Student loan rates have continued to drop in the wake of the Fed cutting interest rates last week. As of November 4, 2025, private student loan lenders are offering fixed rates as low as 2.85% APR and variable rates starting as low as 3.78% APR, depending on credit profile, degree program, and repayment term.
Nearly half of the lenders we track lowered their variable rate student loans in the last 5 days.
While federal student loan rates are set annually by Congress, private lenders continue to adjust based on market conditions and Treasury yields. Staying current on these changes can save borrowers hundreds (or even thousands) over the life of a loan.
💰 Today’s Best Student Loan Rates At a Glance
Here are the best private student loan rates today:
|
Lender |
Fixed APR |
Variable APR |
Cosigner Required? |
|---|---|---|---|
|
2.85% – 15.61% |
4.00% – 16.41% |
No |
|
|
2.89% – 15.11% |
4.24% – 14.90% |
No |
|
|
2.89% – 17.99% |
4.24% – 17.99% |
Yes
|
|
|
2.89% – 17.49% |
4.25% – 16.87% |
No |
|
|
4.74% – 15.00% |
3.78% – 15.74% |
Optional |
1. Abe℠ Student Loans – Abe offers private student loans to a undergraduate, graduate, and post-bachelor graduate certificate students, with flexible repayment options and no origination, late payment, or forbearance fees. Read our full Abe Student Loans review.
2. Ascent – Ascent Student Loans is a solid choice as a private lender – as they offer both cosigner and non-cosigner loans for undergraduate and graduate students. Read our full Ascent Student Loans Review.
3. College Ave – College Ave offers some of the lowest rates on student loans on the market today. They are one of the largest private student loan lenders, and have highly competitive rates on their loans. Read our full College Ave review.
4. Sallie Mae – Sallie Mae is probably one of the most well-known lenders on this list. They are the nation’s largest private student loan lender by loan volume. As a result, they also offer some of the most competitive private student loans and parent loans out there. Read our full Sallie Mae review.
5. Student Choice – Student Choice is a service that works with a huge network of credit unions nationwide to match you with low cost student loans offered by credit unions. They currently have some of the lowest variable rate student loans on the market. Read our full Student Choice Student Loans review.
Federal Loans: Remember, the federal student loan interest rates are fixed. They won’t change again until the next academic year.
- Undergraduate Direct: 6.39%
- Graduate Direct: 7.94%
- Parent PLUS Loans: 8.94%
Fixed vs. Variable Rates: Which Should You Choose?
There’s a lot of uncertainty that borrowers don’t like with variable rates, which can make sense, but in a declining rate environment, it also opens the potential for future savings. Here’s what to know:
- Fixed rates stay the same for the life of the loan, offering predictable monthly payments. They’re better for borrowers who plan to repay over many years.
- Variable rates can change with market conditions, starting lower but carrying risk if the Fed raises rates again. They can make sense for borrowers who expect to pay off loans quickly.
Most private lenders allow you to check rates without affecting your credit score. Always compare both options before signing.
What To Know Before Borrowing
Before taking out a private student loan, make sure you understand exactly what you’re signing up for.
- Cosigner rules: Most undergraduates need a cosigner – which is someone (usually a parent) that is just as legally responsible for the loan. Check for early cosigner release after consistent on-time payments.
- Repayment flexibility: Look for lenders offering in-school deferment, interest-only options, or income-based repayment.
- Discounts: Many lenders provide 0.25% off for autopay.
- Fees: Compared to federal loans, private loans offer fewer fees – including no origination fees.
- Safety: Federal loans offer loan forgiveness and income-driven repayment plans. Exhaust federal options before turning to private loans.
For most families, borrowing federal student loans first makes the most sense. However, for parents looking at parent PLUS vs. private loans, private loans can make more sense.
How We Track And Verify Student Loan Rates
At The College Investor, our editorial team reviews student loan rates daily from more than a dozen major lenders. We verify data using official lender disclosures, regulatory filings, and real-time rate sheets.
We only include lenders offering loans to U.S. citizens and permanent residents. All rates are updated regularly and represent the lowest available APRs with autopay discounts applied.
Our coverage is independent and not influenced by compensation. While we may earn a referral fee when you open a loan through certain links, this never affects our editorial recommendations. Our goal is simple: to help you find the most affordable path to borrow responsibly.
FAQs
How often do private student loan rates change?
Lenders can adjust daily based on bond market movements and Federal Reserve actions, as well as their own competitive goals.
Are private student loans fixed or variable?
You can choose either. Fixed rates offer stability, while variable rates change with the market.
Do private student loans qualify for forgiveness?
No. Only federal student loans are eligible for forgiveness programs like PSLF or IBR.
Is a cosigner always required?
Not always, but most undergraduate borrowers will need one to qualify.
Can I refinance later if rates drop?
Yes. Refinancing can reduce your rate and monthly payment, though you’ll lose federal benefits if you refinance federal loans.
Abe Student Loans
Before applying for a private student loan, DR Bank and Monogram LLC recommend exhausting all financial aid alternatives including grants, scholarships, and federal student loans.
