Best private student loans for 2025-2026

Introduction: Navigating private student loan options

For the 2025-2026 academic year, the top-rated private student loan lenders are Earnest, College Ave, Ascent, SoFi, and Sallie Mae. Families typically prioritize options that protect parental credit and household budgets, while students look for terms that keep future monthly payments manageable.

According to Mark Kantrowitz, financial aid expert, “Private loans can be a good option when federal loans don’t cover the full cost of attendance.” When federal aid limits leave a funding gap, private lenders offer a vital solution to cover remaining tuition, room, and board costs.

This guide compares these five industry leaders side-by-side. You’ll learn about their specific interest rates, repayment flexibility, and eligibility requirements. We selected these providers based on a rigorous evaluation of their transparency and borrower benefits, ensuring you have the clear, honest data needed to secure funding responsibly.

How we selected the top 5 private student lenders

With dozens of private student loan providers on the market, distinguishing between a high-quality lender and a predatory offer is essential for your financial future. To select the top five lenders for this guide, we evaluated major financial institutions against a strict set of criteria focused on long-term value and borrower safety. Our analysis prioritized competitive interest rates, flexible repayment terms, and transparent eligibility requirements that accommodate both parents and students.

We specifically looked for lenders offering tangible benefits, such as cosigner release programs, unemployment protection, and grace periods that align with post-graduation realities. We cross-referenced official rate disclosures (current as of January 2025) with third-party customer satisfaction ratings from consumer review platforms. This ensures that the lenders recommended here not only advertise low rates but also deliver reliable customer service when you need it most.

Lenders with a history of hidden origination fees, rigid repayment structures, or poor borrower support were excluded from our rankings. The five selected providers—Earnest, College Ave, Ascent, SoFi, and Sallie Mae—consistently ranked highest for transparency and flexibility. The comparison below breaks down these key metrics side-by-side, allowing you to evaluate which lender aligns best with your specific financial situation.

Quick comparison: Top 5 lenders at a glance

Finding the right private student loan is rarely a one-size-fits-all process. While interest rates are a critical factor, the best choice often depends on your specific repayment goals—whether that means minimizing total interest costs, securing a lower monthly payment, or finding a lender that approves borrowers without a cosigner. The table below provides a high-level snapshot of how these top five lenders compare across key metrics for the 2025-2026 academic year.

Source: Lender rate disclosures and terms, accessed January 2025. Rates include autopay discounts where applicable and are subject to credit approval.

To make a quick decision based on this data, consider your primary constraint. If you or your cosigner have excellent credit and want to minimize the cost of borrowing, SoFi and Earnest typically offer the most competitive rates for highly qualified applicants. According to Betsy Mayotte, president of The Institute of Student Loan Advisors, “Private loans can make sense for students who have strong credit or a creditworthy cosigner,” and these two lenders reward that financial history heavily.

However, if you need more lenient eligibility criteria, Ascent stands out for its non-cosigner outcomes based on future income potential, while Sallie Mae offers broad coverage for part-time and less-than-half-time enrollment statuses that other lenders often exclude. For families seeking a middle ground—balancing competitive rates with a highly user-friendly interface and clear terms—College Ave remains a top all-around contender.

As you review the detailed breakdowns below, remember to check if you qualify for rate discounts. According to lender disclosures as of January 2025, most lenders in this list offer a 0.25% interest rate reduction for enrolling in autopay, which can significantly lower your total cost over the life of the loan. For a deeper dive into how these metrics stack up across the broader market, you can also view our full private student loan comparison guide.

Earnest: Best for customization and flexibility

Earnest has established itself as a leader in the fintech space by rethinking how student loans are structured. Unlike traditional banks that fit borrowers into rigid 5- or 10-year boxes, Earnest uses a data-driven approach to offer a highly personalized borrowing experience. This lender is particularly well-suited for families and students who want granular control over their monthly budget and repayment timeline.

