Best Private Student Loans in 2026: Top Lenders and How to Choose

Private student loans can help cover school costs after scholarships, grants, and federal loans come up short.

In this guide, we ranked the best private student loan lenders for 2026 using 725 data points across 25 lenders, plus insights from our private student loans survey.

Compare rates, repayment flexibility, cosigner options, and standout perks to find the best fit for your situation.

Table of Contents

1. Best private student loans (2026 picks)
2. Reviews
   1. College Ave
   2. Sallie Mae
   3. Capable
   4. Ascent
   5. Earnest
   6. SoFi
   7. Citizens Bank
3. How to compare lenders
4. What are private student loans?
   1. How do they work?
   2. Private vs. federal student loans
   3. What can private student loans be used for?
5. Interest rates (fixed vs. variable)
6. Pros and cons
7. How to choose a private student loan
8. How to qualify
   1. Do I need a cosigner?
9. How to apply
   1. Do you need to reapply each year?

Best private student loans (2026 picks)

Since 2015, LendEDU has evaluated student loan lenders to help readers find the best student loans. Our 2026 analysis reviewed 725 data points from 25 lenders and financial institutions, with 29 data points collected from each. Lenders that score highest in 2026 are listed below.

• Best overall:
  College Ave
• Best for cosigner release:
  Sallie Mae
• Great for repayment flexibility:
  Capable
• Great graduation reward:
  Ascent
• Best repayment perks:
  Earnest
• Best for graduate students:
  SoFi
• Best for multi-year approval:
  Citizens Bank

Reviews of the best private student loan lenders

Before you apply, use the quick guide below to compare private student loan lenders, and then dive into our reviews to see why each company earned its “best for” designation.

College Ave review

Best Overall

5.0 _/5

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Why it’s one of the best
College Ave offers personalized solutions to undergraduates, graduates, parents, and career trainees. Its online experience is the best of all the companies we reviewed, featuring interactive calculators and tools that let you customize your loan terms and see how each choice affects your total cost.

• Covers up to 100% of school costs
• Low starting interest rates
• Quick 3-minute online application
• Excellent educational resources and interactive tools
• You choose your repayment plan and term length
• Multi-Year Peace of Mind program for additional loans

• Cosigners can’t be released until halfway through repayment
• Higher interest rates for applicants with bad credit

Rates & funding

Fixed rates (APR)	4.13% – 17.99%
Variable rates (APR)	4.13% – 17.99%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of school costs

Eligibility

Loan types	Undergrad, grad, parent, career training
Min. credit score	Mid-600s
Min. income	$35,000 per year
Enrollment	Half time or more
Citizenship	U.S. citizen, permanent resident, or international
State	All 50 states

Repayment

In-school repayment	Full, interest-only, fixed, deferred
Repayment terms	5, 8, 10, or 15 years
Grace period	6 months for undergrads, 9 months for grads, apply for 6-month extension
Deferment	In-school and military
Forbearance	Up to 12 months, in increments of 3 or 6 months
Cosigner release	After finishing more than half of the scheduled repayment period and meeting additional criteria

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Sallie Mae review

Best for Fast Cosigner Release

4.8 _/5

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Why it’s one of the best
Sallie Mae is the most recognized name in student lending, which helps it serve a broader range of borrowers than most competitors. It’s also an excellent choice for cosigners, offering one of the fastest paths to release of repayment responsibility in as little as 12 months with consistent on-time payments.

• Shortest path to cosigner release in as little as 12 months
• Receive funds for the full year with one application
• Covers up to 100% of school costs
• Low starting interest rates
• Part-time and career-training students are eligible
• Lower interest rates for in-school repayment

• No prequalification with a soft credit check
• Less loan customization than other lenders

Rates & funding

Fixed rates (APR)	4.13% – 17.99%
Variable rates (APR)	4.13% – 17.99%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of costs

Eligibility

Loan types	Undergrad, grad, parent, career training
Min. credit score	Mid-600s
Min. income	Not disclosed
Enrollment	Half time or more
Citizenship	U.S. citizen or permanent resident or non-U.S. citizen with a cosigner who is a U.S. citizen or permanent resident
State	All 50 states, plus Washington, D.C., and Puerto Rico

