8 Best Student Loan Refinance Bonus Offers
When you refinance student loans, you transfer your existing federal and private student loans to a new private lender for the purpose of lowering your interest rate, lowering your monthly payment, or consolidating your loans (or sometimes for all three reasons).
This post explains how to find the best student loan refinancing deals and student loan refinancing bonuses. We’ll also answer many questions related to student loan refinancing.
In the above list of student loan refinancing companies, I’ve selected the top three lenders based on the fact that they frequently offer the best deals (i.e. lowest interest rates) to our readers. You’ll be in good company if you decide to refinance your student loans using our links, as readers like you refinance millions of dollars of student loans through the site each month.
Biglaw Investor deliberately generates less money from our refinancing referral links than we could otherwise make so that you get a significant student loan refinance bonus. You are also supporting the site if you use our links, making it a win-win-win proposition.
Should you refinance in November 2024?
I believe the majority of lawyers and other high-income professionals in the country could find a lower interest rate right now for their student loans through refinancing. Unfortunately, they don’t because it’s so much easier to do nothing than it is to take action. Even though many borrowers could save thousands of dollars by spending a few minutes applying, they do not apply because they are busy with all of life’s other activities.
Borrowers who refinanced their loans even a few months ago often find better deals today because of the competitive nature of the student loan refinancing business and the continued improvement of the borrower’s debt-to-income ratio and credit score.
If you are a borrower with private student loans, you’ll want to apply to several companies to make sure you are getting the best rate.
How to get a student loan refinance bonus
When you refinance your student loans using an affiliate link on Biglaw Investor, depending on your loan amount, you will receive a student loan refinancing bonus. The student loan refinance bonus will come in the form of cash or a gift card depending on the lender.
How does this work? When negotiating deals with the student loan refinancing companies, we told them to spend some of their marketing dollars on a cashback bonus, which we hope you’ll use to pay off your student loan debt faster than you could if you refinance without using one of our affiliate links.
The student loan refinancing bonus should never be the determining factor when choosing a lender, but the good news is that every lender on our site offers a student loan refinance bonus through Biglaw Investor. See below for a full list of banks and lenders that offer student loan refinancing bonuses.
Student loan refinancing bonuses and companies
Note: We’ve negotiated student loan refinancing bonuses for our readers. If you use these links, you’ll get the bonus and support the development of this site.
Lender
Bonus Cashback
Variable APR from
Fixed APR from
Loan Terms
- Fixed
- Variable
- 5
- 7
- 10
- 15
- 20
- Fixed
- Variable
- 5
- 7
- 8
- 10
- 12
- 15
- 20
- Fixed
- Variable
- 5
- 7
- 8
- 10
- 12
- 15
- 20
- Fixed
- Variable
- 5
- 10
- 15
- 20
- Fixed
- Variable
- 5
- 7
- 10
- 15
- 20
- Fixed
- Variable
- 5
- 7
- 10
- 15
- 20
- Fixed
- Variable
- 5
- 7
- 10
- 15
When to refinance federal and private student loans
After paying off over $200,000 in student loans myself and helping thousands of lawyers achieve a debt-free lifestyle, here’s what I tell borrowers when they ask if they should refinance.
Refinance federal student loans if you:
- Work in the private sector
- Plan to pay off your loans
- Owe student loan debt less than 1.5 times your income
Refinance private student loans if you:
- Find a lower interest rate
- Have decided to get aggressive about repaying your loans and so are switching from a fixed to variable interest rate
- Want to change your monthly payment
- Haven’t checked what lenders are offering in the market in at least six months (you will probably find a lower rate today)
- Have a better credit score than when you refinanced previously (you may qualify for a better rate)
You can refinance private loans as many times as you want. Some readers have refinanced two, three, four or even more times. The only thing that matters is that you find a better rate.
Remember that refinancing federal student loans eliminates income-driven repayment, forgiveness, and the most generous forbearance options. Private student loans do not have these options.
