Credible Student Loan Refinance - Review for Nurses
For full transparency, Credible is a Nurse.org partner and we may get paid a commission or referral if you work with them. That being said, we do our very best to write reviews that genuinely reflect our editorial opinion.
Should Nurses use Credible When Refinancing Student Loans?
With interest rates currently at record lows, you could potentially save serious amounts by refinancing, possibly even hundreds of dollars per month. For many, the question is how to refinance and which company to use. We reviewed one great option -- Credible.
Credible is more of a comparison site than a lender. They match you with a bunch of different lenders to find the best loan option for your unique situation. In other words, they do a lot of the work for you!
What is Refinancing? And What Are its Benefits?
The first question on your mind is likely, "What does refinancing involve?" Well, you take out a new student loan at a lower interest rate than your existing one. The new loan replaces your old one, leaving you with a lower payment and/or a shorter payoff time frame.
An additional benefit of refinancing is that you can roll up all your existing student loans into one new one. If you’re fed up juggling multiple loans, this could ease your admin headache.
But refinancing doesn’t benefit everyone. Be sure to read this whole article before you decide what’s best for you.
Student Loan Refinance -- How Much Could You Save?
How much you could personally save by refinancing your student debts will depend on how much you’re borrowing and what interest rates you’re currently paying. We’ve prepared this table to show you the potential savings in different scenarios:
|Baseline||Higher Balance||Higher Current Rate||Lower New Rate||Much Higher Balance||All|
The new interest rate you’re offered will depend on a number of factors, most importantly your credit score and the amount you owe in other debts. So, if you’re a great money manager, you may qualify for a very low rate.
But if you have a poor score and already struggle to stay on top of all your debts, you’re probably going to be offered a less attractive interest rate.
Still, there’s no downside to finding out where you stand.
Who and What is Credible.com?
When looking to refinance, Credible is one good option. Credible isn’t a lender. It’s a comparison-shopping website that lets you compare side-by-side loan offers from multiple (up to 10) lenders and has an easy-to-use web experience.
The company (Credible Operations, Inc.) was founded in 2012 and was acquired by 21st Century Fox in 2019. It’s based in the San Francisco Bay Area and it’s an accredited business with the Better Business Bureau. At the time of writing, it has an A+ rating there, which is the highest the BBB awards.
What Makes Credible a Good Option for Nurses? Pros and Cons
Credible enables people to refinance all sorts of student loans. Through speaking with Credible directly, we have learned that many of their applicants are, in fact, nurses.
Pros for Nurses Refinancing Student Loans with Credible
The main pros of working with Credible include:
- The website does the heavy lifting for you: The last thing you want to do after an exhausting 12-hour shift, perhaps overnight, is settle down to call (or trawl through the websites of) a long list of potential lenders. You can achieve the same thing in a few short minutes with Credible.
- It shouldn’t affect your credit score: Credible carries out a “soft” inquiry when it checks your credit score. And those don’t touch your score. However, the lender you ultimately choose will make a “hard” inquiry, which will affect your score, but probably only by a few points. If you approach each lender individually, you risk your score taking a small hit from each inquiry.
- It’s free: Credible doesn’t charge for its comparison shopping service. True, the lender you choose may charge you for setting up the loan but it would likely do that whether you approach it directly or through Credible.
- It could pay you! Credible says it will give you $200 if you find a loan with a lower rate than it offers you. But you have to close on that other loan to qualify.
- It’s easy: The company says it takes only two minutes to complete its online form (more details below).
- It’s reputable: We already mentioned Credible’s A+ rating with the BBB. But it also scores as Excellent on Trustpilot with a 4.7 score from 3,625 reviews (at the time of this writing). Again read on for further information on this.
- It’s always open: Apply online 24/7. There are also options to chat live online or speak to an agent in a call center.
- It has a range of options: Loan terms range from five to 20 years with fixed or variable rate options.
- Cosigners are allowed: If your credit score or existing debt burden is iffy, you can ask someone who’s more creditworthy to sign your application with you. But you should both be aware that they’re going to be personally liable if your loan goes bad.
- No prepayment penalties: If you receive a windfall and can pay off some or all of your loan early, you won’t have to pay a fee for the privilege.
Sold? Well, check out the cons before you decide.
Cons for Nurses Refinancing Student Loans with Credible
Whether these cons will affect you will depend on your personal circumstances. But they can be important for certain borrowers. So read on:
- No benefits for federal-loan holders: If you already have a federal student loan with a low rate, you’re unlikely to benefit from refinancing.
- Loss of benefits: Refinancing from a federal student loan to a private one (which all Credible ones are) will strip you of some important benefits -- Because only federal loans:
- Offer income-based repayment plans.
- Can be forgiven based on the grounds you work in a particular hospital.
- Government loan forgiveness: If you believe the government may in the future forgive some or all federal student loans, those with private loans could miss out.
- It's not an option for everyone: Credible doesn’t publish a minimum credit score. But, if yours is currently shot, you probably won’t get a good rate (or maybe any offer at all) until you rebuild it, unless you have a willing co-signer.
- Lender selection: As we mentioned before, Credible doesn’t work with every provider of student loan refinances. If you call around, you might find a better deal elsewhere. And win yourself the $200 we mentioned.
Credible Student Loan Refinance -- the Application Process
When you contact Credible, you are asked to fill out an online application with the following details:
- Full name
- School attended
- Education level
- Whether you rent or own your home
- The monthly cost of your rent or mortgage payments
In return, you’ll shortly receive initial quotes from Credible lenders that are willing to lend to you (subject to further checks).
Your first impulse will likely be to go with the one offering the lowest rate, but you also need to consider the best overall deal. So be sure to take note of each lender’s fees (only Credible is free) and check the company itself on the BBB’s website, Trustpilot, and so on. Although Credible vets its lenders, you too need to be comfortable with the one you pick.
Credible on Trustpilot
During the few days before this review was written, Trustpilot included the following verified consumer comments:
- Justin Fox -- “It was easy with no headaches to deal with. Thanks”
- Karlyn -- “Easy and beneficial - very glad I refinanced my student loan - shortened length of loan and reduced overall amount I will pay”
- Paula Gruber -- “It was easy to do and it was approved quickly. Payoff on my previous loan was also taken care of quickly”
- Marti -- “Quick and easy. Customer service readily available and willing to answer questions”
Of course, with thousands of customers, no organization can please everyone. And 2% of reviewers called Credible Bad, while 1% each dubbed it Poor or Average. That leaves 96% who rated it Excellent or Great.
Following our research, Nurse.org concurs with the majority and gives Credible a positive review for nurses looking to quickly compare multiple student loan refinance lenders.
Having your finances in order is a great feeling especially in this uncertain time. If you think Credible may be a good option for you, click below to find out more.
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