Laurel Highway and SoFi are two of the highest scholar mortgage refinancing lenders in the marketplace at the moment. They each supply aggressive rates of interest and enticing phrases and advantages.
However how do these firms examine face to face? Let’s check out what SoFi and Laurel Highway have in frequent and what units them aside that can assist you make an knowledgeable resolution.
Be aware that the COVID-19 pandemic and federal reduction measures have impacted many scholar mortgage debtors. To be taught extra about your choices and whether or not it is best to think about refinancing now, try our information.
SoFi vs. Laurel Highway: Charges and phrases
Right here’s a fast have a look at how a Laurel Highway scholar mortgage refinance and a SoFi scholar mortgage refinance examine on rates of interest, mortgage phrases and minimums.
Rates of interest
Fastened and variable
Fastened and variable
5 to twenty years
5 to twenty years
As of writing, you may get a bonus for refinancing by our Laurel Highway hyperlink of as much as $1,050 and you may get a bonus for refinancing by our SoFi hyperlink of as much as $1,000.
It’s essential to say that since each SoFi and Laurel Highway are non-public lenders, when you refinance with both firm you’ll lose eligibility for federal packages and advantages. For instance, you’ll now not be eligible to affix an income-driven reimbursement plan or the Public Service Mortgage Forgiveness (PLSF) program.
This gained’t be a priority you probably have non-public scholar loans. However when you’re seeking to refinance federal loans, fastidiously weigh the professionals and cons. Be aware that when you’re uncomfortable with surrendering these advantages, you may nonetheless simplify your funds by combining all of your federal scholar loans collectively in a Direct Consolidation Mortgage.
SoFi vs. Laurel Highway: Loads of similarities
As you may see, Laurel Highway and SoFi are very related on the subject of their refinancing fundamentals. The truth is, the nearer you look, the extra you’ll discover that these lenders work onerous to match one another on quite a lot of fronts. The lenders share an extended checklist of matching phrases and perks.
Laurel Highway and SoFi each:
- Require debtors to be U.S. residents or everlasting residents
- Supply a number of reimbursement phrases from 5 to twenty years
- Enable cosigners when you don’t qualify for refinancing by yourself
- Supply as much as 12 months of monetary hardship forbearance
- Don’t have any software or origination charges or prepayment penalties
- Can be found in all 50 states
- Supply refinancing cash-back bonuses
- Enable debtors to verify their charges with out a onerous credit score pull
- Supply medical residency and fellowship refinancing (with scholar mortgage funds as little as $100)
- Give autopay reductions of 0.25%
- Don’t have any most mortgage quantity
- Use MOHELA as their mortgage servicer
- Enable Father or mother PLUS Mortgage refinancing and the transferring of Father or mother PLUS Loans to the scholar once they can qualify for a brand new mortgage on their very own
That’s a ton of matching options.
From a borrower’s perspective, that’s an excellent factor as a result of it makes it simpler to only choose the lender that gives one of the best price. However, as we’ll see beneath, every lender does have a number of areas by which it tends to excel above the opposite.
Learn our full Laurel Highway scholar mortgage refinancing overview.
SoFi vs. Laurel Highway: The place every lender wins
It may be onerous to distinguish between Laurel and SoFi on charges and phrases alone. However once you examine every lender on the premise of extra intangible advantages in addition to borrower profile, it’s simpler to see what units every lender aside. Right here’s the place every lender normally wins.
For glorious customer support: Laurel Highway
Though fintech firms are inclined to have snazzy web sites and streamlined purposes, they don’t all the time carry out as properly on the customer support entrance. And this appears to be the case for SoFi as properly, in keeping with our SoFi scholar mortgage refinance critiques.
Though SoFi ranked No. 2 and No. 3 in web site and software expertise, the lender ranked No. 6 in buyer expertise. Laurel Highway, which has a banking background, could also be higher suited to robust customer support. Though it solely ranked one spot forward of SoFi within the customer support class, it obtained a a lot better likeability score of three.69 in comparison with SoFi’s. 2.8.
What’s extra, our Laurel Highway scholar mortgage refinance critiques confirmed that the lender’s likeability score is quickly enhancing. Solely a yr prior, its score was an uninspiring 1.0, which means that an equal variety of debtors stated they appreciated the lender essentially the most as those that appreciated it the least.
However its likeability score has grown by 2.69 factors since January 2019. SoFi’s likeability, however, stayed pretty regular, solely barely enhancing from 2.4 to 2.8.
So Laurel Highway isn’t solely pleasing extra of their prospects now, however it seems that it’s nonetheless on an uptrend. For these causes, Laurel Highway may very well be your greatest guess when you’re on the lookout for a robust customer support expertise.
