• Private student loans can help cover educational costs not met by federal aid, savings or scholarships.
• Ascent Funding, Sallie Mae and Earnest are among the top-rated private student loan providers.
• Federal loans typically offer more protections and flexible repayment options than private loans.

With the new school year around the corner, you might be considering taking out a loan to cover tuition or other educational expenses. Private student loans are a common pay to pay for what savings, federal loans, scholarships and grants don’t cover. But not all lenders are created equal. 

To determine the best student loan companies, we assessed the affordability, eligibility requirements, borrower protections and customer service practices of the most prominent providers across the country. These are the lenders that stood out, according to our comprehensive scoring methodology. 

Our top-rated student loan providers 

• Ascent Funding: Best for borrowers without a cosigner
• Sallie Mae: Best for low starting interest rates
• Earnest: Best for flexible repayment options
• College Ave: Best for part-time students
• SoFi: Best for customer service
• ELFI: Best for highly qualified borrowers
• RISLA: Best for borrower protections
• Citizens Bank: Best for discounts
• MEFA: Best for predictable payments

Compare private student loan providers

Company	Loan types	Loan amounts	Repayment term length	Fixed APR rates	Variable APR rates	Our score
Ascent Funding	Undergraduate, graduate, career training	$2,001–$200,000	5–20 years	2.19%–15.51%	3.64%–16.3%	4.65/5
Sallie Mae	Undergraduate, graduate, career training	$1,000 up to full cost of attendance	5–15 years	2.09%–17.49%	3.62%–16.83%	4.56/5
Earnest	Undergraduate, graduate	$1,000 up to full cost of attendance	5–15 years	2.19%–16.24%	4.74%–16.6%	4.39/5
College Ave	Undergraduate, graduate, career training	$1,000 up to full cost of attendance	5–15 years	2.09%–17.99%	3.89%–17.99%	4.37/5
SoFi	Undergraduate, graduate	$1,000 up to full cost of attendance	5–20 years	2.45%–15.99%	4.39%–$15.99%	4.25/5
ELFI	Undergraduate, graduate	$1,000 up to full cost of attendance	5–15 years	2.99%–14.22%	6.75%–13.05%	4/5
RISLA	Undergraduate, graduate	$1,500–$200,000 or full cost of attendance	5–15 years	2.99%–8.77%	Not available	3.99/5
Citizens Bank	Undergraduate, graduate	$1,000 up to full cost of attendance	5–20 years	3.24%–13.49%	4.94%–14.21%	3.98/5
MEFA	Undergraduate, graduate	$1,500 up to full cost of attendance	10–15 years	4.95%–8.9%	3.89%–17.99%	3.84/5

Ascent Funding: Best for borrowers without a cosigner

• Loan types: Undergraduate, graduate, career training
• Loan amounts: $2,001–$200,000
• Typical repayment term length: 5–20 years 
• Fixed APR rates: 2.19%–15.51%
• Variable APR rates: 3.64%–16.3%
• Our score: 4.65/5

Ascent Funding stands out for the flexibility it offers borrowers. For starters, the company makes it easier to secure a loan without a cosigner compared to many competitors. Ascent doesn’t just rely on traditional metrics like credit history and income to assess eligibility. It often looks at factors like your expected graduation date, future earning potential and degree program to approve some students who might not otherwise qualify.

Once you start making payments, Ascent has flexible options like interest-only repayment, reduced-payments and customizable term lengths that accommodate your circumstances. It also offers a nine-month grace period for undergraduate borrowers, longer than the industry standard of six months. 

That said, if you have a cosigner and excellent credit, you may be able to secure a lower interest rate with another company, such as Sallie Mae or College Ave.

Sallie Mae: Best for low starting interest rates

• Loan types: Undergraduate, graduate, career training
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–15 years
• Fixed APR rates: 2.09%–17.49%
• Variable APR rates: 3.62%–16.83%
• Our score: 4.56/5

As the largest private student loan lender in the United States, Sallie Mae is one of the most recognizable names in the industry.

The company offers a six-month grace period after you graduate or go below half-time enrollment, which is standard across most student loan providers. However, Sallie Mae also offers 12 months of interest-only payments following your grace period. This can temporarily keep your payments lower. It also has one of the lowest starting APRs of the companies on our list, meaning highly qualified borrowers may be able to secure a low interest rate.

Unlike several competitors, Sallie Mae does not directly offer loan refinancing or consolidation. Additionally, although the business earns an average of 4.7 out of 5 stars across over 3,000 reviews on Trustpilot, its reviews on BBB are much lower. Negative reviews mention longer-term customer service issues and aggressive collection practices.

Earnest: Best for flexible repayment options

• Loan types: Undergraduate, graduate
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–15 years
• Fixed APR rates: 2.19%–16.24%
• Variable APR rates: 4.74%–16.6%
• Our score: 4.39/5

Loans through Earnest have more flexible options compared to some other providers. It offers a nine-month grace period after graduation or separation from school, longer than most other lenders. 