Repayment

In-school repayment	Interest only, fixed, deferred
Repayment terms	10 – 15 years
Grace period	6 months
Deferment	In-school, military, internship, residency, and fellowship
Forbearance	Up to 12 months, in increments of 3 months
Cosigner release	After 12 consecutive on-time payments

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Capable review

Great for Repayment Flexibility

4.8 _/5

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By Sallie Mae

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Why it’s one of the best
Capable student loans are powered by Sallie Mae and share the same interest rates, repayment terms, and eligibility criteria. Because Sallie Mae is one of our top lenders and offers an optional 12-month interest-only repayment plan for qualified borrowers, we believe it’s worth including Capable in our list. We expect new features and benefits for borrowers to be released in the future to differentiate the offers.

• Covers up to 100% of school-certified costs
• Apply for cosigner release after 12 on-time payments
• No origination fees
• Accepts students with less than half-time enrollment
• Optional 12-month interest-only repayment plan for qualified borrowers
• Loans for undergraduate, graduate, and career-training programs

• No differentiators from Sallie Mae’s student loans
• Limited information available on its website
• No soft credit check to prequalify

Rates & funding

Fixed rates (APR)	3.19% – 16.99%
Variable rates (APR)	4.37% – 16.49%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of costs

Eligibility

Loan types	Undergrad, grad, parent, career training
Min. credit score	Mid-600s
Min. income	Not disclosed
Enrollment	Half time or more
Citizenship	U.S. citizen or permanent resident or non-U.S. citizen with a cosigner who is a U.S. citizen or permanent resident
State	All 50 states, plus Washington, D.C., and Puerto Rico

Repayment

In-school repayment	Interest only, fixed, deferred
Repayment terms	10 – 15 years
Grace period	6 months
Deferment	In-school, military, internship, residency, and fellowship
Forbearance	Up to 12 months, in increments of 3 months
Cosigner release	After 12 consecutive on-time payments

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Ascent review

Best Graduation Reward

4.8 _/5

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Why it’s one of the best
Ascent offers borrowers who provide proof of graduation a 1% cash back reward, plus long-term career benefits like access to paid remote internship opportunities and career resources.

• Cover up to 100% of costs with or without a cosigner
• 1% cash back graduation reward
• Up to 40 repayment plans
• Access to paid remote internship opportunities
• No fees
• Check your rates without affecting your credit score

Rates & funding

Fixed rates (APR)	2.89% – 14.41%
Variable rates (APR)	4.34% – 14.75%
Rate discounts	0.25% for automatic payments
Loan amounts	$2,001 – $200,000

Eligibility

Loan types	Undergrad, grad, parent
Min. credit score	620
Min. income	$24,000 per year
Enrollment	At least half-time in a degree program at an eligible institution
Citizenship	U.S. citizen, U.S. permanent resident, or DACA status with a valid Social Security number; Non-U.S. citizens or permanent residents may apply with eligible resident status and a creditworthy cosigner who is a U.S. citizen or permanent resident
State	All 50 states, plus Washington, D.C.

Repayment

In-school repayment	Full, interest-only, fixed, deferred
Repayment terms	5, 7, 10, 12, or 15 years
Grace period	9 months
Deferment	In-school
Forbearance	Yes
Cosigner release	Yes; after 12 on-time payments

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Earnest review

Best for Repayment Perks

4.7 _/5

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Why it’s one of the best
Earnest is another lender with an excellent online experience and several benefits that won’t be found elsewhere. It offers a 100% rate-match guarantee (with a $100 Amazon gift card) and lets borrowers skip one payment each year if needed without penalty.

• 100% rate-match guarantee (with $100 Amazon gift card)
• 9-month grace period vs. 6 months for most others
• Skip one payment each year without penalty if needed
• No application or late payment fees
• 2-minute eligibility check with no credit impact

• Doesn’t allow cosigners to be released

Rates & funding

Fixed rates (APR)	4.13% – 17.99%
Variable rates (APR)	4.13% – 17.99%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of costs

Eligibility

Loan types	Undergrad, grad, parent
Min. credit score	650
Min. income	$35,000 per year
Enrollment	At least half-time
Citizenship	U.S. Citizen, Permanent Resident Card Holder (10-year non-conditional or 2-year conditional), Deferred Action for Childhood Arrivals (DACA) Recipient, Asylee, or H-1B visa with a U.S. Citizen cosigner.
State	All states other than Nevada, plus Washington D.C.

