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LendKey Review

Tuesday, August 9th

2022 Student Loan Refinance Company Reviews

LendKey Review 3 Star Rating

LendKey

3 Star Rating
  • "A" rated and accredited by the BBB
  • Refinanced loan repayment terms from 5-20 years
  • Low starting interest rates on both variable-rate and fixed-rate student loans
  • Minimum loan amount of $5,000; maximum of $125,000 (undergraduate), $175,000 (graduate), or $300,000 (select medical degrees)

LendKey has partnered with a network of credit unions and banks since 2009, providing numerous loan options through their digital platform. "A" rated and accredited by the Better Business Bureau, this service is worth considering if you're looking to refinance at least $5,000 in student loans (up to a maximum of $125,000 for undergraduate degrees, $175,000 for graduate degrees, and $300,000 for certain medical programs).

Glitches in the online application

You'll enter your basic information to see if you prequalify for student loan refinancing here. If LendKey can't match your details with your credit profile, you'll be asked to provide your Social Security number. You'll still only have a soft pull on your credit at this stage. Unfortunately, even with our SSN, LendKey wasn't able to find our information (which is odd, because their competitors didn't have any problem prequalifying us to refinance our student loans).

Positive comments from clients

That left us to rely on what other students had to say about their experiences with LendKey. You'll only find four- and five-star reviews featured on their site, but fortunately those account for almost 90% of their independently-verified ratings (just over 300 in total at the time of this evaluation). Most borrowers limit their comments to the application process alone and say that while it took longer than expected, they got rates they liked and that would save them a lot of money.

Best Student Loan Refinance Companies

More information, please!

But, we wish that LendKey were more transparent. In poking around trying to find out more, we saw comments that indicated that this provider might not be available in all states: if you live in Maine, Nevada, North Dakota, Rhode Island or West Virginia, your prequalification application might not go through. There's also no detailed information about which lenders are in LendKey's network or how many there are; the site references "hundreds" of partners, but we imagine that many of them fund loans unrelated to education. And again, we were completely - and inexplicably - unable to even get through the prequalification process.

Could be better, could be worse

For all of these reasons, LendKey isn't our first choice for student loan refinancing. It's just too much of a hassle to figure out in advance if you're even eligible - and it doesn't feel very secure to provide sensitive details like a Social Security number when there's a chance you won't be able to apply after all. LendKey has some very satisfied borrowers and a good reputation, so we don't discount them entirely. However, you may want to see what other student loan refinancing platforms can do for you first.

Where Can You Find the Best Options for Student Loan Refinancing?

If you got your student loans back when interest rates were high, you're smart to think it might be a good idea to refinance when rates have dropped. Whether you get a lower rate or take years off your loan (or both!), your savings could be in the tens of thousands of dollars.

You can typically qualify to refinance your student loans if your outstanding balance is at least $5,000, though some lenders have higher minimums. You'll often need to be in good standing and up to date on your current loan payments, have steady income and a credit score of 660 or higher. Otherwise, your refinancing may require a cosigner.

The Best Student Loan Refinance Companies Compare Student Loan Refinance Companies Compare Student Loan Refinance Company Reviews What are the best Student Loan Refinance Companies Best Student Loan Refinance Company Reviews

Student Loan Refinance Company FAQ

Refinancing your student loans essentially means that you're taking your current education debt and replacing it with a new loan. This can be done with both federal and private loans.
If interest rates have dropped significantly since you first got your loans, that's a great time to see if a new loan could save you money. And, if you're able to shorten the length of your loan at the same time - like going from having 15 years left on a 20-year term to a 10-year term - you'll save even more.
The qualifications for student loan refinancing are probably different from the ones you had to meet to get your original funding. Most lenders require a minimum refinanced amount of $5,000, though some have higher thresholds of $10-$15k. You'll also need a credit score in the upper 600s or more and a steady income - or a cosigner who meets those criteria. Finally, many financial institutions will only refinance your student loans if you completed your degree.
Be very careful when deciding to refinance federal student loans. You'll lose the perks that are only available with those loans, like income-driven repayment plans and loan forgiveness programs. And, of course, refinancing isn't a good idea if it doesn't help you in some way: lowering your interest rate, making your monthly payments more manageable, or saving you in interest over the timeframe of the loan.
Yes! It's the simplest way to get the best rates and terms too. Most providers will ask you some basic questions about your current situation, including your income and the amount of educational debt you're hoping to refinance, and they'll do a soft pull on your credit report (your score won't be affected). They'll use that information to tell you if you tentatively qualify for one of their refinancing loans. Once you decide to complete the full application, a hard pull will be done and if you're offered a loan, all that's left is for you to accept the terms and submit any required documentation. All of that can easily be done online!
It's a subtle distinction, and it can depend on who you ask. If you have multiple student loans (federal and private) and you combine all of that debt into a single new private loan, you're consolidating and refinancing your loans. But, there's also a governmental Direct Consolidation Loan program that is just for federal student loans: it makes it easier to manage your payments and preserves the benefits specific to federal loans, but it doesn't include any private loans you have and doesn't save you any money.
It shouldn't. Most lenders will happily tell you that they charge no fees for applying, originating loans, or really anything else (besides the loan itself, of course). Just remember that the process will usually include a soft pull of your credit during prequalification and then a hard pull when you decide to officially apply; the latter will temporarily impact your credit report.
That varies by lender. You can find out in just a few minutes if you prequalify, and another few minutes to get formally approved if you decide to complete the full application. From there, you'll probably be asked to submit documentation on your current loan, proof of income and other paperwork. Most lenders will tell you to expect it to take up to 45 days for your current loans to be paid off and for your new loan to be finalized.
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Continued from above...

But, be careful if you're considering refinancing your federal student loans into a private loan. There are some benefits offered with government student loans that don't carry over into privately-funded ones. Do your research before you sign on the dotted line and make sure that the benefits you'd gain outweigh the perks you'd lose.

So, you've determined that it's the right time to refinance your student loan. What should you look for in a lender? Here are some factors to guide your decision-making:

  • Referral service or loan originator. Some platforms let you compare loan possibilities with multiple lenders using a single prequalifying application. This one-stop "shopping" can save you some time and hassle, but ultimately you'll still have to complete a full application with the lender you choose. Other refinancing sites belong to the lenders themselves and that can make the process more streamlined.
  • Loan minimums and other eligibility requirements. While most lenders let you refinance student loan balances as low as $5,000, some will only approve loans of $10,000 or $15,000 and up. Not all lenders will refinance your student loans if you didn't finish your degree, either.
  • Customer service. Consider what borrowers have to say about their experience with the lender or referral service - not just during the application and approval process, but also while making payments. Choose a lender that has a good reputation for helping customers both before and after the refinancing is complete.

To help you determine the best way to refinance your student loan, TopConsumerReviews.com has evaluated and ranked today's top lenders. We're confident that with this information, you'll easily find the right rate and term on your loan refinancing!

The Best Reviews of Student Loan Refinance Companies