USAA Student Loans: What to Know and Best Alternatives in 2026

If your military family is in search of a reliable financial institution, the United Services Automobile Association (USAA) is the gold standard. USAA does almost everything, from bank accounts and retirement to car loans and life insurance. But does USAA have student loans? Not for the last decade, unfortunately. 

Now, that doesn’t mean you don’t have other good federal student aid options. Below, we break down the best USAA alternatives for in-school loans and refinancing, with special consideration for students who come from military families or are service members themselves.

Key takeaways

• USAA no longer offers private student loans or refinancing, but we’ve researched several strong alternatives. 
• Navy Federal Credit Union is the closest match for military families who want a similar experience (but with a credit union). 
• If you’re focused on lower rates or flexible terms, we think College Ave, Sallie Mae, and Earnest are worth comparing.

Does USAA offer student loans in 2026?

USAA doesn’t offer private student loans or student loan refinancing in 2026. It discontinued its student lending services in 2016, and existing USAA student loans are now serviced by Wells Fargo.

What happened to USAA student loans?

USAA exited the student loan market in 2016 after ending its partnership with Wells Fargo. Before that, it offered private student loans and student loan refinancing through that partnership.

Since then:

• USAA has not originated new student loans.
• It has not offered student loan refinancing.
• Existing loans transitioned fully to Wells Fargo for servicing.

If you borrowed a USAA student loan before 2016, your loan is now managed by Wells Fargo Education Financial Services. USAA no longer plays a role in those accounts.

Does USAA offer student loan refinancing?

No, USAA does not offer student loan refinancing. When it exited the student loan market in 2016, it discontinued student loan refinance products.

If you want to refinance a former USAA student loan (or any other private or federal student loan), you’ll need to apply through a private lender such as SoFi, Earnest, or ELFI. You can also compare offers through a marketplace like Credible.

Before refinancing, compare:

• Your current interest rate
• Any existing discounts
• Loan term length
• Military-related benefits (such as SCRA protections)

Interested in refi? Jump to our list of the best alternatives to USAA for refinancing.

Best alternatives to USAA student loans for military borrowers in 2026

USAA is a great bank for military families, and in an ideal scenario, you’d get your student loans through the financial institution, too. But because USAA no longer has student financial aid options, we’ve rounded up the best private loan alternatives, prioritizing options with low rates, flexible repayment terms, broad eligibility requirements, and, where possible, unique military member perks.

You can compare these student loan lenders below.

Compare USAA student loan alternatives at a glance

Best student loan for military families: Navy Federal Credit Union

Best for Military Families

3.5 _/5

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Navy Federal Credit Union is the closest match to what USAA used to offer.

Like USAA, it:

• Is a members-only credit union
• Serves active-duty military, veterans, and their families
• Operates nationwide
• Offers personalized member support

Why we think Navy Federal stands out:

• Covers up to 100% of school costs
• Offers undergrad and graduate loans
• Provides career assistance programs
• Allows cosigner release after 24 on-time payments

That said, it does have some limitations:

• No soft credit prequalification
• Repayment terms max out at 10 years
• Rates may be higher than some national online lenders

Rates & funding

Fixed rates (APR)	5.50%+
Variable rates (APR)	7.79%+
Rate discounts	0.25% for automatic payments
Loan amounts	Up to 100% of costs

Eligibility

Loan types	Undergrad, grad
Min. credit score	None
Min. income	None
Enrollment	Undisclosed
Citizenship	U.S. citizen or permanent resident
State	All 50 states

Repayment

In-school repayment	Full, interest-only, or flat
Repayment terms	5 or 10 years
Grace period	6 months
Deferment	Undisclosed
Forbearance	Undisclosed
Cosigner release	24 on-time payments

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If military membership, community support, and credit union structure matter most to you, Navy Federal is the most similar option to a former USAA loan.

If you’re focused strictly on the lowest rates or flexible repayment terms, top-rated lenders such as College Ave or Sallie Mae can offer more customization.

Best overall choice for student loans in 2026: College Ave

Best Overall

5.0 _/5

View Rates

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College Ave offers personalized solutions to undergraduates, graduates, parents, and career trainees. Its online experience is the best of all the companies we reviewed, featuring interactive calculators and tools that let you customize your loan terms and see how each choice affects your total cost.

