Best student loan refinance companies: lower rate, bigger trade-off?
ELFI and Earnest make private refinance loans; Credible helps compare lender offers. All three belong on a borrower's shortlist, but the best advertised rate may be the wrong deal for a federal-loan borrower.
Three strong routes to compare
| Option | Good reason to consider it | What to verify |
|---|---|---|
| ELFI | Its eligibility page lists a $10,000 loan minimum, $35,000 income minimum, 680 credit-score minimum and 36 months of credit history. | A cosigner may help, but eligibility and your final rate are not guaranteed; compare its live offer. |
| Earnest | Its refinance page advertises no fees and describes an option to skip a payment after meeting conditions. | A skipped payment is discretionary and can raise total interest; federal benefits disappear on private refinance. |
| Credible | Its marketplace says checking prequalified offers does not affect your credit score. | Credible is a comparison platform, not your lender. Coverage is limited to participating lenders and final terms can change after a full application. |
These are feature-based editorial fit assessments from public pages checked September 26, 2026, not personal offers, underwriting decisions or numerical star scores.
Federal borrowers: this is usually the first question
Refinancing a federal student loan with a private lender pays off the federal loan. The replacement loan does not carry federal income-driven repayment, Public Service Loan Forgiveness or federal hardship protections. Earnest itself warns about this in its refinance disclosure. Before choosing a lower advertised APR, compare the actual total repayment and the value of federal benefits you could use. Financialist's federal student-loan guide is a starting point for checking the loan type and repayment path.
If a federal loan is already eligible for a useful payment plan or forgiveness route, a private refinance may cost you more in lost protection than the rate saves. Private-loan borrowers do not have the same federal benefits to give up, so their comparison can be more straightforward.
Compare quotes, not teaser rates
ELFI's published minimums help screen out some applications; they do not promise approval. Credible can show participating lenders without an initial credit-score hit, but each lender sets its own terms. Earnest advertises no fees, yet a longer term can still increase total interest even if its monthly payment looks smaller. Compare fixed versus variable APR, term, payment, total cost, cosigner release, hardship terms and whether autopay is needed to get the advertised discount.
Rates and underwriting change often, so this guide does not publish a single “best rate” that can become stale. Request live, individualized quotes from the lender before signing.
Before refinancing
- Identify every loan as federal or private, and check current federal protections.
- Request written fixed-rate and variable-rate offers with the same term for a fair comparison.
- Compare total interest, not only monthly payment.
- Ask about cosigner liability, release and hardship options.
- Read the final promissory note before accepting.
Sources and verification
- ELFI: eligibility requirements
- Earnest: student-loan refinancing disclosures
- Credible: student-loan refinancing marketplace
- Federal Student Aid: refinancing federal loans into private loans
Financialist carries no paid partner offers as of this check. If that changes, we will disclose it. General information, not personal financial, legal or tax advice. Read our funding policy and editorial standards.