Repayment

In-school repayment	Full, interest-only, fixed, deferred
Repayment terms	5, 7, 10, 12, or 15 years
Grace period	9 months
Deferment	In-school, military, residency, fellowship
Forbearance	Up to 12 months
Cosigner release	No

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SoFi review

Best for Graduate Students

4.7 _/5

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Why it’s one of the best
SoFi^® is an excellent online bank that offers all types of financial products, including student loans. Its benefits are consistently some of the best available, with up to $250 earned for good grades, financial planning services, and the option to redeem points to pay down your student loan balance.

• Up to $250 with GPAs of 3.0 or higherⓘ
• Earn and redeem points to pay down your balance
• Financial planning services
• Covers up to 100% of school-certified costs
• No origination, prepayment, or late payment fees
• Choose your repayment terms
• Interactive calculators and tools to estimate costs
• Check your rate without affecting your credit

• Doesn’t offer loans for career training

Rates & funding

Fixed rates (APR)	4.44% – 14.30% with autopay
Variable rates (APR)	5.99% – 14.30% with autopay
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of school-certified costs

Eligibility

Loan types	Undergrad, grad, parent
Min. credit score	Not disclosed
Min. income	None
Enrollment	At least half time
Citizenship	U.S. citizen, permanent resident, visa holder (international & DACA w/ cosigner)
State	All 50 states

Repayment

In-school repayment	Full, interest-only, deferred, and more
Repayment terms	5, 7, 10, or 15 years
Grace period	6 months for most loans
Deferment	In-school, military, residency, internship
Forbearance	Yes, must call to discuss options
Cosigner release	12 consecutive on-time paymentsⓘ

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Citizens Bank review

Great for Multi-Year Approval

4.7 _/5

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Why it’s one of the best
Citizens Bank does an excellent job of focusing on the borrower’s future with its benefits. It offers a Multi-Year Approval program, where borrowers can accept an offer to receive additional loans for future years without a new application.

• Multi-Year Approval to simplify funding needs for future semesters
• Multiple rate discounts
• 2-minute prequalification with no credit impact
• Rate quotes are valid for 30 days

• Cosigners can’t be released for at least 36 months

Rates & funding

Fixed rates (APR)	5.25% – 12.19%
Variable rates (APR)	5.97% – 12.42%
Rate discounts	0.25% for loyalty, 0.25% for automatic payments
Loan amounts	$1,000 – $100,000

Eligibility

Loan types	Undergrad, grad, parent
Min. credit score	640
Min. income	$12,000
Enrollment	At least half time
Citizenship	U.S. citizen or permanent resident (international w/ cosigner)
State	All 50 states, D.C., U.S. territories

Repayment

In-school repayment	Full, interest-only, flat, deferred
Repayment terms	5, 10, or 15 years
Grace period	6 months
Deferment	In-school, internship, residency, military
Forbearance	Up to 12 months in 2-month increments
Cosigner release	36 on-time payments

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How to compare lenders

Comparing private student loan lenders is less about picking the lowest advertised rate and more about choosing terms you can live with if your budget gets tight later.

Here’s what to compare across at least three lenders:

• APR and rate type: Look at the APR (not just the interest rate) and decide whether you want a fixed or variable rate.
• Fees: The best lenders typically avoid origination and prepayment fees, but always confirm.
• Repayment options: Check whether you can make in-school payments (full, interest-only, or a flat amount) or defer until after school.
• Cosigner rules: If you need a cosigner, compare cosigner release timelines and requirements.
• Eligibility: Make sure the lender supports your school, program, enrollment status, and citizenship status.
• Flexibility if hardship hits: Look for clear deferment/forbearance policies and other safety nets.

When choosing a private student loan lender, nearly 75% of borrowers say a low interest rate is the most important term.

