debt payments.

Undergrad students in particular may have trouble meeting these requirements, which is where a cosigner may be necessary. By combining their credit history and income with yours, you may be able to qualify for a much better interest rate and terms than going it alone.

Other Considerations

There are a few other factors we look for when rating student loan companies, including their loan limits, what borrower benefits they offer, what the disbursement process is like and whether they offer a cosigner release option. 

Here’s what you need to know:

• Loan Limits: Private loans aren’t subject to the same caps as federal loans. But that’s not to say they’re without limits, or that you should borrow the maximum that you’re eligible for. Be sure you have a clear idea of your expenses, and don’t take more than you need.
• Borrower Benefits: For substantial savings over time, look for lenders who offer interest rate reductions if you set up automatic payments. You may also find lenders who offer other benefits, such as repayment assistance and graduation or career milestone benefits. Factor these benefits into your final decision when choosing a lender.
• Disbursement Process: Be sure you know how the loan is disbursed, and when you can expect to receive the funds. This may differ from lender to lender, but funds are usually distributed to your school first to cover tuition, with any excess being paid out directly to you afterward.
• Cosigner Release: If you need a cosigner, check whether the lender offers a cosigner release option. This can help relieve your cosigner from responsibility after a certain number of on-time payments are made. 
• Lender Reputation: This is paramount. Be sure to look into the lender’s reputation for customer service, responsiveness and financial strength. We do this with every lender we review, so you can rest assured that the brands you see here have been vetted.

Disclaimers

CollegeAve
Disclosure:
College Ave Student Loans products are made available through Firstrust Bank, member FDIC, First Citizens Community Bank, member FDIC, or M.Y. Safra Bank, FSB, member FDIC. All loans are subject to individual approval and adherence to underwriting guidelines. Program restrictions, other terms, and conditions apply.

1. All rates include the auto-pay discount. The 0.25% auto-pay interest rate reduction applies as long as a valid bank account is designated for required monthly payments. If a payment is returned, you will lose this benefit. Variable rates may increase after consummation.

2. As certified by your school and less any other financial aid you might receive. Minimum $1,000.

3. This informational repayment example uses typical loan terms for a freshman borrower who selects the Flat Repayment Option with an 8-year repayment term, has a $10,000 loan that is disbursed in one disbursement and a 7.78% fixed Annual Percentage Rate (“APR”): 54 monthly payments of $25 while in school, followed by 96 monthly payments of $176.21 while in the repayment period, for a total amount of payments of $18,266.38. Loans will never have a full principal and interest monthly payment of less than $50. Your actual rates and repayment terms may vary.

Information advertised valid as of 03/03/2025. Variable interest rates may increase after consummation. Approved interest rate will depend on creditworthiness of the applicant(s), lowest advertised rates only available to the most creditworthy applicants and require selection of the Flat Repayment Option with the shortest available loan term.

Credible
Disclosures:
Prequalified Rates Disclosure:

• Prequalified rates are based on the information you provide and a soft credit inquiry. Receiving prequalified rates does not guarantee that the Lender will extend you an offer of credit. You are not yet approved for a loan or a specific rate. All credit decisions, including loan approval, if any, are determined by Lenders, in their sole discretion. Lowest rate advertised is not available for all loan sizes, types, or purposes, and assumes a very well qualified borrower with an excellent credit profile.

Won’t Impact your Credit Score Disclosure:

• Requesting prequalified rates on Credible is free and doesn’t affect your credit score. However, applying for or closing a loan will involve a hard credit pull that impacts your credit score and closing a loan will result in costs to you.

Sallie Mae
Disclosures:
Borrow responsibly
We encourage students and families to start with savings, grants, scholarships, and federal student loans to pay for college. Evaluate all anticipated monthly loan payments, and how much the student expects to earn in the future, before considering a private student loan.

Loans for Undergraduate & Career Training Students are not intended for graduate students and are subject to credit approval, identity verification, signed loan documents, and school certification. Student must attend a participating school. Student or cosigner must meet the age of majority in their state of residence. Students who are not U.S. citizens or U.S. permanent residents must reside in the U.S., attend school in the U.S., apply with a creditworthy cosigner (who must be a U.S. citizen or U.S. permanent resident), and provide an unexpired government-issued photo ID. Requested loan amount must be at least $1,000.