And if your circumstances change after leaving school, Earnest offers options like reduced or interest-only payments, as well as deferment and forbearance. If you have an on-time payment history, you can also skip one monthly payment per year. 

Although Earnest offers competitive rates, its starting fixed and variable APRs are slightly higher than competitors including Sallie Mae and College Ave.

College Ave: Best for part-time students

• Loan types: Undergraduate, graduate, career training
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–15 years
• Fixed APR rates: 2.09%–17.99%
• Variable APR rates: 3.89%–17.99%
• Our score: 4.37/5

College Ave offers industry-standard terms across its student loan offerings. Borrowers have access to a six-month grace period after leaving undergrad, automatic payment discount, customizable loan terms, and forbearance and deferment options.

College Ave offers some perks that many competitors don’t. For instance, unlike many other lenders, you can qualify for a loan with College Ave if you’re attending programs less than half-time. You can also take out loans for career training or trade school. 

Although College Ave’s starting interest rates are very competitive, its highest fixed and variable rates of nearly 18% are slightly higher than most other competitors on our list.

SoFi: Best for customer service

• Loan types: Undergraduate, graduate
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–20 years
• Fixed APR rates: 2.45%–15.99%
• Variable APR rates: 4.39%–$15.99%
• Our score: 4.25/5

SoFi is another major name offering flexible terms for borrowers. Unlike some competitors, such as Sallie Mae and Citizens Bank, SoFi does not charge any late fees or insufficient-funds fees. SoFi also does not charge origination, servicing or early repayment fees, though this is standard practice across the industry. 

SoFi also stands out for its customer experience. SoFi’s customer service is available daily over the phone or live chat, and many borrowers can request a dedicated advisor. The platform also has a student loan self-service center and many financial educational resources online. 

Although you may qualify for a student loan with less-than-ideal credit, SoFi relies on traditional factors like income, cosigner and credit history to determine eligibility. Competitors like Ascent Funding might be a better bet if you have limited credit or no cosigner.

ELFI: Best for highly qualified borrowers

• Loan types: Undergraduate, graduate
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–15 years
• Fixed APR rates: 2.99%–14.22%
• Variable APR rates: 6.75%–13.05%
• Our score: 4/5

ELFI, short for Education Loan Finance, offers competitive rates for highly qualified borrowers. It uses traditional underwriting practices to determine eligibility. So, similarly to competitors like SoFi, ELFI is best suited for students with strong credit profiles or cosigners. 

One perk of ELFI is that its maximum fixed and variable APRs are lower than many competitors like Ascent Funding, Sallie Mae and Earnest. That means you might be able to score a better rate compared to other lenders. 

RISLA: Best for borrower protections

• Loan types: Undergraduate, graduate
• Loan amounts: $1,500–$200,000 or full cost of attendance
• Typical repayment term length: 5–15 years
• Fixed APR rates: 2.99%–8.77%
• Variable APR rates: Not available
• Our score: 3.99/5

RISLA, or the Rhode Island Student Loan Authority, is a public organization chartered by the state of Rhode Island. However, it offers fixed rate student loans to borrowers across all 50 states and Washington, D.C. 

RISLA’s maximum fixed rate APR is 8.77%, the lowest of any provider on our list. Although its loans are private, RISLA’s terms and protections are similar to those of federal loans. For instance, you can join an income-based repayment plan or temporary forbearance during financial hardship, perks that many private lenders do not offer, or only offer on a limited basis.

However, RISLA does not offer variable APR rates that fluctuate with the market. Fixed rate loans offer more predictable payments, but are less flexible than variable rate loans.

Citizens Bank: Best for discounts

• Loan types: Undergraduate, graduate
• Loan amounts: $1,000 up to full cost of attendance
• Typical repayment term length: 5–20 years
• Fixed APR rates: 3.24%–13.49%
• Variable APR rates: 4.94%–14.21%
• Our score: 3.98/5

Citizens Bank, like other competitors, gives borrowers a 0.25% loyalty discount when they enroll in auto-pay. You can also secure an additional 0.25% discount if you have a checking account through the bank.

Another benefit of taking out student loans with Citizens is the multi-year approval program. You can request funds for subsequent years after your initial approval without submitting additional documentation or undergoing a hard credit check. 

Citizens Bank does have the lowest Trustpilot score of all providers on our list. It’s important to note that these reviews are generally regarding the business as a whole, not just the student loan division, but many negative reviews report difficulty reaching customer support and long hold times. 

MEFA: Best for predictable payments

• Loan types: Undergraduate, graduate
• Loan amounts: $1,500 up to full cost of attendance
• Typical repayment term length: 10–15 years
• Fixed APR rates: 4.95%–8.9%
• Variable APR rates: Not available 
• Our score: 3.84/5

Like RISLA, MEFA (Massachusetts Educational Financing Authority), is a state-affiliated, nonprofit lender. MEFA also does not offer variable-rate loans, instead focusing on low-APR, fixed rate loans. 