For member perks: SoFi
SoFi has put lots of effort into constructing a loyal group of debtors, who it refers to as its “members.” We obtained many glowing SoFi scholar mortgage refinance critiques from our Pupil Mortgage Planner® viewers survey, together with the remark beneath:
“Sofi is extraordinarily person pleasant, supportive, and truthfully I bought the sensation they really needed to HELP me, not simply generate profits off of me.”
How does a lender construct up that type of goodwill in its debtors? One of many methods SoFi has been in a position to take action is by providing lots of additional providers at no cost.
For instance, SoFi members get free entry to skilled profession coaches and monetary planner providers. They usually’re additionally invited to unique member occasions, which one in all Pupil Mortgage Planner®’s survey respondents cited as a valued perk:
“There are a number of perks simply by refinancing with them corresponding to a free t-shirt, and funky actions in NYC.”
SoFi additionally gives an enormous menu of extra merchandise together with mortgages, private loans, funding accounts, insurance coverage, and extra. Should you’re simply on the lookout for a lender, SoFi and Laurel Highway are each nice choices. However when you’re on the lookout for a group or an all-in-one monetary answer, SoFi is the clear selection.
For cosigner launch choices: Laurel Highway
Laurel Highway will permit debtors to submit a cosigner launch request after they’ve made at the least 36 consecutive on-time funds. Sadly, SoFi doesn’t at the moment supply any cosigner launch program.
Should you’re a dentist or doctor assistant: Laurel Highway
Our refinancing survey clearly confirmed that Laurel Highway focuses a terrific deal on healthcare professionals. And that’s very true for debtors who work as dentists or doctor assistants.
Laurel Highway was by far the preferred lender with the dentists in our survey — touchdown a whopping 36.8% of debtors from that occupation. And it tied with Earnest as the preferred lender with doctor assistants whereas no PAs from our survey selected SoFi.
Should you’re a dentist or a doctor assistant, there’s an excellent likelihood the Laurel Highway could give you a aggressive price.
Should you’re a enterprise skilled or lawyer: SoFi
SoFi was the clear winner with debtors who recognized as working within the enterprise or company world, with 24.2% of the occupation served by SoFi in comparison with 12.1% served by Laurel Highway. SoFi additionally fared higher with attorneys, serving 16.7% of the occupation versus solely 6.7% for Laurel Highway.
Learn our full SoFi scholar mortgage refinancing overview.
You probably have a low six-figure revenue: Laurel Highway
For revenue ranges beneath $100,000, Laurel Highway and SoFi’s borrower numbers had been very related. It’s clear, nevertheless, that Laurel Highway appears to gives its lowest rates of interest to debtors who’ve a secure revenue of $100,000 to $200,000.
The truth is, 40% of our survey respondents who stated they’d refinanced with Laurel Highway got here from that compensation degree in comparison with solely 25% for SoFi. In case your revenue falls inside that vary, chances are you’ll qualify for one in all Laurel Highway’s greatest gives.
You probably have a excessive six-figure revenue: SoFi
As soon as your revenue passes $200,000, nevertheless, SoFi turns into a stronger choice. In our viewers survey, 28% of respondents from that revenue degree selected SoFi for his or her scholar mortgage consolidation and refinancing in comparison with solely 18% who selected Laurel Highway.
And SoFi didn’t simply beat out Laurel Highway on this class. It was the preferred lender general for revenue ranges above $200,000. You probably have a excessive six-figure revenue, it’s apparent that SoFi desires you. And the lender could give you a price that’s onerous to beat.
Do you have to refinance with Laurel Highway or SoFi?
If you’re attempting to determine between SoFi vs. Laurel Highway, it is advisable think about varied elements corresponding to your occupation, revenue and particular monetary wants. Travis Hornsby, founding father of Pupil Mortgage Planner®, nevertheless, says that, “In the end, each firms have been identified to compete for individuals’s enterprise, particularly individuals with actually excessive incomes.”
And Hornsby says that you just could possibly get the lenders to compete towards one another on charges, particularly you probably have an excellent credit score rating. Should you choose one firm over the opposite, don’t be afraid to let that lender know if the opposite lender has quoted you a greater price. They might determine to match charges.
In that manner, you get to decide on the corporate you’re feeling has the extra enticing intangible advantages with out having to sacrifice on the rate of interest. That’s a giant win-win.
In any case, it could be smart to get an extra quote from at the least another lender like CommonBond. For a full breakdown of one of the best refinancing lenders out there at the moment and their present charges and advantages, try our refinancing information.
Take our 11 query quiz to get a personalised suggestion of whether or not it is best to pursue PSLF, IDR forgiveness, or refinancing (together with the one lender we predict may provide the greatest price)