If you took out a student loan several years ago and are no longer happy with the terms, payments, or lender; we have good news. With a student loan refinance, you have the ability to reset everything from how much you pay per month to how long you’ll be in debt to which lender you work with. To get started, it’s important to know your options. Read our review of Laurel Road to find out if they could be the right lender for your refinance.
You’ve likely been getting bills for years from your current lender without knowing much about them — but they certainly know a lot about you! That’s why we’re giving you the basics on Laurel Road. Get to know them before making a decision.
- Laurel Road was established in 2006 and operates out of Connecticut. They have physical bank branches, in that state but serve customers across the country online.
- They rebranded in 2017, and were previously called DRB student loan refinancing.
- They’ve recently been named to Inc.’s prestigious list of Fastest Growing Companies.
- Laurel Road won the “Best Consumer Lending Product” award from FinTech Breakthrough in 2018.
Laurel Road: Student Loan Refinance
If you’re considering a student loan refinance, Laurel Road is a strong contender. They have robust criteria for borrowers, which means they are able to offer very competitive rates. Keep reading for a few quick pros related to Laurel Road, as well as some areas of improvement.
- No origination fee or application fee
- Option to add a co-signer to you refinance
- Flexible terms beyond the industry standards of 5, 7, 10, 15, and 20 years.25% discount for enrolling in autopay
- Co-signer release available
- Ability for borrowers to refinance parent’s PLUS loans
- No penalty for paying off your loan early
- Reduced monthly payments for medical and dental students during and for six months following their residency or fellowship
- Solid customer service team with a process for escalating issues past the call center when necessary
What Could Be Better:
- Only offers 12 months of forbearance
- You must have graduated with a Bachelor’s degree and be eligible to work to qualify for Laurel Road
- No academic deferment so you must continue to pay if you return to school
- No ability to make greater than minimum payments via autopay
- Does not allow biweekly payments via autopay
- No dedicated advisor or rep, so you may speak with someone different each time you reach out to Laurel Road
Laurel Road: Who’s Eligible:
Before you choose a refinance ender, you need to make sure you meet their requirements. Here’s who is eligible to refinance with Laurel Road.
- Be a U.S. citizen or permanent resident
- Have a credit score of 660 or higher
- Meet requirements for debt-to-income ratio
- Have graduated with a Bachelor’s degree or higher from a title IV accredited school
- Have a minimum loan of $5,000
- No upward limit on how much total student loan debt you can refinance
Laurel Road: Available Products
Laurel Road offers competitive rates and flexible terms for their students loan refinance products. We cover some of the basics below, but it’s important to get a quote to find out if you’re eligible and to learn exactly what terms Laurel Road can offer you. They use a soft credit check so there is no harm to you credit score when you get a quote.
- Student loan refinance for student borrowers
- Student loan refinance for parents with Parent PLUS loans
- Special option for medical school graduates in their residency
- Standard repayment terms ranging from 5 - 20 years
- More flexibility in terms — with the right criteria you could get a term of less than 5 years or a non-standard number of years
- Fixed-rate loan interest rates from 3.50% – 7.02%
- Variable-rate loan interest rates from 2.95% – 6.37%
- Late payment charge is $28 or 5% of the payment, whichever is less
Laurel Road: Extra Points
The competition between lenders is getting ever more fierce, which means more and more companies are adding bonus offerings to their refinance products to make their customers happy. Laurel Road offers the following extra perk to not just customers, but anyone who refers someone for a refinance.
- When you successfully refer a friend for a refinance, both you and your friend can earn up to $400 from Laurel Road.
Laurel Road: Final Thoughts
So should you refinance with Laurel Road? We give them a thumbs-up for their competitive rates and their term flexibility that goes beyond industry standards. We also think their focus on medical and dental students makes them a great option for anyone in those fields. However, like any lender, Laurel Road may not be for everyone.
Before committing to Laurel Road, get multiple quotes from multiple lenders — we’ll help you do so here — so that you can compare not just the facts, but the numbers. It’s the best way to ensure you get an excellent deal and are set up for a successful refinance.