The standout feature of Earnest is its “Precision Pricing” model. This tool allows you to select your exact monthly payment and loan term—down to the month—based on what your budget can handle. For example, instead of choosing between a 10-year or 15-year term, you could choose a 12-year, 4-month term if that results in your target monthly payment.

According to Jason Delisle, a higher education finance expert, “The private market can and does innovate — offering options federal loans don’t, such as variable rates or targeted underwriting.” Earnest exemplifies this innovation with borrower-friendly perks that are rare in the industry, including:

• Skip-a-Payment: Borrowers can request to skip one payment every 12 months (after the grace period) without penalty, though interest continues to accrue.
• 9-Month Grace Period: While most lenders offer six months, Earnest provides nine months after graduation before full principal and interest payments are due.
• Biweekly Autopay: You can align payments with your paycheck schedule, which naturally lowers total interest costs over time.

According to Earnest’s rate disclosures as of January 2025, fixed APRs range from 4.39% to 16.20%, which includes a 0.25% autopay discount. The lender charges zero fees—no origination fees, no prepayment penalties, and remarkably, no late fees. This fee-free structure provides peace of mind for students worried about accidental slip-ups during repayment.

Earnest’s technology-forward approach comes with strict eligibility requirements. According to industry data as of January 2025, the lender typically looks for a minimum credit score of 650, and approval often hinges on a healthy debt-to-income ratio.

The most significant drawback for parents to consider is the policy regarding cosigners. Unlike many competitors, Earnest does not currently offer a cosigner release option for their private student loans. This means if a parent cosigns a loan to help their child get approved, they remain legally responsible for the debt until it is paid off in full or refinanced with a different lender.

Customer sentiment for Earnest is overwhelmingly positive, with a Trustpilot score as of January 2025 consistently hovering around 4.7 out of 5 stars. Users frequently praise the “clean, easy-to-use dashboard” and the ability to adjust payments quickly online. One recent review noted, “The application took less than 10 minutes, and being able to see exactly how my term length changed my interest rate was a game changer.”

While Earnest offers incredible customization, the inability to remove a cosigner later can be a dealbreaker for parents planning their own retirement. If you are looking for a lender that combines competitive rates with a clear path to financial independence for the student, the next lender on our list offers a more balanced approach.

Compare rates from 8+ lenders with Earnest

College Ave: Best overall student loan provider

While some lenders offer student loans as just one of many financial products, College Ave specializes exclusively in student lending. This singular focus results in a streamlined, user-friendly experience that balances competitive rates with an intuitive application process. For families overwhelmed by complex financial jargon, College Ave is often the “best overall” choice because it simplifies the decision-making process without sacrificing borrower benefits.

College Ave’s strongest selling point is its “build-your-own-loan” approach. While Earnest offers precision regarding the exact payment amount, College Ave provides the clearest structure for choosing how you want to handle debt while in school. Borrowers can choose from four distinct in-school repayment options:

• Full Principal & Interest: You start paying the full amount immediately, saving the most money long-term.
• Interest-Only: You pay only the accruing interest each month while in school to prevent the balance from growing.
• Flat $25 Payment: You pay a manageable $25 monthly to build payment habits and slightly offset interest.
• Deferred: No payments are required until after the grace period ends (though interest continues to stack up).

Additionally, they are one of the few lenders to offer an 8-year repayment term, sitting nicely between the standard 5-year and 10-year options. This variety allows families to fine-tune their monthly obligations. To understand which schedule fits your budget best, review our guide on choosing the right repayment plan.

According to College Ave’s rate disclosures as of January 2025, fixed interest rates range from 4.29% to 16.99%, including the 0.25% autopay discount. There are no origination, application, or prepayment fees. The application process is incredibly fast—often providing a credit decision in under three minutes—which is ideal for students who need to secure funding quickly before a tuition deadline.

Customer satisfaction is another strong suit. College Ave maintains high ratings on third-party review platforms like Trustpilot, where users frequently cite the helpfulness of the customer service team and the clarity of the loan calculator tools.