MEFA has the smallest interest rate range on our list. All its student loans have an interest rate between 4.95% and 8.9%, meaning your payments and APR are more predictable and manageable compared to many privately owned competitors. 

That said, its starting rates are higher than RISLA and several other competitors on this list, meaning highly qualified borrowers may still be able to find lower interest rates elsewhere. 

What is the difference between private and public student loans? 

Public student loans are offered through the federal government, rather than private lenders. Federal loans have a set interest rate and typically have more protections, but borrowing limits can be lower. 

Category	Federal loans	Private loans
Lender	U.S. government	Banks, credit unions and online lenders
Credit check	Usually not required	Usually required, credit minimums apply
Interest rates	Set by federal law: undergraduate loans set at 6.52% until July 2027	Often ranges anywhere from about 2% to 18% depending on credit and other factors
Income-driven repayment	Most plans are eligible	Usually not available
Loan forgiveness programs	Can be available depending on your eligibility	Usually not available
Borrowing limits	Lower; determined by federal eligibility rules	Usually higher; determined by factors like credit history and cost of attendance

Is there a minimum credit score to qualify for student loans? 

Most private lenders do not publish strict minimum credit scores to qualify for student loans. However, most borrowers need a credit score in the mid-600s or higher to qualify. Borrowers with scores in the mid-700s or higher are more likely to receive the lowest interest rates. 

On the other hand, qualifying for federal loans does not typically require a credit check. Instead, your approval is based on your FAFSA eligibility. FAFSA eligibility is largely determined by financial need, not credit history.

How long does it take to repay a student loan? 

How long it takes to repay a student loan depends on your repayment term length. For private student loans, the typical repayment period is between five and 15 years, with 10 years being the most common timeline. 

That said, none of the companies on our list charge early repayment penalties. That means you can pay off your loan faster if you’d like. By contributing more than the minimum payment each month, you can shorten your repayment period and reduce what you pay in interest. 

Also consider that federal loans tend to offer more flexible repayment options. For instance, you might be eligible for income-driven repayment or extended repayment that can span 20 to 25 years. Some federal loans sometimes also qualify for loan forgiveness, hardship relief, and deferment and forbearance options that can impact your repayment timeline.

How we rate student loan providers 

We scored and ranked our top student loan providers based on over two dozen metrics across four different categories. Each scoring category broke down as follows: 

• Affordability (30%): We assessed the highest and lowest fixed and variable APRs for each company, as well as whether or not lenders charged origination, servicing and early repayment fees. 
• Eligibility (20%): The highest scoring providers are available across the United States, don’t have membership requirements and offer undergraduate, graduate and career training loans. 
• Borrower protections (25%): We assigned the highest scores to lenders offering deferred repayment options, flexible payment dates, interest-only and reduced payment options, hardship assistance and other forbearance programs. Lenders with grace periods higher than six months earned extra points.
• Customer service (25%): Companies offering automatic online payments, dedicated complaint teams, consumer financial protection and robust customer service earned the highest scores. We also looked at customer reviews on platforms like Trustpilot.   

Bottom Line

Private student loans can help you pay for school-related expenses when federal loans, grants, scholarships and money you have on hand don’t cover the full cost. But not all companies are the same. 

We rated Ascent Funding, Sallie Mae and Earnest among the top-rated private loan companies. Each of these lenders are widely recognized as legitimate, and offer transparent terms for borrowers. 

Always do your research before taking out a student loan. Many private loans don’t offer the same protections, like loan forgiveness and unemployment deferment, as federal loans. That’s why it’s important to compare lenders and carefully review loan terms to make sure you’ll be able to comfortably repay what you owe after graduation. 

FAQ: Best student loan companies

Is SoFi or Sallie Mae better?

SoFi and Sallie Mae are both major legitimate loan providers that made our list of top-rated private student loan companies. According to our scoring methodology, Sallie Mae excels has some of the lowest starting interest rates, while SoFi excels at customer service. 

How much is a $100,000 student loan payment per month?

It depends on your loan repayment term and interest rate. For example, if you have a $100,000 student loan payment with a standard repayment term of 10 years and a 6% interest rate, your monthly payment will be around $1,110. If your repayment term is 15 years at the same interest rate, you’ll pay around $843 per month. 

What is a good rate for a private student loan? 

The highest rates for private student loans can reach nearly 20%, with any rate above 10% considered high. The best available interest rates for private student loans are typically between 2% and 4%, and federal undergraduate loan rates are set at 6.52% until July 1, 2027.

What is the best private lender for student loans? 

We rated Ascent Funding, Sallie Mae and Earnest among our top-rated private lenders for student loans. 

Is Sallie Mae or FAFSA better?

FAFSA, which is short for Free Application for Student Aid, is the main way students access federal student loans and grants. Federal loans are generally better than provide loans, such as those provided by Sallie Mae, because they offer more federal protections, income-driven repayment plans, deferment and forbearance options, and potentially lower interest rates.