Top Michigan Student Loan Refinance and Private Student Loan Options

The state of Michigan is well-known for its Great Lakes and is easy to identify on a map due to its mitten-like shape. Michigan is also well-known for top colleges, like Michigan State University, University of Michigan and many more. Where there are lots of colleges, student loan debt follows.

According to data from The Institute for College Access & Success, 59% of Michigan graduates have student loan debt with the average student loan debt at $30,677.

If you have Michigan student loans you might save money through refinancing. Additionally, if you need extra funding for school after exploring your federal loan options, private student loans can help.

Below are the best Michigan student loan refinance options and private student loans for Michigan residents.

Michigan student loan refinance options

Depending on the type of student loans you have, they might have a high interest rate. Consider Grad PLUS Loans or some private loans. These interest rates make it tough to pay down debt. That’s where student loan refinancing can really help. However, it’s important to be cautious when refinancing with federal student loans, in particular.

Refinancing pays off your current student loans. That might sound good, but it means you’ll give up on federal student loan benefits. Federal student loans offer income-driven repayment, student loan forgiveness, and deferment and forbearance options. These can be lifesavers in uncertain economic times.

If your income is higher than your debt, and you have a strong employment history and credit, refinancing might save you thousands of dollars. Here are the best Michigan student loan refinance options.

Michigan First Credit Union

To get the best rates with refinancing, credit unions are likely your best bet. One option is Michigan First Credit Union which offers student loan refinancing.

• Rate type: Fixed or variable
• Terms: 10 or 15 years
• Loan amount: Up to $30,000
• Cosigner option: Yes
• Cosigner release: Yes, after making 48 on-time payments
• Transfer Parent PLUS to child: Yes

To qualify, you must become a member of the credit union and have graduated from one of their approved schools.

True Community Credit Union

Another Michigan student loan refinance option comes from True Community Credit Union. While you can apply for the refinance loan without being a member, if approved you’ll need to become a member to get the loan.

• Rate type: Fixed or variable
• Terms: 5, 10 and 15 years
• Loan amounts: $5,000 to $125,000
• Cosigner option: Yes
• Cosigner release: Yes, after making 48 on-time payments
• Transfer Parent PLUS to child: Yes

On top being a member, you also need to have graduated from an approved school. This Michigan refinance student loan option has no origination fees or prepayment penalties.

Other student loan refinancing options

Aside from Michigan student loan refinance options from local credit unions, you’ll want to also compare national lenders. Here are some of the best student loan refinancing lenders that offer competitive rates and terms.

ELFI

ELFI offers student loan refinancing with loans starting at $15,000 and up. You can choose from fixed interest rates or variable interest rates, and repayment terms from five to 20 years. Learn more about ELFI's refinancing option to see if it’s the right fit for you.

Earnest

Earnest is a unique student loan refinancing lender. You can skip a payment once each year, and choose your payment and loan term. The company offers variable and fixed interest rates. Learn more about Earnest refinance loans.

It’s good to compare several Michigan student loan refinance lenders to ensure you obtain the best rate possible. In many cases, you can check your rate without any affect on your credit score.

Michigan private student loan options

If you’re going to school in Michigan and need money for tuition, but have exhausted grants and scholarships, and maxed out federal loans, private Michigan student loans can help.

Private loans can be more costly than federal student loans and don’t have the same protections. But sometimes, they’re necessary. Michigan Finance Authority used to offer student private loans to state residents, but aren’t issuing new loans at this time.

University of Michigan Credit Union

The University of Michigan Credit Union offers a private student loan through their Student Choice Loan.

• Interest rates: Variable
• Terms: 15 years, including your time in school
• Loan amounts: Minimum loan amount of $5,000, maximum loan amount depends on cost of attendance and the credit union
• Cosigner option: Yes
• Cosigner release: Yes, after making 48 on-time payments
• In-school repayment options: Interest-only, defer until six months post graduation or make full payments.

You’ll need to become a member of the credit union and make sure your university is on the Approved Schools list.

Michigan First Credit Union

Michigan First Credit Union also offers private student loans. As noted before, you’ll need to become a member and check to see if your school is on its approved list.

• Interest rates: Variable
• Terms: 20 to 25 years, depending on the balance
• Loan amounts: Minimum loan amount of $1,000, maximum loan amount depends on the cost of attendance and the credit union
• Cosigner option: Yes
• Cosigner release: Yes, after making 48 on-time payments
• In-school repayment options: Interest-only, defer until six months post graduation or make full payments.

Learn more about Michigan First CU student loans to see if these types of Michigan student loans are right for you.

Michigan One Community Credit Union

Michigan One Community Credit Union offers private student loans in partnership with Sallie Mae.

• Interest rates: Variable or fixed
• Terms: 5 to 15 years, depending on the loan
• Loan amounts: Minimum loan amount of $1,000, maximum loan amount up to cost of attendance
• Cosigner option: Yes
• Cosigner release: Yes, after making 12 payments and meeting credit criteria
• In-school repayment options: Interest-only payments, $25 fixed repayment, or deferment.

Learn how Michigan One Community student loans from Sallie Mae can help.

Other private student loan options

You might be able to score the lowest rates on Michigan student loans at a credit union, but it’s worth checking out online lenders, too. Here are some of the top private student loan lenders, nationally.

1. Earnest. You can score some of the same flexibility as Earnest’s refinancing option with their private student loans. You can skip a payment and choose your repayment plan.
2. Sallie Mae. You can choose from many different options with a household name like Sallie Mae.
3. College Ave. You can decide to postpone payments until you graduate with College Ave (3) and you can easily apply in just a few minutes.

When choosing a private student loan be sure to check out the interest rate and repayment term. Also, calculate your monthly payment and how much you’ll pay in interest so you see the full cost of the loan.

Michigan student loan forgiveness

If you want help paying down your Michigan student loans or want to opt for student loan forgiveness, check out the program below.

• Michigan State Loan Repayment Program (MSLRP). This program is geared toward those in the medical profession. It offers up to $200,000 for up to eight years, and has a starting two-year service obligation.

Eligible Michigan residents can also look into student loan forgiveness through income-driven repayment or Public Service Loan Forgiveness.

Bottom line

Whether you need Michigan student loans or want to refinance student loans to save money on interest, check out these options to find what you need. Doing your research and calculating costs can help you make an informed decision.

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