Author: Sparrow Team

Earnest Snapshot

Earnest offers both private student loans and student loan refinancing.¹ Earnest’s student loans are available to undergraduate, graduate, and professional students. It is best if you are seeking competitive interest rates, unique borrower perks, and flexible repayment options that allow you to find a loan that matches your budget.

Fixed APR Range: 4.42% to 15.90%* (undergrad; includes 0.25% auto pay discount); 4.42% to 14.30%* (grad; includes 0.25% auto pay discount)
Variable APR Range: 5.62% to 16.20%* (undergrad; includes 0.25% auto pay discount); 5.89% to 14.97%* (grad; includes 0.25% auto pay discount)

Loan Amounts: $1,000 up to the total cost of attendance

Minimum Credit Score: 650

Best Features	Drawbacks
• Competitive interest rates • Flexible repayment options • Wide range of loan terms to match your budget • Nine-month grace period3 • Option to skip 1 monthly payment per year4 • Allows biweekly payments via autopay5	• Loans aren’t available to borrowers in Nevada • Students enrolled less than half-time are not eligible • No cosigner release

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Best Features of Earnest Student Loans

Competitive interest rates and zero fees for qualified borrowers

When looking for a student loan, finding a low-interest rate is typically a top priority. If you qualify for an Earnest student loan, you’ll have access to some of the best rates in the industry. Earnest’s variable and fixed interest rates are typically lower than competing student lenders. In addition, you won’t have to pay origination fees, application fees, prepayment penalties, late fees, or insufficient funds fees. 

	Undergraduate	Graduate, MBA, Law and Medical Students
Fixed APR*	4.42% to 15.90%*	4.42% to 14.30%*
Variable APR*	5.62% to 16.20%*	5.89% to 15.97%*

Variety of in-school repayment options

Earnest offers you four repayment options for your student loans.⁶

If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment	Pay only interest while you’re in school.	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Partial Repayment	Pay $25 per month while you’re in school to reduce accrued interest.	You can keep your loan balance in check, and reduce the total amount repaid.	You’ll still owe more than you borrowed when you graduate, but your loan balance won’t grow as quickly.
Deferred Repayment	Don’t make any payments while you’re in school. Begin repayment after graduation or 6 months after graduation.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

Note: Parents borrowing on behalf of students are limited to interest only and immediate repayment options.

Wide range of loan terms to match your budget

Earnest offers a wide range of loan terms to reduce the burden of your student debt. If you have a cosigner, you can choose a loan term of 5, 7, 10, 12, or 15 years. If you don’t have a cosigner, you’ll have to choose between a 10, 12 or 15-year loan term, unless you are a graduate student. In that case, you may be considered for 5, 7, 10, 12, and 15 year loan terms.⁶

Offers a nine-month grace period³

After you are no longer in school at least halftime – because you’ve graduated, left school, or dropped below half-time enrollment – you have a grace period before you begin making full principal and interest monthly payments. While most lenders offer a six-month grace period, some require immediate repayment.

Earnest, on the other hand, offers a nine-month grace period on its student loans. This can be a massive benefit if you need some extra time to find a job and stabilize your income.

Be careful though – interest starts to accrue as soon as the loan is disbursed so delaying your payments means you’ll be paying more interest over the lifetime of your loan.

Option to skip one monthly payment every year⁴

Earnest is the only lender that allows you to skip one monthly payment on your student loan every year. This can be incredibly helpful if you lose your job or face an unexpected expense. 

In order to qualify, you must:

• Make the request at least five business days before the payment is due.
• Make the request after six months of timely payments of both interest and principal. 

While this feature can be extremely helpful when life hits a bump in the road, do note that the principal and interest from that payment will be spread out across your remaining payments, resulting in increased monthly payments.

Allows biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, Earnest gives you the option to make biweekly payments via autopay — where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

In addition to offering biweekly payments via autopay, Earnest gives you the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With Earnest, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

Drawbacks of Earnest Student Loans

Loans aren’t available to borrowers in Nevada

If you live in Nevada, you’ll have to consider other lenders for your private student loan. A variety of lenders offer private student loans to borrowers in Nevada, such as College Ave, Ascent, and more.

Students enrolled less than half-time are not eligible

If you are not enrolled in school at least half-time, you are ineligible for student loans through Earnest. If you’re studying less than half-time, you may want to consider another lender for your private student loan. 

No cosigner release 

Most private student lenders require or strongly encourage you to apply with a cosigner. Given that young people generally have no/limited credit history, a cosigner can help you qualify for better loan terms. 

Many private student lenders allow you to release your cosigner after a few years of timely payments (typically 1-2 years). This essentially means that the cosigner is no longer liable for repaying the loan in the event that you (the borrower) are unable to make payments. 

While becoming a cosigner can be daunting, the cosigner release policy is meant to ease the burden and make it less risky. Unfortunately, Earnest does not offer any form of cosigner release. Instead, you will have to apply to refinance your student loan, which is only available once you’ve graduated.

Earnest: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.42% to 15.90%* (undergrad); 4.42% to 14.30%* (grad)
Variable APR Range	5.62% to 16.20%* (undergrad); 5.89% to 15.97%* (grad)
Loan Terms	For cosigned loans: 5, 7, 10, 12 or 15 years.6 For solo borrowers: 10, 12 or 15 years.6 For graduate students with non-cosigned loans, you may be considered for 5, 7, 10, 12, and 15-year loan terms.6
Loan Amounts	$1,000 up to cost of attendance.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	No.

Eligibility Requirements – Financial

Minimum Credit Score	650.
Minimum Income	$35,000 for cosigned loans.
Typical Credit Score of Approved Borrowers or Cosigners	Did not disclose.
Typical Income of Approved Borrower	Did not disclose.
Maximum Debt-to-Income Ratio	65%.
Ability to qualify if you’ve filed for bankruptcy	No.

Eligibility Requirements – Personal

Citizenship	Primary borrower must have a Social Security number. International students are eligible if applying with a cosigner who is a U.S. citizen or permanent resident.
Location	Not available to borrowers in Nevada.
Must be enrolled half-time or more	Yes.
School requirements	Any school authorized to receive federal aid.
Percentage of borrowers who have a cosigner	Did not disclose.

Repayment Options

In-school Repayment Options	Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re in school.  Interest-only repayment: Only pay interest while you’re in school. Fixed repayment: Pay $25 a month during school. Deferred repayment: Wait to make payments until you’re out of school.
Grace Period	9 months.
In-school Deferment	Yes.
Military Deferment	Yes.
Internship, Residency, or Fellowship Deferment	Borrowers can defer payments for up to 48 months during a medical residency, internship, or fellowship program.
Forbearance	Up to 12 months available.
Cosigner Release	No. Borrowers may refinance with Earnest and release their cosigner.
Death or Disability Discharge	Yes, if the borrower dies or suffers a permanent disability.
Loan discharge if cosigner dies or becomes disabled	No.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: Yes.

Customer Service

Loan Servicer	Earnest.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	Online application: a few minutes. Approval: Varies by applicant.

Before you take out a loan from Earnest…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is Earnest⁷ a legitimate lender?

Yes, Earnest is a legitimate lender that was founded in 2013 and has been providing private student loans since 2019. 

Is Earnest available in all 50 states?

Earnest is available in all 50 states except Nevada.

How long does it take to get an Earnest student loan?

Submitting an application through Earnest takes a few minutes. Once you’ve submitted your loan application, Earnest will return a decision about your eligibility, but the exact timeline of this response varies by applicant. If you qualify, you will receive the rate and terms of your loan.

What happens if I don’t qualify for an Earnest student loan?

If you don’t qualify for an Earnest student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are Earnest student loans federal or private?

Earnest loans are private loans. Before you take on a private loan, we recommend that you exhaust your federal loan options.⁸ 

Does applying for a loan through Earnest hurt my credit score? 

Applying for a loan through Earnest could hurt your credit score. Earnest has both eligibility check (hard credit check that may temporarily impact your credit score) and rate check (soft credit check, which will not impact your credit score).

 

Earnest Disclosures 

1 Choosing to refinance to a longer term may lower your monthly payment, but increase the amount of interest you may pay. Choosing to refinance to a shorter term may increase your monthly payment, but lower the amount of interest you may pay. Review your loan documentation for total cost of your refinanced loan.

2 Actual rate and available repayment terms will vary based on your income. Fixed rates range from 4.67% APR to 16.15% APR (excludes 0.25% Auto Pay discount). Variable rates range from 5.87% APR to 16.35% APR (excludes 0.25% Auto Pay discount). Earnest variable interest rate student loan refinance 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.

 

3 Nine-month grace period is not available for borrowers who choose our Principal and Interest Repayment plan while in school.

 

4 Earnest clients may skip one payment every 12 months. Your first request to skip a payment can be made once you’ve made at least 6 months of consecutive on-time payments, and your loan is in good standing. The interest accrued during the skipped month will result in an increase in your remaining minimum payment. The final payoff date on your loan will be extended by the length of the skipped payment periods. Please be aware that a skipped payment does count toward the forbearance limits. Please note that skipping a payment is not guaranteed and is at Earnest’s discretion. Your monthly payment and total loan cost may increase as a result of postponing your payment and extending your term.

 

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 Earnest’s Loan Cost Examples: These examples provide estimates based on principal and Interest payments beginning immediately upon loan disbursement. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $118.28) and a 11.69% APR would result in a total estimated payment amount of $21,290.40. 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 $126.82) and a 13.03% APR would result in a total estimated payment amount of $22,827.79.

These examples provide estimates based on interest only payments while in school. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $145.41) and a 11.69% APR would result in a total estimated payment amount of $26,173.03. 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 $156.59) and a 13.03% APR would result in a total estimated payment amount of $28,186.67. Your actual repayment terms may vary. Other repayment options are available.

These examples provide estimates based on fixed $25 payments while in school. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $169.92) and a 11.69% APR would result in a total estimated payment amount of $30,584.74. 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 $188.42) and a 13.03% APR would result in a total estimated payment amount of $33,915.55. Your actual repayment terms may vary. Other repayment options are available.

These examples provide estimates based on deferred payments. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $174.79) and a 11.69% APR would result in a total estimated payment amount of $31,462.16. 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 $193.75) and a 13.03% APR would result in a total estimated payment amount of $34,874.28. 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.

7 Loan Eligibility criteria: Eligible students must: 1) For college Freshmen, Sophomores and Juniors, attend, or be enrolled to attend, a Title IV school full-time. For college Seniors and Graduate students, attend, or be enrolled to attend, a Title IV school at least half-time; and 2) be pursuing a Bachelor’s or Graduate degree. Earnest private student loans are subject to credit qualification, completion of a loan application, verification of application information, self-certification of loan amount, and school
certification.

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, grant and work-study opportunities. 2) Next, fill out a FAFSA® form to apply for federal student loans. Federal student loans do not require a credit check or cosigner, and offer various protections if you’re struggling with 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.ed.gov.

Earnest Private Student Loans are made by One American Bank, Member FDIC. One American Bank, 515 S. Minnesota Ave, Sioux Falls, SD 57104.

Earnest loans are serviced by Earnest Operations LLC, 535 Mission St., Suite 1663 San Francisco, CA 94105, NMLS #1204917, with support From Navient Solutions, LLC (NMLS #212430). One American Bank and Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by agencies of the United States of America.

© 2022 Earnest LLC. All rights reserved.

See Earnest’s disclosures here.

Sparrow receives compensation from Earnest on a per-funded loan basis.

The best student loan for you will always be the one that suits your individual needs best. However, it’s helpful to have a few strong options to start with so you can get a better idea of what your loan options will look like.

Whether you’re pursuing an undergraduate degree, a law degree, or a medical degree, there are loan options designed just for you. Likewise, whether you value the ability to have a non-cosigned loan, flexible repayment options, or finding the best interest rate, there’s a loan that will meet your needs.

Jump Ahead to the Best Student Loans for… > Undergraduate & Graduate School • Law, Dental, & Medical School • No Cosigner • International Students • Bad Credit

The loan options shared are in no particular order. Interest rates shown in this article were last updated on 11/14/2023. Rates listed may reflect the lender’s autopay discount. Interest rates are subject to change.

Best Student Loans for Undergraduate and Graduate Degrees

There are a wide variety of undergraduate and graduate student lenders, making the search process even more important. The following are our top picks for private student loans for undergraduate and graduate degrees.

Arkansas Student Loan Authority (ASLA) – Both undergraduate and graduate degrees

Fixed Interest Rate: 3.20% to 6.34%
Variable Interest Rate: 6.06% to 10.61%
Maximum Borrowing Limit: Cost of attendance minus other aid; $100,000 lifetime maximum
Minimum Credit Score: 670
Best for: Residents of, or students in, Arkansas.

Apply with ASLA.

Learn more about ASLA.

Ascent – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.83% to 16.16% (cosigned, undergraduate); 5.61% to 16.16%  (graduate)
Variable Interest Rate: 6.15% to 16.08% (cosigned, undergraduate); 6.68% to 16.08%  (graduate)
Maximum Borrowing Limit: $200,000
Minimum Credit Score: 540
Best for: International and DACA students who have a lower credit score.

Apply with Ascent.

Learn more about Ascent.

Brazos – Both undergraduate and graduate degrees

Fixed Interest Rate: 2.71% to 6.86%
Variable Interest Rate: 5.32% to 9.47%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 700
Best for: Residents of, or student in, Texas.

Apply with Brazos.

Learn more about Brazos.

College Ave – Both undergraduate and graduate degrees

Fixed Interest Rate: 5.05% to 16.99% (undergrad); 5.05% to 14.49% (grad)
Variable Interest Rate: 5.49% to 16.99% (undergrad); 5.49% to 14.49% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s
Best for: Borrowers looking for a repayment term that matches their budget.

Apply with College Ave.

Learn more about College Ave.