How to compare the best student loan refinancing companies
Most people only check their rates with one or two companies. Because each student loan company has a different way of accessing capital in the market, you really need to explore your options to see what will get you the best rate.
Generally there are three types of student loan refinancing companies. Some companies, like Earnest offer refinancing by selling commercial paper in the credit markets. Others, like SoFi® and ELFI are backed by depository banks. The last type, such as Credible and LendKey, act as a marketplace of lenders and give you rate quotes from banks that you probably wouldn’t check on your own.
Finally, like all credit decisions, the rate you are offered depends on your credit score. If you have significantly improved your credit score over the past six months, it’s a good idea to check rates again to see if you can get something better. Since student loan refinancing doesn’t cost anything (other than your time), you should refinance if you can get a lower rate than what you are currently paying.
10 facts about refinancing
Refinancing your student loans is one of the best things you can do when you graduate unless you’re seeking loan forgiveness. Why? You’re paying thousands of dollars of unnecessary interest each year. That interest is keeping you from paying down the student loan balance. And the student loan balance is keeping you from building wealth. So, refinance those loans and start paying them down!
Fact #1: You’ll save a ton of money
Compound interest is a wonderful thing. Compound interest in reverse will kill you. If you’re paying an average 6.8% interest on your student loans, you need $566 a month for every $100,000 you’ve borrowed just to cover the interest alone.
Fact #2: Refinancing is usually quick and easy
When I graduated from law school, nobody refinanced student loans. When the original refinancing players showed up in 2013, there were lots of problems handling applications and processing a deluge of professionals interested in refinancing their loans. Those days are over. You can get a preliminary quote within five minutes. If you have all your loan documents together, it might take you another 15 minutes to submit the application electronically. I recommend you check around with all the different companies (pretty easy once you have your paperwork together) to get the best rate.
Fact #3: You don’t have to refinance all of your loans
Sometimes a lawyer is worried about refinancing everything at the same time. Maybe you have an attractive fixed interest rate on an undergraduate loan? There’s no need to include it in the package that gets refinanced. Maybe you want to dip your toe into the private loan financing waters but keep some of your loans in the federal program. There’s no requirement to refinance student loans in bulk. Refinance the portion that feels comfortable and keeping moving.
Fact #4: You get better service
There’s a reason the federal government sued Navient in early 2017. The federal student loan servicers have a history of customer complaints. Specifically, the government alleged that Navient “processed payments incorrectly; created obstacles by providing bad information and failed to act when borrowers complained.” Having seen them set such a low threshold, you’re likely to be impressed with a modern web interface, the ability to make extra payments easily, and flexible policies. While no company is perfect, the student loan refinancing market is extremely competitive at the moment, which means each company has to work hard to win your business.
Fact #5: Consolidation and refinancing aren’t the same thing
Many people mix up these terms. Consolidation is combining all of your loans into one federal loan. Unfortunately (for you), the government averages the interest rates of all of your loans and then rounds them up to the nearest 1/8th%. Refinancing occurs when a private bank or lender repays your federal loans and issues a new loan to you, typically at a much lower interest rate. Refinance. Don’t consolidate.
Fact #6: Refinancing doesn’t eliminate your debt
Refinancing is the first step in beating back the interest rate monster. But don’t get confused into thinking that you’ve actually made progress in paying off your debt. Refinancing student loans is just the first step. While the $12,000 in annual interest kept you from making headway against paying down your federal student loans, it’s the $200,000 of debt that you’re going to have to pay eventually before you can build real wealth. To defeat the $200,000 debt, you’re going to have to make consistent monthly payments and throw in any extra one-off “bonus” money that comes your way as you’re making payments toward your student loans.
Fact #7: You can refinance again later
If you’re just starting your career, you might not get the best rate due to your credit score and debt-to-income ratio. Or maybe you’ve paid off half your loan and are now convinced that a variable rate makes sense for the rest of the payoff. There’s nothing stopping you from refinancing your loans again. You’ll get the bonus money every time you do it and the refinancing companies probably won’t care, since their business model is based on selling your student loans into the bond market. There’s also the possibility that in the future we will see low interest rates (people have been saying for years that interest rates can’t get any lower, but then they do).
