South Carolina Student Loans

For the 2022 – 2023 school year, average in-state tuition in South Carolina ranged from $5,387 at two-year colleges to $12,280 at public universities. Out-of-state tuition was roughly double these amounts.

Ideally, you’ll use scholarships and grants to cover school costs. When those free forms of financial aid aren’t enough, student loans can help make higher education attainable. We’ve reviewed the best student loans for South Carolina scholars. Keep reading for our top picks.

Company	Best for	LendEDU Rating
U.S. Dept. of Education	Federal student loans	Not rated
College Ave	Private student loans	5/5
Sallie Mae	Cosigners	4.8/5
Earnest	No fees	4.7/5
Ascent	Deferred payments	4.3/5

Federal student loans in South Carolina

The U.S. Department of Education is the best place to begin when looking for student loans. Federal student loans offer several advantages to borrowers, including:

• Fixed rates: Your federal loan rates won’t change, allowing for payment predictability and budget stability.
• Flexible repayment: Borrowers can choose from several repayment plans, including income-driven repayment options designed to fit your personal financial circumstances.
• Loan forgiveness: Eligible borrowers working in certain professions who enroll in an income-driven repayment plan may get some or all of their federal student debt forgiven.

You must complete the Free Application for Federal Student Aid (FAFSA) to apply for federal student loans. You can fill out the FAFSA online for free. 

Whether you apply as an independent or dependent student will determine if you need to provide financial information for yourself alone or if you need to include your parents’ or spouse’s financial details as well.

Federal loan types

South Carolina students have several federal student loan options to choose from, including:

• Direct Subsidized Loans: These are need-based loans for undergraduate students. While you’re enrolled in school and during any deferment periods, the government pays the interest on your loans.
• Direct Unsubsidized Loans: These loans are available to both undergraduate and graduate students, regardless of financial need. However, the government does not pay the interest on unsubsidized loans.
• PLUS Loans: Parents of undergraduate students can take out PLUS Loans in their name. Graduate students can also use them to pay for school. While there isn’t a specific credit requirement, you must not have an adverse credit history.

The government limits how much funding you can take out in federal student loans. The table below shows what you can borrow each academic year, depending on your year of enrollment and dependency status:

Enrollment year	Dependent students	Independent students
Freshmen	$5,500	$9,500
Sophomores	$6,500	$10,500
Juniors and beyond	$7,500	$12,500
Graduate and professional students	N/A	$20,500

In addition to these annual limits, federal borrowers are also subject to these aggregate limits:

• Dependent undergraduates: $31,000
• Independent undergraduates: $57,500
• Graduate and professional students: $138,500, including federal loans taken out for undergraduate study

Subsidized Loans can only make up $23,000 of the $31,000 lifetime maximum for undergraduate students. The Subsidized Loan threshold rises to $65,500 for graduate students.

Private student loans in South Carolina

If you’ve exhausted your federal aid options or don’t qualify for state-based programs, you might consider private student loans. Based on our research, these four online lenders are among the best for private student loans in South Carolina.

College Ave

Best overall

5.0 _/5

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Why we picked it

College Ave offers both private student loans and student loan refinancing. With College Ave’s student loans, you can borrow as little as $1,000 or up to 100% of your school-certified cost of attendance (COA), less any other financial aid received.

You can apply for a College Ave loan with or without a cosigner. If approved, you can take advantage of flexible repayment options with terms lasting five to 15 years, as well as cosigner release after 24 on-time payments.

• Student loans for undergraduates, graduates, parents, and career training
• You choose your repayment plan and term
• Application can be completed in as little as 3 minutes

Loan details

Rates (APR)	4.39% – 16.85%
Loan amounts	$1,000 – 100% of certified costs
Repayment terms	5, 8, 10, or 15 Years

Sallie Mae

Best for cosigners

4.8 _/5

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Why we picked it

As far as lenders go, Sallie Mae is a one-stop-shop. Alongside its student loans, this lender provides college planning resources and savings accounts. You can apply online and get a credit decision in about 10 minutes, so you’ll know right away if you’re approved.