Custom Choice – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.43% to 14.65%
Variable Interest Rate: 5.38% to 15.19%
Maximum Borrowing Limit: Cost of attendance minus other aid; cannot exceed $99,999 annually or $180,000 cumulatively
Minimum Credit Score: 660 for non-cosigned loans
Best for: Borrowers who want a competitive interest rate and strong borrower benefits.

Apply with Custom Choice.

Learn more about the Custom Choice Loan®.

Earnest – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.42% to 15.90% (undergrad); 4.42% to 14.30% (grad)*
Variable Interest Rate: 5.62% to 16.20% (undergrad); 5.89% to 15.97% (grad)*
Maximum Borrowing Limit: Cost of attendance mins other aid
Minimum Credit Score: 650
Best for: Borrowers who want a competitive interest rate and flexible repayment options.

Apply with Earnest.

Learn more about Earnest.
*Rates include autopay discount.

Edly – Both undergraduate and graduate degrees

Fixed Interest Rate: 0.25% to 23.00%
Variable Interest Rate: N/A
Maximum Borrowing Limit: $15,000 per academic year (plus $10,000 for summer) and $25,000 lifetime.
Minimum Credit Score: N/A
Best for: Borrowers who want an income-based repayment (IBR) loan.

Apply with Edly.

Learn more about Edly.

EDvestinU – Both undergraduate and graduate degrees

Fixed Interest Rate: 8.00% to 10.79%
Variable Interest Rate: 7.47% to 10.47%
Maximum Borrowing Limit: $1,000 to the total cost of attendance
Minimum Credit Score: 675
Best for: Borrowers who want to work with a nonprofit that offers flexible repayment plans.

Apply with EDvestinU.

Learn more about EDvestinU.

Funding U – Undergraduate degrees only

Fixed Interest Rate: 7.49% to 12.99%
Variable Interest Rate: N/A
Maximum Borrowing Limit: $20,000 per school year
Minimum Credit Score: N/A
Best for: Borrowers that were high-achieving undergraduate students.

Apply with Funding U.

Learn more about Funding U.

INvestED – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.61% to 8.67%
Variable Interest Rate: 7.88% to 12.34%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 670
Best for: Borrowers who are residents of or students in Indiana.

Apply with INvestED.

Learn more about INvestED.

LendKey – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.39% to 11.11%
Variable Interest Rate: 5.84% to 11.11%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 660
Best for: Borrowers that want to work with a credit union or community bank.

Apply with LendKey.

Learn more about LendKey.

MPOWER – Both undergraduate and graduate degrees

Fixed Interest Rate: 13.74% (undergrad); 12.74% (grad)
Variable Interest Rate: N/A
Maximum Borrowing Limit: $50,000 per semester; $100,000 per year
Minimum Credit Score: N/A
Best for: International and DACA borrowers without a cosigner.

Apply with MPOWER.

Learn more about MPOWER.

Nelnet Bank – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.49% to 15.47%*
Variable Interest Rate: 6.29% to 15.51%*
Maximum Borrowing Limit: $125,000 total for undergraduate students; $500,000 total for graduate students
Minimum Credit Score: 680 individually; 640 with a qualified cosigner
Best for: Borrowers who want competitive interest rates and a flexible forbearance policy.

Apply with Nelnet Bank.

Learn more about Nelnet Bank.

*Rates listed have an autopay discount only on the lower boundary

Prodigy Finance – Graduate degrees only

Fixed Interest Rate: N/A
Variable Interest Rate: 6.70%+
Maximum Borrowing Limit: $220,000
Minimum Credit Score: N/A
Best for: International student borrowers with no cosigner.

Apply with Prodigy Finance.

Learn more about Prodigy Finance.

SoFi – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.44% to 14.70% (undergrad); 4.99% to 14.48% (grad)
Variable Interest Rate: 5.99% to 13.97% (undergrad); 5.99% to 13.97% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Does not disclose
Best for: Borrowers with a strong credit score or a creditworthy cosigner.

Apply with SoFi.

Learn more about SoFi.

Best Student Loans for Law, Dental, and Medical School

Law, dental, and medical school are notoriously expensive. So, when searching for a student loan for these programs, you’ll want to pay close attention to the lender’s borrowing limits. While you don’t need to stick with one lender for the entire duration of your program, many borrowers do for easier repayment.

If you plan to stick with one lender throughout the duration of your degree, you’ll need to make sure their maximum borrowing limit covers your estimated total cost of attendance.

Brazos – Law, dental, and medical school loans

Fixed Interest Rate: Starts at 2.71%
Variable Interest Rate: Starts at 5.32%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 700

Best for: Residents of, or student in, Texas.

Apply with Brazos.

College Ave – Law, dental, and medical school loans

Fixed Interest Rate: 5.05% to 14.47%
Variable Interest Rate: 5.49% to 14.47%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers looking for flexible repayment options.

Apply with College Ave.

Earnest – Medical and law school loans

Fixed Interest Rate: Starts at 4.42%*
Variable Interest Rate: Starts at 5.66%*
Maximum Borrowing Limit: Cost of attendance mins other aid
Minimum Credit Score: 650

Best for: Borrowers who want a competitive interest rate and flexible repayment options.

Apply with Earnest.

*Rates include a 0.25% AutoPay discount.

Nelnet Bank – Law, dental, and medical school loans

Fixed Interest Rate: 4.49% to 15.47%
Variable Interest Rate: 6.29% to 15.51%
Maximum Borrowing Limit: $500,000 total
Minimum Credit Score: 680 individually; 640 with a qualified cosigner

Best for: Borrowers who need a high borrowing limit and want competitive interest rates.

Apply with Nelnet Bank.

Rates listed have an autopay discount only on the lower boundary.

Sallie Mae – Law, dental, and medical school loans

Fixed Interest Rate: 5.25% to 14.47% (law); 5.25% to 14.47% (dental); 5.25% to 14.46% (medical)
Variable Interest Rate: 6.00% to 15.59% (law); 6.00% to 15.58% (dental); 5.99% to 15.58% (medical)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers who need a high borrowing limit and want competitive interest rates.

Apply with Sallie Mae.

SoFi – Law school loans

Fixed Interest Rate: 4.99% to 14.05%
Variable Interest Rate: 5.99% to 13.67%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Does not disclose

Best for: Borrowers with a strong credit score.

Apply with SoFi.

Best Student Loans with No Cosigner

Many student loan options will require you to have a creditworthy cosigner in order to qualify. If you are without a cosigner, however, don’t worry. There are a variety of loan options available that do not require a cosigner.

Arkansas Student Loan Authority (ASLA)

Fixed Interest Rate: 3.20% to 6.34%
Variable Interest Rate: 6.06% to 10.61%
Maximum Borrowing Limit: Cost of attendance minus other aid; $100,000 lifetime maximum
Minimum Credit Score: 670
Best for: Residents of, or students in, Arkansas.

Apply with ASLA.

Learn more about ASLA.

Ascent

Fixed Interest Rate: 4.83% to 16.16%
Variable Interest Rate: 6.15% to 16.08%
Maximum Borrowing Limit: $200,000
Minimum Credit Score: 540
Best for: International and DACA students who have a lower credit score.

Apply with Ascent.

Learn more about Ascent.

Brazos

Fixed Interest Rate: 2.71% to 6.86%
Variable Interest Rate: 5.32% to 9.47%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 700
Best for: Residents of, or student in, Texas.

Apply with Brazos.

Learn more about Brazos.

College Ave

Fixed Interest Rate: 5.05% to 16.99% (undergrad); 5.05% to 14.49% (grad)
Variable Interest Rate: 5.49% to 16.99% (undergrad); 5.49% to 14.49% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s
Best for: Borrowers looking for a repayment term that matches their budget.

Apply with College Ave.

Learn more about College Ave.

Custom Choice

Fixed Interest Rate: 4.43% to 14.65%
Variable Interest Rate: 5.38% to 15.19%
Maximum Borrowing Limit: Cost of attendance minus other aid; cannot exceed $99,999 annually or $180,000 cumulatively
Minimum Credit Score: 625 for non-cosigned loans
Best for: Borrowers who want a competitive interest rate and strong borrower benefits.

Apply with Custom Choice.

Learn more about the Custom Choice Loan®.

Earnest

Fixed Interest Rate: 4.42% to 15.90% (undergrad); 4.42% to 14.30% (grad)*
Variable Interest Rate: 5.62% to 16.20% (undergrad); 5.89% to 15.97% (grad)*
Maximum Borrowing Limit: Cost of attendance mins other aid
Minimum Credit Score: 650
Best for: Borrowers who want a competitive interest rate and flexible repayment options.

Apply with Earnest.

Learn more about Earnest.
*Rates include autopay discount.

Edly

Fixed Interest Rate: 0.25% to 23.00%
Variable Interest Rate: N/A
Maximum Borrowing Limit: $15,000 per academic year (plus $10,000 for summer) and $25,000 lifetime.
Minimum Credit Score: N/A
Best for: Borrowers who want an income-based repayment (IBR) loan.

Apply with Edly.

Learn more about Edly.

EDvestinU

Fixed Interest Rate: 8.00% to 10.79%
Variable Interest Rate: 7.47% to 10.47%
Maximum Borrowing Limit: $1,000 to the total cost of attendance
Minimum Credit Score: 675
Best for: Borrowers who want to work with a nonprofit that offers flexible repayment plans.

Apply with EDvestinU.

Learn more about EDvestinU.

Funding U

Fixed Interest Rate: 7.49% to 12.99%
Variable Interest Rate: N/A
Maximum Borrowing Limit: $20,000 per school year
Minimum Credit Score: N/A
Best for: Borrowers that were high-achieving undergraduate students.

Apply with Funding U.

Learn more about Funding U.

INvestED

Fixed Interest Rate: 4.61% to 8.67%
Variable Interest Rate: 7.88% to 12.34%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 670
Best for: Borrowers who are residents of or students in Indiana.

Apply with INvestED.

Learn more about INvestED.

LendKey

Fixed Interest Rate: 4.39% to 11.11%
Variable Interest Rate: 5.84% to 11.11%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 660
Best for: Borrowers that want to work with a credit union or community bank.

Apply with LendKey.

Learn more about LendKey.

MPOWER

Fixed Interest Rate: 13.74% (undergrad); 12.74% (grad)
Variable Interest Rate: N/A
Maximum Borrowing Limit: $50,000 per semester; $100,000 per year
Minimum Credit Score: N/A
Best for: International and DACA borrowers without a cosigner.

Apply with MPOWER.

Learn more about MPOWER.

Nelnet Bank

Fixed Interest Rate: 4.49% to 15.47%*
Variable Interest Rate: 6.29% to 15.51%*
Maximum Borrowing Limit: $125,000 total for undergraduate students; $500,000 total for graduate students
Minimum Credit Score: 680 individually; 640 with a qualified cosigner
Best for: Borrowers who want competitive interest rates and a flexible forbearance policy.

Apply with Nelnet Bank.

Learn more about Nelnet Bank.

Progy Finance

Fixed Interest Rate: N/A
Variable Interest Rate: 6.70%+
Maximum Borrowing Limit: $220,000
Minimum Credit Score: N/A
Best for: International student borrowers with no cosigner.

Apply with Prodigy Finance.

Learn more about Prodigy Finance.

Sallie Mae

Fixed Interest Rate: 3.75% to 13.72%
Variable Interest Rate: 4.00% to 14.34%
Maximum Borrowing Limit: School-certified cost of attendance minus other aid
Minimum Credit Score: Mid 600s
Best for: Borrowers who want competitive interest rates and a flexible repayment plan.

Apply with Sallie Mae.

Learn more about Sallie Mae.

SoFi

Fixed Interest Rate: 4.44% to 14.70% (undergrad); 4.99% to 14.48% (grad)
Variable Interest Rate: 5.99% to 13.97% (undergrad); 5.99% to 13.97% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Does not disclose
Best for: Borrowers with a strong credit score or a creditworthy cosigner.

Apply with SoFi.

Learn more about SoFi.

Best Student Loans for International Students

As an international student, there are a few factors you will want to consider when looking for a student loan:

1. Does it require a cosigner? Some private student loans will require you to have a U.S. citizen or permanent resident cosigner. However, as an international student, you may not have access to one. If you don’t, look for a student loan that does not require a cosigner.
2. What is the borrowing limit? As an international student, you will not have access to the federal aid that U.S. citizen students have. So, the cost of your education may be higher. If so, make sure the lender you choose allows you to borrow enough to cover the amount you need.
3. What is the interest rate? When borrowing a student loan without a cosigner, the interest rate will typically be higher. Always verify the interest rate before borrowing to make sure it is reasonable and something you’re comfortable with.
4. Are payments required while in school? Some international student loans may require you to make payments while in school. If this is not feasible for you, consider looking for a student loan option that allows you to defer payments until after graduation.

The following are our top picks for international student loans that do require a cosigner.

Ascent – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.83% to 16.16% (cosigned, undergraduate); 5.61% to 16.16%  (graduate)
Variable Interest Rate: 6.15% to 16.08% (cosigned, undergraduate); 6.68% to 16.08%  (graduate)
Maximum Borrowing Limit: $200,000
Minimum Credit Score: 540

Best for: International and DACA students who have a lower credit score.

College Ave – Both undergraduate and graduate degrees

Fixed Interest Rate: 5.05% to 16.99% (undergrad); 5.05% to 14.49% (grad)
Variable Interest Rate: 5.49% to 16.99% (undergrad); 5.49% to 14.49% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers looking for a repayment term that matches their budget.

Earnest – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.42% to 15.90%* (Undergrad); 4.42% to 14.30%* (Grad)
Variable Interest Rate: 5.62% to 16.20%* (Undergrad); 5.89% – 15.97%* (Grad)
Maximum Borrowing Limit: Cost of attendance mins other aid
Minimum Credit Score: 650

Best for: Borrowers who want a competitive interest rate and flexible repayment options.

*Rates include a 0.25% AutoPay discount.