Fact #8: Don’t refinance if pursuing student loan forgiveness
Refinancing is not right for you if you plan on having your loans forgiven under Public Service Loan Forgiveness (PSLF) by the U.S. Department of Education or any of the income-driven repayment plans (e.g. IBR/PAYE/REPAYE). Forgiveness programs are only available to holders of federal loans. If you refinance, your federal loans are paid off and you now owe a private lender. Don’t refinance if you plan on seeking forgiveness.
Fact #9: Don’t fear the student loan debt monster
Many lawyers are afraid of refinancing their student loans. What are those lawyers really worried about? They’re worried they might not be able to make monthly payments. But if that happens, it’s not like the student loan companies can repossess your brain. Student loans are an unsecured debt. If you stop paying, the student loan companies have limited recourse. They’ll report you to the credit bureaus. But all the credit bureaus can do is lower your credit score. Your credit score is the least of your problems if you can’t make student loan payments. If you’re sure that you’re going to pay off your loans eventually (and forgo seeking forgiveness), then it’s time to refinance the student loans. Paying an extra $7,000 a year in interest so that you can return to REPAYE payments “just in case” is a very expensive insurance policy premium that doesn’t seem worth it to me. Most private lenders offer deferment loans terms and hardship options today anyway.
Fact #10: You can get student loan refinance bonus
You’re already going to save tens of thousands of dollars in interest when you refinance. But I’ve got an even better deal for you: extra cash in your pocket. I’ve negotiated a special student loan refinancing bonus with each of the main refinancing companies so that you get a little extra cash back when you do (and you help support this site). Plus, when you refinance through one of our links you’ll be part of the Biglaw Investor family. It’s hard for a student loan company to ignore a customer that’s literally refinancing millions of dollars in student loans (like us), so if you have questions (or need some extra help), you’ll benefit from being a “big fish”. We have dedicated contacts with each company.
Refinancing law school loans
Law school graduates typically start their career with an enormous amount of law school debt. If you’re looking to avoid this outcome, I’ve listed a bunch of ways to pay for law school. Loan repayment assistance programs (LRAP), scholarships, generous family members and part-time jobs are a few of the ways that law school students have been able to minimize their law school debt while pursuing a legal education.
If you’re a law school graduate who has now entered your repayment period and you’re specifically looking at how to eliminate your law school loans, you have a few options. One is to pursue an income-driven repayment plan, such as income-based repayment (IBR) or REPAYE. Obviously, many conditions apply if you’re pursuing forgiveness of the entire loan amount.
On the other hand, lawyers can often get great student loan refinance rates, since your large student loan balance and low risk of default is appealing to student loan refinancing companies that resell the debt in the public markets. The great thing about student loan refinancing is that there are no origination fees or prepayment penalties, so over the life of your loan you’re incentivized to refinance whenever you can get a lower rate (since even small decreases in your student loan interest rate can result in saving thousands of dollars.)
Typically a student loan refinancing company will look at your credit report and credit history in determining the student loan refinance rate they can offer you. You are also usually offered a small discount if you agree to automatic payments deducted from your bank account. In my experience, I’ve seen lawyers get better loan terms if they work in the private sector vs the public sector, but that is mainly a factor of having a higher starting salary if you work in the private sector. Either way, if you are able to lower your interest rate, your student loan repayment term should be shorter (less interest means you’ll pay off your loans faster). When your interest payments are lower, you’re able to reduce your principal balance faster.
Student loan refinancing program overviews
Frequently Asked Refinancing Questions
How do I get a student loan refinancing bonus?
You can get a student loan refinancing bonus by applying through Biglaw Investor® using the links on this site. The student loan refinance bonus you will receive depends on the amount of student loans that you refinance.
The student loan refinance bonus will be paid directly by the lender but you can always contact us to verify the student loan refinancing bonus and we can help make sure you’ll receive the student loan refinancing bonus if you reach out to us before you sign the papers.
