Private student loans are a popular option for those who need help covering their schooling costs—from tuition to books to housing and even meals. But which is the best loan for your situation? 

Here’s a look at our selections for the best private student loans according to Fortune’s proprietary methodology, including low APR, lengthy repayment terms, and general flexibility. 

Lender details checked May 21, 2026, and are subject to change.

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Best private student loans of June 2026

Best for	Institution	Max loan amount	Min APR	Max APR	Max loan term	Learn more
Lengthy term	Abe	$350,000	2.54%	17.14%	20 years	View offers at Money
Low maximum APR	RISLA	None	2.99%	8.77%	15 years	View offers at Money
Non degree-granting institutions	Ascent	$400,000	2.69%	16.86%	15 years	View offers at Money
Low minimum APR	College Ave	$300,000	2.59%	17.99%	20 years	View offers at College Ave
Cosigner release	Sallie Mae	None	2.89%	17.49%	15 years	View offers at Sallie Mae

Lengthy term	View offers at Money
Institution	Abe
Max loan amount	$350,000
Min APR	2.54%
Max APR	17.14%
Max loan term	20 years
Low maximum APR	View offers at Money
Institution	RISLA
Max loan amount	None
Min APR	2.99%
Max APR	8.77%
Max loan term	15 years
Non degree-granting institutions	View offers at Money
Institution	Ascent
Max loan amount	$400,000
Min APR	2.69%
Max APR	16.86%
Max loan term	15 years
Low minimum APR	View offers at College Ave
Institution	College Ave
Max loan amount	$300,000
Min APR	2.59%
Max APR	17.99%
Max loan term	20 years
Cosigner release	View offers at Sallie Mae
Institution	Sallie Mae
Max loan amount	None
Min APR	2.89%
Max APR	17.49%
Max loan term	15 years

Lender details checked May 21, 2026.

Best for a lengthy term: Abe

We think Abe is an all-around fantastic choice for student loans—our overall top option.

Abe provides one of the lowest minimum APRs of any student loan lender we’ve seen, gives borrowers an astoundingly long 12-month grace period before you’re required to start making payments after leaving school (that’s double the standard six-month grace period), charges no application fees, origination fees, late payment fees, or forbearance fees, and provides six different payment relief options in the event that you endure a hardship like job loss or an illness.

Uniquely, Abe also rewards students with a 2% reduction of the net disbursed loan amount upon graduation. You must earn a bachelor’s degree or higher to qualify, and you can only earn this once with your loan (even if you earn multiple degrees).

But perhaps the best feature of Abe private student loans is its abnormally large choice of repayment terms: Choose from 5, 7, 10, 15, and 20 years. Most loans offer either 10 or 15 years to repay, so a 20-year term might make your loan considerably more affordable. For example, we estimate if you took out a $150,000 loan at 5% APR, your minimum payment would be approximately $1,186.19 per month with a 15-year loan—but around $989.93 with a 20-year loan.

Best for a low maximum APR: RISLA

Nonprofit RISLA has a lot going for it. It doesn’t charge arbitrary origination fees and it even offers an income-based repayment (IBR) plan that determines your monthly payment based on your income and family size—which can sometimes result in minimum monthly payments as low as $10.

But RISLA wins the day with its maximum APR of 8.77%. That’s a little more than half the rate that some of its best competitors may charge. While many lenders have very similar minimum APR, those rates are generally saved for those with the best credit scores and histories. But even RISLA’s worst-case scenario is reasonable.

RISLA offers loan terms of up to 15 years. It enforces no annual limits, allowing you to pay for school certified expenses like tuition, housing, books, etc.

Best for those attending non degree-granting institutions: Ascent

Ascent is less particular when it comes to the types of education you pursue than some lenders. In addition to traditional undergraduate and graduate programs, it offers separate career training loans for things like coding bootcamps and trade programs. Career training loans technically aren’t “student” loans, but they’re still a way to help you cover tuition at eligible schools. Just note that some of these loans have a one-time origination fee of 5.00% of the loan amount.

Additionally, Ascent offers an above-average nine-month grace period for most undergraduate and graduate loans (again, most lenders we’ve seen allow for six months).

Low minimum APR: College Ave

College Ave’s large loan amounts, conspicuous lack of fees, and wide range of eligible degrees and institutions makes it a broadly strong candidate for anyone pursuing higher education.

Specifically, it’s great for those who need funding for several years but don’t want the hassle of reapplying each year. Its convenient Multi-Year Peace of Mind program deviates from the standard “start-from-scratch” approach every year, requiring you to open a new loan for each academic year. With Multi-Year Peace of Mind, you can apply with a cosigner and effectively lock in ongoing approval upfront.

You’ll technically still need to submit a new loan every year, as it requires a separate credit check (College Ave also requires that you meet your Satisfactory Academic Progress), but the new application is more of a formality.

The main thing College Ave does better than anyone else in our view is its incredibly low minimum APR of 2.59%. This beats all the top competitors we examined, making it ideal for those with excellent credit (or a cosigner with excellent credit). Qualify for the lowest rate, and this may be the cheapest way to finance your education.

Best for a cosigner release: Sallie Mae

Sallie Mae is standout for its lack of annual maximum student loan amounts. No matter how much you need for school certified costs, you can ask for up to the full cost of attendance (excluding aid). It also doesn’t charge arbitrary origination fees and prepayment penalties.

Sallie Mae is also famous for its generous cosigner release option. You can request that Sallie Mae remove your cosigner after you graduate or complete your certificate program by making 12 on-time payments (principal and interest), as long as you meet the income and credit requirements. In other words, it’s possible to remove your cosigner as early as one year after you graduate.

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What is a private student loan?

Unlike a federal student loan (issued by the U.S. Department of Education), a private student loan lets you pay for higher education with the help of a non-government lender. It can come from a bank, a credit union, an online lender, etc.

Private student loans are handy for those that need money to cover needs that scholarships and grants (and federal loans) won’t cover. But they can also serve as your primary funding source if you don’t qualify for federal aid—or if you’ve already hit your federal borrowing limit.

Is a private student loan a good idea?

Private student loans can be beneficial for many situations, but they’re not a slam dunk for everyone. As with any loan, there are risks; a private student loan comes with fewer failsafe mechanisms than a federal student loan if you’re unable to pay, for example:

• Income-driven repayment (IDR): Federal student loans can determine your minimum payment based on your income and family size. So, if you find yourself making less money at some points throughout the loan, your monthly payment will drop to accommodate the situation.
• Loan forgiveness and cancellation: In some cases, a federal loan can be erased for those who use income-driven repayment for the full repayment term but still have a remaining balance.
• Subsidized interest: The government pays the interest for eligible students while in school and during the grace period after leaving school. It also pays during certain deferment periods. This helps to prevent your principal from rising when you aren’t making payments.

These are the types of perks you won’t automatically receive with a private student loan—though some may offer similar benefits.

Pros and cons of private student loans

How to find the right private student loan

Private student loans share many of the same components as other types of loans. In other words, finding the right private student loan requires the same logic you’d apply to any loan. Here’s what to consider.

Interest rates and APR

Interest rates are one of the most important aspects of a private student loan. A single percentage can result in thousands of dollars of difference across the life of your loan. For example, a $100,000 student loan across 15 years will incur an estimated:

• $33,143.83 in interest at 4.00%
• $42,342.85 in interest at 5.00%

That’s a nearly $9,200 difference.

Make sure you clock the loan’s APR, as that includes other fees that don’t include interest. The most popular private student loans don’t come with, say, origination fees. But if a lender charges it, the fee will be factored into the APR.

Repayment terms

Another critical feature of your loan is the amount of time you have to repay what you’ve borrowed. The longer you have to pay, the more manageable your monthly payments will be. Max loan terms typically vary from 10 to 20 years, depending on the lender.

Borrowing limits

Ideally, your private student loan will cover all related expenses of your academic year so that you’ll only have one bill to pay. If your loan doesn’t quite cover everything, you may still owe money directly to your school—or have separate costs for housing and other essentials. That could dramatically increase how much you pay in total each month.

Eligibility

Private student loans differ from federal student loans in that you’ll need a credit score to qualify. The more creditworthy you are, the lower your interest rates are likely to be. If you have poor or limited credit, you’ll need a cosigner to be approved.

Even if you qualify for a loan yourself, it could be worth exploring the rates you’d receive with a cosigner. If their credit is better than yours, it could drop your interest rates and save you several thousand dollars over the life of your loan.

Hardship options

Some private student loans advertise payment flexibility for those who run into hardship like a job loss. You may benefit from modified payments, forbearance, or some other form of temporary relief. They’re not standardized and required by law like federal student loans, but they do exist.

How to qualify for a private student loan

Qualifying for a private student loan is a bit more involved than a federal student loan. Here are the main requirements to anticipate:

• Credit score: You’ll generally need a good credit score to be approved for a private student loan. Lenders want to see a history of responsible borrowing and are likely to repay what you owe before they hand you a considerable sum of money.
• Cosigner: If your credit score isn’t pristine, you may still be approved for a private student loan by using a cosigner with better credit than you. The lender will use your cosigner’s credit profile for the approval. Just note that a cosigner is ultimately responsible for the repayment. Failure to make on-time monthly payments will wreck the credit scores of both you and your cosigner.
• Reasonable debt-to-income ratio (DTI): Your DTI is the percentage of your monthly gross income that is dedicated to repaying current debts (mortgage, credit cards, auto loans, etc.). If it’s too high, you’ll have trouble being approved for a private student loan. A good rule of thumb is to keep your DTI under 36%.
• Enrollment at an eligible school: Not all schools qualify for funding from every lender. Make sure your specific program is eligible for the private student loan you want.
• Satisfactory Academic Progress (SAP): Satisfactory Academic Progress is an eligibility requirement that schools use to decide whether you’re keeping up academically. Some private lenders require verification of SAP before they fork over money.

Our methodology

Fortune compared the top lenders offering private student loans to give you a selection of the top options based on your needs. We ranked private student loans according to the following factors:

• Maximum loan amount (17%): Many lenders allow you to cover up to 100% of your tuition—with no cap. Some do offer hard caps, however, and they were docked accordingly.
• Minimum APR (23%): This is the lowest advertised rate by each institution. The APR you qualify for will depend on your credits but if you or your cosigner has excellent credit, you could be eligible for these rates.
• Maximum APR (20%): This is the highest advertised rate by the lender. Even those that barely qualify for a private student loan can know their proposed APR won’t exceed this number.
• Maximum loan term (15%): The amount of time you’ve got to repay your debt is a critical aspect of a student loan. The longer the repayment term, the lower your minimum payment will be each month.
• Ineligible degrees/institutions (5%): Some financial institutions require that you pursue a specific degree or severely limit your selection of schools. The less particular a lender is, the higher they’re graded.
• Satisfactory Academic Progress requirement (5%): If your school decides that you’re not making SAP under its policy, it can choose not to certify the loan. Those that don’t require this were ranked higher.
• Repayment grace period (15%): The grace period is the amount of time after you finish school before the repayment period begins. This gives you a bit of time to find a job and become more stable before taking on this financial burden.

Frequently asked questions

What credit score do I need for a private student loan?

You’ll likely have the best chance to be approved for a private student loan if you’ve got at least a 670 credit score (considered “good” by FICO).

Should I choose a fixed or variable interest rate for my private student loan?

The answer depends on your preferences and your bet on future interest rates. Fixed interest rates give you a predictable repayment for the life of your loan, as your interest won’t change. Variable interest rates will change over time, which will benefit you if rates fall—but penalize you if rates rise.

Can I get a private student loan without a cosigner?

You can get a private student loan without a cosigner, but only if you’re creditworthy. If you’ve got a fair or poor credit score, a cosigner is the way to go.

What is the maximum amount I can borrow with a private student loan?

The maximum amount you can borrow with a private student loan depends on the financial institution. Some will cover the entirety of your education with no cap, while others may only offer $100,000 max.

How long are typical private student loan repayment terms?

Typical private student loan repayment terms are between 10 and 20 years.