EDvestinU – Both undergraduate and graduate degrees

Fixed Interest Rate: 8.00% to 10.79%
Variable Interest Rate: 7.47% to 10.47%
Maximum Borrowing Limit: $1,000 to the total cost of attendance
Minimum Credit Score: 675

Best for: Borrowers who want to work with a nonprofit that offers flexible repayment plans.

Sallie Mae – Both undergraduate and graduate degrees

Fixed Interest Rate: 3.75% to 13.72%
Variable Interest Rate: 4.00% to 14.34%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers who want competitive interest rates and a flexible repayment plan.

The following are our top picks for international student loans that do not require a cosigner.

MPOWER – Both undergraduate and graduate degrees

Fixed Interest Rate: 13.74% maximum (undergrad); 12.74% maximum (grad)
Variable Interest Rate: N/A
Maximum Borrowing Limit: $50,000 per semester; $100,000 per year
Minimum Credit Score: N/A

Best for: International and DACA borrowers without a cosigner.

Prodigy Finance – Graduate degrees only

Fixed Interest Rate: N/A
Variable Interest Rate: 6.70%+
Maximum Borrowing Limit: $220,000
Minimum Credit Score: N/A

Best for: International student borrowers with no cosigner.

Best Student Loans for Bad Credit

Most private student loans will require you to have a solid credit score or a creditworthy cosigner with one. If you do not have a solid credit score, there are options. There are private student loans with lower credit score requirements.

Arkansas Student Loan Authority (ASLA) – Both undergraduate and graduate degrees

Fixed Interest Rate: 3.20% to 6.34%
Variable Interest Rate: 6.06% to 10.61%
Maximum Borrowing Limit: Cost of attendance minus other aid; $100,000 lifetime maximum
Minimum Credit Score: 670

Best for: Residents of, or students in, Arkansas.

Ascent – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.83% to 16.16% (undergraduate); 5.61% to 16.16% (graduate)
Variable Interest Rate: 6.15% to 16.08% (undergraduate); 6.68% to 16.08% (graduate)
Maximum Borrowing Limit: $200,000
Minimum Credit Score: 540

Best for: International and DACA students who have a lower credit score.

College Ave – Both undergraduate and graduate degrees

Fixed Interest Rate: 5.05% to 16.99% (undergrad); 5.05% to 14.49% (grad)
Variable Interest Rate: 5.49% to 16.99% (undergrad); 5.49% to 14.49% (grad)
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers looking for a repayment term that matches their budget.

Earnest – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.42% to 15.90%* (Undergrad); 4.42% to 14.30%* (Grad)
Variable Interest Rate: 5.62% to 16.20%* (Undergrad); 5.89% to 15.97%* (Grad)
Maximum Borrowing Limit: Cost of attendance mins other aid
Minimum Credit Score: 650

Best for: Borrowers who want a competitive interest rate and flexible repayment options.

*Rates include a 0.25% AutoPay discount.

Funding U – Undergraduate degrees only

Fixed Interest Rate: 7.49% to 12.99%
Variable Interest Rate: N/A
Maximum Borrowing Limit: $20,000 per school year
Minimum Credit Score: N/A

Best for: Borrowers who are high-achieving undergraduate students.

LendKey – Both undergraduate and graduate degrees

Fixed Interest Rate: 4.39% to 11.11%
Variable Interest Rate: 5.84% to 11.11%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: 660

Best for: Borrowers who want to work with a credit union or community bank.

MPOWER – Both undergraduate and graduate degrees

Fixed Interest Rate: 13.74% maximum (undergrad); 12.74% maximum (grad)
Variable Interest Rate: N/A
Maximum Borrowing Limit: $50,000 per semester; $100,000 per year
Minimum Credit Score: N/A

Best for: International and DACA borrowers without a cosigner.

Prodigy Finance – Graduate degrees only

Fixed Interest Rate: N/A
Variable Interest Rate: 6.70%+
Maximum Borrowing Limit: $220,000
Minimum Credit Score: N/A

Best for: International student borrowers with no cosigner.

Sallie Mae – Both undergraduate and graduate degrees

Fixed Interest Rate: 3.75% to 13.72%
Variable Interest Rate: 4.00% to 14.34%
Maximum Borrowing Limit: Cost of attendance minus other aid
Minimum Credit Score: Mid 600s

Best for: Borrowers who want competitive interest rates and a flexible repayment plan.

What to Look for in a Student Loan

With any student loan, it’s important to consider a variety of factors before borrowing the loan:

1. Interest rate. The interest rate you get on a loan will directly affect how much you pay over the life of the loan. Typically, the lower the interest rate the better.
2. Credit requirements. Most private student loans will require you to have a certain credit score in order to qualify. If you are concerned about your credit score’s impact on your student loan eligibility, it may be beneficial to look for lenders with lower credit score requirements.
3. Repayment options. Each lender will offer a different selection of repayment options. While some may require you to begin repayment immediately after the loan is disbursed, others may allow you to defer payments until after graduation. Make sure the lender has a repayment option that suits your needs before borrowing the loan.
4. Cosigner vs. no cosigner. Many private student loans will require you to have a cosigner in order to qualify. If you do not have a cosigner, you will want to explore no-cosigner loan options.
5. Borrower benefits. Most private student lenders offer borrower benefits, from autopay discounts to free career training and everything in between. Consider a lender’s borrower benefits if they are an important factor to you.

Final Thoughts from the Nest

The best student loan for you will always be the loan that suits your needs and desires best. To find the loan that does that, use Sparrow. Sparrow allows you to compare personalized loan options from 17+ premier lenders side-by-side. 

Sparrow’s goal is to give you the tools and confidence you need to improve your finances. Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

Brazos Snapshot

Brazos is a non-profit lender that offers private student loans and student loan refinancing. Since it was launched in 1975, Brazos has focused on bringing transparency and low-cost loans to Texas residents. While Brazos private student loans are only available to borrowers who are residents of, or students in, Texas, the non-profit lender offers a wide range of options for undergraduate, graduate, MBA, law, medical, dental veterinary, or doctoral students, as well as parents. Accordingly, it’s best if you live, or attend school, in Texas, have strong credit, and want competitive interest rates.

Fixed APR Range: 2.71% to 6.86%

Variable APR Range: 5.32% to 9.47%

Loan Amounts: $1,000 up to the total cost of attendance, minus other aid received

Minimum Credit Score: 720

Best Features	Drawbacks
• Work with a non-profit, rather than a traditional lender • Competitive interest rates • Offers up to 12 months of forbearance	• Strict eligibility criteria • Limited repayment options • No cosigner release  • No bi-weekly payment via autopay

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Compare Brazos to other Student Loans:

Rather than searching for lenders one-by-one, we recommend starting the process with an automated student loan search tool. To do so, we suggest you use the free Sparrow application to see the rates and terms you’d qualify for with 17+ premier lenders. 

Here are Brazos’ rates in comparison to other top lenders:

Best Features of Brazos Student Loans

Work with a non-profit, rather than a traditional lender

Brazos is a Texas nonprofit student loan company that has been helping Texas families finance the cost of their college education for over 40 years. Brazos is not affiliated with any school. As a non-profit, its goal is to save you money by offering the most competitive rates possible. While Brazos doesn’t have the name recognition that some of the traditional banks and online lenders have, it offers low rates and personalized customer service.

>> MORE: Compare your private student loan rates across 17+ lenders

Competitive interest rates and zero fees for qualified borrowers

When looking for a student loan, finding a low-interest rate is typically a top priority. If you qualify for a Brazos student loan, you’ll have access to competitive interest rates, and won’t have to pay origination fees, application fees, prepayment penalties, late fees, or insufficient funds fees. 

>> MORE: What is the average student loan interest rate?

	Undergraduate	Graduate, MBA, Law, Medical, Dental, Veterinary, and Doctoral Students
Fixed APR*	2.71% to 6.86%	Starts at 2.71%
Variable APR*	5.32% to 9.47%	Starts at 5.32%

Offers up to 12 months of forbearance due to economic hardship, natural disaster or military duty 

If you experience economic hardship or a natural disaster or are called up for active-duty military service, Brazos offers up generous forbearance options (a pause on your repayment due to financial hardship, unemployment, or a disability). 

Brazos offers up to 12 months of forbearance, in three-month increments. While Brazos handles forbearance on a case-by-case basis, it can be a helpful safety net if you were to fall into financial hardship.

>> MORE: Student loan forbearance: What it is & how to get it

Drawbacks of Brazos Student Loans

Strict eligibility criteria

In order to qualify for a private student loan through Brazos, borrowers must meet the following criteria:

1. A U.S. citizen, permanent resident or, if applying with an eligible cosigner, a non-citizen with a work or student visa, or a DACA recipient
2. Be a resident of, or student in, the State of Texas
3. At least 18 years old
4. Enrolled at least half-time in a degree-granting program
5. Have a credit score of 720 (or apply with a cosigner who does)
6. Have an annual income of $60,000-plus, or $30,000 if applying with a cosigner

Don’t live, or attend school, in Texas? Then complete our 2-minute form to see if you qualify and at what rate with over 15 different lenders. Doing so is quick, easy, and does not impact your credit score.

Don’t have a credit score of 720? Then look into Ascent and Funding U (they offer future income-based loans that don’t have a credit requirement).

>> MORE: How and where to get a private student loan with bad credit

Don’t have an annual income of $60,000? Then SoFi is a great option (it has no income requirement.) In addition, Ascent and Funding U offer future income-based loans that don’t have an income requirement.

Limited repayment options

Brazos only offers two repayment options on its private student loans: Immediate Repayment and Deferred Repayment. Compared to other online lenders that offer up to four repayment options, Brazos’ repayment options may seem limited. 

>> MORE: The best student loan repayment plans

Check out the table below to understand the difference between Brazos’ student loan repayment options: 1.) Immediate Repayment and 2.) Deferred Repayment. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Deferred Repayment	Don’t make any payments while you’re in school. Begin repayment after graduation or 6 months after graduation.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

No cosigner release 

Most private student lenders require or strongly encourage you to apply with a cosigner. Given that young people generally have no / limited credit history, a cosigner can help you qualify for better loan terms. 

Many private student lenders allow you to release your cosigner after a few years of timely payments (typically 1-2 years). This essentially means that the cosigner is no longer liable for repaying the loan in the event that you (the borrower) are unable to make payments. 

While becoming a cosigner can be daunting, the cosigner release policy is meant to ease the burden and make it less risky. 

Unfortunately, Brazos does not offer any form of cosigner release. Instead, you will have to apply for a new loan through Brazos. 

>> MORE: What is a cosigner release policy? How can it protect you?

No biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, some borrowers choose to make biweekly payments via autopay — where you automatically pay half your monthly amount once every two weeks. In addition, many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

Unfortunately, when you borrow through Brazos, you don’t have the option to make biweekly payments via autopay. 

You do, however, have the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With Brazos, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

>> MORE: Compare your private student loan rates across 17+ lenders

Brazos Student Loans: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	2.71% to 6.86%
Variable APR Range	5.32% to 9.47%
Loan Terms	5, 7, 10, 15, or 20 years.
Loan Amounts	$1,000 up to the total cost of attendance, minus other aid received.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	Yes (5% of the monthly payment or $7.50, whichever is greater. Maximum fee is $35).

Eligibility Requirements – Financial

Minimum Credit Score	720 or 690 with a qualified cosigner.
Minimum Income	$60,000 or $30,000 if applying with a cosigner.
Typical Credit Score of Approved Borrowers or Cosigners	N/A.
Typical Income of Approved Borrower	$128,244 for borrowers or $118,262 for cosigners.
Maximum Debt-to-Income Ratio	40%.
Ability to qualify if you’ve filed for bankruptcy	Yes, after 7 years.

Eligibility Requirements – Personal

Citizenship	U.S. citizen, permanent resident or, if applying with an eligible cosigner, a non-citizen with a work or student visa, or a DACA recipient.
Location	Borrower must be a resident of, or student in, the State of Texas.
Must be enrolled half-time or more	Yes.
School requirement	Any school authorized to receive federal aid.
Percentage of borrowers who have a cosigner	17%.

Repayment Options

In-school Repayment Options	Immediate Repayment: Make full payments as soon as the loan is disbursed, while you’re still in school.  Deferred Repayment: Don’t make any payments while you’re in school. Begin repayment after graduation or 6 months after graduation.
Grace Period	No.
Academic Deferment	No.
Military Deferment	Yes, up to 36 months.
Disability Deferment	Did not disclose.
Forbearance	Yes, hardship forbearance for up to 12 months (in three-month increments).
Cosigner Release	No. Borrowers must reapply for a new loan individually.
Death or Disability Discharge	Yes, if the benefiting student dies the loan is discharged for the parent borrower and the cosigner, if there is one. If the parent borrower dies and there is no cosigner, the loan is discharged. If the parent borrower dies and there is a cosigner,  the cosigner is still responsible for paying the loan.
Loan discharge if cosigner dies or becomes disabled	No. If the cosigner dies, the cosigner is removed from the loan, and the borrower continues to be responsible for repayment on the loan for the remainder of the repayment term.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: No.

Customer Service

Loan Servicer	Firstmark.
In-house Customer Service Team	Only for the application process.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	Initial approval is online and takes only a few minutes. Brazos will then ask for documentation to verify your information.

Before you take out a loan from Brazos…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

>> MORE: Compare your private student loan rates across 17+ lenders

FAQ

Is Brazos a legitimate lender?

Yes, Brazos is legitimate. The lender is part of the nation’s largest group of nonprofit student loan organizations and has $30 billion in loans for over 2 million students. 

Is Brazos available in all 50 states?

Brazos is available to residents of, or students in, the State of Texas.

How long does it take to get a Brazos student loan?

Submitting an application through Brazos takes a few minutes. Once you’ve submitted your loan application, Brazos will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.

It may take some time to actually receive your loan. Your school must approve the loan which may take between four to six weeks.

>> MORE: How long does it take to get a student loan?

What happens if I don’t qualify for a Brazos student loan?

If you don’t qualify for a Brazos student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

>> MORE: Check your pre-qualified rates across 17+ student loan lenders

Are Brazos student loans federal or private?