Is it possible to refinance both federal and private loans together?
Yes, it’s possible to refinance both federal and private student loans together into a single new loan with a private lender. This is known as a private student loan consolidation and refinancing. However, it’s important to understand that when you refinance federal loans with a private lender, you lose access to federal benefits and protections.
How much lower does the interest rate need to be to justify refinancing?
The decision to refinance for a lower interest rate doesn’t have a universally applicable threshold, as it heavily depends on individual circumstances. However, a common rule of thumb is that a reduction of 1-2 percentage points might justify refinancing. This could significantly reduce the overall interest paid over the life of the loan. Yet, even a smaller decrease might be worthwhile if the loan balance is large or the remaining term is long. Remember, the objective isn’t just lowering the rate but reducing total repayment cost and easing your financial burden.
What is student loan refinancing?
Refinancing student loans means transferring your existing federal loans to a new private lender with new rates and terms. Borrowers typically refinance to get lower interest rates, lower their monthly payments, or consolidate their loans with a single lender (or sometimes for all three reasons).
How to refinance student loans?
Most lenders only perform a soft credit check when you check interest rates, which means their inquiry won’t affect your credit. You should shop around.
Checking rates is generally easy and doesn’t require the commitment of completing the full application. Of course, if you do end up refinancing, you’ll need to complete a full application with your chosen lender.
What credit score do I need to refinance student loans?
A good credit score is a big plus when you want to refinance student loans. If your score isn’t the best, it may be worth asking a friend or family member with a good credit score to co-sign with you.
What’s a good score? Somewhere in the high-600s is adequate for most lenders. However, in order to qualify for the best rates, a score in the mid-700 range or higher will be beneficial.
How to refinance student loans with bad credit?
If your credit score leaves something to be desired, you may not be able to refinance. Lenders will be looking for a score at least in the upper 600s. However, even if you technically meet the credit score requirements you could be denied for other reasons such as not having enough cash flow.
You can augment your credit profile by:
- Getting a co-signer with great credit
- Paying down other loan balances (credit cards and the like) to free up cash flow
- Improving your score before applying
Alternatively, if you’re having trouble qualifying to refinance, you may qualify for a federal relief program, so check into that as well.
Is it a good idea to refinance my student loans?
It really depends on your situation. Remember refinancing your student loans means you will no longer qualify for government programs designed to help if you fall on hard financial times.
In other words, if your job is uncertain and you think you’ll need income-driven repayment terms or that you might qualify for federal loan forgiveness, refinancing may not be the best idea. You could be taking away some important benefits.
However, if you feel somewhat stable financially, refinancing can offer some tremendous savings. Private loans tend to offer cheaper interest rates, which can save you thousands of dollars in the long-term. You may even find that your monthly payment is reduced by a significant amount, making it easier to save for a house or cover other expenses.
Student loans are offered through the federal government. These loans typically come with benefits not offered through private lenders. This includes loan forgiveness programs and income-driven repayment.
When is the best time to refinance my student loans?
In general, if you are in one of the following situations, it may be a good time to refinance.
- You have variable rate loans — interest rates are on the rise so locking in a more stable fixed rate would benefit you
- You have high-interest loans — even if refinancing only lowers your rate by a couple of percentage points, that represents big savings in the long run
- Your credit score has gone up — even if your loans already carry a reasonable interest rate if your credit score has dramatically improved you could qualify for an even better one
You also should consider refinancing if you want to release a co-signer from your current loan. Another reason would be to move the loan from your parent’s name to yours.
Does consolidating student loans help your credit score?
Most people have more than one student loan. In fact, if you applied for financing each semester of a four-year degree, you could actually have 8 loans.
Even if you only make one monthly payment, you probably have more than one loan. Payments are made to a student loan servicer assigned to you by the federal government, and they handle dividing up your payment between each loan.
By consolidating, you take out a new loan and pay off all the smaller ones. This can help your credit score in two ways.