The AbeSM student loan is made by DR Bank, Member FDIC (“Lender”). All loans are subject to individual approval and adherence to Lender’s underwriting guidelines. Program restrictions and other terms and conditions apply. LENDER AND MONOGRAM LLC EACH RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. TERMS, CONDITIONS AND RATES ARE SUBJECT TO CHANGE AT ANY TIME WITHOUT NOTICE.
* In order to estimate your available rates and loan options, DR Bank will perform a soft credit inquiry, as authorized by you. Soft credit inquiries do not affect your credit. If available, the rates and loan options offered to you are estimates only. Once you submit your application, DR Bank may perform a hard credit inquiry, as authorized by you. Loan approval, options, and final rates depend on the verification of information provided on your application, and information obtained from the credit inquiries of the student applicant and, if applicable, the cosigner.
1Interest rates and APRs (Annual Percentage Rates): Interest rates and APRs (Annual Percentage Rates) depend upon (1) the student’s and cosigner’s (if applicable) credit histories, (2) the repayment option and repayment term selected, (3) the expected number of years in deferment, (4) the requested loan amount and (5) other information provided on the online loan application. If approved, applicants will be notified of the rate applicable to your loan. Rates and terms are effective as of 11/1/2025. The variable interest rate for each calendar month is calculated by adding the 30-Day Average Secured Overnight Financing Rate (“SOFR”) index, or a replacement index if the SOFR index is no longer available, plus a fixed margin assigned to each loan. The SOFR index is published on the website of the Federal Reserve Bank of New York. The current SOFR index is 4.250% as of 11/1/2025. The variable interest rate will change if the SOFR index changes or if a new index is chosen or if you automatically qualify for In-School Default Protection (see footnote below for details). The applicable index or margin for variable rate loans may change over time and result in a different APR than shown. The fixed rate assigned to a loan will never change except as required by law or if you request and qualify for the on-time payment discount or auto pay discount, or automatically qualify for In-School Default Protection (see footnote below for details). APRs displayed as a range: APRs assume a $10,000 loan with one disbursement. The low APRs assume a 7-year term, and the Interest-Only Repayment option with payments beginning 30-60 days after the disbursement via auto pay (see footnote 2). The high APRs assume a 5-year term with the Interest-Only Repayment option, a 31-month deferment period, and a six-month grace period before entering repayment.
2Autopay Discount: Earn a 0.25% interest rate reduction for making automatic payments from a bank account (“auto pay discount”) by completing the direct debit form provided by the Servicer. The auto pay discount is in addition to other discounts. The auto pay discount will be applied after the Servicer validates your bank account information. Automatic payments and the associated discount will be temporarily discontinued (1) if you elect to stop automatic deduction of payments and (2) during periods when you are not required to make payments. The discount will be permanently discontinued in the event three automatic deductions are returned by the financial institution for any reason.
3 In-school Default Protection: Borrowers with Interest Only or Flat Payment Repayment loans that reach at least 90 days delinquent during an in-school deferment period will automatically have their repayment option transitioned from the Interest Only or Flat Payment Repayment option to the Full Deferment Repayment option. Under these circumstances, the interest rate on the loan will automatically increase to match the interest rate associated with the corresponding Full Deferment loan. For an Interest Only loan, the interest rate will increase by one percentage point (1.00%). For a Flat Payment Repayment loan, the interest rate will increase by one quarter of one percentage point (0.25%). Credit reporting prior to the transition of a loan to the Full Deferment repayment option will remain on your record. Any unpaid accrued interest at the end of an in-school deferment period may be capitalized in accordance with the Credit Agreement.
4 Loan Amounts: The minimum loan amount is $1,000, except for (a) student applicants who are permanent residents of Iowa in which case the minimum loan amount is $1,001, and (b) student applicants or cosigners who are permanent residents of Massachusetts in which case the minimum loan amount is $6,001. The maximum loan amount to cover in-school expenses for each academic year is determined by the school’s cost of attendance, minus other financial aid, such as federal student loans, scholarships, or grants. The loan amount must be certified by the school. The loan amount cannot cause the aggregate maximum student loan debt (which includes federal and private student loans), on an undergraduate or graduate loan, to exceed $225,000 per applicant (on cosigned applications, separate calculations are performed for the student and cosigner). On a specialty graduate loan (Dental, Medical, Healthcare, Law and MBA) the loan amount cannot cause the aggregate maximum student loan debt to exceed $350,000.