Brazos’ student loans are private. Before you take out a private student loan, we recommend that you exhaust your federal funding options, including grants and scholarships.

>> MORE: Student loan eligibility: Private and Federal loans

Does applying for a loan through Brazos hurt my credit score? 

In order to estimate what rate you qualify for, Brazos conducts a soft credit check — this does not affect your credit score. If you choose to accept the Brazos loan, the company will conduct a hard credit check to verify your information. A hard credit check may temporarily impact your credit score.

>> MORE: Why did my credit score drop after student loans?

LendKey Snapshot

LendKey offers both private student loans and student loan refinancing. By connecting borrowers with a network of 100+ lesser-known credit unions and community banks, LendKey allows you to work with smaller lenders with low rates and good customer service, rather than traditional lending institutions. LendKey’s student loan offering is available to undergraduate and graduate students. It’s best if you have strong credit and want generous cosigner release and forbearance policies. 

Fixed APR Range: 4.39% to 11.11%

Variable APR Range: 5.84% to 11.11%

Loan Amounts: $1,000 up to the total cost of attendance, minus other aid received

Minimum Credit Score: 660

Best Features	Drawbacks
• Work with a credit union or community bank, rather than a traditional lender • Access to competitive interest rates • Good grades could lower your rate • Offers up to 18 months of forbearance  • Free borrower benefits like Career Assistance, Credit Health Analysis, and Federal Student Loan Assistance	• Eligibility criteria excludes part-time students, parents, and non-U.S. citizens/permanent residents • You can’t see if you’ll qualify and at what rate without a hard credit check • Varying cosigner release policies • Biweekly payment via autopay is not available • Limited repayment options • You may have to become a member of a credit union

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Compare LendKey Student Loan Rates:

Rather than searching for lenders one-by-one, we recommend starting the process with an automated student loan search tool. With the free Sparrow application, you can see the rates and terms you’d qualify for with 17+ premier lenders. 

Best Features of LendKey Student Loans

Work with credit unions and community banks

LendKey allows you to access loan offers from a network of non-traditional lenders that you otherwise might have overlooked. On its platform, LendKey connects you with hundreds of community banks and credit unions simultaneously. While the credit unions and community banks don’t have the name recognition that some of the traditional banks and online lenders have, they typically offer lower rates and personalized customer service. In addition, the credit unions and community banks are often non-profits, so you’ll be working with a lender that has your best interest in mind.  

Competitive interest rates and zero fees for qualified borrowers

When looking for a student loan, finding a low-interest rate is typically a top priority. If you qualify for a LendKey student loan, you’ll have access to competitive interest rates from credit unions and community banks that you might not be able to find elsewhere. While most of the lenders on LendKey’s platform do not charge any origination fees, application fees, or prepayment penalties, some may charge late fees, or insufficient funds fees. The terms will vary depending on which lender you choose, so be sure to read the terms and conditions of your loan carefully. 

>> MORE: What is the average student loan interest rate?

	Undergraduate and Graduate Students
Fixed APR*	4.39% to 11.11%
Variable APR*	5.84% to 11.11%

Good grades could lower your rate

LendKey has developed the Academic Credit Score, a proprietary scoring model that assesses your creditworthiness by looking at standard metrics (you and your cosigner’s credit score) as well as non-traditional metrics such as your GPA and major. This allows LendKey to get a holistic understanding of who you are as a borrower and as a student. It also rewards you for your hard work in the classroom through lower rates on your student loan, and a lower rate could mean substantial savings over the lifetime of your loan. 

Offers up to 18 months of forbearance due to economic hardship or natural disaster

If you experience economic hardship or a natural disaster, LendKey offers generous forbearance options (a pause on your repayment due to financial hardship, unemployment, or a disability). 

LendKey offers up to 18 months of forbearance, in six-month increments. While LendKey handles forbearance on a case-by-case basis, it can be a helpful safety net if you were to fall into financial hardship.

>> MORE: Student loan forbearance: what is it & how to get it

Free borrower benefits like Career Assistance, Credit Health Analysis, and Federal Student Loan Assistance

When you borrow through LendKey’s platform, you’ll get free access to special borrower benefits that help you achieve your financial and personal goals. These benefits include:

Career Assistance: LendKey partners with NextJob to offer free tools and online resources to help you succeed, including:

• Online mock interviews
• A resume builder
• Hidden job opportunities waiting to be uncovered
• A personality test to help you find the right career path

Credit Health Analysis: To help you reach your financial goals, LendKey has partnered with Curu, a platform that provides comprehensive credit analysis designed to help you improve your credit health.

• Curu analyzes your spending, net worth, and credit utilization to generate personalized tasks that show your path to credit success.
• Curu displays your real-time financial account information all in one place so you always know where you stand.
• Curu sends you notifications for upcoming credit card payment due dates so you’ll never miss a payment again.

>> MORE: Compare LendKey student loan rates to other qualified lenders

Federal Student Loan Assistance: LendKey partners with Savi to provide an online, concierge service that searches across 150+ federal loan forgiveness and repayment options and recommends a path forward based on a borrower’s unique financial situation and goals. Savi then automates and digitizes the application process to reduce mistakes, simplify the process, and save time.

• Access a free, instant estimate of monthly savings
• Detect eligibility & simplify enrollment for national and state repayment and forgiveness programs
• Receive 1:1 support as needed from a team of student loan experts

Drawbacks of LendKey Student Loans

Strict eligibility criteria

In order to qualify for a private student loan through LendKey, borrowers must meet the following criteria:

1. A U.S. citizen or permanent resident
2. At least the age of majority in your state (typically 18 to 21)
3. Enrolled at least half-time in a degree-granting program
4. 3 years of credit history
5. An annual income of $24,000-plus

LendKey’s strict eligibility criteria excludes part-time students, parents, non-U.S. citizens/permanent residents, and those who don’t meet the credit or income requirements. 

If you do not meet LendKey’s criteria for a student loan, you may want to look to different lenders for your private student loan.

>> MORE: See which student loans you qualify for

Not a U.S. citizen or permanent resident? MPOWER and Prodigy Finance offer private student loans to international students. In addition, Earnest, College Ave, and Ascent all offer private student loans to international students who have a U.S. citizen as a cosigner. 

Don’t have 3 years of credit history? Ascent and Funding U offer future income-based loans that don’t have a credit requirement.

Don’t have an annual income of $24,000? Ascent and Funding U offer future income-based loans that don’t have an income requirement.

>> MORE: How and where to get student loans for bad credit

You can’t see if you’ll qualify and at what rate without a hard credit check

Unlike many other online lenders, LendKey does not allow you to qualify and receive rate estimates without undergoing a hard credit check. This means you will have to undergo a hard credit check, which temporarily hurts your credit, in order to see if you qualify and at what rate.
If you want to see if you qualify and at what rate with over 17 different lenders, try our 2-minute form. It’s quick, easy, and does not impact your credit score.

Varying cosigner release policies 

Most private student lenders require or strongly encourage you to apply with a cosigner. Given that young people generally have no/limited credit history, a cosigner can help you qualify for better loan terms. 

If you earn less than $24,000 per year or have fewer than 36 months of credit history, a cosigner is required in order to borrow from LendKey. 

Unfortunately, it’s not clear how quickly you can release your cosigner from your LendKey loan. Since LendKey partners with credit unions and community banks (each of which have their own internal policies), you will want to check with your specific lender to confirm their cosigner release policy.

>> MORE: What is a cosigner release policy? How can it protect you?

No biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, some borrowers choose to make biweekly payments via autopay — where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

Unfortunately, when you borrow through LendKey, you don’t have the option to make biweekly payments via autopay. 

You do, however, have the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With LendKey, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

>> MORE: How to save thousands on student loans with autopay

Limited repayment options

LendKey only offers two repayment options on its private student loans, both of which require you to make in-school payments. Compared to other online lenders that offer up to four repayment options, LendKey’s repayment options may seem limited. With that said, if you’re able to make in-school payments, it’s the best way to reduce interest and minimize the amount of debt you owe. 

Check out the table below to understand the difference between LendKey’s student loan repayment options: 1.) Flat-fee repayment and 2.) Interest-only repayment. 

>> MORE: how to compare student loan repayment options

Repayment Option	Terms	Pros	Cons
Flat Fee Repayment	Pay a flat fee of $25 a month while you’re in school for up to 60 months. Full payments are due after that point.	You can keep your loan balance in check, and reduce the total amount repaid.	You’ll still owe more than you borrowed when you graduate, but your loan balance won’t grow as quickly.
Interest-Only Repayment	Pay only interest while you’re in school. With this option, there is a maximum of 60 months of payments (5 years).	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments. If you plan to take more than 60 months to complete your program, you will have to make full payments after the first 60 months.

You may have to become a member of a credit union

One of the major advantages of borrowing through LendKey is that the platform allows you to access loan offers from a network of non-traditional lenders (credit unions and community banks) that you otherwise might have overlooked. 

Unfortunately, that also means you may have to become a member of the institution you borrow from, which typically costs around $5. Although the process of becoming a member of a credit union is relatively simple, it adds another step to the borrowing process that traditional banks and online lenders don’t require.

>> MORE: Compare LendKey student loans to other qualified lenders

LendKey Student Loans: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.39% to 11.11%
Variable APR Range	5.84% to 11.11%
Loan Terms	5, 10, or 15 years.
Loan Amounts	$1,000 up to the total cost of attendance, minus other aid received.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	Yes (If payment is not made within 15 days of the due date, the late fee is $5 to $10, depending on the lender).

Eligibility Requirements – Financial

Minimum Credit Score	660.
Minimum Income	24,000 per year.
Typical Credit Score of Approved Borrowers or Cosigners	689.
Typical Income of Approved Borrower	$32,000.
Typical Income of Approved Cosigner	$85,000.
Maximum Debt-to-Income Ratio	33%, not including housing costs.
Ability to qualify if you’ve filed for bankruptcy	Yes, after five years.

Eligibility Requirements – Personal

Citizenship	Borrowers must be U.S. citizens or permanent residents
Location	Available to borrowers in all 50 states.
Must be enrolled half-time or more	Yes.
School requirements	Any school authorized to receive federal aid.
Percentage of borrowers who have a cosigner	90%+.

Repayment Options

In-school Repayment Options	Flat-fee repayment: Pay a flat fee of $25 per month while you’re in school for up to 60 months. Full payments are due after that point.  Interest-only repayment: Only pay interest while you’re in school for up to 60 months. Full payments are due after that point.
Grace Period	6 months.
In-school Deferment	No.
Military Deferment	No.
Disability Deferment	Did not disclose.
Forbearance	Yes, hardship and natural disaster forbearance for up to 18 months, in six month increments.
Cosigner Release	Yes (requires 24 months of timely repayments). Death or disability discharge: Not guaranteed by the loan agreement, but common practice, according to LendKey.
Death or Disability Discharge	Did not disclose.
Loan discharge if cosigner dies or becomes disabled	No.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: No.

Customer Service

Loan Servicer	LendKey.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	No.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	Immediate.

Before you take out a loan from LendKey…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is LendKey a legitimate lender?

Yes, LendKey is legitimate. The platform connects borrowers with credit unions and community banks offering private student loans to undergraduates, graduate students, and parents, as well as student loan refinancing. Since its founding in 2009, LendKey has helped fund $3.1 billion in loans for 99,000-plus borrowers — it also services more than $2 billion worth of student loans.

Is LendKey available in all 50 states?

LendKey is available to borrowers in all 50 states. 

How long does it take to get a LendKey student loan?

Submitting an application through LendKey takes a few minutes. Once you’ve submitted your loan application, LendKey will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.

It may take some time to actually receive your loan. Your school must approve the loan which may take between four to six weeks.

What happens if I don’t qualify for a LendKey student loan?

If you don’t qualify for a LendKey student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are LendKey student loans federal or private?

LendKey’s student loans are private. Before you take out a private student loan, we recommend that you exhaust your federal funding options, including grants and scholarships.

Does applying for a loan through LendKey hurt my credit score? 

Yes. In order to check your eligibility and receive your rate, LendKey will conduct a hard credit check. A hard credit check may temporarily impact your credit score.

>> MORE: Check your loan rates without hurting your credit

See LendKey’s disclosures here.

Sparrow aims to give you the tools and confidence you need to improve your finances. Many or all of the products shown here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

Navigating the student loan process can be overwhelming. With so many student lenders to choose from, deciding which one you’d like to work with can be quite the challenge.

Ultimately, the best student lender for you will be the one that suits you best. That said, it’s helpful to know a bit about each of your options to make an informed decision.

The following are our picks for the best private lenders for student loans.

Best Private Student Lenders of 2022

Arkansas Student Loan Authority

The Arkansas Student Loan Authority (ASLA) is an Arkansas state entity that provides educational funding for all Arkansas students attending higher education institutions. 

ASLA offers three types of student loans: undergraduate and graduate loans, family loans, and student loan refinancing.

Best Features:

1. Competitive interest rates
2. A variety of loan options
3. Flexible cosigner release policy
4. A variety of repayment options
5. Offers 0.25% interest rate reduction for opting into auto-debit payments

Drawbacks:

1. Strict residency requirements (Borrowers must be residents of or students in Arkansas.)
2. Inaccessible to international students

ASLA is the best private lender for borrowers who are located in Arkansas, have a qualified cosigner, and want competitive interest rates.

Learn more about ASLA.

Ascent

Ascent is an online student lender, named Best Private Student Loan for 2021 by Forbes Advisor, NerdWallet, and Money.com. 

Ascent offers three types of student loans: a traditional cosigned loan, a non-cosigned credit-based loan, and a non-cosigned outcomes-based loan.

Best Features:

1. Variety of loan options
2. Competitive interest rates
3. Accessible to international and DACA students
4. Flexible cosigner release policy

Drawbacks:

1. Unavailable to students enrolled less than half-time
2. Cosigner release is not available to international students.

Ascent is the best private lender for borrowers who do not have a cosigner available, are international or DACA students, or have lower credit scores.