To qualify, borrowers typically need a credit score in the mid-600s, and because most undergraduate students have limited credit history, a cosigner is almost always required. The main drawback to consider is the cosigner release policy. While available, it is stricter than some competitors; you typically cannot apply to release a cosigner until more than half of the repayment term has elapsed. If releasing a parent from financial responsibility quickly is your top priority, other lenders may offer a faster route.

College Ave offers a balanced, high-quality experience for the majority of borrowers. However, if you are a student who cannot secure a cosigner—or if your family’s credit history doesn’t meet the requirements for prime lenders—you may need a lender with alternative eligibility criteria. The next option on our list specializes in exactly that scenario.

Check your rate with College Ave

Ascent: Best for students without cosigners

For many students, the biggest hurdle to securing private funding is the requirement for a creditworthy cosigner. According to Mark Kantrowitz, financial aid expert, “Most students will need a cosigner to qualify for a private student loan.” This reality leaves many families stuck if parents cannot risk their credit or if a student is financially independent. Ascent has carved out a unique space in the market by addressing this exact problem with innovative “non-cosigned” loan options.

Ascent distinguishes itself by offering two distinct types of non-cosigned loans, which is rare in the private lending space. While they offer standard credit-based loans for borrowers with established history, their standout product is the Outcomes-Based Loan. This option allows undergraduate juniors and seniors to qualify based on their future earning potential rather than their current credit score or family wealth.

To approve these loans, Ascent evaluates factors like the student’s major, school, expected graduation date, and GPA (typically requiring a 2.9 or higher). This approach opens doors for students who are serious about their education but lack the family financial backing required by traditional banks. For international students, Ascent also offers specific loan products that do not always require a U.S. cosigner, provided certain visa and documentation criteria are met.

According to Ascent’s rate disclosures as of January 2025, fixed APRs range from 4.62% to 15.96%, which includes a 0.25% autopay discount. It is important to note that the non-cosigned options typically fall on the higher end of this rate spectrum due to the increased risk the lender is taking. However, for students with no other options, access to funds at a higher rate is often preferable to dropping out.

Ascent also incentivizes graduation and financial literacy. Borrowers can earn a 1% cash back reward on the principal amount of their loan upon graduation—a tangible bonus that can help with post-college transition costs or be applied directly to the loan balance.

While the non-cosigned option is a game-changer, it is not available to everyone. Freshmen and sophomores generally do not qualify for the Outcomes-Based Loan and will still need a cosigner or a strong personal credit history to be approved. Additionally, the program is limited to specific eligible schools.

Customer reviews frequently highlight the relief of being approved independently. Independent students often note that Ascent was the only lender willing to work with them. However, users also caution that the application process for non-cosigned loans can take longer than standard loans because of the additional document verification required regarding grades and enrollment status.

Ascent provides a vital lifeline for students facing the “cosigner gap.” However, if you or your family have excellent credit scores and a strong financial history, you may qualify for significantly lower interest rates with a lender that caters specifically to “prime” borrowers. The next lender on our list is known for offering some of the lowest rates in the industry to highly qualified applicants.

Check your rate with Ascent

SoFi: Best rates for qualified borrowers

For families and students with established financial histories, SoFi is often the gold standard for private student lending. While other lenders focus on flexibility or alternative eligibility, SoFi focuses on rewarding financial responsibility with some of the lowest interest rates in the market. If your priority is minimizing the total cost of borrowing and you have the credit score to back it up, this lender should likely be your first stop.

SoFi’s business model is built around attracting “prime” borrowers—typically those with excellent credit scores and higher incomes. Because they lend to a lower-risk group, they can afford to offer highly competitive terms. According to SoFi’s rate disclosures as of January 2025, fixed APRs range from 4.49% to 14.80%, which includes a 0.25% autopay discount.