5 Loan Terms: The 15- and 20- year term and Flat Payment Repayment option (paying $25 per month during in-school deferment) are only available for loan amounts of $5,000 or more. Making interest only or flat interest payments during deferment will not reduce the principal balance of the loan. Payment examples (all assume a 14-month deferment period, a six-month grace period before entering repayment, no auto pay discount, and the Interest Only Repayment option): 5-year term: $10,000 loan, one disbursement, with a 5-year repayment term (60 months) and a 9.30% APR would result in a monthly principal and interest payment of $209.04. 7-year term: $10,000 loan, one disbursement, with a 7-year repayment term (84 months) and a 6.50% APR would result in a monthly principal and interest payment of $148.49. 10-year term: $10,000 loan, one disbursement, with a 10-year repayment term (120 months) and a 6.35% APR would result in a monthly principal and interest payment of $112.76. 15-year term: $10,000 loan, one disbursement, with, a 15-year repayment term (180 months) and a 6.30% APR would result in a monthly principal and interest payment of $86.02. 20-year term: $10,000 loan, one disbursement, with, a 20-year repayment term (240 months) and a 8.38% APR would result in a monthly principal and interest payment of $86.02.
Ascent Student Loans
Ascent’s undergraduate and graduate student loans are funded by Bank of Lake Mills or DR Bank, each Member FDIC. Loan products may not be available in certain jurisdictions. Certain restrictions, limitations, terms and conditions may apply for Ascent‘s Terms and Conditions please visit:
*Ascent’s undergraduate and graduate student loans are funded by Bank of Lake Mills or DR Bank, each Member FDIC. Loan products may not be available in certain jurisdictions. Certain restrictions, limitations, terms and conditions may apply for Ascent’s Terms and Conditions please visitAscentFunding.com/Ts&Cs. Annual Percentage Rates (APRs) displayed above are effective as of 11/1/2025 and reflect an Automatic Payment Discount (ACH). The ACH discount consists of 0.25% on credit-based college student loans submitted prior to 6/1/2025, a 0.5% discount for on credit-based college student loans submitted on or after 6/1/2025 and a 1.00% discount on outcomes-based loans when you enroll in automatic payments. Loans subject to individual approval, restrictions and conditions apply. Loan features and information advertised are intended for college student loans and are subject to change at any time. For more information, seerepayment examples or review the Ascent Student Loans Terms and Conditions. The final amount approved depends on the borrower’s credit history, verifiable cost of attendance as certified by an eligible school and is subject to credit approval and verification of application information. Lowest interest rates require full principal and interest (Immediate) payments, the shortest loan term, a cosigner, and are only available for our most creditworthy applicants and cosigners with the highest average credit scores. Actual APR offered may be higher or lower than the examples above, based on the amount of time you spend in school and any grace period you have before repayment begins. Variable rates may increase after consummation.1% Cash Back Graduation Reward subject to terms and conditions. For details on Ascent borrower benefits, visit AscentFunding.com/BorrowerBenefits. Ascent applicants and borrowers that agree to the AscentUP Terms of Service and Privacy Policy, as well as students associated with an Ascent parent loan application, have access to the AscentUP platform.
*The minimum amount is $2,001 except for the state of Massachusetts. Minimum loan amount for borrowers with a Massachusetts permanent address is $6,001.
Sallie Mae Student Loans
¹Rates displayed are for undergraduate and career training students:
Lowest rates shown include the auto debit discount: Additional information regarding the auto debit discount: Advertised APRs for undergraduate students assume a $10,000 loan to a student who attends school for 4 years and has no prior Sallie Mae-serviced loans. Interest rates for variable rate loans may increase or decrease over the life of the loan based on changes to the 30-day Average Secured Overnight Financing Rate (SOFR) rounded up to the nearest one-eighth of one percent. Advertised variable rates are the starting range of rates and may vary outside of that range over the life of the loan. Interest is charged starting when funds are sent to the school. With the Fixed and Deferred Repayment Options, the interest rate is higher than with the Interest Repayment Option and Unpaid Interest is added to the loan’s Current Principal at the end of the grace/separation period. To receive a 0.25 percentage point interest rate discount, the borrower or cosigner must enroll in auto debit through Sallie Mae. The discount applies only during active repayment for as long as the Current Amount Due or Designated Amount is successfully withdrawn from the authorized bank account each month. It may be suspended during forbearance or deferment. *These rates will be effective 10/27/2025.
Terms:
Examples of typical costs for a $10,000 Smart Option Student Loan with the most common fixed rate, fixed repayment option, 6-month separation period, and two disbursements: For a borrower with no prior loans and a 4-year in-school period, it works out to a 10.28% fixed APR, 51 payments of $25.00, 119 payments of $182.67 and one payment of $121.71, for a Total Loan Cost of $23,134.44. For a borrower with $20,000 in prior loans and a 2-year in-school period, it works out to a 10.78% fixed APR, 27 payments of $25.00, 179 payments of $132.53 and one payment of $40.35 for a total loan cost of $24,438.22. Loans that are subject to a $50 minimum principal and interest payment amount may receive a loan term that is less than 10 years.
² For applications submitted directly to Sallie Mae, loan amount cannot exceed the cost of attendance less financial aid received, as certified by the school. Applications submitted to Sallie Mae through a partner website may be subjected to a lower maximum loan request amount. Miscellaneous personal expenses (such as a laptop) may be included in the cost of attendance for students enrolled at least half-time.
The post Best Student Loan Rates for November 4, 2025: Low as 2.85% appeared first on The College Investor.