• Covers up to 100% of school costs
• Low starting interest rates
• Quick 3-minute online application
• Excellent educational resources and interactive tools
• You choose your repayment plan and term length
• Multi-Year Peace of Mind program for additional loans

• Cosigners can’t be released until halfway through repayment
• Higher interest rates for applicants with bad credit

Rates & funding

Fixed rates (APR)	4.39% – 16.49%
Variable rates (APR)	5.59% – 16.85
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of school costs

Eligibility

Loan types	Undergrad, grad, parent, career training
Min. credit score	Mid-600s
Min. income	$35,000 per year
Enrollment	Half time or more
Citizenship	U.S. citizen, permanent resident, or international
State	All 50 states

Repayment

In-school repayment	Full, interest-only, fixed, deferred
Repayment terms	5, 8, 10, or 15 years
Grace period	6 months for undergrads, 9 months for grads, apply for 6-month extension
Deferment	In-school and military
Forbearance	Up to 12 months, in increments of 3 or 6 months
Cosigner release	After finishing more than half of the scheduled repayment period and meeting additional criteria

Best student loans for cosigners: Sallie Mae

Best for Fast Cosigner Release

4.8 _/5

View Rates

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Sallie Mae recognizes the Servicemembers Civil Relief Act (SCRA) for active-duty military members in repayment. In addition to these benefits, which include deferment and forbearance, Sallie Mae extends the SCRA interest rate for an additional year after the military service ends.

• Recognizes the SCRA for active-duty military members
• Cosigner release in as little as 12 months
• Receive funds for the full year with one application
• Covers up to 100% of school costs
• Low starting interest rates
• Part-time and career-training students are eligible
• Lower interest rates for in-school repayment

• No prequalification with a soft credit check
• Less loan customization than other lenders

Rates & funding

Fixed rates (APR)	4.50% – 15.49%
Variable rates (APR)	6.37% – 16.70%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of costs

Eligibility

Loan types	Undergrad, grad, parent, career training
Min. credit score	Mid-600s
Min. income	Not disclosed
Enrollment	Half time or more
Citizenship	U.S. citizen or permanent resident or non-U.S. citizen with a cosigner who is a U.S. citizen or permanent resident
State	All 50 states, plus Washington, D.C., and Puerto Rico

Repayment

In-school repayment	Interest only, fixed, deferred
Repayment terms	10 – 15 years
Grace period	6 months
Deferment	In-school, military, internship, residency, and fellowship
Forbearance	Up to 12 months, in increments of 3 months
Cosigner release	After 12 consecutive on-time payments

Best for student loan repayment perks: Earnest

Best for Repayment Perks

4.7 _/5

View Rates

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Earnest honors the Servicemembers Civil Relief Act (SCRA) interest rate cap and automatically applies the discount by cross-referencing the client database with the Department of Defense Service Member Database.

• 100% rate-match guarantee (with $100 Amazon gift card)
• 9-month grace period vs. 6 months for most others
• Skip one payment each year without penalty if needed
• No application or late payment fees
• 2-minute eligibility check with no credit impact

• Doesn’t allow cosigners to be released

Rates & funding

Fixed rates (APR)	4.11% – 15.90%
Variable rates (APR)	5.62% – 16.20%
Rate discounts	0.25% for automatic payments
Loan amounts	$1,000 – 100% of costs

Eligibility

Loan types	Undergrad, grad, parent
Min. credit score	650
Min. income	$35,000 per year
Enrollment	All states other than Nevada, plus Washington, D.C.
Citizenship	U.S. citizen or permanent resident or non-U.S. citizen with a cosigner who is a U.S. citizen or permanent resident
State	All states other than Nevada, plus Washington D.C.

Repayment

In-school repayment	Full, interest-only, fixed, deferred
Repayment terms	5, 7, 10, 12, or 15 years
Grace period	9 months
Deferment	In-school, military, residency, fellowship
Forbearance	Up to 12 months
Cosigner release	No

Compare top USAA student loan alternatives for military borrowers

USAA may not be an option, but students from military backgrounds clearly have other good options for borrowing money to cover education expenses. Whether your priority is low rates, flexible repayment options, or unique military perks, the USAA student loan alternatives we’ve rounded up can be a good fit for paying for your education.

The table below recaps these lenders at a high level:

College Ave vs. Sallie Mae: Which is better for former USAA student loan borrowers?

If Navy Federal Credit Union isn’t right for you, you might have narrowed down your decision to College Ave and Sallie Mae loans. Here’s what to consider:

Best USAA student loan alternatives for student loan refinancing

If you’re looking to refinance a student loan with USAA, here are our top lender picks in 2026:

Best for comparison shopping: Credible

Best for Comparison Shopping

5.0 _/5

View Rates

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Credible lets you view multiple prequalified refinance offers in one place. It’s ideal for borrowers who want to shop around quickly without affecting their credit.