— LendEDU private student loans survey

What are private student loans?

Private student loans are education loans from banks, credit unions, and online lenders, not the federal government. They’re designed to help cover gaps when scholarships, grants, and federal student loans don’t fully cover your cost of attendance.

Unlike federal loans, private loans typically require a credit check (or a creditworthy cosigner), and rates and repayment terms can vary widely, so comparing lenders matters.

How do they work?

Most private student loans follow the same basic process:

1. You apply (often with a cosigner if you don’t have strong credit or income).
2. The lender reviews your credit, income, and school information (or your cosigner’s).
3. Your school certifies the amount you’re allowed to borrow.
4. Funds are sent to the school, not to you directly.
5. You choose a repayment option, such as paying in school or deferring payments until after you leave school.

71% of borrowers would recommend taking out a private student loan.

— LendEDU private student loans survey

Private vs. federal student loans

Private student loans can be a helpful tool, but they work quite differently from federal student loans. Before you commit to a lender, it’s important to understand how these two options compare, especially when it comes to eligibility, repayment flexibility, and long-term protections.

In most cases, private student loans make the most sense after you’ve used federal aid first. Federal loans offer fixed rates, income-driven repayment plans, and forgiveness programs that private lenders don’t provide. The comparison below highlights the differences so you can decide which option fits your situation.

The most common reason borrowers are ineligible for federal student aid is being enrolled less than half-time. Private student loans can help if you’re studying part-time.

— LendEDU private student loans survey

What can private student loans be used for?

Private student loans are usually flexible. Schools certify the loan amount, and the funds can cover education-related costs such as:

• Tuition and required fees
• Room and board (on-campus or off-campus)
• Meal plans
• Books and supplies
• Required equipment (such as a laptop)
• Transportation and other living expenses tied to school

A good rule: If it’s included in your school’s cost of attendance, it can typically be covered by a private student loan.

Do private student loans go to you or your school?

In most cases, private student loans go directly to your school first. The school applies the funds to your tuition, fees, and other charges on your account.

If money is left over after your school’s charges are paid, the remaining amount is typically refunded to you (often via direct deposit) to use for other qualified education expenses, such as housing, food, and textbooks.

Types of private student loans

Not every student’s journey looks the same, so private lenders offer many loan types to match different needs. Whether you’re going to a traditional four-year college, picking up a trade, studying part-time, or even coming from another country, a loan out there likely meets your needs.

Check out these links to learn more about student loan types for specific needs.

Private student loan interest rates (fixed vs. variable)

When you take out a private student loan, the lender charges you interest—basically a fee for borrowing the money. Student loan interest rates can be either fixed or variable.

• Fixed rates stay the same for the life of your loan. What you see is what you get, and your monthly payments won’t change.
• Variable rates can go up or down over time based on market conditions. They often start out lower than fixed rates but could end up higher.

Your interest rate is usually based on a mix of factors, including your credit score, income, debt-to-income ratio, and whether you have a cosigner. In general, the stronger your financial profile (or your cosigner’s), the better rate you’ll get.

One important thing to know: Some lenders show you their lowest possible rates, but only the most qualified borrowers actually get them. So it’s always smart to get a few quotes and see what offers are available to you.

Pros and cons

Private student loans can be a lifesaver when you need extra help paying for school, but they’re definitely not one-size-fits-all. Like anything else, they come with their upsides and downsides. Knowing both can help you make the smartest choice for your situation.

Pros

• You can borrow more if you need to

  Private lenders often let you borrow up to the full cost of attendance, which can help if you have a big gap after using federal aid.

• Competitive rates for strong credit

  If you (or your cosigner) have excellent credit, you could snag a lower interest rate than you’d get with federal loans.

• Variety of options

  There are private loans for undergrad, grad school, professional degrees, career training, and even international students.

• Cosigner release programs

  Some lenders let you apply to remove your cosigner after you make a set number of on-time payments.

• Fast application process

  You can usually apply online and get a decision fast, sometimes within minutes.

Cons

• Less borrower protection

  Private loans don’t offer income-driven repayment plans, forgiveness programs, or generous deferment and forbearance options like federal loans do.

