The 5 Best Banks to Refinance and Consolidate Student Loans in 2015

Our picks for student loan refinancing:

1) SoFi – Social Finance

• Refinancing and consolidation for private and federal student loans
• Must have completed an eligible undergraduate or graduate degree program
• 1.92% APR to 5.17% APR (with autopay) variable rates, capped at 8.95% to 9.95% APR
• 3.50% APR to 7.24% APR (with autopay) fixed rates
• 5, 10 or 15 year repayment terms
• No origination fees or prepayment penalties
• Available for undergraduate and graduate student loans
• Medium credit score, salary, and debt-to-income requirements
• Unemployment protection – loan payments are paused and they help find new job
• Career support – complimentary coaching for SoFi members
• Entrepreneur program – qualified applicants can receive loan deferrals and mentorship

2) Darien Rowayton Bank (DRB)

• Refinancing and consolidation for graduate and undergraduate, private and federal student loans
• Must be an alumni of a bachelors or graduate degree program (e.g. MBA, Law, post-residency Medical/Dental, Physician Assistant, Advanced Degree Nursing, Pharmacist, Engineering, PhD, etc.) who meet the underwriting criteria
• DRB also offers parents of Bachelor degree holders the opportunity to refinance student loans they took out to finance their child’s education as long as their child has graduated and is working. Parents can refinance Parent PLUS loans in their own name or their child’s name.
• 1.92% – 3.98% variable rate student loan consolidations and refinancing options
• 3.50% – 6.25% fixed rate student loan consolidations and refinancing options
• 5, 10, 15, 20 year repayment terms
• Maximum variable rates capped at 9% for 5,10,15 year terms. For 20 year term, maximum rate cap is 18% APR
• Medium credit score, salary, and debt-to-income requirements
• No origination fee or prepayment penalty
• .25% Interest Rate Reduction with automatic payments via ACH

3) Charter One Bank (aka Citizen’s Bank)

• Refinancing and consolidation for federal and private student loans with an Education Refinance Loan® from Charter One®¹
• Citizens Bank private student loan customers have saved an average of $127/month²
• Fixed rate student loan refinancing featuring an interest rate as low as 4.74% for eligible candidates³
• Variable interest rate as low as one-month LIBOR plus 2.30%³student loan refinancing for eligible applicants
• 15 or 20 year repayment term options
• Loyalty Discount: 0.25 percentage point interest rate reduction on a new Education Refinance Loan if you or your co-signer (if applicable) has a qualifying account in existence with us at the time of application.⁴
• Automatic Payment Discount: 0.25 percentage point interest rate reduction by authorizing our loan servicer to automatically deduct your payments each month from any bank account.⁴
• Co-signer Release: Co-signer may be released from loan responsibility after making 36 consecutive, on-time principal and interest payments.⁵
• No application, origination or disbursement fees
• Minimum Loan to Refinance: $10,000
• (See disclosure and repayment examples)

4) CommonBond

• Refinancing and consolidation for private and federal student loans
• Must have an MBA, JD, MD (post-residency), or Engineering graduate degree program within the CommonBond school network. See if your school qualifies here.
• 2.66% – 5.66% APR variable rate financing (with autopay)
• 3.89% – 7.24% APR fixed rate financing (with autopay)
• 5, 10, 15, and 20 Year Repayment Terms
• 0.25% Interest Rate Reduction with automatic payments via ACH
• Must meet minimum lending requirements based on credit score, salary, debt-to-income and other criteria
• Unemployment protection – loan payments are paused and they help eligible graduates find new jobs and also hire them for short-term consulting projects
• Access to CommonBond Community – Borrowers are connected to events in their cities, networking opportunities, and lifestyle perks
• Social good – for every fully funded degree through CommonBond, they fund the education of a student in need abroad for a year through Pencils of Promise

5) Education Success Loans

• Consolidate and Refinance Private Student Loans and Federal Student Loans
• 25 Year Repayment Term
• 1 Year Fixed 4.99%* then variable rate for the term of the loan
• 5 Year Fixed 5.99%* then variable rate for the term of the loan
• 10 Year Fixed 7.99%* then variable rate for the term of the loan
• *Denotes Auto-Pay: 0.25% Interest Rate Reduction with automatic payments via ACH
• No Origination Fees or Prepayment Penalties

Eligibility Requirements:

• Have received a bachelor’s degree or higher from a Title IV eligible school
• Have graduated at least 30 months prior to application date
• Meet our credit criteria, either individually or with a Co-Borrower
• Have a minimum of $5,000 ($15,001 if in Kentucky) in private student loans to consolidate
• Supply acceptable proof of income of at least $24,000 annually
• Be a US Citizen or Permanent Resident and continue to be a Permanent resident of DC or any state in the continental United States other than AZ, IA, IL or WI