Best Private Student Loan Lenders 2018

By LendEDU

Published March 13th, 2018 on

Looking for a new private student loan? Learn more below!

Private students loans are used by over one million students each year. Why? Well, the rising cost of higher education has made it difficult for students and families to afford college.

Scholarships, grants, and federal student loans are all great ways to help meet your cost of attendance, but often these are not enough.

Many students are left with a sizable gap between their financial aid awards and the cost of attendance at college. Private student loan packages were created to help students fill the gap between financial aid and the cost of attendance.

At LendEDU we work to add transparency to the private student loan market. We work to bring the best lenders in front of our users. Moreover, we work to educate our users on responsible borrowing during college and responsible repayment after college. We put together this guide to help you navigate the confusing private student loan market. In no time you will be a student loan expert, ready to responsibly use student loans to your advantage.

Compare the Best Private Student Loan Companies

Instantly view loan options using our private student loan comparison tool.

Easily select your desired loan type, in-school repayment options, and repayment term to compare loan companies that meet your selected criteria.

View the Comparison Tool

Our Top 8 Lenders for Private Student Loans

1. Discover Student Loans – Our Top Pick

Find the right loan.

Check Your Eligibility > > >

See Discover Student Loans Important Disclosures1,2,3

 Cover up to 100% of your school-certified college costs1
✓ Get a great interest rate with no fees
✓ 1% cash rewards for good grades2
✓ 0.25% auto debit reward while enrolled in automatic payments during repayment3
✓ Simple application – You could get a response in minutes

Learn More About Discover & Apply Now

2. College Ave Student Loans – Making Loans Easy

Find money to pay for your higher education.

✓ New private undergrad, graduate, and parent loans available
✓ Choose a term length of 8, 10, 12, or 15 years2
✓ Variable rates as low as 3.92%1
✓ Full, interest-only, flat, and deferred payment choices when in school
✓ Zero application fees, origination fees, or pre-payment fees
✓ 0.25% interest reduction for automatic payments while in school

Learn More About College Ave & Apply Now

See the Full List of Lender Reviews

Facts About Private Student Loans

We thought it would be helpful to share a few facts about private student loans:

  • 1.4 million students use PSLs each year

  • The average new PSL is $10,000

  • 90% of PSLs are originated with a cosigner

  • PSL rates start at 2.06% for qualified borrowers

  • There are hundreds of PSL lenders

  • You can apply for PSLs online in about 15 minutes

What are Private Student Loans? How Do They Work?

Educational loans are offered by private banks to students pursuing associate’s, undergraduate, and graduate degrees. Private debt is used to help college students afford the cost of attendance – especially recently given the increase in the average cost of college. Privately issued student loans can be used for tuition, textbooks, room & board, and all related education expenses.

Unlike federal student loans, private student loans are not offered by the Department of Education. Instead, non-federal student debt is issued by private banking institutions. There are hundreds of private student debt lenders on the market so finding the best option can be a little tricky.

Traditional banks, online lenders, credit unions, and community banks all offer student loan options to borrowers. To qualify for a private loan you must be creditworthy. This means you must have an established credit history, stable income, and be working. 90% of students will need the help of a cosigner to get approved for a collegiate loan.

In general, private debt can be used to cover your full cost of attendance.

Read More About Private Student Loans

Blog provided by LendEDU, a marketplace for private student loansstudent loan refinancingcredit cards, and personal loans.

Westface College Planning can help you construct appeal letters and navigate the financial aid process from start to finish. To learn how we can help, send us a message, call us at (360) 818-7728 or sign up for one of our Tackling the Runaway Costs of College Workshops or Webinars.

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