Learn more about Ascent.

Brazos

Brazos is a non-profit lender focused on bringing transparency and low-cost loans to Texas residents. 

Brazos offers both private student loans and student loan refinancing to Texas residents.

Best Features:

1. Competitive interest rates
2. Variety of repayment options

Drawbacks:

1. Strict eligibility criteria (Only available to Texas residents.)

Brazos is the best private lender for borrowers who are Texas residents with an established income and strong credit.

Learn more about Brazos.

College Ave

College Ave is an online student lender with the mission to make the student loan process more simple, clear, and personal.

College Ave offers both private student loans and student loan refinancing for undergraduates, graduate students, professional school students, career school students, and parents of students.

Best Features:

1. Strong customer experience
2. Competitive interest rates
3. Ability to choose your own loan term

Drawbacks:

1. Strict cosigner release policy

College Ave is the best private lender for borrowers who want a more flexible repayment term that allows them to find a loan that matches their budget.

Learn more about College Ave.

The Custom Choice Loan® 

The Custom Choice Loan® is funded by Citizens. The loan option is designed to provide borrowers with greater flexibility and control when it comes to funding their college education.

The Custom Choice Loan is available for undergraduate and graduate students.

Best Features:

1. Competitive interest rates
2. Flexible repayment options
3. Strong customer service

Drawbacks:

1. Some Custom Choice Loans® are not accessible to students enrolled less than half-time.
2. No repayment plan shorter than 7 years or longer than 15 years

The Custom Choice Loan® is the best private lender for borrowers that want competitive interest rates, are seeking a flexible repayment term, and want strong borrower benefits.

Learn more about the Custom Choice Loan®.

Earnest

Earnest is an online student lender that was founded in 2013 with the mission to make the student loan process simpler for students and graduates.

Earnest offers both private student loans and student loan refinancing to undergraduate, graduate, and professional students.

Best Features:

1. Competitive interest rates
2. Flexible repayment options
3. Customizable payments and loan terms
4. Allows biweekly payments via autopay

Drawbacks:

1. No cosigner release option on traditional student loans; no option to add a cosigner on refinance loans
2. Loan products are unavailable in certain states

Earnest is the best private lender for borrowers who want competitive interest rates, unique borrower perks, and flexible repayment options that allow them to find a loan that matches their budget.

Learn more about Earnest.

Edly

Edly offers Income-Based Repayment (IBR) loans through FinWise Bank, an FDIC-insured bank. IBR loans create an alternative loan option for students by setting post-graduation payments based on income.

Students who borrow an IBR loan from Edly will not have to make payments while in school. Instead, borrowers make payments after graduation based on their income.

Best Features:

1. Loan payments are based on income.
2. Repayment begins when the borrower has an income of at least $30,000.
3. No cosigner required

Drawbacks:

1. The borrowing limit is capped at $25,000 per semester, which may not cover all programs.
2. Only available for a select group of schools
3. Offers a 4-month grace period, which is shorter than the typical 6-month grace period offered by other private student lenders.

Edly is the best private lender for borrowers who want a loan option with no cosigner, competitive repayment terms, and flexible repayment options.

Learn more about Edly.

Funding U

Funding U is an online lender that focuses exclusively on undergraduate students with no cosigner. Rather than looking at the borrower’s credit score or income, Funding U looks at non-traditional metrics such as GPA and estimated future income to assess creditworthiness. 

Best Features:

1. No cosigner required
2. No credit history required
3. Variety of repayment options
4. Available to DACA students with a work-eligible Social Security card

Drawbacks:

1. Unavailable in 13 states
2. Maximum funding amount is $20,000, which is less than most other private lenders.
3. Unavailable to students enrolled less than half-time
4. Loan payments are required while in school.

Funding U is the best private lender for borrowers who are high-achieving undergraduate students with limited credit history and no access to a creditworthy cosigner.

Learn more about Funding U.

INvestED

INvestED has been providing students in Indiana with higher education solutions for over 40 years.

INvestED offers private student loans, parent loans, and student loan refinancing for residents of and students in Indiana.

Best Features:

1. Competitive interest rates
2. Variety of repayment options
3. Variety of loan options

Drawbacks:

1. Strict residency requirements

INvestED is the best private lender for borrowers who are residents of or students in Indiana and want competitive interest rates and a variety of repayment options.

Learn more about INvestED.

ISL Education Lending

ISL Education Lending is a nonprofit student lender established in 1979 with the mission of supporting students and families who have exhausted other sources of aid.

ISL Education lending offers both private student loans and student loan refinancing.

Best Features:

1. Competitive interest rates
2. Zero fees

Drawbacks:

1. Limited repayment options

ISL Education Lending is the best private lender for borrowers who want to work with a nonprofit lender and want competitive interest rates.

Learn more about ISL Education Lending.

LendKey

LendKey is an institution that connects borrowers with a network of 100+ lesser-known credit unions and community banks, allowing borrowers to work with smaller lenders with low rates and good customer service, rather than traditional lending institutions. 

LendKey offers both private student loans and student loan refinancing.

Best Features:

1. Allows borrowers to work with credit unions and community banks
2. Competitive interest rates
3. Variety of borrower benefits

Drawbacks:

1. Unavailable to part-time students, parents, and non-U.S. citizens/permanent residents
2. Unavailable in certain states

LendKey is the best private lender for borrowers who want to work with a credit union or community bank, have strong credit, and have stable income.

Learn more about LendKey.

MPOWER

MPOWER is an online lender that works with international and DACA students to provide affordable college financing.

MPOWER offers non-cosigned undergraduate and graduate student loans for international, domestic, and DACA students.

Best Features:

1. Available to international, domestic, and DACA students
2. Provides additional assistance such as scholarship opportunities
3. Borrowers can receive up to 1-1.5% in rate discounts depending on the loan type.

Drawbacks:

1. Only one repayment term of 10 years
2. Higher interest rates and fees than other lenders

MPOWER is the best student loan company for borrowers who are international or DACA students, don’t have a credit history, and can’t access a qualified cosigner.

Learn more about MPOWER.

Nelnet Bank

Nelnet Bank is an online student lender founded over 40 years ago with the mission to make educational dreams possible.

Nelnet Bank offers both private student loans and student loan refinancing.

Best Features:

1. Competitive interest rates
2. Variety of repayment options
3. Flexible cosigner release option

Drawbacks:

1. Strict eligibility criteria
2. Unavailable to international students or student visas
3. No biweekly payment via autopay

Nelnet Bank is the best private lender for borrowers who want competitive interest rates, a variety of repayment options, and a flexible forbearance policy.

Learn more about Nelnet Bank.

Prodigy Finance

Prodigy Finance is an online student lender founded in 2007 to help international students in master’s degree programs find affordable college financing.

Best Features:

1. No cosigner required
2. No collateral required
3. No credit history required
4. Variety of repayment options

Drawbacks:

1. Not available in all 50 U.S. states
2. Limited interest and repayment options
3. Higher interest rates and fees than other online lenders

Prodigy Finance is the best private lender for international student borrowers with no credit history.

Learn more about Prodigy Finance.

Sallie Mae

Sallie Mae is one of the largest online private student lenders and is committed to helping borrowers find affordable college financing.

Sallie Mae offers student loans for undergraduate, graduate, MBA, law, medical, dental, and career training programs.

Best Features:

1. Competitive interest rates
2. Strong customer experience
3. Various repayment options
4. Flexible cosigner release policy

Drawbacks:

1. No biweekly student loan payments via autopay
2. Unable to see what rate you qualify for before formally applying

Sallie Mae is the best private lender for borrowers who want a more flexible repayment plan and competitive interest rates.

Learn more about Sallie Mae.

SoFi

SoFi is an online student lender founded in 2019 and now one of the largest student loan companies in the industry.

SoFi offers both private student loans and student loan refinancing. SoFi’s student loan offering is available for undergraduates, graduates, law and MBA students, as well as parents of students.

Best Features:

1. Competitive interest rates
2. Variety of repayment options
3. Fast online application, flexible repayment options, and no fees

Drawbacks:

1. Unclear credit requirements
2. High loan minimum

SoFi is the best private lender for borrowers who have a high credit score and want competitive interest rates.

Learn more about SoFi.

How to Pick the Best Private Lender for Student Loans

The best student lender will always be the one that suits you best. That said, you should look for the following qualities in a student lender:

Offers Competitive Interest Rates

The interest rate on your student loan is essentially the cost to borrow with a lender. Generally speaking, the lower the interest rate, the better. Look for a lender that offers competitive interest rates.

Strong Customer Service

The lender you select will be the lender you work with for the entire duration of your repayment term (if you don’t refinance with another lender, that is), which can be up to 15-20 years. Make sure the lender has a record of strong customer service before you agree to work with them.

Offers Flexible Repayment Options

Each private student lender will offer a different set of repayment options. While you may initially prefer one, life changes such as a different job can quickly change your repayment preferences. Make sure the lender you select has an array of repayment options so that if you need to change in the future, you have the option to do so.

Where to Find the Best Private Lender for Student Loans

To find the best private student lender for you, complete the Sparrow form. Rather than searching for student lenders one-by-one, the Sparrow form will show you what rates you pre-qualify for at over 15 different student lenders. Then, you can compare the offers side-by-side to make sure you’re selecting the best lender for you.

Sparrow’s goal is to give you the tools and confidence you need to improve your finances. Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

Earnest Snapshot

Earnest offers both private student loans and student loan refinancing.¹ Earnest’s student loans are available to undergraduate, graduate, and professional students. It is best if you are seeking competitive interest rates, unique borrower perks, and flexible repayment options that allow you to find a loan that matches your budget.

Fixed APR Range: 4.42% to 15.90%* (undergrad; includes 0.25% auto pay discount); 4.42% to 14.30%* (grad; includes 0.25% auto pay discount)
Variable APR Range: 5.62% to 16.20%* (undergrad; includes 0.25% auto pay discount); 5.89% to 14.97%* (grad; includes 0.25% auto pay discount)

Loan Amounts: $1,000 up to the total cost of attendance

Minimum Credit Score: 650

Best Features	Drawbacks
• Competitive interest rates • Flexible repayment options • Wide range of loan terms to match your budget • Nine-month grace period3 • Option to skip 1 monthly payment per year4 • Allows biweekly payments via autopay5	• Loans aren’t available to borrowers in Nevada • Students enrolled less than half-time are not eligible • No cosigner release

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Best Features of Earnest Student Loans

Competitive interest rates and zero fees for qualified borrowers

When looking for a student loan, finding a low-interest rate is typically a top priority. If you qualify for an Earnest student loan, you’ll have access to some of the best rates in the industry. Earnest’s variable and fixed interest rates are typically lower than competing student lenders. In addition, you won’t have to pay origination fees, application fees, prepayment penalties, late fees, or insufficient funds fees. 

	Undergraduate	Graduate, MBA, Law and Medical Students
Fixed APR*	4.42% to 15.90%*	4.42% to 14.30%*
Variable APR*	5.62% to 16.20%*	5.89% to 15.97%*

Variety of in-school repayment options

Earnest offers you four repayment options for your student loans.⁶

If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment	Pay only interest while you’re in school.	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Partial Repayment	Pay $25 per month while you’re in school to reduce accrued interest.	You can keep your loan balance in check, and reduce the total amount repaid.	You’ll still owe more than you borrowed when you graduate, but your loan balance won’t grow as quickly.
Deferred Repayment	Don’t make any payments while you’re in school. Begin repayment after graduation or 6 months after graduation.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

Note: Parents borrowing on behalf of students are limited to interest only and immediate repayment options.

Wide range of loan terms to match your budget

Earnest offers a wide range of loan terms to reduce the burden of your student debt. If you have a cosigner, you can choose a loan term of 5, 7, 10, 12, or 15 years. If you don’t have a cosigner, you’ll have to choose between a 10, 12 or 15-year loan term, unless you are a graduate student. In that case, you may be considered for 5, 7, 10, 12, and 15 year loan terms.⁶

Offers a nine-month grace period³

After you are no longer in school at least halftime – because you’ve graduated, left school, or dropped below half-time enrollment – you have a grace period before you begin making full principal and interest monthly payments. While most lenders offer a six-month grace period, some require immediate repayment.

Earnest, on the other hand, offers a nine-month grace period on its student loans. This can be a massive benefit if you need some extra time to find a job and stabilize your income.

Be careful though – interest starts to accrue as soon as the loan is disbursed so delaying your payments means you’ll be paying more interest over the lifetime of your loan.

Option to skip one monthly payment every year⁴

Earnest is the only lender that allows you to skip one monthly payment on your student loan every year. This can be incredibly helpful if you lose your job or face an unexpected expense. 

In order to qualify, you must:

• Make the request at least five business days before the payment is due.
• Make the request after six months of timely payments of both interest and principal. 

While this feature can be extremely helpful when life hits a bump in the road, do note that the principal and interest from that payment will be spread out across your remaining payments, resulting in increased monthly payments.

Allows biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, Earnest gives you the option to make biweekly payments via autopay — where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

In addition to offering biweekly payments via autopay, Earnest gives you the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With Earnest, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

Drawbacks of Earnest Student Loans

Loans aren’t available to borrowers in Nevada

If you live in Nevada, you’ll have to consider other lenders for your private student loan. A variety of lenders offer private student loans to borrowers in Nevada, such as College Ave, Ascent, and more.

Students enrolled less than half-time are not eligible

If you are not enrolled in school at least half-time, you are ineligible for student loans through Earnest. If you’re studying less than half-time, you may want to consider another lender for your private student loan. 

No cosigner release 

Most private student lenders require or strongly encourage you to apply with a cosigner. Given that young people generally have no/limited credit history, a cosigner can help you qualify for better loan terms. 

Many private student lenders allow you to release your cosigner after a few years of timely payments (typically 1-2 years). This essentially means that the cosigner is no longer liable for repaying the loan in the event that you (the borrower) are unable to make payments. 

