Have existing federal student loans? Calculate potential forgiveness here.

U-fi Student Loan Refinancing Review: What You Need to Know

U-fi student loans and student loan refinance loans are backed by Nelnet, a major student loan company and federal loan servicer.

U-fi is a lender that offers private student loans and student loan refinancing. The lender is partnered with Nelnet, a major student loan company and federal loan servicer. 

With no origination fees or prepayment penalties, refinancing through U-fi can help you save money. And U-fi is one of the few lenders that allow Parent PLUS Loan borrowers to refinance and transfer their loans into their child’s name

However, U-fi isn’t for everyone. It has relatively high credit score and income requirements, and the lender does require you to have graduated from your program to qualify for a loan. 



U-Fi Student Loan Refinancing: Pros and Cons


Pros

Cons

Co-signer release available after 24 months

Applicants must be graduates

Hardship forbearance available

Fairly high credit score and income requirements

Parent loans can be transferred to student

Relatively low refinancing maximums


Pros 

  • Co-signer release available after 24 months: You can add a co-signer to your application to improve your chances of getting a loan or getting a lower rate than you could on your own. But what about when your credit score and income improve? With U-fi student loans, you can apply for a co-signer release after 24 months of consecutive, on-time payments and remove your co-signer from the loan. 
  • Hardship forbearance available: Not all private lenders offer hardship forbearance. With U-fi, you can postpone your payments for two to three months at a time, up to an aggregate maximum of 12 months. 
  • Parent loans can be transferred to the student: Only a few lenders allow parents to refinance student loans and transfer them into the student’s name. However, U-fi offers that option to parent loan borrowers. 

Cons

  • Applicants must be graduates: While many refinancing companies allow applicants to refinance their loans while they’re still in school or if they left school before completing their degrees, U-fi does not. U-fi requires all applicants to have earned a bachelor’s degree or higher. 
  • Fairly high credit score and income requirements: U-fi has stricter eligibility requirements than some other lenders. Its minimum credit score is 680, and its minimum income is $36,000. If you don’t meet those criteria, you’ll need a co-signer to qualify for a loan. 
  • Relatively low refinancing maximums: U-fi’s student loan refinancing program limits how much you can refinance. For borrowers with undergraduate degrees, the maximum is $125,000, while the maximum for those with graduate degrees is $175,000 and the maximum for those with graduate health professions degrees is $500,000.


U-Fi Student Loan Review: Student Loan Refinancing

U-fi’s refinancing loans are issued by Nelnet Bank, a company based in Utah. It operates two refinancing programs: 

Student Loan Refinancing for Undergraduate and Graduate Degrees

Individuals who graduated with a bachelor’s, master’s or doctoral degree may be eligible for U-fi’s student loan refinancing program.


U-Fi Student Loan Refinancing

Interest Rates 

  • Fixed: 2.30% to 5.96%
  • Variable: 1.87% to 5.33% (lowest rates include autopay discount)

Loan Terms 

  • Fixed: 5, 7, 10, 15 or 20 years
  • Variable: 5, 7, 10, 15, 20 or 25 years


All rates accurate as of Dec. 13, 2021.

To qualify for a loan, you must have graduated with a bachelor’s degree or higher and have a credit score of 680 or above. The minimum income is $36,000, and you must be a U.S. citizen or permanent resident with a valid U.S. Social Security number. 

Co-signers are permitted. Your co-signer must have a credit score of 680 or above and an income of at least $36,000. 



Parent Loan Refinancing

U-Fi Student Loan Refinancing

Interest Rates 

  • Fixed: 2.30% to 5.96%
  • Variable: 1.87% to 5.33% (lowest rates include autopay discount)

Loan Terms 

  • Fixed: 5, 7, 10, 15 or 20 years
  • Variable: 5, 7, 10, 15, 20 or 25 years


All rates accurate as of Dec. 13, 2021.

U-fi also offers parent loan refinancing. Parent PLUS Loans have the highest interest rates of all federal loans, and the parent is solely responsible for repayment; the student isn’t legally obligated to repay the loan. 

If your child is employed and in stable financial shape, you can refinance your loans into their name. If approved, the child will be responsible for the loan, and you’ll no longer have to make payments on it. On your credit report, the account will be listed as “paid in full.” 


Choosing a Refinancing Lender

U-fi has partnered with Nelnet to offer student loan refinancing, and it allows borrowers to refinance both federal and private student loans. It has multiple loan terms to choose from and a hardship forbearance program that helps it stand out from some competitors. However, its borrower requirements may mean some applicants will be unable to qualify on their own and will need a co-signer to get approved. 

U-fi’s rates are competitive, but you may be able to find a better deal elsewhere. Rather than doing all the work yourself, sign up with Juno. We negotiate with student loan refinancing lenders to give our members the lowest rates and exclusive benefits. It is free to join and takes only a few minutes to create an account. 


Juno's Exclusive Student Loan Refinance Deals

Cosigner:

Can’t be refinanced with a cosigner

Rates:

Fixed starting at 3.49% APR, Variable starting at 2.24% APR including autopay and Juno discount.

Juno benefit:

Rate reduction of 0.25%

Check:

Soft Credit Check to get rates; Hard Credit Check to refinance


Cosigner:

May be able to refinance with a cosigner

Rates:

Fixed starting at 2.59% APR, Variable starting at 2.74% APR. May include autopay discount.

Juno benefit:

Up to $1,000 cashback based on loan amount

Check:

Soft Credit Check to get rates; Hard Credit Check to refinance


Cosigner:

May be able to refinance with a cosigner

Rates:

Fixed starting at 3.99% APR, Variable starting at 2.50% APR

Juno benefit:

Rate reduction of 0.25%

Check:

Soft Credit Check to get rates; Hard Credit Check to refinance


Juno's Exclusive Student Loan Refinance Deals

RatesJuno BenefitCheck
Best for Most
Can’t be refinanced with a cosigner
Fixed starting at 3.49% APR, Variable starting at 2.24% APR including autopay and Juno discount.Rate reduction of 0.25%Soft Credit Check to get rates; Hard Credit Check to refinance
Register for Earnest Deal (it’s free!)
Alternative Best for Most
May be able to refinance with a cosigner
Fixed starting at 2.59% APR, Variable starting at 2.74% APR. May include autopay discount.Up to $1,000 cashback based on loan amountSoft Credit Check to get rates; Hard Credit Check to refinance
Register for Splash Deal (it’s free!)
Best for Medical Professionals
May be able to refinance with a cosigner
Fixed starting at 3.99% APR, Variable starting at 2.50% APRRate reduction of 0.25%Soft Credit Check to get rates; Hard Credit Check to refinance
Register for Laurel Road Deal (it’s free!)


Kat Tretina
Written By
Kat Tretina

Kat Tretina is a freelance writer based in Orlando, FL. She specializes in helping people finance their education and manage debt. Her work has been featured in Forbes, The Huffington Post, MarketWatch, and many other publications.

All Categories: