Top 5 Reasons To Refinance Your Student Loans Now

refinance student loans

1. Get a lower interest rate

Paying 8% for your current student loans?

Now that you are working, have a steady income and have demonstrated financial responsibility, lenders will look at you differently than when you were a student and they charged you a higher rate for student loan. From the lender’s perspective, the “you of today” has lower credit risk to the lender than the “you of yesteryear.”

From your perspective, that’s great news because the lender can now likely offer you a lower interest rate on your loan when you refinance. A lower interest rate means lower monthly payments and a lower borrowing cost, which means you can save money and can get out of your student loan debt faster.

2. Change your student loan terms

Stuck with a variable rate private student loan and concerned about rising interest rates? Refinancing your student loan may provide you with more flexibility to refinance your existing variable interest rate student loan into a fixed interest rate student loan, for example, that can lock in your monthly interest rate so that your student loan payments never change. Plus, you may want to increase or decrease the student loan term from your existing student loan to better match your financial situation.

For example, if you currently have a 20-year student loan, but you want to pay off your student loan faster, you can refinance your student loan into a 10-year student loan product, which can enable you to save on the extra interest costs and pay off your student loan faster.

3. Get better customer service

Who doesn’t want better customer service? We have all experienced poor customer service, particularly from various financial institutions. Refinancing your student loan may be an opportunity to find a more consumer-centric student loan company that places high value on customer service. This can make your life a lot easier, particularly if you are someone that finds comfort in having a more positive customer service experience from your student loan company.

4. Combine all your student loans into one single student loan

Many of us have had multiple student loans from multiple different lenders.

We know that it is cumbersome to have to keep track of the various interest rates, payment addresses and website logins just to manage your student loans. One of the key ways to pay off your student loans faster is to consolidate your student loans into one single student loan with one single interest rate and loan term, which makes it much easier for you to manage.

5. Join a student loan community and receive new benefits and perks

Many of the next generation private student loan companies are offering their borrowers more than just a student loan. Today, private student loan companies offer flexible student loan repayment options during periods of economic hardship such as student loan deferment and student loan forbearance.

Some lenders help you find a job to get back on your feet. Other lenders host free special events like networking sessions, cocktail parties and financial educational events. This is all part of a growing trend among private student loan companies to create a community of borrowers, rather than just an individual borrower experience.


Want to save money on your student loans? These lenders represent our top student loan refinancing picks for 2017, and may be able to help you save thousands of dollars on your student loans by offering lower interest rates and lower monthly payments. That’s real money back in your pocket.

Learn your new student loan interest rate in a matter of minutes.

You can save up to $22,000 with student loan refinancing.

Student Loan Refinancing – Best of the Best

LenderRates (APR)Loan Terms (Years)Get Your RateLearn More
2.75% - 7.35%5 – 152 minutesSTART SAVING
2.21% - 8.97%5, 10, 15, 202 minutesSTART SAVING
3.89% - 7.45%5, 7, 10, 15, 202 minutesSTART SAVING

Student Loan Refinancing Details – Best of the Best

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*Doc Benjamins is not a lender and does not make loans. We are a free, independent and unbiased website that helps empower borrowers so they can make more informed financial decisions. The rates, terms and other student loan information provided on this website do not legally bind Doc Benjamins or the lenders referenced herein. The rates, terms and other student loan information are estimates and may change periodically and/or differ from your final rate and terms, which may be based on your individual credit profile and other factors as determined solely by the lender. If you would like to apply for a loan, please visit the website(s) of each lender and carefully review their rates, terms and conditions for further information. Average savings is for all customers generally, and not necessarily for this product specifically.

Student Loan Refinance Comparison

SoFi members save $22,359 on average when refinancing their student loans.

Only takes 2 minutes

SoFi Overview

  • Fixed Rates: 3.50% – 6.74%
  • Variable Rates: 2.36% – 6.28%
  • Loan Repayment Terms: 5-20 years
  • Co-Signer Option
  • No origination or prepayment fees
  • Includes career services, entrepreneur program, and free events
  • You must be employed or have a job offer within 90 days
  • You graduated from a Title IV accredited university or graduate program
  • Undergraduate and graduate loans
  • Federal loans and private loans

DRB members save $20,200 on average when refinancing their student loans.

Only takes 2 minutes

DRB Overview

  • Fixed Rates: 4.20% – 7.20%
  • Variable Rates: 3.64% – 6.29%
  • Loan Repayment Terms: 5-20 years
  • Co-Signer Option
  • No origination or prepayment fees
  • Medical residents and fellows pay only $100/month during residency, fellowship, and 6 months after
  • You graduated from a Title IV accredited university or graduate program
  • Undergraduate and graduate loans
  • Federal loans and private loans

LendKey members save $15,270 on average when refinancing their student loans.

Only takes 2 minutes

LendKey Overview

  • Fixed Rates: As low as 3.28%
  • Variable Rates: As low as 2.21%
  • Loan Repayment Terms: 5-20 years
  • Co-Signer Option
  • No origination fees
  • No prepayment penalties
  • You must be employed or have a job offer within 90 days
  • Over 2,200 schools and degree programs are eligible
  • Unemployment protection for up to 18 months
  • Repay 10% of your loan by the time you enter the repayment period and your interest rate will drop 1% APR
  • Undergraduate and graduate loans
  • Federal loans and private loans

CollegeAve members can choose an interest only payment plan for the first two years when refinancing their student loans.

Only takes 2 minutes

CollegeAve Overview

  • Fixed Rates: 5.74% – 11.85%
  • Variable Rates: 2.96% – 9.35%
  • Loan Repayment Terms: 5, 10, 12, 15
  • Co-Signer Option
  • No origination fees
  • No prepayment penalties
  • Choose your own loan terms (number of years for repayment)
  • Undergraduate and graduate loans
  • Federal loans and private loans

Purefy members save $19,000 on average when refinancing their
student loans.

Only takes 2 minutes

Purefy Overview

  • Fixed Rates: 3.95% – 6.75%
  • Variable Rates: 3.00% – 4.95%
  • Loan Repayment Terms: 5-12 years
  • Co-Signer Option
  • No origination or prepayment fees
  • You must have two years of work experience
  • Married couples can combine and refinance their loans into a single loan
  • You must have $42,000 in annual income ($25,000 with a co-signer)
  • Credit score of at least 670 with a co-signer (or 700 without a co-signer)
  • Debt-to-income ratio of less than 42% ratio
  • Undergraduate and graduate loans
  • Federal loans and private loans