A private student loan covers the gap between what school costs and what your grants, scholarships and federal loans pay for. The price depends on credit, either yours or your cosigner’s. As of this update, advertised fixed APRs at the lenders below run from about 2% for the strongest applicants to almost 18%, so the offer you actually get matters more than the name on it.
Three questions sort the options fast. Do you have a cosigner, and how soon do you want them off the loan? Can you pay anything while you are in school, even $25 a month? And are you at a four-year school at least half-time, or studying part-time or at a community college? The quick picks show what each lender is best for. Tap one to jump to its card and the fine print.
We read every rate and rule on this page on the lender’s own site on October 7, 2026. Where a lender does not publish a number, we say so instead of guessing. One thing before you compare: borrow federal loans first. They usually cost less and come with protections private lenders do not have to offer.
Best Private Student Loan Options
Our pick is College Ave: four ways to pay while you are in school, four term lengths from 5 to 15 years, and a three-minute application with an instant credit decision. The trade is the cosigner. College Ave keeps a cosigner on the loan until half the repayment term has passed, so if getting a parent off the loan fast matters most, look at Sallie Mae first.
1. College Ave
Best for choosing your own payment and term
The most ways to shape your payment.
College Ave lets you decide how you pay during school and how long you take afterward. That is four in-school choices and four term lengths: 5, 8, 10 or 15 years. A shorter term means a bigger payment and less interest. The lowest rates need the $25 flat payment option and the shortest term.
Apply online in about 3 minutes and get an instant credit decision
Add a cosigner, then pick your in-school payment and a 5, 8, 10 or 15 year term
Sign online. College Ave certifies the loan with your school and sends the money there
Want the fine print? Rates, payments and cosigner rules
Your rate depends on your credit and your cosigner’s. Applying takes about 3 minutes.
2. LendKey
Best for borrowing from a credit union
Credit union loans without visiting a branch.
LendKey is not the lender. It runs the online application for a network of credit unions and community banks, then services your loan for as long as you have it. You may have to join the credit union that funds your loan, and you can do that during the application.
Apply online and upload your documents. Your cosigner can join at this step
Compare the loan options you are offered and choose your terms
Your school certifies the amount and the money goes straight to the school
Want the fine print? Rates, payments and who qualifies
Plan on at least a $25 payment each month in school. No application or origination fees.
3. SoFi
Best for no late fees and cash bonuses
No fees, plus cash for good grades.
SoFi charges no origination fees, no late fees and no insufficient funds fees. You can view your rate with a soft credit check, and there is no maximum beyond your school’s certified cost. It only lends for bachelor’s degrees and higher.
View your rate with a soft credit check and invite a cosigner to the application
Pick a fixed or variable rate and a 5, 7, 10 or 15 year term
Sign, then your school certifies the loan. SoFi says the whole process usually takes at least 4 to 6 weeks
Want the fine print? Rates, bonuses and cosigner rules
$300 welcome bonus through this invite link when you take out a loan. Bachelor’s degree programs and higher only.
4. Citizens
Best for one approval that covers every year
Apply once, then request funds each year.
Citizens can approve you for more than this year. With Multi-Year Approval you ask for next year’s money without a full application or a hard credit pull. Citizens says 99% of those requests were approved between October 1, 2024 and October 1, 2025.
Get a rate quote in about 2 minutes with a soft credit check
Choose immediate, interest-only or deferred payments and sign online
Your school certifies the loan. Next year, request more funds instead of reapplying
Want the fine print? Rates, discounts and who qualifies
Four-year schools only. A rate quote takes about 2 minutes with a soft credit check.
5. Sallie Mae
Best for part-time students and a fast cosigner release
A 12-payment path to freeing your cosigner.
Sallie Mae lets a borrower apply to release a cosigner after graduating and making 12 on-time principal and interest payments. It also lends to students enrolled less than half-time. LendKey, SoFi and Citizens all require at least half-time enrollment.
See if you prequalify, then apply in about 10 minutes
Choose a fixed or variable rate and interest, $25 or deferred payments
Your school certifies the loan. Sallie Mae says it typically takes 10 business days from application to payout
Want the fine print? Rates, payments and cosigner rules
Prequalifying uses a soft credit check. Less than half-time enrollment is OK.
How the Lenders Compare
Here are the five side by side. On a phone, each lender gets its own block.
| Lender | Best for | Fixed APR | Variable APR | Cosigner release | |
|---|---|---|---|---|---|
| College Ave | Choosing your own payment and term | 2.19% to 17.99% | 3.89% to 17.99% | After half the repayment term | See College Ave rates |
| LendKey | Borrowing from a credit union | From 2.09% | From 3.49% | After 24 on-time payments | See LendKey loans |
| SoFi | No late fees and cash bonuses | 2.99% to 15.99% | 4.64% to 15.99% | After 12 or 24 on-time payments | View your SoFi rate |
| Citizens | One approval that covers every year | 3.24% to 13.49% | 5.04% to 13.22% | No set number published | See Citizens |
| Sallie Mae | Part-time students and a fast cosigner release | 2.08% to 17.49% | 3.75% to 16.95% | After 12 on-time payments | See Sallie Mae |
Start With Federal Loans First
A private loan should fill a gap, not replace federal aid. Federal Direct Loans for undergraduates come with a fixed rate, no credit check and no cosigner, and they come with income-based payment plans and forgiveness programs that private lenders are not required to offer. The lenders above tell you to look at federal aid first in their own fine print.
Take every federal dollar you qualify for first. Then use a private loan only for what is left of the bill.
