The best big banks for refinancing student loans in 2026

Refinancing a student loan can allow you to get a lower rate, change terms, make smaller monthly payments, combine multiple loans into one or release a co-signer.

A student loan refinance is when you move your loans from multiple lenders to one new, private lender to lower the interest rate or get better terms. Start saving with one of these great options.

CNBC Select has picked the best options for student loan refinancing from big banks.

Who's this for? Citizens offers a 0.50% rate discount on refinanced loans if you set up autopay from your checking or savings account, twice the industry standard.

Standout benefits: Citizens doesn't charge an application, origination or disbursement fee or a prepayment penalty.

Who's this for? Through a partnership with online marketplace Sparrow,  PenFed Credit Union has 5-year, 8-year, 12-year and 15-year terms, more options than many other lenders. It also offers both fixed and variable-rate refinancing

Standout benefits: PenFed approves refinancing up to $500,000, making it a good option for graduate school loans. There are no application, origination or prepayment fees and co-signers can be released after 12 on-time monthly payments. Membership only requires depositing $5 in a PenFed Credit Union savings account.

Who's this for: Unlike many traditional banks, SoFi refinances federal student loans, offering competitive rates and no application, origination,or prepayment fees.

Standout benefits: SoFi offers unemployment protection, allowing borrowers to temporarily pause payments if they lose their job, typically for up to 12 months. Other perks include referral bonuses, travel offers, career counseling and personalized financial planning.

Student loan refinancing involves trading in your current loan for new financing, typically to secure a better rate or term. Refinancing can also be used to consolidate multiple loans into one, to change from a variable rate to a fixed rate, to transfer ownership or to release a co-signer.

Federal loans can only be refinanced through a private lender, which effectively means converting the debt into a private loan and losing federal borrower protections, like income-driven repayment (IDR) plans, flexible deferment or forbearance options and potential loan forgiveness programs.

Whether refinancing makes sense for you depends on a number of factors, including the interest rate and terms you're being offered and whether you would benefit from federal loan protections.

Before applying for refinancing, shop around to see what rates and terms you prequalify for. You can use loan marketplaces like Credible to compare multiple lenders.

You might be a good candidate for refinancing if:

• Your credit score has improved since you originally took out private student loans (or you can apply with a creditworthy co-signer.
• Your goal is to reduce interest costs, lower monthly payments, or adjust your repayment term to better fit your financial situation.
• You have private student loans or are confident you won't need federal loan protections.
• You want to simplify repayment by combining multiple loans into one.

You might not be a good candidate for refinancing if:

• Your credit score or income doesn't qualify you for better rates or terms than your current loans
• You have federal student loans and expect to need income-driven repayment, generous deferment options or other government-backed protections.
• You are nearly done repaying your student loans in full.

Catch up on CNBC Select's in-depth coverage of credit cards, banking and money, and follow us on TikTok, Facebook, Instagram and Twitter to stay up to date

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every student loan review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of student loan products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.

*Fixed rates range from 4.49% APR to 10.99% APR with 0.25% autopay discount and 0.125% SoFi Plus discount. Variable rates range from 5.74% APR to 10.99% APR with 0.25% autopay discount and 0.125% SoFi Plus discount. Unless required to be lower to comply with applicable law, Variable Interest rates will never exceed 13.95% (the maximum rate for these loans). SoFi rate ranges are current as of 9/23/26 and are subject to change at any time. Your actual rate will be within the range of rates listed above and will depend on the term you select, evaluation of your creditworthiness, income, presence of a co-signer and a variety of other factors. Lowest rates reserved for the most creditworthy borrowers. For the SoFi variable-rate product, the variable interest rate for a given month is derived by adding a margin to the 30-day average SOFR index, published two business days preceding such calendar month, rounded up to the nearest one hundredth of one percent (0.01% or 0.0001). APRs for variable-rate loans may increase after origination if the SOFR index increases. You may pay more interest over the life of the loan if you refinance with an extended term.

Autopay Discount: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly payments as outlined in your loan agreement by an automatic monthly deduction from a savings or checking account. This benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. When the autopay interest rate deduction is added or removed, the next time the loan is re-amortized (quarterly for fixed rate loans; monthly for variable rate loans),the principal balance of your loan will be spread over the remaining loan term, and your monthly payment amount will change. This benefit is suspended during periods of deferment, grace period, or forbearance. Autopay is not required to receive a loan from SoFi.

Once you become eligible during the initial period, the discount will be removed or reinstated depending on whether the criteria have been met. Each time your loan is re-amortized, your monthly payment amount will change based upon the interest rate that was in place. SoFi reserves the right to modify or terminate this offer at any time for unenrolled participants. You are not required to meet these criteria to be approved for a loan.