As a Student Loan Hero reader, you might have noticed that we often recommend specific lenders and products.
We want to provide you with real, specific solutions for any financial challenges that come your way. This includes finding and sharing what we think are the best financial tools out there.
But how do we choose which products and services to highlight? Well, here at Student Loan Hero, we put our users and their interests first. That’s why we choose to partner with companies with the same focus.
Our partners’ missions align with ours: helping you manage and be free of your student loans while improving your financial health. We only feature lenders and products that we’re confident can benefit our users.
Here are key insights into how we choose partners and products we think are worth sharing with you.
How Student Loan Hero makes money
Sharing awesome financial tools is actually our business model – in other words, it’s how Student Loan Hero makes money. We highlight these products in a few places throughout our site, such as:
- The Student Loan Hero Marketplace
- Roundups of top lenders
- Lender comparison tables (like the one at the end of this article)
- Reviews of products or lenders
First, we vet the partners we work with to highlight the best loans, investment tools, and other personal finance products. We make sure to include all the information you need to make the right choice for your situation (even if that means you don’t apply).
We make it easy to find and compare top loans and money tools, and then you get to decide if you want to use them. Some of the lenders and products we recommend pay us a referral fee if a person signs up for a service they found through our site.
We see this as an all-around win. For you, this means finding great products and making well-informed choices – with less legwork.
Meanwhile, we get to generate enough revenue to keep the lights on while offering high-quality information, tools, and resources to you – 100 percent free.
How Student Loan Hero vets our partners
Helping you make the best choices for your financial situation is our number one priority. When vetting our partners, we take our responsibility to find and share the best products very seriously.
We respect our users’ trust because the partners we choose to work with will reflect on us – for better or worse. At every step of a relationship with a potential partner, we work for you – our users – to ensure it’s a good fit for you.
Our vetting process mimics how a potential customer would shop for a specific product or financial service. That’s because the customer experience is central to our vetting process. We want to make sure that we only work with lenders and companies that offer a great experience, start to finish.
In fact, many Student Loan Hero team members are customers of our partners, themselves.
Student Loan Hero CEO Andy Josuweit refinanced several of his student loans with Earnest. Another team member, Mackenzie Kreitler, worked with CommonBond to refinance her parent’s student loans into her own name. Many Student Loan Hero employees use the investing services, credit cards, and other products highlighted on our site.
Here are the steps we go through to vet lenders and companies as we consider partnering with them.
1. Identify potential partners
Student Loan Hero starts by understanding what our users are looking for and what kind of services they want.
Then, we look at the top banks, lenders, and service providers in a given product space. We identify the financial tools we think can best help our customers achieve their money goals.
2. Understand the company
Next, we start digging deep. We talk to potential partners to understand their company, brand, and products. We review any publicly available company information or securitization data, then work to understand the stage this business is at.
Companies with established brands and services are a good fit for us – they usually have the capability and willingness to work with the customers we might send their way. The best student loan refinancing companies that we highlight, such as SoFi and CommonBond, are prime examples. We make sure all these lenders have the bandwidth and capital available to quickly process applications and fund approved loans.
3. Compare and vet the product
The Student Loan Hero team closely reviews the product the company offers. Potential partners must offer products that can benefit you – which means reasonable rates, low fees, and a positive customer experience.
Transparency is also huge. We think customers deserve to have all the details upfront so they can make an informed choice.
4. Test the customer experience
As part of vetting our lenders, Student Loan Hero actually goes through the process to apply for and get a loan or other product.
We test the customer experience to make sure it’s friendly and focused on getting you the best outcome – not just bolstering the company’s bottom line. It’s also important that the process is easy, straightforward, and fast – features we know are important to our users.
5. Select our partners
Student Loan Hero only secures partnerships once we’re confident that the company and product are customer-centered.
We then share this product when and where it makes sense for our users. We also highlight product features and details important to you (good or bad), equipping you with what you need to know to decide if this product is right for you.
6. Measure partnership success
The vetting process doesn’t end once we’ve struck up a partnership. Student Loan Hero continually collects and analyzes data about how useful our customers find certain products.
We also stay on top of any developments or changes with our partners to ensure our recommendations are always based on the most up-to-date information.
We work with partners that will work for you
Student Loan Hero believes in doing the right thing, even if that means passing on a partnership or a potential income stream. We place a far higher value on the relationships we’ve built with customers than any revenue we could earn from partners.
We have an unwavering respect for you, your financial journey, and your goals. That’s why we strive to work with other companies that share our respect for you and desire to help you build a sound financial future.
The bottom line when it comes to vetting our partners: We try to understand the product and picture a real person using it.
Is there a real need customers have that this product can meet? Does this company offer real value with a positive experience? Student Loan Hero’s vetting process is in place so that the answer, in regards to our partners, will always be “yes.”
Interested in refinancing student loans?Here are the top 6 lenders of 2018!
|Lender||Variable APR||Eligible Degrees|
|Check out the testimonials and our in-depth reviews!
1 Important Disclosures for Earnest.
To qualify, you must be a U.S. citizen or possess a 10-year (non-conditional) Permanent Resident Card, reside in a state Earnest lends in, and satisfy our minimum eligibility criteria. You may find more information on loan eligibility here: https://www.earnest.com/eligibility. Not all applicants will be approved for a loan, and not all applicants will qualify for the lowest rate. Approval and interest rate depend on the review of a complete application.
