The Ultimate Guide to Get the Best Student Loan in Fall 2024

The fall of each year is the most important season for enrolling in college. And with summer already advanced, and just a few weeks away from ending, many are already planning how to start or continue their university career. 

But attending to the college in the United States comes with expensive tuition fees, plus costs for lodging, food, books, labs, computers, data plans to study (if you don’t have Wi-Fi), and more, and You or your family must cover them. 

If you spend most of your time in class and studying hard in any free moment (because exams are unforgiving), it is difficult for you to develop a job or a lucrative activity, and possibly, you will have to resort to a student loan. 

Financial institutions are very competitive, and can offer all kinds of attractive benefits, but you have to analyze what they offer and what you will end up paying over the years, to find an appropriate balance between costs and benefits. 

What can you do to get the best student loan for fall 2024? We will explore the possibilities below based on their pros and cons. 

Comparison Between Four Student Lenders

College Ave

Featured Features:

1. Interest rates:
   • Rates from 3.99% APR.
   • Considered the lowest rate lender, according to Forbes, CNBC, Money, CNN and Fund.com.
2. Cost Coverage:
   • Financing of up to 100% of school costs.
3. Payment Flexibility:
   • Offers multiple refund options.
4. No Additional Fees:
   • There are no application, origination or prepaid fees.
5. Rate Verification:
   • Checking rates does not affect your credit score.

Advantages:

• College Ave stands out for offering very low initial interest rates.
• The possibility of covering 100% of educational costs provides great relief to students.
• The flexibility in payment options and the absence of additional fees make it an attractive option.

SoFi

Featured Features:

1. No Fees:
   • Full coverage of the cost of attendance without additional fees.
2. Interest rates:
   • Fixed rates from 4.19% to 14.83% APR (with automatic payment).
   • Variable rates from 5.74% to 15.86% APR (with automatic payment).
3. Refund Options:
   • Deferred repayment, interest only, partial and immediate.
4. Online Quote:
   • Get a quote online in just a few minutes.

Advantages:

• SoFi offers a wide range of rates, both fixed and variable, adapting to various financial needs.
• Full coverage of the cost of attendance without additional fees is a huge benefit.
• Multiple repayment options provide great flexibility for borrowers.
• The speed in obtaining online quotes facilitates immediate comparison and decision.

 Sallie Mae

Featured Features:

1. Interest rates:
   • Variable rates from 5.37% to 15.70% APR.
   • Fixed rates from 4.25% to 15.49% APR.
   • Lower rates include a 0.25 percentage point discount with automatic payments.
2. Refund Options:
   • Multiple repayment options, from payments during school to deferred payments.
3. No Additional Fees:
   • No origination fees or prepayment penalty.
4. Cost Coverage:
   • Financing of up to 100% of expenses certified by the school, whether online or on campus.
5. Cosignatories:
   • Last year, students were 4 times more likely to be approved with a cosigner.

Advantages:

• Wide range of interest rates.
• Multiple refund options.
• No origination fees and prepayment penalties.
• High probability of approval with a cosigner.

Earnest

Featured Features:

1. Interest rates:
   • Variable rates starting at 5.62% APR.
2. Quick Process:
   • Fast application and decision-making process.
3. Custom Options:
   • Provides customized private loan options for students.
4. No Early Payment Penalty:
   • There are no penalties for early payment.
5. Flexibility in Payments:
   • Allows you to skip a payment once a year (once the repayment period restarts).

Advantages:

• Fast and efficient application process.
• Customized loan options.
• Flexibility in payments, allowing you to skip an annual payment.
• Absence of penalties for early payment.

What You Should Consider to Find the Student Loan That Best Suits Your Financial Capabilities

Before you decide, compare at least four lender options, like we just did. Make a list of pros and cons of each of them and review everything they offer, but also look carefully at all the disadvantages. 

Look for the lowest interest rate, since higher rates result in higher monthly payments and you will pay a lot more money over the years. 

Also be careful with some types of interest rates, as some lenders offer variable rates, while others offer fixed rates. If inflation stays low, variable rates may be more beneficial, but that’s something you can’t control. 

Look for the lowest loan origination fee you can find along with a reasonable interest rate to keep costs low both at the beginning and at the end of the loan. 

Also lean toward those lenders that charge no or minimal application fees, and keep in mind that some companies charge a fee or penalty for paying off your loan early. Compare this rate since, otherwise, you will be forced to maintain the loan for the entire contracted term.