Cosigners aren’t required, but they are recommended for students with limited credit history. With Sallie Mae’s Multi-Year Advantage, returning undergraduate students with a cosigner have a 95% approval rate for future loans.

• Student loans for undergraduates, graduates, and career training
• Repayment options include deferred, fixed, and interest-only 
• Cosigners can be released after 12 consecutive on-time monthly payments

Loan details

Rates (APR)	4.50% – 16.70%
Loan amounts	$1,000 – 100% of costs
Repayment terms	10 – 15 years

Earnest

Best for no fees

4.7 _/5

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Why we picked it

Earnest offers private student loans of $1,000 to the full cost of attendance with no additional fees—including late payment, loan origination, and application fees—which helps lower the overall cost of borrowing. They also provide flexible repayment terms; you can choose to repay your loan over 5, 7, 10, 12, or 15 years.

You don’t need a cosigner to borrow from Earnest, but having one will greatly increase your odds of getting a loan. In fact, Earnest reports that borrowers with a cosigner are five times more likely to be approved than those without one. 

• Available in all 50 states except Nevada
• 9-month repayment grace period after graduation
• Cosigner release not permitted

Loan details

Rates (APR)	4.29% – 15.85%
Loan amounts	$1,000 – 100% of costs
Repayment terms	5, 7, 10, 12, or 15 years

Ascent

Best for deferred payment

4.4 _/5

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Why we picked it

Ascent serves a variety of borrowers, from U.S. citizens and residents to international students and Deferred Action for Child Arrivals (DACA) recipients. In addition to its traditional private student loans, Ascent funds consumer loans for eligible tech bootcamps as well.

Ascent loans are cosigner optional, provided you have at least two years of credit history and a gross annual income of $24,000. Juniors and seniors can also apply without a cosigner if they meet GPA and outcome-based requirements.

• Student loans for undergraduates, graduates, and career training
• Earn 1% cash back upon proof of graduation
• Prequalify without affecting your credit

Loan details

Rates (APR)	4.29% – 15.85%
Loan amounts	$2,001 – $200,000
Repayment terms	5, 7, 10, 12, or 15 years

State-specific student loans in South Carolina

If your tuition costs exceed your federal loan limit, you may qualify for state student loans. The South Carolina Student Loan Corporation (SCSL) offers various loan programs to help students reach their educational goals. Below is a summary of state-specific student loans available in South Carolina.

Loan Program	Eligibility	Additional Info
Palmetto Assistance Loans (PAL)	Students studying in SC and SC residents studying elsewhere enrolled at least half-time	No origination/application fees; cosigner optional; loans from $2,500 to $150,000; multiple repayment options
SC Teacher Loans	Education majors pursuing initial certification or new field certification	Forgiveness: 20% or $3,000 annually, up to 33 ⅓% or $5,000 for critical areas
SC Career Changers Loans	Bachelor’s-degree holders with three years of full-time, non-education work experience	Assistance for transitioning into teaching careers
SC PACE Loans	Current teachers participating in the South Carolina Program of Alternative Certification in Education (PACE)	Reimbursement for PACE participation cost
BOLD™ Career Pathways Initiative	Students within two years of graduation pursuing healthcare, teaching, finance, or IT degrees	Employer-matched loan reimbursement after graduation

What to know about student loans in South Carolina

During the 2021 – 2022 school year, South Carolina spent more in state grant funding and averaged more grant funding per student than any other state. 

Still, according to an Education Data Initiative analysis, the Palmetto State ranks seventh-highest for student loan debt. Student loan borrowers in South Carolina carry an average loan balance of $37,551, and 61% of South Carolinians with student loan debt owe more than $40,000. 

Since the average median entry-level salary for South Carolina grads is $34,823, we highly recommend being proactive when repaying your loans. Here are a few ideas to get you started:

• Pay toward your loans while you’re in school, even if no payments are due.
• Divide your monthly payments into weekly or biweekly installments. 
• If you have federal student loans, work with your servicer to set up an income-driven repayment plan.
• Claim the federal student loan interest that you pay as a tax deduction (up to a specific amount each year—then use any tax refunds you receive to shave down your loan balance.

