Credible Student Loan Refinancing
Credible is a marketplace that allows anyone to request prequalified student loan refinance rates from as many as ten lenders with only a soft pull of credit.
The loan-finding service is free, and you can start with a simple form and find out right away if you are eligible to have your student loans refinanced with one of Credible’s lenders. They also offer private student loans for people who are still in school as well as personal loans.
The company started in 2012 and is based in San Francisco. Their client success team is available to offer one-on-one support if needed.
Credible Student Loan Refinance Overview
|APR (fixed interest rate)||2.94% – 8.90% (as of Feb. 25, 2020)|
|APR (variable interest rate)||2.31% – 8.67% (as of Feb. 25, 2020)
Maximum variable rate is 21% or Prime Rate + 9%, whichever is greater
|Eligible loan types||Federal, private and Parent PLUS loans
|Refinance amount||Varies by lender ($5,000 minimum, up to full balance of qualified education)|
|Repayment terms||5 – 20 years, depending on lender’s requirements|
|Minimum credit score||660 – 700 +|
|Good for:||Those with multiple student loans who want to consolidate them into a single loan|
- Can refinance Parent PLUS loans
- Quickly compare multiple lenders on a single platform
- Find out if you qualify and compare rates with only a soft credit pull
- Some of Credible’s lending partners will refinance student loans without a degree
- You won’t get better (or worse) interest rates through Credible than you would by going straight to the lender
- You still need to evaluate lenders individually before making a decision
- Those with high debt-to-income ratios may find it challenging to find a lender
With Credible, you can fill out a simple request form and immediately find out if you qualify to refinance your student loans with any of Credible’s lending partners.To request rates, you provide a little information about yourself, your education history, and details about your financial situation.
When you request rates, you authorize a soft credit pull, which doesn’t negatively affect your credit score.
Credible then provides you with a list of lenders that you are likely to qualify for and their refinance rates. Each lender may offer several rates, depending on whether you want a variable or fixed rate. The term length you choose may also affect your interest rates.
If you decide to choose one of the lenders, you’ll fill out a formal application and enter your student loan details. The lender will conduct a hard pull of your credit before finalizing their offer, which could affect your credit score by a few points.
Terms & Requirements
You can use the Credible lending platform to get several student loan refinance offers from different lenders. The service is free for applicants. Credible makes money by charging lenders a commission, which does not impact the options you see or how those options are displayed.
The rates offered by Credible’s lenders after the prequalification application are not formal credit offers. They aren’t guaranteed for any amount of time.
Each lender has their requirements, so you’ll fill out an application and allow a hard credit inquiry after choosing the lender the best meets your needs.
Some of Credible’s lenders include Brazos, EDvestinU, PenFed, SoFi, MEFO, ELFI, Citizens Bank, Advantage Education Loans, and College Ave.
Most Credible lenders require a minimum credit score of 660 to 700. Debt-to-income ratios and annual income requirements vary. Credible notes on their website that the most common reason that applicants get denied for a loan is a high debt-to-income ratio.
Loan terms vary according to each lender. With Credible, you can refinance private student loans, federal loans, and Parent PLUS loans. Some of their lender partners also allow refinancing of loans that are deferred or in forbearance.
Each lender determines its own repayment terms. The lenders in the Credible network are well-known, and their terms seem to be on par with competitors. For example, Citizens Bank is one lender that offers student loan refinancing without a degree. As of Feb. 25, 2020, they have a minimum fixed APR of 3.27% and a variable APR of 2.24%. Loan amounts depend on degree type and range from $10,000 to $350,000. Their minimum annual income is lower than many other lenders at just $24,000 per year.
While many lenders offer forbearance programs, the terms of those programs vary widely. Some offer disability discharge, military forbearance, and loan deferment for full-time students, as well.
Privacy & Security
Credible has thousands of reviews on Trustpilot, the majority of which are “excellent.” Not all reviews on this platform are about student loan refinancing, however. In general, reviewers liked the fast customer service response time, the variety of refinancing options, and the lower interest rates offered by Credible lending partners.
If you choose to use a Credible partner, as soon as they fund the loan, you’ll take your questions and concerns to the lending partner’s customer service department.
Throughout the application process, you can contact Credible if you have questions.
Email firstname.lastname@example.org, or call (866) 540-6005. You can also chat with an online customer service representative in real-time Monday through Thursday between 6 am and 6 pm Pacific Time, Friday between 6 am and 4 pm. Saturday and Sunday hours are 7 am to 4 pm.
Credible has thousands of positive reviews from happy customers who successfully refinanced their student loans through the platform. Their lenders offer a variety of terms, and there are enough participating lenders that Credible can help you shop for a loan that’s ideal for your situation.
As with most student loan refinance lenders, you’ll need decent credit and a good debt-to-income ratio to qualify. Those with credit challenges may want to hold off on refinancing their student loans and concentrate on improving their financial situation so they can get the best possible rates and terms.
Overall, Credible is an easy-to-use lending platform where you can find out what kind of refinance loans you may qualify for in just a few minutes. They don’t share your information, so you don’t have to worry about getting multiple calls, texts, and emails from lenders. This lending platform is well-established and getting pre-qualified is a no-risk process.
22 4th Street
San Francisco, CA 9413