8 oct 2026 ·
Advertiser disclosure: Every figure comes from the lender’s own website or a named independent source, and our method is explained at the end of the article.
Refinancing your student loans means taking out a new private loan to pay off one or more existing student loans. If you qualify for a lower interest rate, you can cut your total interest, lower your monthly payment, or both, and replace several loans with one payment.
But refinancing isn’t right for everyone. If you have federal student loans, refinancing them with a private lender permanently gives up federal protections, and the federal rules changed significantly in 2026. Below we cover what to weigh first, then compare six refinance lenders using rates and terms published as of October 8, 2026.
Who usually benefits from refinancing
- Borrowers with private student loans, who don’t have federal protections to lose
- Borrowers with high-rate loans and a credit score and income that have improved since they first borrowed
- Borrowers with stable jobs and emergency savings, who are unlikely to need income-driven payments or forbearance
- Borrowers who don’t plan to use federal forgiveness, such as Public Service Loan Forgiveness
Before you refinance federal loans: what you give up
Refinancing a federal student loan with a private lender is permanent. As SoFi’s own disclosure puts it, when you refinance federal loans with a private loan, «you forfeit your eligibility for all federal loan benefits.» That includes:
- Income-driven repayment plans, which tie your payment to your income
- Public Service Loan Forgiveness (PSLF) and other federal forgiveness programs
- Federal deferment and forbearance options if you lose your job or face hardship
- Any future federal relief that applies only to federal loans
What changed for federal loans in 2026
The One Big Beautiful Bill Act, signed in July 2025, reshaped federal repayment starting July 1, 2026, according to summaries from Harvard Student Financial Services and NerdWallet:
- A new Repayment Assistance Plan (RAP) applies to federal loans disbursed on or after July 1, 2026. NerdWallet reports payments of 1% to 10% of adjusted gross income.
- Existing borrowers with no new loans after July 1, 2026 can generally keep their current plans, such as Income-Based Repayment, or opt into RAP.
- SAVE, PAYE and ICR are being phased out, and borrowers in them must move to another plan.
- Grad PLUS loans were phased out for new borrowers, and new federal borrowing limits apply.
These rules are still being implemented, so confirm details for your own loans at StudentAid.gov before deciding.
Bottom line: if there’s a real chance you’ll need income-driven payments, forbearance or PSLF, keep your federal loans federal. Many borrowers refinance only their private loans, or only part of their federal balance.
Our top picks at a glance
Earnest is our top pick for most borrowers: it has one of the lowest starting fixed rates, lends up to $550,000, accepts a 650 score and doesn’t require a degree. Splash is the best way to compare several lenders at once.
| Lender | Best for | Fixed APR | Variable APR | Loan amounts | Terms | Min. credit score |
|---|---|---|---|---|---|---|
| Earnest | Best overall; no degree required | 4.25% – 9.79% | 5.68% – 9.79% | $5,000 – $550,000 | 5 – 20 years | 650 |
| SoFi | Member perks; no degree required | 4.49% – 10.99% | 5.74% – 10.99% | $5,000 minimum, no maximum | 5, 7, 10, 15, 20 years | Not disclosed |
| Splash Financial | Comparing multiple lenders | 3.99% – 10.24% | 4.74% – 10.24% | About $5,000 minimum, no maximum | 5 – 20 years fixed; 5 – 25 variable | 650 |
| ELFI | Customer support; Parent PLUS | 4.29% – 8.44% | 4.74% – 8.24% | $10,000 minimum, no maximum | 5, 7, 10, 15, 20 years | 680 |
| LendKey | Credit union lenders | 4.39% – 9.24% | 4.18% – 6.23% | $5,000 – $250,000 | 5, 7, 10, 15, 20 years | 680 |
| Citizens | Large balances; co-signers allowed | 5.73% – 10.29% | 6.01% – 11.29% | $10,000 minimum; up to $750,000 by degree | 5, 7, 10, 15, 20 years | Not disclosed |
Rates and terms are from NerdWallet’s refinance comparison (updated September 16, 2026) and generally include autopay discounts. SoFi’s $5,000 minimum is confirmed on its own site, where fixed rates start at 4.49% APR with autopay (information current as of May 21, 2026). Rates change often; check each lender before applying.
The best student loan refinance lenders, reviewed
1. Earnest — best overall
Earnest combines a low starting fixed rate (4.25%) with the highest stated loan limit here, $550,000, and terms from 5 to 20 years. NerdWallet reports a 650 minimum credit score and no degree requirement, though you must be within six months of graduating and have income or a job offer. Eligible borrowers can skip one payment every 12 months.
- Pros: high loan limit, no degree required, flexible terms, skip-a-payment option
- Cons: can’t refinance Parent PLUS loans, according to NerdWallet
2. SoFi — best for member perks
SoFi refinances balances of $5,000 or more, with terms of 5, 7, 10, 15 or 20 years and no stated maximum. CNBC Select reports no origination, late or insufficient-funds fees, and SoFi members get access to financial planning and other benefits. SoFi’s own disclosure is clear about the trade-off of refinancing federal loans.
- Pros: no maximum loan amount, no degree required, no origination fee, member perks
- Cons: minimum credit score not disclosed; no cosigner release
3. Splash Financial — best for comparing multiple lenders
Splash is a marketplace that connects you with partner banks and credit unions, so one application can show several offers. It has the lowest starting fixed rate in our table (3.99%) and offers variable terms up to 25 years. CNBC Select reports no application, origination or prepayment fees.