Beyond low rates, SoFi stands out for its complete lack of fees. There are no origination fees, no prepayment penalties, and remarkably, no late fees. This policy is rare in the private sector and provides a safety net against accidental oversight. As Betsy Mayotte, president of The Institute of Student Loan Advisors, notes, “Private loans can make sense for students who have strong credit or a creditworthy cosigner,” and SoFi is designed specifically to maximize value for this group.

Borrowing from SoFi grants you “member” status, which unlocks a suite of benefits that go far beyond a typical bank transaction. The company views itself as a comprehensive financial partner, offering perks designed to help students succeed professionally and financially:

• Career Coaching: Members get access to one-on-one career advice to help with resume building and job searches.
• Financial Planning: Complimentary access to credentialed financial planners can help families navigate complex money goals.
• Networking Events: Exclusive access to community events helps students build professional connections early in their careers.

The trade-off for these premium benefits is exclusivity. SoFi is known for having strict underwriting criteria. According to industry data as of January 2025, approval typically requires a credit score of roughly 680 or higher and a solid employment history. Consequently, most undergraduate students will need a highly qualified cosigner to get approved. If your credit score is on the borderline, you might want to read our guide on how to improve your credit score for student loans before applying to ensure you qualify for their best tiers.

Customer reviews often praise the mobile-first, digital application experience, which is fast and intuitive. However, frustrated applicants sometimes note that the approval process can be more rigorous than competitors, with less wiggle room for unique financial situations.

SoFi is an excellent choice if you fit their ideal borrower profile, but their strict standards mean they aren’t the right fit for everyone. If you need funding quickly to cover a tuition gap and don’t have time for a lengthy approval process—or if you are a part-time student—the final lender on our list offers the broadest eligibility and fastest funding speeds in the industry.

Check your rate with SoFi

Sallie Mae: Fastest funding and broadest availability

As one of the most recognizable names in student lending, Sallie Mae occupies a unique position in the market. While it began as a government-sponsored entity, it is now a fully private lender with perhaps the widest reach of any provider on this list. For families and students finding themselves ineligible for other loans due to enrollment status or school type, Sallie Mae is frequently the “yes” they are looking for.

Sallie Mae’s primary advantage is accessibility. While other lenders may restrict funding to full-time students at traditional four-year universities, Sallie Mae offers loan products for a vast array of educational paths. This includes coverage for part-time students, those enrolled less than half-time, and students in career training programs, culinary schools, or technical colleges.

Furthermore, if you are up against a tuition deadline, Sallie Mae is widely considered the fastest option. Their automated underwriting system often provides a credit decision in minutes, and they can disburse funds to schools more rapidly than many smaller fintech competitors. If you need to secure funding immediately to avoid being dropped from classes, this speed is a critical asset.

According to Sallie Mae’s rate disclosures as of January 2025, fixed APRs range from 4.50% to 15.49%, while variable rates are also available. Like most competitors, they offer a 0.25% interest rate reduction for enrolling in autopay. There are no origination fees or prepayment penalties.

To differentiate themselves from basic banks, Sallie Mae includes unique study perks. Borrowers typically receive four months of free access to Chegg Study, a service that offers textbook solutions and Q&A support. According to Mark Kantrowitz, financial aid expert, “Private lenders sometimes offer benefits like autopay discounts or career support,” and Sallie Mae leans heavily into these academic support tools to add value beyond the money itself.

Despite its accessibility, Sallie Mae has a reputation for mixed customer service experiences. As a massive financial institution, some borrowers report that the servicing experience can feel impersonal or bureaucratic compared to the customer-centric approach of lenders like SoFi or College Ave. Online reviews frequently mention difficulties in navigating the website or reaching support representatives during peak seasons.

Additionally, while they accept cosigners, their cosigner release policy is standard rather than exceptional, typically requiring 12 months of on-time principal and interest payments before you can apply to remove a parent from the loan.