You don’t need to itemize to deduct your loan interest, either. You can combine it with several others to create a debt payoff plan that fits your goals and budget.

Be willing to revise your repayment blueprint over time, too. Adjusting as you go will help you stay on track and manage your debt.

Ask the expert

Erin Kinkade

CFP®

Going into college, if you know the field you want to enter, you can take advantage of benefits like employers paying for college directly and the geographical qualifying areas for teachers. If you don’t know yet, planning to repay student loans can be a little more challenging. I first recommend only borrowing what’s needed, paying while in school if you can, and begin repaying as soon as you graduate and seek employment. In all cases, build the pay-off into a planned budget and keep in contact with the lender to discuss payment options that fit your financial condition. 

Choose the right South Carolina student loan for you

The postsecondary price tag differs from student to student. Which school you choose, whether you live on or off campus, and even your level or field of study can all influence how much you pay.

Taking these steps can help you gauge your COA, evaluate lenders, and ultimately, determine which lender is the best fit for your situation:

1. Complete the FAFSA: To secure federal or school-based aid, fill out the FAFSA as soon as possible. The sooner you submit your FAFSA, the sooner you’ll know if you need student loans.
2. Estimate your costs: Research tuition, room and board, and other costs at colleges you’re considering. Weigh these costs against your financial aid award packages to calculate how much you need to borrow.
3. Make a shortlist of lenders: Jot down which state loans and private lenders might be good fits. Note each one’s loan amounts, rates, fees, and terms.
4. Recruit a cosigner: Enlisting the help of a cosigner can make it easier to get approved. The stronger their credit score is, the more likely you will qualify for favorable rates.
5. Prequalify with as many lenders as possible: Prequalifying doesn’t impact your credit, but it will tell you what personalized rates you can expect with each lender.
6. Compare your loan options: With your prequalified rates, sort your potential lenders from most to least affordable. If any lenders are close competitors, check out their perks and benefits, like whether they offer grace periods or cosigner release.

Don’t rush the process. Approaching your student loans with strategy and forethought helps ensure that you don’t just land any loan—you land the right loan for you.

FAQ

What is the cost of college in South Carolina?

For the 2022 – 2023 school year, average in-state tuition in South Carolina ranged from $5,387 at two-year colleges to $12,280 at public universities. Out-of-state tuition was roughly double these amounts.

How should I choose between federal loans, South Carolina state loans, and private student loans?

When searching for ways to fund your education, you should first take advantage of all federal loans that are available to you since they typically offer lower interest rates, more flexible repayment options, and loan forgiveness programs. 

Once you’ve exhausted all federal loan options, compare terms on South Carolina state loans and private student loans. While state loans offer benefits like loan forgiveness for certain professions, you may get a lower interest rate with a private lender. Evaluate both options to determine which one is right for you. 

What is the South Carolina Student Loan (SCSL) program?

The South Carolina Student Loan program is a not-for-profit loan provider based in Columbia, South Carolina. Its mission is to provide South Carolina students with competitive loan options to make education more accessible. 

How do I apply for a South Carolina student loan?

You can apply for a South Carolina student loan through the SCSL website. The first step is to check your eligibility by providing information about your state of residence, school name and location, citizenship status, enrollment, and cosigner. 

If you’re deemed eligible, you’ll create an account on the next page to begin the application. You must provide a variety of personal, academic, and financial information (social security numbers, annual income, etc.) so try to gather that in advance. However, you can save the application and complete it later if necessary.

Can South Carolina residents refinance their student loans?

Yes, South Carolina residents can refinance their student loans; there are several options available.

The South Carolina Student Loan program allows residents to refinance any federal or private student loan (except Perkins loans, loans used for the Bar Exam, or medical residency loans) with competitive rates. You can also refinance student loans through traditional banks and online lenders.

Recap of South Carolina student loans

Company	Best for	LendEDU Rating
College Ave	Private student loans	5/5
Sallie Mae	Cosigners	4.8/5
Earnest	No fees	4.7/5
Ascent	Deferred payments	4.3/5