1 Advertised APRs for undergraduate students assume a $10,000 loan to a student who attends school for 4 years and has no prior Sallie Mae-serviced loans. Interest rates for variable rate loans may increase or decrease over the life of the loan based on changes to the 30-day Average Secured Overnight Financing Rate (SOFR) rounded up to the nearest one-eighth of one percent. Advertised variable rates are the starting range of rates and may vary outside of that range over the life of the loan. Interest is charged starting when funds are sent to the school. With the Fixed and Deferred Repayment Options, the interest rate is higher than with the Interest Repayment Option and Unpaid Interest is added to the loan’s Current Principal at the end of the grace/separation period. To receive a 0.25 percentage point interest rate discount, the borrower or cosigner must enroll in auto debit through Sallie Mae. The discount applies only during active repayment for as long as the Current Amount Due or Designated Amount is successfully withdrawn from the authorized bank account each month. It may be suspended during forbearance or deferment.

2 Interest is charged starting when funds are sent to the school. With the Fixed and Deferred Repayment Options, the interest rate is higher than with the Interest Repayment Option and Unpaid Interest is added to the loan’s Current Principal at the end of the grace/separation period. Payments may be required during the grace/separation period depending on the repayment option selected. Variable rates may increase over the life of the loan.

3 For applications submitted directly to Sallie Mae, loan amount cannot exceed the cost of attendance less financial aid received, as certified by the school. Applications submitted to Sallie Mae through a partner website will be subject to a lower maximum loan request amount. Miscellaneous personal expenses (such as a laptop) may be included in the cost of attendance for students enrolled at least half-time.

4 Although we do not charge a penalty or fee if you prepay your loan, any prepayment will be applied as outlined in your promissory note—first to Unpaid Fees and costs, then to Unpaid Interest, and then to Current Principal.

SALLIE MAE RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS, SERVICES, AND BENEFITS AT ANY TIME WITHOUT NOTICE.

Information advertised valid as of 04/17/2025

Sallie Mae loans are made by Sallie Mae Bank. ConsumerRating is not the creditor for these loans and is compensated by Sallie Mae for the referral of the Sallie Mae loan customers.

Earnest
Disclosure:
Student Loan Origination (Private Student Loan) Interest Rate Disclosure:

Actual rate and available repayment terms will vary based on your income. Fixed rates range from 3.47% APR to 16.49% APR (excludes 0.25% Auto Pay discount). Variable rates range from 4.99% APR to 16.85% APR (excludes 0.25% Auto Pay discount). Earnest variable interest rate student loan origination loans are based on a publicly available index, the 30-day Average Secured Overnight Financing Rate (SOFR) published by the Federal Reserve Bank of New York. The variable rate is based on the rate published on the 25th day, or the next business day, of the preceding calendar month, rounded to the nearest hundredth of a percent. The rate will not increase more than once per month. Although the rate will vary after you are approved, it will never exceed 36% (the maximum allowable for this loan). Please note, Earnest Private Student Loans are not available in Nevada. Our lowest rates are only available for our most credit qualified borrowers and contain our .25% auto pay discount from a checking or savings account. It is important to note that the 0.25% Auto Pay discount is not available while loan payments are deferred.

1. 1. Before applying for private student loans, it’s best to maximize your other sources of financial aid first.  It’s recommended to use a 3-step approach to assembling the funds you need: 1) Look for funds you don’t have to pay back, like scholarships, grants, and work-study opportunities.  2) Next, fill out a FAFSA(R) form to apply for federal student loans.  Federal Direct subsidized and unsubsidized loans, excluding PLUS Loan for Parents and PLUS Loan for Graduate and Professional Students which require a credit check and a credit worthy endorser if the parent or graduate or professional student has adverse credit, do not require a credit check or cosigner, and offer various protections if you’re struggling with your payments.  3) Finally, consider a private student loan to cover any difference between your total cost of attendance and the amount not covered in steps 1 and 2.  For more information, visit the Department of Education website at https://studentaid.gov/

