Read this if you’re ready to refinance your student loans and looking for the lowest interest rate.
Estimated read time < 5 minutes.
You’ve decided refinancing is right for you, congrats on taking back your financial power! With that new found dominion it’s time to start making the executive decisions needed to get the most out of your refinance.
First you’ll want to choose the borrower benefits you need so you’re only trusting your money with companies that give you the goods. Go back and read How to Choose the Refi Benefits You Need if you haven’t done this already.
The next step is to shop around for the best deal. You’re entering the world of competition for your loans. That means companies have to offer you the best to get your loan. Doesn’t it feel so good to be in control? So how do you start shopping around for the lowest interest rate without having a million credit checks? You use the rate estimators on the refinancing company website.
1. Go to the websites for all the refinancing companies you’re considering.
Here’s a handy list to get you started. Please note that some of these links are referral links which means we both get paid if you end up refinancing through the link.
- Earnest
- SoFi
- RISLA Does not have a quick interest rate estimator
- Laurel Road
- ElFi
- CommonBond
- LendKey
- Citizens Bank
- iHELP Does not have a quick interest rate estimator
- EdvestinU
2. Plug in your information.
- How much debt you’re looking to refinance (most companies have a minimum of $15,000).
- Your current monthly payment
- Your estimated credit score or sometimes your social security number for a soft credit check
- Your repayment term (5-20 years)
- Your income and assets (savings, checking, and investments)
- Other debts
- Your email address and or phone number
3. Take a look at your rates.
- You will get both variable and fixed interest rate estimates
- You can also compare different interest rates across different loan terms
4. Pick 2-3 companies with the best rate estimates and submit applications.
- Once you’ve got rate estimates you can eliminate companies that aren’t offering competitive interest rates
- Get ready to submit applications to the two or three companies with the lowest rate estimates
So how did it go? Did you find wildly varying rate estimates across companies? Who offered you the lowest rates? Comment below!
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