While becoming a cosigner can be daunting, the cosigner release policy is meant to ease the burden and make it less risky. Unfortunately, Earnest does not offer any form of cosigner release. Instead, you will have to apply to refinance your student loan, which is only available once you’ve graduated.

Earnest: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.42% to 15.90%* (undergrad); 4.42% to 14.30%* (grad)
Variable APR Range	5.62% to 16.20%* (undergrad); 5.89% to 15.97%* (grad)
Loan Terms	For cosigned loans: 5, 7, 10, 12 or 15 years.6 For solo borrowers: 10, 12 or 15 years.6 For graduate students with non-cosigned loans, you may be considered for 5, 7, 10, 12, and 15-year loan terms.6
Loan Amounts	$1,000 up to cost of attendance.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	No.

Eligibility Requirements – Financial

Minimum Credit Score	650.
Minimum Income	$35,000 for cosigned loans.
Typical Credit Score of Approved Borrowers or Cosigners	Did not disclose.
Typical Income of Approved Borrower	Did not disclose.
Maximum Debt-to-Income Ratio	65%.
Ability to qualify if you’ve filed for bankruptcy	No.

Eligibility Requirements – Personal

Citizenship	Primary borrower must have a Social Security number. International students are eligible if applying with a cosigner who is a U.S. citizen or permanent resident.
Location	Not available to borrowers in Nevada.
Must be enrolled half-time or more	Yes.
School requirements	Any school authorized to receive federal aid.
Percentage of borrowers who have a cosigner	Did not disclose.

Repayment Options

In-school Repayment Options	Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re in school.  Interest-only repayment: Only pay interest while you’re in school. Fixed repayment: Pay $25 a month during school. Deferred repayment: Wait to make payments until you’re out of school.
Grace Period	9 months.
In-school Deferment	Yes.
Military Deferment	Yes.
Internship, Residency, or Fellowship Deferment	Borrowers can defer payments for up to 48 months during a medical residency, internship, or fellowship program.
Forbearance	Up to 12 months available.
Cosigner Release	No. Borrowers may refinance with Earnest and release their cosigner.
Death or Disability Discharge	Yes, if the borrower dies or suffers a permanent disability.
Loan discharge if cosigner dies or becomes disabled	No.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: Yes.

Customer Service

Loan Servicer	Earnest.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	Online application: a few minutes. Approval: Varies by applicant.

Before you take out a loan from Earnest…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is Earnest⁷ a legitimate lender?

Yes, Earnest is a legitimate lender that was founded in 2013 and has been providing private student loans since 2019. 

Is Earnest available in all 50 states?

Earnest is available in all 50 states except Nevada.

How long does it take to get an Earnest student loan?

Submitting an application through Earnest takes a few minutes. Once you’ve submitted your loan application, Earnest will return a decision about your eligibility, but the exact timeline of this response varies by applicant. If you qualify, you will receive the rate and terms of your loan.

What happens if I don’t qualify for an Earnest student loan?

If you don’t qualify for an Earnest student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are Earnest student loans federal or private?

Earnest loans are private loans. Before you take on a private loan, we recommend that you exhaust your federal loan options.⁸ 

Does applying for a loan through Earnest hurt my credit score? 

Applying for a loan through Earnest could hurt your credit score. Earnest has both eligibility check (hard credit check that may temporarily impact your credit score) and rate check (soft credit check, which will not impact your credit score).

Earnest Disclosures 

1 Choosing to refinance to a longer term may lower your monthly payment, but increase the amount of interest you may pay. Choosing to refinance to a shorter term may increase your monthly payment, but lower the amount of interest you may pay. Review your loan documentation for total cost of your refinanced loan.

2 Actual rate and available repayment terms will vary based on your income. Fixed rates range from 4.67% APR to 16.15% APR (excludes 0.25% Auto Pay discount). Variable rates range from 5.87% APR to 16.35% APR (excludes 0.25% Auto Pay discount). Earnest variable interest rate student loan refinance 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.

3 Nine-month grace period is not available for borrowers who choose our Principal and Interest Repayment plan while in school.

4 Earnest clients may skip one payment every 12 months. Your first request to skip a payment can be made once you’ve made at least 6 months of consecutive on-time payments, and your loan is in good standing. The interest accrued during the skipped month will result in an increase in your remaining minimum payment. The final payoff date on your loan will be extended by the length of the skipped payment periods. Please be aware that a skipped payment does count toward the forbearance limits. Please note that skipping a payment is not guaranteed and is at Earnest’s discretion. Your monthly payment and total loan cost may increase as a result of postponing your payment and extending your term.

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 Earnest’s Loan Cost Examples: These examples provide estimates based on principal and Interest payments beginning immediately upon loan disbursement. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $118.28) and a 11.69% APR would result in a total estimated payment amount of $21,290.40. 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 $126.82) and a 13.03% APR would result in a total estimated payment amount of $22,827.79.

These examples provide estimates based on interest only payments while in school. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $145.41) and a 11.69% APR would result in a total estimated payment amount of $26,173.03. 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 $156.59) and a 13.03% APR would result in a total estimated payment amount of $28,186.67. Your actual repayment terms may vary. Other repayment options are available.

These examples provide estimates based on fixed $25 payments while in school. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $169.92) and a 11.69% APR would result in a total estimated payment amount of $30,584.74. 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 $188.42) and a 13.03% APR would result in a total estimated payment amount of $33,915.55. Your actual repayment terms may vary. Other repayment options are available.

These examples provide estimates based on deferred payments. Variable APR: A $10,000 loan with a 15-year term (180 monthly payments of $174.79) and a 11.69% APR would result in a total estimated payment amount of $31,462.16. 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 $193.75) and a 13.03% APR would result in a total estimated payment amount of $34,874.28. 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.

7 Loan Eligibility criteria: Eligible students must: 1) For college Freshmen, Sophomores and Juniors, attend, or be enrolled to attend, a Title IV school full-time. For college Seniors and Graduate students, attend, or be enrolled to attend, a Title IV school at least half-time; and 2) be pursuing a Bachelor’s or Graduate degree. Earnest private student loans are subject to credit qualification, completion of a loan application, verification of application information, self-certification of loan amount, and school
certification.

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, grant and work-study opportunities. 2) Next, fill out a FAFSA® form to apply for federal student loans. Federal student loans do not require a credit check or cosigner, and offer various protections if you’re struggling with 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.ed.gov.

Earnest Private Student Loans are made by One American Bank, Member FDIC. One American Bank, 515 S. Minnesota Ave, Sioux Falls, SD 57104.

Earnest loans are serviced by Earnest Operations LLC, 535 Mission St., Suite 1663 San Francisco, CA 94105, NMLS #1204917, with support From Navient Solutions, LLC (NMLS #212430). One American Bank and Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by agencies of the United States of America.

© 2022 Earnest LLC. All rights reserved.

See Earnest’s disclosures here.

Sparrow receives compensation from Earnest on a per-funded loan basis.

Earnest Snapshot

Earnest offers both private student loans and student loan refinancing.¹ With competitive interest rates, customizable repayment plans, and a forward-looking eligibility criteria, Earnest is a good fit for borrowers who don’t have a cosigner but have a strong credit score.¹ 

Fixed APR Range: 4.96% to 9.79%* (includes 0.25% auto pay discount)

Variable APR Range: 5.49 % to 9.74%* (includes 0.25% auto pay discount)

Loan Amounts: $5,000 ($10,000 for California residents) to $500,000

Minimum Credit Score: 650

Best Features	Drawbacks
• Competitive interest rates • Customizable payments and loan terms  • Merit-based rates • Option to skip one monthly payment every year3 • Allows biweekly payments via autopay4	• Refinancing is unavailable in Kentucky and Nevada • Variable interest rates aren’t available for borrowers in all states • You can’t apply with a cosigner • Student borrowers cannot take over parent PLUS loans that parents took out on their behalf

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Compare Earnest Student Loan Refinance Rates:

Rather than searching for lenders one-by-one, we recommend starting the process with an automated student loan refinance search tool. With the free Sparrow application, you can see the rates and terms you’d qualify for with 17+ premier lenders. 

>> MORE: Compare Earnest refinance rates to other student loans

Best Features of Refinancing with Earnest

Competitive interest rates and zero fees for qualified borrowers

When looking to refinance your student loan, finding a low interest rate is typically a top priority. If you qualify to refinance through Earnest, you’ll have access to some of the best rates in the industry. In addition, you won’t have to pay origination fees, application fees, prepayment penalties, late fees, or insufficient funds fees. 

	Earnest Student Loan Refinancing
Fixed APR*	4.96% to 9.79%*
Variable APR*	5.49 % to 9.74%*

Customizable payments and loan terms

Earnest offers expansive repayment options that allow you to customize your terms before locking in your loan. Unlike most lenders, Earnest allows you to set the exact payment amount you want without being restricted to standardized options that are not right for you. In addition, you can even specify the exact number of months in which you want to pay off your loan. 

If you are looking for a lender that offers flexibility to match your monthly payments to your budget, Earnest is an excellent option for you.

>> MORE: How to know if I should refinance my student loan

Merit-based rates

Earnest offers a unique merit-based underwriting process that allows you to get approved with even a short or nonexistent credit history. Earnest’s underwriting approach looks at traditional financial data (credit score) as well as alternative financial data (bank account information) to provide personalized loan offers. 

This can save you thousands, or even or tens of thousands, of dollars over other lending options that only look at your credit score to determine your rates.

Option to skip one monthly payment every year³

Earnest is the only lender that allows you to skip one monthly payment on your student loan every year. Therefore, this can be incredibly helpful if you lose your job or face an unexpected expense. 

In order to qualify, you must:

• Make the request at least five business days before the payment is due.
• Make the request after six months of timely payments of both interest and principal. 

While this feature can be extremely helpful when life hits a bump in the road, do note that the principal and interest from that payment will be spread out across your remaining payments, resulting in increased monthly payments.

Allows biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, Earnest gives you the option to make biweekly payments via autopay, where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

In addition to offering biweekly payments via autopay,⁴ Earnest gives you the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With Earnest, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month. 

Earnest also allows borrowers to make same-day payments and schedule multiple extra payments at once.

>> MORE: How to save thousands on student loans with autopay

Drawbacks of Refinancing with Earnest

Refinancing isn’t available to borrowers in Kentucky and Nevada

If you live in Kentucky or Nevada, you’ll have to consider other lenders to refinance your private student loan. Complete the Sparrow application to compare real rates from more than 17 different lenders to make sure you’re getting the best rate possible. 

Variable interest rates aren’t available to borrowers in all states

Variable interest rates are not available to borrowers in Alaska, Illinois, Minnesota, New Hampshire, Ohio, Tennessee, and Texas. So if you’re a borrower from one of these states and set on a variable interest rate, you’ll want to explore other lenders.

>> MORE: What’s the difference between variable vs fixed interest rates for student loans

You can’t apply with a cosigner

Most private student lenders require or strongly encourage you to apply with a cosigner. Given that young people generally have no/limited credit history, a cosigner can typically help you qualify for better loan terms. However, Earnest does not allow you to apply for refinancing with a cosigner. 

>> MORE: What is a private student loan cosigner?

Student borrowers cannot take over parent PLUS loans that parents took out on their behalf

If your parent has taken out a Parent PLUS loan or a private student loan in their name, some lenders give your parent the option to transfer the loan to your name (so long as you are the primary applicant). However, Earnest does not allow students to refinance parent PLUS loans in the student’s name. 

If you are a parent who took out a parent PLUS loan, you can still refinance that loan through Earnest — it will just be in your name, not the student’s name.

>> MORE: What you need to know about a parent PLUS loan

Earnest: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.96% to 9.79%*
Variable APR Range	5.49 % to 9.74%*
Loan Terms	Choose a term between 5 and 20 years.5 Choose a precise loan term, down to the month.
Loan Amounts	$5,000 ($10,000 for California residents) to $500,000.
Ability to transfer a parent loan to the student	No.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	No.

Eligibility Requirements – Financial

Minimum Credit Score	650.
Minimum Income	No minimum. Applicants must have a written job offer for employment starting within six months or have consistent income.
Typical Credit Score of Approved Borrowers or Cosigners	Did not disclose.
Typical Income of Approved Borrower	$135,000.
Maximum Debt-to-Income Ratio	65%.
Ability to qualify if you’ve filed for bankruptcy	Yes, if you don’t have accounts recently in collection and after the bankruptcy drops off your credit report. This happens after seven years for Chapter 13 bankruptcy and after 10 years for Chapter 7.

Eligibility Requirements – Personal

Citizenship	Must be a U.S. citizen or possess a 10-year, non-conditional green card.
Location	Not available to borrowers in Kentucky and Nevada. Variable rates aren’t available to borrowers in Alaska, Illinois, Minnesota, New Hampshire, Ohio, Tennessee, and Texas.
Must have graduated	Yes, but you may be able to refinance in your last semester before graduating if you have an income or job offer.
Must have attended a school authorized to receive federal aid	Yes.
Percentage of borrowers who have a cosigner	Borrowers cannot apply with a cosigner.

Repayment Options

In-school Deferment	Yes.
Military Deferment	Yes.
Disability Deferment	Yes.
Forbearance	Up to 12 months available, in 3-month increments, if you have: • An involuntary decrease in income, such as a reduction in hours, unpaid leave, or a change from full-time to part-time employment. • An involuntary loss of employment at no fault of your own. • A significant increase in essential costs such as medical expenses, emergency home repairs, or child care.
Cosigner Release	There’s no option to add a cosigner, but refinancing removes the original cosigner.
Death or Disability Discharge	Yes.
Loan discharge if cosigner dies or becomes disabled	No option for a cosigner.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: Yes.

Customer Service

Loan Servicer	Earnest.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	No.
Borrowers get assigned a personal customer service representative	No.
Average time from approval to payoff/application to approval	Timeline varies by applicant, but generally, 2-5 business days.

Before you take out a loan from Earnest…  

Complete the Sparrow application to compare real rates from more than 17 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is Earnest a legitimate lender?