• Credit and income requirements

  You (or your cosigner) need good credit and solid income to qualify for the best rates. Otherwise, you could get stuck with a higher interest rate.

• Variable rates can rise

  If you choose a variable-rate loan, your interest rate (and monthly payment) could climb over time.

• Harder to adjust payments if life changes

  Unlike federal loans, most private lenders don’t offer easy options to lower your payment if you lose your job or take a pay cut.

• Less standardization

  Every lender has its own rules, fees, and repayment terms, so you must do a little more homework to find the right fit.

As long as you understand the terms and know that you will end up with a degree that you can use to easily pay it back, it is worth furthering your education [with private student loans].

— 2025 LendEDU private student loans survey respondent

How to choose a private student loan for college

Choosing a student loan isn’t just about grabbing the first offer you see; it’s about finding the one that actually fits your needs (and doesn’t cause unnecessary stress later). The best loan for you might not be the same as the best loan for your friend, and that’s totally OK.

My top tip for comparing private student loan lenders is to start by identifying reputable lenders that offer the loan amount you need. Once you’ve narrowed it down to at least three options, compare them based on interest rates, loan terms, repayment structure, and any loan forgiveness or forbearance options they may provide.

Here are some smart questions to ask yourself when you’re comparing private student loan options:

• How much do I actually need to borrow? Try to borrow only what you need, not what you’re offered. Remember, you’ll be paying it back later (plus interest).
• Do I have a cosigner? If your credit history is limited or your income is low, having a cosigner with strong credit can help you qualify for a better rate.
• What interest rate am I getting? Make sure you know whether the rate is fixed or variable and what the APR (annual percentage rate) is. That’s the real number to watch.
• What are my repayment options? Some lenders let you start paying while you’re in school, while others let you wait. See what fits your budget and future plans.
• Are there any fees? Watch out for origination fees, late payment fees, and prepayment penalties. (The best loans don’t have many extra charges.)
• Is there a cosigner release option? If you’re applying with a cosigner, check whether the lender offers a way to remove them after you’ve made a certain number of on-time payments.
• What happens if I run into financial hardship? Life happens. Some lenders offer options like deferment or forbearance, but others don’t, and it’s way better to know up front.

At the end of the day, it’s about picking a loan that supports your education goals without making life harder down the road. Take your time, read the fine print, and don’t be afraid to shop around for the best offer.

With a reputable lender, the terms are spelled out and there are no surprises. Everyone is aware of the particulars and there is relative peace of mind.

— 2025 LendEDU private student loans survey respondent

How to qualify for private student loans

Qualifying for a private student loan is a little different from getting a federal loan. Private lenders are taking a financial risk by lending you money, so they want to make sure you’re likely to pay it back. That means they will take a close look at your finances (or your cosigner’s).

Here’s what private lenders usually want to see:

• Good credit history: Most lenders like to see a strong credit score (FICO 650 or higher), but the best rates usually go to borrowers with scores in the 700s.
• Stable income: You (or your cosigner) should be able to show proof of steady income that’s high enough to handle your future loan payments.
• Low debt-to-income ratio: If you already have a ton of debt compared to your income, it might be harder to qualify, or you might get stuck with a higher interest rate.
• U.S. citizenship or permanent residency: Some lenders require you to be a U.S. citizen or permanent resident. International students usually need a U.S.-based cosigner.
• Enrollment in an eligible school: You’ll usually need to be enrolled at least half-time in an approved college, university, or trade program.

Every lender is a little different, but these are the basics they’ll check when you apply.

Do I need a cosigner?

In many cases, yes, especially if you’re a younger student without much (or any) credit history yet.

A cosigner is typically a parent, guardian, or supportive adult who agrees to be responsible for the loan if you can’t make the payments. Having a cosigner can:

• Make it easier to qualify. If your cosigner has strong credit and steady income, you’re way more likely to get approved.
• Help you get a lower interest rate. Lenders see you as less risky with a cosigner on board, which can mean better terms.
• Open up more lender options. Some lenders might not approve you at all without a cosigner, at least while you’re still building your financial profile.