Earnest fixed rate loan rates range from 3.89% APR (with Auto Pay) to 7.89% APR (with Auto Pay). Variable rate loan rates range from 2.47% APR (with Auto Pay) to 6.97% APR (with Auto Pay). For variable rate loans, although the interest rate will vary after you are approved, the interest rate will never exceed 8.95% for loan terms 10 years or less. For loan terms of 10 years to 15 years, the interest rate will never exceed 9.95%. For loan terms over 15 years, the interest rate will never exceed 11.95% (the maximum rates for these loans). Earnest variable interest rate loans are based on a publicly available index, the one month London Interbank Offered Rate (LIBOR). Your rate will be calculated each month by adding a margin between 1.82% and 5.50% to the one month LIBOR. The rate will not increase more than once per month. Earnest rate ranges are current as of Month/Day/Year, and are subject to change based on market conditions and borrower eligibility.
Auto Pay discount: If you make monthly principal and interest payments by an automatic, monthly deduction from a savings or checking account, your rate will be reduced by one quarter of one percent (0.25%) for so long as you continue to make automatic, electronic monthly payments. This benefit is suspended during periods of deferment and forbearance.
The information provided on this page is updated as of 08/21/18. Earnest reserves the right to change, pause, or terminate product offerings at any time without notice. Earnest loans are originated by Earnest Operations LLC. California Finance Lender License 6054788. NMLS # 1204917. Earnest Operations LLC is located at 302 2nd Street, Suite 401N, San Francisco, CA 94107. Terms and Conditions apply. Visit https://www.earnest.com/terms-of-service, email us at firstname.lastname@example.org, or call 888-601-2801 for more information on ourstudent loan refinance product.
© 2018 Earnest LLC. All rights reserved. Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by or agencies of the United States of America.
2 Important Disclosures for Laurel Road.
Laurel Road Disclosures
APR stands for “Annual Percentage Rate.” Rates listed include a 0.25% EFT discount, for automatic payments made from a checking or savings account. Interest rates as of 11/8/2018. Rates subject to change.
Variable rate options consist of a range from 3.27% per year to 6.09% per year for a 5-year term, 4.64% per year to 6.14% per year for a 7-year term, 4.69% per year to 6.19% per year for a 10-year term, 4.94% per year to 6.44% per year for a 15-year term, or 5.19% per year to 6.69% per year for a 20-year term, with no origination fees. APR is subject to increase after consummation. The variable interest rate will change on the first day of every month (“Change Date”) if the Current Index changes. The variable interest rates are based on a Current Index, which is the 1-month London Interbank Offered Rate (LIBOR) (currency in US dollars), as published on The Wall Street Journal’s website. The variable interest rates and Annual Percentage Rate (APR) will increase or decrease when the 1-month LIBOR index changes. The variable interest rates are calculated by adding a margin ranging from 0.98% to 3.80% for the 5-year term loan, 2.35% to 3.85% for the 7-year term loan, 2.40% to 3.90% for the 10-year term loan, 2.65% to 4.15% for the 15-year term loan, and 2.90% to 4.40% for the 20-year term loan, respectively, to the 1-month LIBOR index published on the 25th day of each month immediately preceding each “Change Date,” as defined above, rounded to two decimal places, with no origination fees. If the 25th day of the month is not a business day or is a US federal holiday, the reference date will be the most recent date preceding the 25th day of the month that is a business day. The monthly payment for a sample $10,000 loan at a range of 3.27% per year to 6.09% per year for a 5-year term would be from $180.89 to $193.75. The monthly payment for a sample $10,000 loan at a range of 4.64% per year to 6.14% per year for a 7-year term would be from $139.65 to $146.76. The monthly payment for a sample $10,000 loan at a range of 4.69% per year to 6.19% per year for a 10-year term would be from $104.56 to $111.98. The monthly payment for a sample $10,000 loan at a range of 4.94% per year to 6.44% per year for a 15-year term would be from $78.77 to $86.78. The monthly payment for a sample $10,000 loan at a range of 5.19% per year to 6.69% per year for a 20-year term would be from $67.05 to $75.68.
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the variable rate will decrease by 0.25%, and will increase back up to the regular variable interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
3 Important Disclosures for SoFi.
4 Important Disclosures for LendKey.
Refinancing via LendKey.com is only available for applicants with qualified private education loans from an eligible institution. Loans that were used for exam preparation classes, including, but not limited to, loans for LSAT, MCAT, GMAT, and GRE preparation, are not eligible for refinancing with a lender via LendKey.com. If you currently have any of these exam preparation loans, you should not include them in an application to refinance your student loans on this website. Applicants must be either U.S. citizens or Permanent Residents in an eligible state to qualify for a loan. Certain membership requirements (including the opening of a share account and any applicable association fees in connection with membership) may apply in the event that an applicant wishes to accept a loan offer from a credit union lender. Lenders participating on LendKey.com reserve the right to modify or discontinue the products, terms, and benefits offered on this website at any time without notice. LendKey Technologies, Inc. is not affiliated with, nor does it endorse, any educational institution.
5 Important Disclosures for CommonBond.
Offered terms are subject to change. Loans are offered by CommonBond Lending, LLC (NMLS # 1175900). If you are approved for a loan, the interest rate offered will depend on your credit profile, your application, the loan term selected and will be within the ranges of rates shown.
All Annual Percentage Rates (APRs) displayed assume borrowers enroll in auto pay and account for the 0.25% reduction in interest rate. All variable rates are based on a 1-month LIBOR assumption of 2.28% effective October 10, 2018.
6 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|2.47% – 6.99%3||Undergrad & Graduate|
|2.57% – 6.97%1||Undergrad & Graduate|
|2.51% – 8.09%4||Undergrad & Graduate|
|3.02% – 6.44%2||Undergrad & Graduate|
|2.50% – 7.24%5||Undergrad & Graduate|
|2.79% – 8.39%6||Undergrad & Graduate|