First, the number of credit accounts with balances on your report affects your score. Reducing that number from eight to one can give your score a small boost. It might only be a few points, but every point counts when you’re trying to make a qualifying cutoff.
Second, if you miss your payments for a couple of months, every one of those loans will report you as being late. As you might guess, having only one loan reporting late is far less damaging to your score than eight.
Which is the best lender to refinance with?
In general, the best lender to choose for a refinance is the one that offers you the lowest rate, as that’s how you’ll save the most money. Talk to at least three lenders to get an idea of average rates.
If the offered rates are comparable, you’ll want to look at the company itself. Choose one that offers the features best suited to your situation, such as flexible repayment options in case you fall on hard times.
It’s also a good idea to look at the company’s track record with customer service. Good customer service is not always easy to find but 100% appreciated.
Can I refinance my student loans multiple times?
Yes, you can refinance your student loans multiple times. There’s no legal limit on how often you can do this. If interest rates drop or your financial situation improves significantly (leading to a better credit score and a lower debt-to-income ratio), refinancing again might secure you an even lower interest rate.
However, every time you refinance, it’s important to evaluate the new terms carefully. Always do the math to ensure the benefits outweigh any downsides. Since student loan refinancing doesn’t involve any fees typically, usually a lower interest rate is all you need to make the math work out.
Do student loan refinancing companies charge any fees?
Most student loan refinancing companies do not charge upfront fees such as application, origination, or disbursement fees. This is one advantage of refinancing student loans compared to some other types of loans.
However, always read the terms of the new loan carefully.
Each lender is different, so it’s important to understand all the potential costs associated with refinancing before you proceed. As a best practice, ask directly about all potential fees during the loan application process.
What types of loans are eligible for refinancing?
Various types of student loans are eligible for refinancing, including both federal and private student loans. This includes Direct Loans, Stafford Loans, PLUS Loans (both graduate and parent PLUS), Perkins Loans, and loans from private lenders. In some cases, even consolidated and previously refinanced loans may be eligible for further refinancing.
- Interest Rates: 5.89%+
- Bonus Cashback: $500
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- Rating: 10/10
- Important Disclosures: See Earnest Disclosures
- Visit Earnest
- Interest Rates: 4.86%+
- Bonus Cashback: $350
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 10
- 15
- 20
- Rating: 7/10
- Visit ELFI
- Interest Rates: 5.99%+
- Bonus Cashback: $500
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 8
- 10
- 12
- 15
- 20
- Minimum Loan Amount: $5,000
- Rating: 6/10
- Important Disclosures: See Splash Financial Disclosures
- Visit Splash Financial
- Interest Rates: 5.99%+
- Bonus Cashback: $0
- Loan Types:
- Loan Terms:
- Rating: 8/10
- Important Disclosures: See SoFi Disclosures
- Visit SoFi
- Interest Rates: 5.28%+
- Bonus Cashback: $0
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 8
- 10
- 12
- 15
- 20
- Rating: 8/10
- Important Disclosures: See Credible Disclosures
- Visit Credible
- Interest Rates: 5.54%+
- Bonus Cashback: $300
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 10
- 15
- 20
- Rating: 8/10
- Visit LendKey
- Interest Rates: 5.31%+
- Bonus Cashback: $600
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 10
- 15
- 20
- Minimum Credit Score: 720
- Visit Brazos
- Interest Rates: 5.49%+
- Bonus Cashback: $0
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 10
- 15
- 20
- Rating: 7/10
- Visit Laurel Road
- Interest Rates: 7.27%+
- Bonus Cashback: $750
- Loan Types:
- Fixed
- Variable
- Loan Terms:
- 5
- 7
- 10
- 15
- Visit Citizens Bank
Joshua Holt started his legal career with over $200,000 of student loan debt and enough anxiety to immobilize a small horse. He knew he had to figure out a plan for paying off his student loans, so he made a student loan debt chain and hung it up from the balcony of his NYC apartment. Now that his student loans are paid off, he’s free to spend his time working on Biglaw Investor sharing the strategies he used to other high-income professionals.
