PenFed Credit Union 2021 Student Loan Refinancing Review

Refinancing of the parental loan
Fixed rates 2.89% to 5.08%
Variable rates 2.13% to 4.75%
Loan amounts $ 7,500 to $ 300,000
Loan conditions 5, 8, 12 and 15 years old

Loan eligibility

To be eligible for student loan refinancing through PenFed Credit Union, you must meet the following criteria:

  • Be a U.S. citizen
  • Have a bachelor’s degree or higher
  • Be the age of majority in your state
  • For loans up to $ 150,000, your income must be at least $ 42,000, or $ 25,000 with a co-signer; your co-signer must earn at least $ 42,000 per year and have a credit score of 720 or higher
  • For loans up to $ 300,000, your income must be at least $ 50,000, or $ 25,000 with a co-signer; your co-signer must earn at least $ 50,000 per year and have a credit score of 725 or higher
  • Have at least $ 7,500 in student loans to refinance

Is the loan prequalification available?

You can use PenFed’s prequalification tool to check your rates. Obtaining a quote will not affect your credit score.

Loan fees

PenFed does not charge administration fees, origination fees or prepayment penalties.

Loan discounts

PenFed does not offer any loan discounts, such as an automatic payment discount or loyalty discount.

Are co-signatories mandatory?

Although a co-signer is not required, you may need one if your credit score is between 670 and 699 and your annual income is between $ 25,000 and $ 49,999. Having a co-signer can help you qualify for a loan and get a lower interest rate.

You can request a co-signer release after 12 months of consecutive, one-time monthly payments.

Loan forbearance and discharge options

PenFed does not have a clear abstention or discharge policy. However, he encourages borrowers to contact customer service to discuss options if they are facing financial hardship or other emergency.

Loan approval and disbursement timeframe

According to PenFed, it can take up to 14 days for your former loan manager to receive the loan repayment funds and apply the money to your previous student loans. If your account is not deleted after 14 days, contact PenFed for a status update.

Customer service

PenFed is both the lender and the loan manager for its refinanced student loans. PenFed scores 4.4 out of 5 on Trustpilot from a handful of customer reviews.

You can reach customer service by emailing [email protected] or by calling 202-888-4320. Its hours of operation are Monday through Friday, 9 a.m. to 7 p.m. ET.

Apply for a student loan refinanced by PenFed Credit Union

You will need the following information handy to apply for a loan from PenFed:

  • Social Security number
  • Date of Birth
  • Phone number
  • E-mail adress
  • Current address
  • Monthly income
  • Housing costs
  • Employer Information
  • Current loan repayment status
  • Loan account number


When it comes to student loan refinancers, PenFed Credit Union has a lot to offer. Its requirements, policies and conditions are clear and openly stated. Not only are its interest rates competitive, but their range is also incredibly short: barely two percentage points between the lowest APR and the highest APR (none of those 12 point ranges that tease you with a rate low but end up giving you a one to two digits).

Then there are its unique features, such as spousal loan refinancing, which allows a couple to combine all of their debts into one big loan. And other generous features, like allowing parents to transfer the loans they have taken out for their child on behalf of the child.

In return for his largesse, PenFed sets certain limits regarding loan minimums and maximums, graduation status, and income and co-signer requirements. However, co-signers can be released from their obligation in as little as 12 months, which is very generous. The lack of a formal loan forbearance or discharge policy is sobering, especially given the transparency of the credit union, but there is no reason to doubt that it would be willing to work with credit unions. members in distress.

The biggest question is the idea of ​​refinancing in general. While refinancing your student loans can help you save money and pay off debt faster, there are some downsides to consider, especially if you have federal student loans. If you do decide to refinance, no matter how strong the PenFed Credit Union is, it is always wise to compare the rates and terms of other lenders. To help you get started, we’ve identified the best student loan refinancing companies of 2021.


Investopedia is committed to providing consumers with unbiased and comprehensive reviews of student lenders and refinance lenders. We’ve collected over 45 data points from over 15 lenders, including interest rates, fees, loan amounts, and repayment terms, to make sure our content helps users make the right choice. borrowing decision for their education needs.

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