Yes, Earnest is a legitimate lender that was founded in 2013. The online lender has helped over 164,000 borrowers refinance $14.5 billion in student loans. 

Are Earnest student loans federal or private?

Earnest loans are private loans. Before you take on a private loan, we recommend that you exhaust your federal loan options.⁶ 

>> MORE: Private vs federal student loans

Is Earnest available in all 50 states?

No. Earnest is not available to borrowers in Kentucky and Nevada. In addition, variable rates aren’t available to borrowers in Alaska, Illinois, Minnesota, New Hampshire, Ohio, Tennessee, and Texas.

How long does it take to refinance my student loan through Earnest?

Submitting an application through Earnest takes a few minutes. Once you’ve submitted your loan application, Earnest will return a decision as soon as possible, typically within 2-5 business days. Then, if you qualify, you will receive the rate and terms of your loan.

Does applying for a loan through Earnest⁷ hurt my credit score? 

Earnest has both eligibility check (hard credit check that may temporarily impact your credit score) and rate check (soft credit check, which will not impact your credit score).

>> MORE: Why your credit score may drop because of a student loan

What happens if I don’t qualify for student loan refinancing through Earnest?

If you don’t qualify for refinancing through Earnest, the company will inform you why. Then, depending on the reason, you may consider applying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you get the best rate.

>> MORE: Compare the best student loan refinance rates

Earnest Disclosures 

1 Choosing to refinance to a longer term may lower your monthly payment, but increase the amount of interest you may pay. Choosing to refinance to a shorter term may increase your monthly payment, but lower the amount of interest you may pay. Review your loan documentation for the total cost of your refinanced loan.

2 Actual rate and available repayment terms will vary based on your income. Fixed rates range from 5.21% APR to 10.04% APR (excludes 0.25% Auto Pay discount). Variable rates range from 5.74% APR to 9.99% APR (excludes 0.25% Auto Pay discount). Earnest variable interest rate student loan refinance 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. The maximum rate for your loan is 9.13% if your loan term is 10 years or less. For loan terms of more than 10 years to 15 years, the interest rate will never exceed 9.21%. For loan terms over 15 years, the interest rate will never exceed 9.24%. Please note, we are not able to offer variable rate loans in AK, IL, MN, NH, OH, TN, and TX. 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.

3 Earnest clients may skip one payment every 12 months. Your first request to skip a payment can be made once you’ve made at least 6 months of consecutive on-time payments, and your loan is in good standing. The interest accrued during the skipped month will result in an increase in your remaining minimum payment. The final payoff date on your loan will be extended by the length of the skipped payment periods. Please be aware that a skipped payment does count toward the forbearance limits. Please note that skipping a payment is not guaranteed and is at Earnest’s discretion. Your monthly payment and total loan cost may increase as a result of postponing your payment and extending your term.

4 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. 

5 Earnest’s Loan Cost Examples: These examples provide estimates based on payments beginning immediately upon loan disbursement. Variable APR: A $10,000 loan with a 20-year term (240 monthly payments of $72) and a 5.89% APR would result in a total estimated payment amount of $17,042.39. 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 20-year term (240 monthly payments of $72) and a 6.04% APR would result in a total estimated payment amount of $17,249.77. Your actual repayment terms may vary.

6 You may lose benefits associated with your underlying federal and/or private loans if you refinance such as federal Income-driven Repayment Plans, Economic Hardship Deferment, Public Service Loan Forgiveness, or other deferment and forbearance options. If you file for bankruptcy, you may still be required to pay back this loan.

7 Loan Eligibility criteria: Your debt is from paying for education at a Title IV accredited school. The debt is from your education or your child’s. The debt you’re refinancing is for a completed degree or one that will be completed at the end of this semester. You are currently the primary borrower on the student loans you would like to refinance, and you will remain the primary borrower after refinancing. You must reside in the District of Columbia or one of the 47 states Earnest Operations LLC is authorized to lend in (all but Delaware, Kentucky, and Nevada). This is strictly a student loan refinance product. There is no opportunity to borrow more than your outstanding qualifying student loan amount. You must be the age of majority in your state or older at the time you apply, as well as be a United States citizen or Permanent Resident Alien without conditions. Earnest private student loans are subject to credit qualification, completion of a loan application, verification of application information, self-certification of loan amount, and school certification. Please note, we are not able to offer variable rate loans in AK, IL, MN, NH, OH, TN, and TX.

Earnest Loans are made by Earnest Operations LLC. Earnest Operations LLC, NMLS #1204917. 535 Mission St., Suite 1663, San Francisco, CA 94105. California Financing Law License 6054788. Visit www.earnest.com/licenses for a full list of licensed states. For California residents: Loans will be arranged or made pursuant to a California Financing Law License.

Earnest loans are serviced by Earnest Operations LLC with support from Navient Solutions LLC (NMLS #212430). Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by agencies of the United States of America.

 © 2023 Earnest LLC. All rights reserved.

See Earnest’s disclosures here.

Sparrow receives compensation from Earnest on a per-funded loan basis.

INvestED Snapshot

INvestED offers private student loans, parent loans, and student loan refinancing. INvestED’s student loan offering is best if you are a resident of or student in Indiana seeking competitive interest rates, a variety of repayment options, and a flexible repayment option.

Fixed APR Range: 4.61% to 8.67%

Variable APR Range: 7.88% to 12.34%

Loan Amounts: $1,001 up to the total cost of attendance minus other aid received

Minimum Credit Score: 670

Best Features	Drawbacks
• Competitive interest rates • Variety of repayment options • Offers a six-month grace period • Allows up to 24 months of forbearance  • Offers a Parent Loan option	• Only available to students that are residents of or attending school in Indiana • Not accessible to students enrolled less than half-time • No biweekly payment via autopay

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Best Features of INvestED Student Loans

Competitive interest rates

When looking for a student loan, finding a low interest rate is typically a top priority. If you qualify for an INvestED student loan, you’ll have access to competitive interest rates, and won’t have to pay origination fees, application fees, or prepayment penalties.

	Undergraduate	Parent Loan
Fixed APR*	4.61% – 8.61%	4.61% – 7.62%
Variable APR*	7.88% – 12.34%	6.10% – 9.51%

Variety of repayment options

While still in school, INvestED offers you three repayment options for your student loans, with terms ranging from 5, 10, or 15 years. If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment	Pay only interest while you’re in school.	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Deferred Repayment	Don’t make any payments while you’re in school for up to 78 months. Begin repayment after graduation or 6 months after graduation.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

Offers a six-month grace period 

Similar to federal student loans, INvestED offers a six-month grace period before you are required to begin making full principal and interest monthly payments. The grace period is available if you are no longer in school at least half-time – because you’ve graduated, left school, or dropped below half-time enrollment. 

Allows up to 24 months of forbearance

INvestED offers up to 24 months of forbearance (a pause on your repayment due to financial hardship, unemployment, or a disability). INvestED’s forbearance is offered in increments of 3 months, with a maximum of 24 months available over the life of the loan. Borrowers are eligible for up to two 3-month increments of forbearance within a 12-month period.

Offers a parent loan option

Unlike several other private student lenders, INvestED offers a parent loan option. Parent loans are a good option for parents or guardians who would like to borrow on behalf of a dependent child.

Drawbacks of INvestED Student Loans

Only available to students that are residents of or attending school in Indiana

While INvestED offers a high-quality student loan, it is unfortunately only available to borrowers who are residents of or attending school in Indiana. If you are neither, you will need to apply with a different lender.

Not accessible to students enrolled less than half-time

If you are not enrolled in school at least half-time, you are ineligible for an INvestED student loan. If you’re studying less than half-time, you will need to consider another lender. 

No biweekly payment via autopay

When you repay your student loan, your payments are due monthly by default. Instead, some borrowers choose to make biweekly payments via autopay, where you automatically pay half your monthly amount once every two weeks. Many borrowers use biweekly autopay in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. 

Unfortunately, when you borrow through INvestED, you don’t have the option to make biweekly payments via autopay. 

You do, however, have the option to make greater-than-minimum payments via autopay. This means you have the option to pay more than your monthly balance in order to reduce the interest that accrues over time. With INvestED, you can set this up automatically so that the desired monthly payment is drawn from your bank account at the end of each month.

INvestED: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.61% to 8.61%
Variable APR Range	7.88% to 12.34%
Loan Terms	5, 10, or 15 years.
Loan Amounts	$1,001 up to the total cost of attendance minus other aid received.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	Yes, 5% of the unpaid past-due amount or $10, whichever is less.

Eligibility Requirements – Financial

Minimum Credit Score	670.
Minimum Income	$39,996.
Typical Credit Score of Approved Borrowers or Cosigners	710.
Typical Income of Approved Borrower	$31,671.
Maximum Debt-to-Income Ratio	30%.
Ability to qualify if you’ve filed for bankruptcy	Yes, after 5 years have passed.

Eligibility Requirements – Personal

Citizenship	Must be a U.S. citizen or permanent resident. DACA borrowers are not eligible.
Location	Borrowers must attend an eligible school in Indiana or be a resident of Indiana. Indiana residents attending schools in Colorado, Oklahoma, South Carolina, and Wisconsin are ineligible.
Must be enrolled half-time or more	Yes.
School requirements	Must be enrolled at an eligible Title IV, four-year institution in the U.S.
Percentage of borrowers who have a cosigner	88%.

Repayment Options

In-school Repayment Options	Immediate repayment: Make payments as soon as the loan is disbursed, while you’re in school. Interest-only repayment: Pay only the interest every month while you’re in school and during the grace period. Deferred repayment: Don’t make any payments while in school.
Grace Period	6 months.
In-school Deferment	Yes.
Military Deferment	Yes.
Disability Deferment	Did not disclose.
Forbearance	Yes. INvestED offers borrowers up to 24 months’ forbearance over the life of the loan. Forbearance is given in 3-month increments. Borrowers can receive up to 2 forbearances in a 12-month period.
Cosigner Release	Yes, after 48 months of eligible, on-time payments.
Death or Disability Discharge	Yes. INvestED loans are forgiven if the borrower dies or becomes permanently disabled.
Loan discharge if cosigner dies or becomes disabled	No.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: No.

Customer Service

Loan Servicer	American Education Services.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	Did not disclose.

Before you take out a loan from INvestED…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is INvestED a legitimate lender?

Yes, INvestED is a legitimate lender that has been working with students for over 40 years.

Is INvestED available in all 50 states?

No, INvestED is only available to borrowers who are studying in or residents of Indiana.

How long does it take to get a INvestED student loan?

Submitting an application through INvestED takes a few minutes. Once you’ve submitted your loan application, INvestED will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.

It may take some time to actually receive your loan. Your school must approve the loan which may take between four to six weeks. 

What happens if I don’t qualify for an INvestED student loan?

If you don’t qualify for an INvestED student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are INvestED student loans federal or private?

INvestED offers private student loans. Before you take out a private student loan, we recommend that you exhaust your federal funding options, including grants and scholarships.

Does applying for a loan through INvestED hurt my credit score? 

In order to see what rate you qualify for, INvestED conducts a hard credit check to verify your information. A hard credit check may temporarily impact your credit score.

See INvestED’s disclosures here.

Sallie Mae Snapshot

Sallie Mae is one of the largest online private student lenders, offering borrowers competitive interest rates, a variety of repayment options, and a strong customer experience. Sallie Mae’s loan offering is available for a variety of programs such as undergraduate, graduate, MBA, law, medical, dental, and career training programs. Sallie Mae is best if you are seeking a more flexible repayment plan and competitive interest rates.

Fixed APR Range: 3.75% to 13.72%

Variable APR Range: 4.00% to 14.34%

Loan Amounts: $1,000 up to school-certified cost of attendance

Minimum Credit Score: Mid 600s

Best Features	Drawbacks
• Strong customer experience • Competitive interest rates • Various repayment options • Allows a six-month grace period on undergraduate loans • Available to international, DACA, and part-time students • Cosigner release option after 12 months	• No biweekly student loan payments via autopay • Not able to see what you qualify for before formally applying

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Best Features of Sallie Mae Student Loans

Strong customer experience

From loan application to disbursement (and beyond), Sallie Mae offers excellent customer service that is available through chat and phone. 

Competitive interest rates

When looking for a student loan, finding a low interest rate is typically a top priority. If you qualify for a Sallie Mae student loan, you’ll have access to some of the best rates in the industry. In addition, you won’t have to pay any origination, application, or prepayment fees. 

	Undergraduate	Graduate	MBA	Law	Medical	Dental	Career Training
Fixed1	3.75% – 13.72%	4.25% – 12.92%	4.25% – 12.92%	4.25% – 12.85%	4.25% – 12.84%	4.25% – 12.85%	3.75% – 14.08%
Variable1	4.00% – 14.34%	4.50% – 14.10%	4.50% – 14.10%	4.50% – 14.10%	4.50% – 14.09%	4.50% – 14.09%	4.00% – 14.65%

Various repayment options

Sallie Mae offers you four repayment options for your student loans, with terms ranging from 10-20 years. If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment	Pay only interest while you’re in school.	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school. You will also get a 1% interest rate deduction for opting in to interest-only repayment.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Fixed Repayment	Pay $25 per month while you’re in school to reduce accrued interest.	You can keep your loan balance in check, and reduce the total amount repaid. You will also get a 0.5% interest rate deduction for opting in to fixed repayment.	You’ll still owe more than you borrowed when you graduate, but your loan balance won’t grow as quickly.
Deferred Repayment	Don’t make any payments while you’re in school. Begin repayment after your grace period ends.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

Allows a six-month grace period 

After you are no longer in school at least half-time – because you’ve graduated, left school, or dropped below half-time enrollment – you have a grace period before you begin making full principal and interest monthly payments. The grace period is six months for Sallie Mae student loans.

Available to international, DACA, and part-time students

Sallie Mae offers student loans for a variety of academic programs, such as undergraduate, graduate, and career school programs. Unlike several other lenders, Sallie Mae student loans are also available for international students, DACA students, and part-time students.