The catch is the limit. A dependent freshman can borrow $5,500 in federal loans for the year and $31,000 across a whole undergraduate degree. Independent students can borrow up to $57,500. If your bill is bigger than your aid, that gap is what a private loan is for.
Two federal changes took effect on July 1, 2026, and both push more families toward private loans. New parent PLUS loans are capped at $20,000 a year and $65,000 in total per student. Grad PLUS loans are closed to new borrowers, and new graduate students can borrow $20,500 a year in federal unsubsidized loans, or $50,000 a year in a professional degree program. If you borrowed before that date, ask your school’s financial aid office whether the old limits still apply to you.
File the FAFSA before you apply anywhere else. Our guide to FAFSA requirements covers what you need to qualify.
How to Choose a Private Student Loan
Every lender on this list covers up to your school’s certified cost and charges no origination fee. So the choice comes down to five things.
Fixed or variable rate
A fixed rate never changes. A variable rate starts lower and moves with the market, which means your payment can rise. If you will be paying for ten years or more, a fixed rate is the safer pick. A variable rate makes more sense when you plan to pay the loan off fast.
What you pay while you are in school
This choice moves the total cost more than most people expect. Paying nothing in school is the easiest on your budget and the most expensive in the end, because the interest you skip gets added to your balance. Sallie Mae estimates a freshman can save 17% on the total cost of a loan by paying the interest each month during school instead of deferring, and 7% by paying a flat $25. Even the $25 option is worth it if you can manage it.
Your cosigner, and when they can leave
Most undergraduates need a cosigner. College Ave says 97% of its undergraduate loans have one, LendKey 92.4% and Sallie Mae 91%. A cosigner with strong credit can also lower your rate. But a cosigner is fully responsible for the loan until the lender releases them, so read the release rule before anyone signs. Sallie Mae asks for 12 on-time payments after graduation. LendKey asks for 24. College Ave makes you wait for half the repayment term.
Discounts and fees
All five lenders take 0.25 points off your rate for autopay. Citizens takes off another 0.25 for existing customers, and SoFi gives returning borrowers 0.125. None of the five charges an origination fee. SoFi also skips late fees.
Get more than one quote
The rate ranges above are wide on purpose. Your real rate depends on your credit, your cosigner’s credit, the term and how you pay in school. SoFi, Citizens and Sallie Mae all show you a rate with a soft credit check, which does not touch your score. Get two or three quotes in the same week, then compare the APR and the total cost, not just the monthly payment.
How to Borrow Less in the First Place
The cheapest loan is the one you do not take. Before you sign, try to shrink the number.
Apply for scholarships and grants first. They do not have to be repaid, and your school’s financial aid office keeps its own list on top of the national search sites.
Look at community college credits. General classes taken over the summer often cost less per credit for state residents, and transferring them can shorten your time at the more expensive school. Check that your school will accept the credits before you enroll.
Then borrow one year at a time, and only for the gap. Map out the classes you need through graduation so you can budget year by year. College Ave, SoFi, Citizens and Sallie Mae all lend as little as $1,000, so you do not have to take more than you need.
Private Student Loan FAQs
It depends on what you need most. College Ave is our pick if you want to choose your own payment plan and term. LendKey fits borrowers who want a credit union loan. SoFi charges no late fees and pays a bonus for good grades. Sallie Mae offers a 12-payment cosigner release and lends to part-time students. Citizens can approve you for more than one year at a time. Compare at least two quotes before you sign.
Yes, if your own credit and income qualify. Most undergraduates are not there yet. College Ave says 97% of its undergraduate loans are cosigned, and Sallie Mae says 91%. SoFi, LendKey and Citizens all say a cosigner is not required to apply, so you can check your offer alone first and add a cosigner if the rate is poor or you are turned down.
None of the five lenders here lists a minimum credit score on the pages we read. They look at your credit history and income together. LendKey‘s guide for schools says the borrower or cosigner needs at least $24,000 in annual income. The practical test is a soft-pull rate check, which SoFi, Citizens and Sallie Mae all offer without touching your score.
Yes. Federal undergraduate loans first paid out between July 1, 2026 and June 30, 2027 carry a fixed 6.52% rate with no credit check and no cosigner. They also come with income-based payment plans and forgiveness programs that private lenders do not have to offer. Use a private loan for whatever federal loans, grants and scholarships do not cover.
A fixed rate is safer because the payment never changes. A variable rate starts lower but can rise. SoFi caps its variable rate at 17.95%, and Citizens caps its variable rate at the greater of 21% or the prime rate plus 9 points. Pick variable only if you could handle a higher payment or plan to pay the loan off quickly.
It depends on the lender. Sallie Mae lets you apply after you graduate and make 12 on-time principal and interest payments. LendKey asks for 24 payments in a row. SoFi‘s site lists 12 in one place and 24 in its fine print. College Ave requires half of the repayment term to pass. Citizens lets you apply once you are making full payments and does not publish a set number. Every lender also checks the borrower’s own credit and income first.
Up to your school’s certified cost of attendance minus your other financial aid, at all five lenders. Your school confirms the amount, so you cannot borrow more than it costs to attend. The minimum is $1,000 at College Ave, SoFi, Citizens and Sallie Mae. LendKey caps its own loans at $120,000 in total for undergraduates.
None of the five lenders here charges an origination fee. SoFi also charges no late fees or insufficient funds fees, and LendKey, Citizens and Sallie Mae all say there is no charge for paying early. Federal loans do have a fee. It is 1.057% on Direct Subsidized and Unsubsidized Loans, and it comes out of the money before it reaches your school.