• Compare prequalified rates from multiple lenders
• Requesting your rates on Credible is free

Rates & funding

Rates (APR)	4.75% – 14.52%
Loan amounts	Varies by lender
Repayment terms	Varies by lender

Eligibility requirements

Eligibility requirements vary by lender in Credible’s partner network.

Repayment details

Your repayment terms will depend on the options available from the lender you choose.

Best online lender: SoFi

Best Online Lender

4.9 _/5

View Rates

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SoFi^® offers exclusive perks like financial planning, member events, and a generous referral program.

• Refinance your total outstanding loan balance
• Checking your rates doesn’t affect your credit

Rates & funding

Fixed rates (APR)	5.24 – 9.99 w/ all discounts
Variable rates (APR)	6.24 – 9.99 w/ all discounts
Loan amounts	$5,000 – 100% of outstanding balance
Repayment terms	5, 7, 10, 15, or 20 years

Eligibility requirements

• U.S. citizen or permanent resident
• Lends to all 50 states + District of Columbia
• Credit score of at least Not Disclosed (or apply with a cosigner with at least that credit score)
• No minimum income requirement, but you must have free cash available after monthly expenses
• Proof of employment or job offer starting within 90 days
• Associate degree or higher from a Title IV accredited school

Repayment details

• Choose between five, seven, 10, 15, or 20-year repayment terms.
• SoFi sends funds to current loan servicers after signing final documents and a three-day rescission period. First payment to SoFi is due 30 to 45 days after paying off previous loans.

Best lender for personalized support: ELFI

Best Personalized Support

4.7 _/5

View Rates

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ELFI provides dedicated loan advisors to guide you through the refinance process and offers competitive fixed rates and variable rates.

• Refinance your total outstanding balance
• Assigned a student loan advisor

Rates & funding

Rates (APR)	5.28% – 8.99%
Loan amounts	$10,000 – 100% of outstanding balance
Repayment terms	5, 7, 10, 15, or 20 years

Eligibility requirements

• Must be a U.S. citizen or permanent resident without conditions
• Lending across all 50 states and Puerto Rico
• Bachelor’s degree or higher required
• Minimum credit score: 680 and at least 36 months of credit history
• Minimum income: $35,000
• Cosigner allowed, but no cosigner release

Repayment details

• Term options for student loan refinancing include five, seven, 10, 15, and 20 years
• Term options for parent loan refinancing include five, seven and 10 years.
• Repayment begins once ELFI pays off the original loans, which is typically 30 – 45 days after you sign your loan documents.

Best customized repayment terms: Earnest

Best Skip-a-Payment Benefit

4.6 _/5

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Terms & Disclosures

Actual rate will vary based on your financial profile. Fixed annual percentage rates (APR) range from 4.20% APR to 10.24% APR (3.95% – 9.99% with .25% auto pay discount). Variable annual percentage rates (APR) range from 6.13% APR to 10.24% APR (5.88% – 9.99% with .25% auto pay discount). Earnest variable interest rate student loan refinance loans are based on a publicly available index, the 30-day Average Secured Overnight Financing Rate (SOFR) published by the Federal Reserve Bank of New York. The variable rate is based on the rate published on the 25th day, or the next business day, of the preceding calendar month, rounded to the nearest hundredth of a percent. The rate will not increase more than once a month, but there is no limit on the amount that the rate could increase at one time. Please note, we are not able to offer variable rate loans in AK, IL, MN, MS, NH, OH, TN, and TX. Our lowest rates are only available for our most credit qualified borrowers and requires selection of our shortest term offered and enrollment in our .25% auto pay discount from a checking or savings account. Enrolling in autopay is not required as a condition for approval.

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Earnest stands out among student loan refinance lenders for military borrowers because it proactively honors the Servicemembers Civil Relief Act (SCRA) and applies the interest rate cap automatically.

• Customize your repayment term
• Skip a payment once per year, if needed

Rates & funding

Rates (APR)	5.19% to 9.74%
Loan amounts	$5,000 – $500,000
Repayment terms	5 – 20 years

Eligibility requirements

• U.S. citizen or holder of a 10-year Permanent Resident Card
• Lends to District of Columbia and 49 states (except Nevada)
• If you don’t have a degree, you must have been out of school for more than six years, have a credit score of 700 or above, and the school you attended cannot be for-profit 
• Minimum credit score: 665 (without cosigners) & 650 (with cosigners)
• Minimum income: Not stated, but steady employment is required

Repayment details

• Term options range from five to 20 years, with the flexibility to choose and customize your plan when you sign your loan documents.
• Option to skip one payment per year without penalty.