International students: As long as you have a Social Security number and a U.S. citizen or permanent resident cosigner, you’re eligible to apply for a student loan through Sallie Mae.

DACA students: Unlike some other private lenders, Sallie Mae offers student loans to DACA borrowers with a citizen or resident cosigner.

Part-time students: While most private lenders require borrowers to be enrolled at least half-time, Sallie Mae makes its loans available to part-time (i.e. less than half-time) students seeking a degree at eligible schools.

Cosigner release option after 12 months

If you need a cosigner for your student loan, Sallie Mae might be a good option for you. Unlike several other lenders, Sallie Mae allows you to release your cosigner after 12 months of timely payments. This can be helpful if you want to build credit in your own name. 

Drawbacks of Sallie Mae Student Loans

No biweekly student loan payments via autopay

When you repay your student loan, your payments are due monthly by default. Many borrowers use biweekly autopay, where you automatically pay half your monthly amount once every two weeks, in an effort to pay off their student debt faster and pay less in interest over the lifetime of the loan. Sallie Mae unfortunately does not offer biweekly autopay.

Not able to see what you qualify for before formally applying

When you submit a formal student loan application, you will undergo a hard credit inquiry, which can temporarily hurt your credit score. Because of this, many student lenders offer a prequalification process, which allows borrowers to see what rate they’d qualify for without hurting their credit. Unfortunately, Sallie Mae does not offer loan prequalification, which means that in order to see what you’d qualify for with Sallie Mae, you would have to submit a formal application and undergo a hard inquiry.
If you’d like to see what rates you qualify for at 15+ student lenders, without hurting your credit score, submit the Sparrow Application.

Sallie Mae: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	3.75% to 13.72%
Variable APR Range	4.00% to 14.34%
Loan Terms	10 to 20 years.
Loan Amounts	$1,000 up to the school-certified cost of attendance.
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	Yes, 5% of the past due amount if a payment has not been received within 15 days, however, the fee will not exceed $25.

Eligibility Requirements – Financial

Minimum Credit Score	Mid 600s.
Minimum Income	No income minimum.
Typical Credit Score of Approved Borrowers or Cosigners	749.
Typical Income of Approved Borrower	Did not disclose.
Maximum Debt-to-Income Ratio	Did not disclose.
Ability to qualify if you’ve filed for bankruptcy	No.

Eligibility Requirements – Personal

Citizenship	Must be a U.S. citizen or permanent resident, or a non-U.S. citizen with a creditworthy cosigner who is a U.S. citizen or permanent resident. DACA borrowers are eligible with a citizen or resident cosigner.
Location	Available to borrowers in all 50 states and Puerto Rico.
Must be enrolled half-time or more	No. Sallie Mae student loans are available to part-time students (ie. less than half-time) as well.
School requirements	Borrowers must be enrolled in a degree-granting program at an eligible school.
Percentage of borrowers who have a cosigner	80%.

Repayment Options

In-school Repayment Options	Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re in school.  Interest-only repayment: Make interest-only payments while in school and during the grace period. If you select interest-only repayment, your interest rate will be 1% lower than the deferred repayment option. Fixed repayment: Pay $25 a month during school and the grace period. If you select fixed repayment, your interest rate will be 0.5% lower than the deferred repayment option. Deferred repayment: Wait to make payments until you’re out of school.
Grace Period	6 months.
In-school Deferment	Yes. Borrowers can request to defer payments if returning to school or going to graduate school, for up to 48 months.
Military Deferment	Yes. The borrower must contact the military customer service representative team for more information. Interest rates will be capped at 6% during eligible periods of military service.
Disability Deferment	Did not disclose.
Forbearance	Up to 12 months available, in 3-month increments. Borrowers must pay $50 per loan, with a maximum of $150 per account, to get forbearance.
Cosigner Release	Yes, after 12 months of on-time payments.
Death or Disability Discharge	Yes, if the borrower dies or suffers a permanent disability, Sallie Mae will waive all remaining payments on the loan.
Loan discharge if cosigner dies or becomes disabled	No.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: No.

Customer Service

Loan Servicer	Sallie Mae.
In-house Customer Service Team	Yes.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No.
Average time from application to approval	15 minutes.

Before you take out a loan from Sallie Mae…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is Sallie Mae a legitimate lender?

Yes, Sallie Mae is a legitimate lender that has been providing student loans since the late 90s.

Is Sallie Mae available in all 50 states?

Yes.

How long does it take to get a Sallie Mae student loan?

Submitting an application through Sallie Mae takes a few minutes. Once you’ve submitted your loan application, Sallie Mae will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.
It may take some time to actually receive your loan. First, you must go through Sallie Mae’s loan certification process. Then, your school must approve the loan which may take between four to six weeks.

What happens if I don’t qualify for a Sallie Mae student loan?

If you don’t qualify for a Sallie Mae student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are Sallie Mae student loans federal or private?

Sallie Mae loans are private loans. Before you take on a private loan, we recommend that you exhaust your federal loan options. 

Does applying for a loan through Sallie Mae hurt my credit score? 

Sallie Mae does not have a custom prequalification process. Typically, prequalifying for a student loan includes a soft credit check, which does not affect your credit score. Thus, if you apply for a loan with Sallie Mae, a hard credit check will be done, which could temporarily hurt your credit score.

See Sallie Mae’s disclosures here.

*All rates include 0.25% AutoPay Discount, which requires you to agree to make your scheduled monthly payments by an automatic monthly deduction (ACH) from a valid bank account. 

EdvestinU Snapshot

EdvestinU is a student loan program from the nonprofit New Hampshire Higher Education Loan Corp that offers private student loans and student loan refinancing to students across the country. EdvestinU private student loans are available nationwide to undergraduate and graduate students, as well as international students with an eligible cosigner. It is best if you are looking to borrow from a non-profit lender that provides competitive interest rates, flexible repayment plans, and extended deferment/forbearance. 

Fixed APR Range: 4.52% to 9.04%

Variable APR Range: 8.12% to 11.02%

Loan Amounts: $1,000 up to the total cost of attendance

Minimum Credit Score: 750

Best Features	Drawbacks
• Work with a non-profit, rather than a traditional lender  • Variety of repayment options • Exclusive benefits for New Hampshire residents	• You can’t see if you’ll qualify and what rate you’ll get without a hard credit check • Not accessible to students enrolled less than half-time • Strict cosigner release policy

What’s Inside

• Interest Rates, Fees, and Terms
• Eligibility Requirements – Financial
• Eligibility Requirements – Personal
• Repayment Options
• Customer Service
• FAQ

Best Features of EdvestinU Student Loans

Work with a non-profit, rather than a traditional lender

EdvestinU has been helping families across the country finance the cost of their college education for nearly 60 years. EdvestinU is not affiliated with any school, and as a non-profit, its goal is to save you money by offering the most competitive rates possible. While EdvestinU doesn’t have the name recognition that some of the traditional banks and online lenders have, it offers low rates and personalized customer service.

Variety of repayment options

EdvestinU offers you three repayment options for your student loans, with terms ranging from 7, 10, or 15 years. If possible, it’s beneficial to make in-school loan payments in order to reduce the amount of interest you pay over time. 

Repayment Option	Terms	Pros	Cons
Immediate Repayment	Make full payments as soon as the loan is disbursed, while you’re still in school.	You will minimize the interest you pay, resulting in the greatest savings. Because you’re paying down both interest and principal while you’re still in school, you’ll already have made a good start on repaying your loan by the time you graduate.	For many students, it’s not realistic to make full monthly payments while still enrolled in college.
Interest-Only Repayment	Pay only interest while you’re in school.	Your monthly payments will be more manageable, and your loan balance won’t grow while you’re in school.	You won’t make any progress paying down your loan balance while you’re a student. But at least you won’t owe more than you borrowed when it’s time to start making full payments.
Deferred Repayment	Don’t make any payments while you’re in school. Begin repayment after graduation or 6 months after graduation.	You won’t have to make payments while you’re in school.	You will likely pay the highest overall cost since unpaid interest will be added to your principal amount at the end of your grace period.

Exclusive benefits for New Hampshire residents

EdvestinU, as well as many other private student lenders, offers a 0.25% discount if you enable automatic payments. This is the lender’s way of incentivizing you to turn on autopay so that you don’t miss a payment. 

EdvestinU has taken this to another level by offering New Hampshire residents a 1% rate reduction on fixed rate loans and a 0.25% rate reduction on variable loans. 

EdvestinU also offers in-person support and counseling to borrowers from New Hampshire. 

If you’re a New Hampshire resident, EdvestinU might be the best option for you.

Drawbacks of EdvestinU Student Loans

You can’t see if you’ll qualify and at what rate without a hard credit check

Unlike many other online lenders, EdvestinU does not allow you to qualify and receive rate estimates without undergoing a hard credit check. This means you will have to undergo a hard credit check, which temporarily hurts your credit, in order to see if you qualify and at what rate. If you want to see if you qualify and at what rate with over 15 different lenders, try our 2-minute form. It’s quick, easy, and does not impact your credit score.

Not accessible to students enrolled less than half-time

If you are not enrolled in school at least half-time, you are ineligible for EdvestinU student loans. If you’re studying less than half-time, you may want to consider College Ave. 

Strict cosigner release policy 

Given that most private student loans require a cosigner, it would be nice to see EdvestinU offer more flexibility with cosigner release (i.e. taking the cosigner’s name off the loan and removing the cosigner’s responsibility to pay). As of now, EdvestinU has a strict cosigner release policy that is only available for borrowers who meet the following criteria: 

• The borrower has a credit score greater than 749
• The borrower has a minimum gross income of $30,000 
• The borrower has made 36 months of consecutive & on-time payments

EdvestinU Student Loans: The Nuts and Bolts

Interest Rates, Fees, and Terms

Fixed APR Range	4.52% to 9.04%
Variable APR Range	8.12% to 11.02%
Loan Terms	7, 10, or 15 years
Loan Amounts	$1,000 up to the cost of attendance
Application or Origination Fee	No.
Prepayment Penalty	No.
Late Fees	Yes, five percent of your monthly payment.

Eligibility Requirements – Financial

Minimum Credit Score	750
Minimum Income	$30,000.
Typical Credit Score of Approved Borrowers or Cosigners	781
Typical Credit Score of Approved Cosigners	787
Typical Income of Approved Borrower	$59,000+
Typical Income of Approved Cosigners	$106,000+
Maximum Debt-to-Income Ratio	Not considered.
Ability to qualify if you’ve filed for bankruptcy	Yes, after 10 years have passed.

Eligibility Requirements – Personal

Citizenship	Must be a U.S. citizen or a permanent resident.
Location	Available to borrowers in all 50 states.
Must be enrolled half-time or more	Yes.
School requirements	Borrowers must be attending an eligible Title IV or nonprofit school.
Percentage of borrowers who have a cosigner	90%+.

Repayment Options

In-school Repayment Options	Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re in school.  Interest-only repayment: Only pay interest while you’re in school. Deferred repayment: EdvestinU does not offer full in-school deferment.
In-school Deferment	EdvestinU does not offer full in-school deferment.
Military Deferment	Yes.
Economic Hardship Deferment	Yes, borrowers are eligible for up to 12 months of economic hardship deferment over the life of the loan, given in 3 month increments.
Forbearance	Discretionary forbearance is available for twelve months.
Cosigner Release	Yes (after 36 consecutive on time payments). Borrowers must also have a credit score greater than 749 and a minimum gross income of $30,000.
Death or Disability Discharge	Yes. The loan will be forgiven if the borrower dies, but not in instances of total and permanent disability.
Loan discharge if cosigner dies or becomes disabled	Did not disclose.
Autopay	Allows for surplus payments via autopay: Yes. Allows for biweekly payments via autopay: No.

Customer Service

Loan Servicer	Firstmark Services
In-house Customer Service Team	Yes.
Process for Escalating Concerns	Yes.
Borrowers get assigned a personal customer service representative	No, but in-person one-on-one assistance is available.
Average time from application to approval	One week.

Before you take out a loan from EdvestinU…  

Complete the Sparrow application to compare real rates from more than 15 different lenders to make sure you’re getting the best rate possible. 

See real rates, not rate ranges or estimates: Sparrow’s rates mimic those of our lenders so you know what rate you’re getting from each lender.  

No impact on your credit score: Checking your rates on Sparrow won’t impact your credit score.

Data Privacy: Sparrow doesn’t sell your information, so don’t worry about getting calls from that random number that won’t leave you alone. 

FAQ

Is EdvestinU a legitimate lender?

Yes, EdvestinU is a legitimate lender that has nearly 60 years of experience lending and refinancing in higher education. 

Is EdvestinU available in all 50 states?

Yes, EdvestinU is available in all 50 states. While the nonprofit is based out of New Hampshire, it will lend to students nationwide. EdvestinU also lends to international students with an eligible cosigner.

How long does it take to get an EdvestinU student loan?

Submitting an application through EdvestinU takes a few minutes. Once you’ve submitted your loan application, EdvestinU will instantaneously return a decision about your eligibility. If you qualify, you will receive the rate and terms of your loan.

It may take some time to actually receive your loan. Your school must approve the loan which may take between four to six weeks.

What happens if I don’t qualify for an EdvestinU student loan?

If you don’t qualify for an EdvestinU student loan, the company will inform you why. Depending on the reason, you may consider applying with a qualified cosigner or trying with a different lender. To check your rates across multiple lenders at once, try using Sparrow’s free search engine. In just two minutes, you can receive real, personalized offers from over 15 different lenders ready to help you. And best of all, it won’t impact your credit score.

Are EdvestinU student loans federal or private?

EdvestinU loans are private loans. Before you take out a private student loan, we recommend that you exhaust your federal funding options, including grants and scholarships.

Does applying for a loan through EdvestinU hurt my credit score? 

Yes. In order to check your eligibility and receive your rate, EdvestinU will conduct a hard credit check. A hard credit check may temporarily impact your credit score.

See EdvestinU‘s disclosures here.