That said, not every borrower needs a cosigner. If you already have good credit and a solid income (or if you’re a grad student with a strong financial history), you might qualify on your own. A few lenders even specialize in no-cosigner loans for qualified applicants, although they can be a little tougher to get.

And if you do use a cosigner, check whether the lender offers a cosigner release program. That way, after you make a certain number of on-time payments, you might be able to take them off the hook.

How to apply

Applying for a private student loan isn’t too complicated, but there are a few steps you’ll want to follow to make sure you’re getting the best deal (and setting yourself up for success).

Here’s a simple breakdown:

1. Figure out how much you need to borrow. Before you apply, do a little math. How much are your tuition, fees, and living expenses? How much are you already covering through savings, grants, scholarships, and federal aid? Try to borrow just enough to cover the gap; no more, no less.
2. Shop around and compare lenders. Rates, fees, repayment options, and customer service can vary between lenders. It’s worth getting prequalified (which usually doesn’t affect your credit score) with a few different companies so you can see what kind of rates and terms you’re being offered.
3. Choose your lender and fill out the application. Once you find a loan you like, you’ll fill out an application directly with the lender. You’ll usually need to share personal information, school details, and financial info. If you’re applying with a cosigner, they’ll need to submit their info too.
4. Get certified by your school. After you’re approved, your school usually needs to certify the loan amount, basically double-checking that it matches your actual costs and financial aid eligibility.
5. Sign the final documents and receive the funds. Once everything’s good to go, you’ll sign the loan agreement, and the funds will typically be sent straight to your school. Any extra money after covering your tuition and fees usually gets refunded to you for living expenses.

Do you need to reapply each year?

Most of the time, you’ll need to reapply each academic year you need a loan. Private loans aren’t like a one-and-done deal that automatically covers all four years of college. Each year, you’ll go through the application process again, and your rates and terms could change depending on your financial situation and the lender’s current offers.

(If your school is on a semester system and you need a loan for just one semester, you can sometimes apply just for that term, but most people apply by the year.)

Should you shop around each time, or stick with the same lender?

It’s always smart to shop around each year, even if you liked your lender before. Rates, fees, and loan perks can change from year to year, and different lenders might offer you better deals as your credit history gets stronger.

That said, if you had a great experience with your lender last year and it’s still offering competitive rates this time around, there’s nothing wrong with sticking with it for convenience. Just make sure you’re not missing out on a better offer elsewhere.

Taking out a private student loan will affect your budget until the loan is repaid or forgiven. It can affect your cash flow and potentially your credit report.

While the loan may place a financial burden on your monthly budget, making consistent, on-time payments can help build your credit profile and strengthen your overall financial credibility.

Can I afford a private student loan?

Once you’ve seen what different lenders offer, or even prequalified for a few rates, it’s time to ask the big question: Can I actually afford this loan?

That’s where our student loan affordability calculator comes in. Just plug in your expected starting salary, one of the interest rates you’ve seen, and your ideal repayment term, and we’ll estimate your monthly payment and how it stacks up against your income. It’s a quick gut check before you move forward with an application.

Private student loans can be a great tool for covering the gaps when scholarships, grants, and federal aid don’t quite stretch far enough. The key is knowing what you’re signing up for. Make sure you’re choosing the loan that actually works for you, not just for right now, but for your future.

Take your time, ask the right questions, and don’t be afraid to shop around. A little extra effort up front can save you a lot of money (and stress) later on. You’ve got this!

How we rated the best private student loans

Since 2015, LendEDU has evaluated student loan lenders to help readers find the best student loans. Our latest analysis reviewed 725 data points from 25 lenders and financial institutions, with 29 data points collected from each. This information is gathered from company websites, online applications, public disclosures, customer reviews, and direct communication with company representatives.

These data points are organized into broader categories, which our editorial team weights and scores based on their relative importance to readers. These star ratings help us determine which companies are best for different situations. We don’t believe two companies can be the best for the same purpose, so we only show each best-for designation once.

Higher star ratings are ultimately awarded to companies that create an excellent borrower experience. This includes offering online eligibility checks, cost transparency, competitive interest rates with no fees, flexible repayment plans, and unique benefits that support borrowers throughout repayment.

Recap of the best private student loans