Sallie Mae is the heavy hitter of the industry—reliable, available almost everywhere, and fast. If you have been turned down by other lenders due to your specific school or enrollment intensity, Sallie Mae is likely your best solution to bridge the gap.

Check your rate with Sallie Mae

Making your decision: Which lender is right for you?

Choosing the right lender is about matching specific loan features to your family’s financial reality. While interest rates are important, they shouldn’t be the only factor you consider. For example, a slightly higher rate might be worth it if the lender offers a longer grace period or a cosigner release policy that aligns with your retirement plans.

To simplify your decision, match your primary need to the lender that addresses it best:

• Need total budget control? Choose Earnest for its precision pricing and flexible term lengths.
• Have excellent credit? Choose SoFi to lock in the lowest possible rates and access member benefits.
• No cosigner available? Choose Ascent for its outcomes-based eligibility for upperclassmen.
• Need funds immediately? Choose Sallie Mae for the fastest approval and disbursement times.
• Want a balanced, easy experience? Choose College Ave for clear terms and a parent-friendly interface.

What credit score is needed for private student loans?
According to industry data as of January 2025, most private lenders require a minimum credit score in the mid-to-high 600s (typically 650–680). However, the most competitive rates are generally reserved for borrowers or cosigners with scores of 750 or higher and a stable income history.

Should I choose a fixed or variable interest rate?
A fixed rate stays the same for the life of the loan, providing predictable monthly payments. A variable rate may start lower but can increase over time with market fluctuations. For most students and parents, a fixed rate is the safer choice for long-term budgeting.

Can I get a student loan without a cosigner?
Yes, but it is difficult for most undergraduates. Lenders like Ascent offer non-cosigned options for juniors and seniors based on GPA and major. Otherwise, you will need a substantial income and credit history to qualify alone.

When should I apply for private student loans?
Ideally, apply 4–6 weeks before your tuition due date. This allows ample time for the lender to certify the loan amount with your school and disburse the funds.

Do private loans affect financial aid?
Yes. Private loans are counted as part of your total financial aid package. You cannot borrow more than your school’s certified cost of attendance minus other aid received. Always inform your financial aid office when taking out a private loan.

Ready to see your personalized options? Comparing offers from multiple lenders does not hurt your credit score and ensures you get the best deal available.

Compare rates from 8+ lenders

Selecting the right private student loan lender for the 2025-2026 academic year requires careful evaluation of your specific financial situation and borrowing needs. Throughout this guide, we’ve compared the top five lenders—Earnest, College Ave, Ascent, SoFi, and Sallie Mae—each offering distinct advantages for different borrower profiles.

Here are the key takeaways to guide your decision:

• Always exhaust federal student aid options first by completing the FAFSA before considering private loans
• Compare multiple lenders to ensure you secure the most competitive rates and favorable terms for your situation
• Consider the total cost of borrowing, including interest rates, fees, and repayment flexibility, not just the monthly payment
• Evaluate cosigner release policies carefully if protecting parental credit is a priority for your family
• Take advantage of autopay discounts and rate comparison tools to minimize your long-term borrowing costs

Remember that every dollar you borrow today is a dollar you’ll need to repay with interest after graduation. By choosing a lender that aligns with your financial goals and eligibility profile, you can fund your education responsibly while setting yourself up for post-graduation financial success.

Compare rates from top lenders now

References and resources

Use the links below to view current rates for the top lenders reviewed in this guide:

• College Ave
• Earnest
• Ascent
• SoFi
• Sallie Mae

Before signing any loan agreement, ensure you have maximized your federal eligibility and understand the long-term costs. The following College Finance resources can help you finalize your funding strategy:

• Federal vs. private student loans guide
• Step-by-step FAFSA guide
• Student loan repayment calculator

As Mark Kantrowitz, financial aid expert, notes, “Every dollar you save is a dollar less you have to borrow.” Take the time to compare multiple offers to ensure you secure the best possible terms for your future financial freedom.