- Pros: several offers in one place, low starting rates, long variable terms
- Cons: degree required; no co-signers; hardship options depend on the partner lender
4. ELFI — best for customer support and Parent PLUS loans
ELFI (Education Loan Finance) assigns a dedicated loan advisor and, according to CNBC Select, can refinance Parent PLUS and private parent loans and transfer them into the child’s name. Its fixed rates top out at 8.44%, the lowest maximum in our table.
- Pros: lowest maximum fixed rate, Parent PLUS refinancing, personal advisor
- Cons: $10,000 minimum; 680 credit score and a bachelor’s degree required
5. LendKey — best for credit union lenders
LendKey connects you with community banks and credit unions. Its variable rates top out at 6.23%, the lowest variable ceiling here. Loans run from $5,000 to $250,000.
- Pros: low variable rate ceiling, credit union lenders
- Cons: 680 credit score and at least an associate degree required
6. Citizens — best for large balances
Citizens refinances balances from $10,000 up to $300,000 for bachelor’s degrees, $500,000 for graduate degrees and $750,000 for professional degrees. It allows co-signers, which can help you qualify, and CNBC Select reports an extra discount for existing Citizens customers.
- Pros: very high limits by degree, co-signers accepted, relationship discount
- Cons: higher starting rates; bachelor’s degree required
How much can refinancing save? A $60,000 example
Say you owe $60,000 at 7.5% with 10 years left, and you qualify to refinance at 5.5%:
| Scenario | Rate | Term | Monthly payment | Total interest |
|---|---|---|---|---|
| Keep current loans | 7.5% | 10 years | About $712 | About $25,465 |
| Refinance, same term | 5.5% | 10 years | About $651 | About $18,139 |
| Refinance, longer term | 5.5% | 15 years | About $490 | About $28,245 |
| Refinance, shorter term | 5.5% | 5 years | About $1,146 | About $8,764 |
These are illustrative rates; we calculated the figures with a standard loan formula. Your rate depends on your credit, income, degree and the term you choose.
Two takeaways: a two-point rate cut over the same term saves about $7,300 here. But stretching the term to lower your payment can cost you more in total than you pay now, even at a lower rate.
Fixed or variable?
A fixed rate stays the same for the life of the loan. A variable rate may start lower but can rise later. Variable rates make the most sense if you plan to pay off the loan quickly.
Typical eligibility requirements
- Credit score: usually 650 to 680 or higher; lenders like SoFi don’t disclose a minimum
- Income: steady income or a job offer, and a manageable debt-to-income ratio
- Degree: many lenders require one (ELFI and Citizens require a bachelor’s; LendKey and Splash at least an associate degree), while Earnest and SoFi don’t
- Minimum balance: usually $5,000 or $10,000
- Not still in school: SoFi, for example, won’t refinance loans that are funding an enrolled student’s current education
If you don’t qualify alone, some lenders, such as Citizens, accept a co-signer.
How to refinance student loans, step by step
- List your loans, separating federal from private, with each balance and rate.
- Decide which to refinance. Consider keeping federal loans if you might need income-driven repayment or PSLF.
- Prequalify with several lenders, or use a marketplace like Splash. Prequalification usually uses a soft credit check.
- Compare APR, term, fixed vs variable, and protections such as forbearance options.
- Apply and upload documents, such as pay stubs and loan statements.
- Keep paying your old loans until the new lender confirms they’re paid off.
How we chose these lenders
We looked at major student loan refinance lenders and marketplaces that lend nationally. We ranked them on five factors:
- Cost (35%): fixed and variable APR ranges and fees
- Access (25%): credit score, degree and income requirements, and co-signer options
- Loan fit (15%): minimum and maximum balances and term options
- Borrower protections (15%): forbearance, skip-a-payment and hardship options
- Transparency (10%): how clearly rates, terms and the trade-offs of refinancing federal loans are disclosed
Lender rate pages often require a quote or don’t show full ranges, so most rates and terms come from NerdWallet’s comparison (updated September 16, 2026) and CNBC Select (September 23, 2026), checked against lenders’ own pages where possible. We didn’t apply for these loans ourselves. Federal rules are changing; we review this list at least once every quarter.
Frequently asked questions
Should I refinance my federal student loans?
Only if you’re confident you won’t need federal benefits such as income-driven repayment, Public Service Loan Forgiveness, or federal deferment and forbearance. Refinancing federal loans into a private loan is permanent. Many borrowers refinance only private loans.
What credit score do I need to refinance student loans?
Most lenders want a score of about 650 to 680 or higher, according to NerdWallet. Earnest and Splash list 650, while ELFI and LendKey list 680. A co-signer can help at lenders that accept one, such as Citizens.
Can I refinance student loans without a degree?
Yes, at some lenders. NerdWallet reports that Earnest and SoFi don’t require a degree. ELFI and Citizens require at least a bachelor’s.
Does checking refinance rates hurt my credit?
Prequalifying usually uses a soft credit check that doesn’t affect your score. A hard inquiry happens when you submit a full application.
Can I refinance Parent PLUS loans?
Yes, with some private lenders. CNBC Select reports that ELFI refinances Parent PLUS loans and can move them into the child’s name. Keep in mind that refinancing ends federal benefits.
How often can I refinance student loans?
There’s usually no limit. You can refinance again if rates drop or your credit improves, as long as you qualify and the new loan saves you money.
Disclaimer
This article is for general information only and is not financial, legal or tax advice. We are not a lender or a financial advisor. Rates, terms and requirements shown are those published by each lender, or reported by the sources cited, on the date above and may change at any time. Federal student loan rules changed in 2026 and continue to be implemented; confirm how they apply to you at StudentAid.gov. Refinancing federal loans with a private lender permanently ends eligibility for federal benefits. Always compare several offers and read the full loan agreement before you refinance.