Student loan refinancing rates drop – 5-year variable rates drop back below 3%


Our goal here at Credible Operations, Inc., NMLS number 1681276, referred to as “Credible” below, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders, all opinions are ours.

The latest interest rate trends for student loan refinancing from the Credible Market, updated weekly. (iStock)

Rates came down last week for well qualified borrowers using the Credible Market to refinance student loans in 10-year fixed rate and 5-year variable rate loans.

For borrowers with a credit score of 720 or higher and who have used the Credible Marketplace to select a lender, during the week of September 13, 2021:

  • 10-year fixed-rate loan rates averaged 3.49%, down from 3.50% the week before and 4.16% a year ago. Ten-year fixed rates hit their lowest point of the year during the week of August 30, 2021.
  • 5-year variable rate loan rates averaged 2.95%, down from 3.07% the week before and 3.18% a year ago. Floating rate loans were at their lowest for the year the week of August 23, 2021, when they hit 2.53%.

Trends in weekly student loan refinancing rates


If you are curious about what type of student loan refinance rate you may be entitled to, you can use an online tool like Credible to compare the options of different private lenders. Checking your rates will not affect your credit score.

Current student loan refinancing rates by FICO score

To alleviate the economic impacts of the COVID-19 pandemic, interest and payments on federal student loans have been suspended for at least January 31, 2022. As long as this relief is in place, there is little incentive to refinance federal student loans. But many borrowers with private student loans are taking advantage of the low interest rate environment to refinance their student debt at lower rates.

If you are eligible for refinancing your student loans, the interest rate you are offered may depend on factors such as your FICO score, the type of loan you are looking for (fixed or variable rate) and the loan repayment term. .


The chart above shows that good credit can help you get a lower rate and that the rates tend to be higher on loans with fixed interest rates and longer repayment terms. Since each lender has their own method of evaluating borrowers, it’s a good idea to ask for rates from multiple lenders so you can compare your options. A student loan refinance calculator can help you estimate how much you could save.

If you want refinance with bad credit, you may need to apply with a co-signer. Or, you can work on improving your credit before you apply. Many lenders will allow children to refinance Parent PLUS Loans in their own name after graduation.

You can use Credible to compare prices from multiple private lenders at once without affecting your credit score.

How are student loan refinancing rates determined?

The rates applied by private lenders to refinance student loans depend in part on the economy and the interest rate environment, but also on the term of the loan, the type of loan (fixed or variable rate), the creditworthiness of the borrower and the operating costs and profit margin of the lender. .

About Credible

Credible is a multi-lender marketplace that allows consumers to discover the financial products best suited to their particular situation. Credible’s integrations with major lenders and credit bureaus allow consumers to quickly compare accurate and personalized loan options – without putting their personal information at risk or affecting their credit score. The Credible Marketplace offers an unparalleled customer experience as evidenced by more than 4,300 positive reviews on Trustpilot and a 4.7 / 5 Octoberscore.

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