      2. Please note that you may lose benefits associated with your underlying federal loans, such as federal Income-driven Repayment Plans (an example of which is the SAVE plan), Economic Hardship Deferment, Public Service Loan Forgiveness, or other deferment and forbearance options, if you refinance into a private loan. If you file for bankruptcy, you may still be required to pay back this loan.
      3. Earnest does not charge fees for origination, late payments, returned check, or prepayments. Florida Stamp Tax: For Florida residents, Florida documentary stamp tax is required by law, calculated as $0.35 for each $100 (or portion thereof) of the principal loan amount, the amount of which is provided in the Final Disclosure. Lender will add the stamp tax to the principal loan amount. The full amount will be paid directly to the Florida Department of Revenue. Certificate of Registration No. 78-8016373916-1.
      4. Nine-month grace period is not available for borrowers who choose our Principal and Interest Repayment plan while in school.
      5. You can take advantage of the Auto Pay interest rate reduction by setting up and maintaining active and automatic ACH withdrawal of your loan payment from a checking or savings account. The interest rate reduction for Auto Pay will be available only while your loan is enrolled in Auto Pay. Interest rate incentives for utilizing Auto Pay may not be combined with certain private student loan repayment programs that also offer an interest rate reduction. For multi-party loans, only one party may enroll in Auto Pay. It is important to note that the 0.25% Auto Pay discount is not available while loan payments are deferred.
      6. Terms and conditions apply. To qualify for this Earnest Rate Match Bonus offer: 1) you must submit a completed student loan application; 2) you must provide documentation of an eligible competitive rate offer exclusive of all discounts by calling Client Happiness at (888) 601-2801 or chat on Earnest.com and follow the instructions to send in your proof of lower rate; and 3) you must provide a valid email address during the application process. The bonus will be paid out in the form of a gift card. You will receive instructions on how to redeem the gift card via the email address you have provided. Limit one rate match bonus per application. A bonus cannot be issued to residents in MA.
      Bonuses that are not redeemed within 180 calendar days of the date they were made available to the recipient may be subject to forfeit. Bonus amounts of $600 or greater in a single calendar year may be reported to the Internal Revenue Service (IRS) as miscellaneous income to the recipient on Form 1099-MISC in the year received as required by applicable law. Recipient is responsible for any applicable federal, state or local taxes associated with receiving the bonus offer; consult your tax advisor to determine applicable tax consequences. Additional terms and conditions may apply. Earnest may discontinue this program at any time.
      7. Earnest’s Loan Cost Examples: These examples provide estimates based on principal and interest payments beginning immediately upon loan disbursement. Variable annual percentage rate (“APR”): A $10,000 loan with a 15-year term (180 monthly payments of $152.84) and a 16.85% APR would result in a total estimated payment amount of $27,511.20. For a variable loan, after your starting rate is set, your rate will then vary with the market. Fixed APR: A $10,000 loan with a 15-year term (180 monthly payments of $152.84) and a 16.49% APR would result in a total estimated payment amount of $27,511.20.
      2.) These examples provide estimates based on interest only payments while in school. Variable interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $152.84) and a 16.85% interest rate (16.85% APR)  would result in a total estimated payment amount of $35,515.14. For a variable loan, after your starting rate is set, your rate will then vary with the market. Fixed interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $152.84) and a 16.85% interest rate (16.49% APR) would result in a total estimated payment amount of $35,515.14. Your actual repayment terms may vary. Other repayment options are available. The calculation assumes that the “in-school” period is 4 years (48 months) and includes our 9 month grace period, during which the monthly payment will be $140.42 for 57 months.
      3.) These examples provide estimates based on fixed $25 payments while in school. Variable interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $253.39) and a 16.85% interest rate (16.85% APR) would result in a total estimated payment amount of $47,035.20. For a variable loan, after your starting rate is set, your rate will then vary with the market. Fixed interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $253.39) and a 16.85% interest rate (16.49% APR) would result in a total estimated payment amount of $47,035.20. Your actual repayment terms may vary. Other repayment options are available. The calculation assumes that the “in-school” period is 4 years (48 months) and includes our 9 month grace period, during which the monthly payment will be $25.00.
      4.) These examples provide estimates based on deferred payments. Variable interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $275.17) and a 16.85% interest rate (16.85% APR) would result in a total estimated payment amount of $49,530.60. For a variable loan, after your starting rate is set, your rate will then vary with the market. Fixed interest rate: A $10,000 loan with a 15-year term (180 monthly payments of $275.17) and a 16.85% interest rate (16.49% APR) would result in a total estimated payment amount of $49,530.60. Your actual repayment terms may vary. Other repayment options are available. It is important to note that the 0.25% Auto Pay discount is not available while loan payments are deferred.  The calculation assumes that the “in-school” period is 4 years (48 months) and includes our 9 month grace period, during which the monthly payment will be $0.
      8. Student Loan Manager is powered by Payitoff. Please visit https://www.payitoff.io/ for full terms and conditions.
      9. Earnest loans are serviced by Earnest Operations LLC, 535 Mission St., Suite 1663 San Francisco, CA 94105, NMLS #1204917, with support from Higher Education Loan Authority of the State of Missouri (MOHELA) (NMLS# 1442770). One American Bank, FinWise Bank, and Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by agencies of the United States of America.