Compare top USAA student loan refinancing alternatives

You may not be able to refinance a student loan with USAA these days, but that doesn’t mean you’re out of options. Several lenders offer competitive rates for refinancing student loans, as long you have fair or better credit.

 The table below recaps these lenders at a high level:

How to manage an existing USAA student loan

If you borrowed a USAA student loan before 2016, your loan is now serviced by Wells Fargo. Contact Wells Fargo Education Financial Services at 800-658-3567 with any questions about your loan.

How to refinance USAA student loans

You can refinance a former USAA student loan with any private refinance lender. Before applying, compare your current rate and confirm whether you’ll lose any borrower benefits.

Military repayment options to know

Military borrowers may qualify for certain protections and benefits, including:

• Servicemembers Civil Relief Act (SCRA): Caps interest at 6% during active duty.
• Military deferment or forbearance: Available from many private lenders.
• Public Service Loan Forgiveness (PSLF) (federal loans only): Forgives remaining balance after 120 qualifying payments.

If you’re comparing private lenders, ask how each handles active-duty deployment and SCRA protections.

Choosing the right USAA student loan alternative

Does USAA do student loans? No, not anymore. But that doesn’t mean you’re out of options.

Choosing the best student loan for you depends on your specific needs. First and foremost, prioritize federal student loans if you can demonstrate the financial need required to qualify; these typically have the lowest rates and more borrower protections than private loans.

But if you need a private loan to bridge the gap, see which USAA student loan alternative gets you the lowest rate, the most flexible repayment terms, or the best military perks (hello, Navy Federal). It all depends on what your priorities are.

FAQ

What loans does USAA offer instead?

USAA offers several other loans and financial products instead of student loans and student loan refinancing, including:

• Auto loans
• Personal loans
• Credit cards
• Mortgages

Banking and insurance products However, USAA does not offer home equity loans and HELOCs.

Why did USAA stop offering student loans?

USAA stopped offering student loans in 2016 after ending its partnership with Wells Fargo. The company chose to refocus on its core banking, insurance, and lending services rather than continue offering education loans.

Who services USAA student loans now?

Wells Fargo services former USAA student loans.

If you borrowed a USAA student loan before 2016, you should contact Wells Fargo Education Financial Services for repayment plan changes, cosigner release requests, payment assistance, or account questions. USAA no longer manages these loans.

Can you refinance a USAA student loan?

Yes, you can refinance a former USAA student loan through a private lender. Common reasons to refinance include:

• Lowering your interest rate
• Extending your repayment term
• Combining multiple loans
• Removing a cosigner

Before refinancing, compare your current rate and review whether you’ll lose any existing borrower benefits.

Is Navy Federal better than USAA for student loans?

Navy Federal is the better option for student loans because USAA no longer offers them.

For military families who want a credit union experience similar to USAA, Navy Federal is the closest alternative. It specializes in serving active-duty members, veterans, and their families.

However, the best option depends on your priorities. Online lenders such as College Ave or Earnest may offer lower rates, more flexible repayment terms, and faster applications.

Does USAA offer parent student loans?

No, USAA does not offer parent student loans.

If you’re a parent looking to borrow for your child’s education, you may consider federal Direct PLUS Loans (Parent PLUS) or private parent student loans. Be sure to compare rates, repayment terms, and borrower protections before choosing a lender.

What are other ways military borrowers can pay for school?

You can’t rely on USAA to help pay for college, but there are other ways military borrowers can pay for school, including:

• Post 9/11 GI Bill: Military members who served on active duty after 9/10/01 may be eligible for the Post 9/11 GI Bill (also called Chapter 33), which can cover up to the full cost of public, in-state tuition and fees. Find out if you qualify.
• Tuition Assistance program: Active duty members of the Army, Navy, Marine Corps, Air Force, National Guard, and Space Force are eligible for the military Tuition Assistance (TA) program, though each service has its own unique eligibility requirements and application process. The annual cap is $4,500.
• ROTC scholarships: The Reserve Officer Training Corps (ROTC) is available for high school seniors and current college students, as well as enlisted service members. The military sponsors the scholarship. If you qualify, you can get up to 100% of tuition costs covered.
• 529 savings plans: Though not unique to military service members, tax-advantaged 529 savings plans are great for saving for your family’s future educational expenses.

While not a USAA student loan, it’s worth noting that newly commissioned officers fresh out of college can apply for a USAA Career Starter Loan, which can help cover a variety of expenses, from a car, rent, and utilities to military uniforms and high-interest credit card debt. Using a loan to cover these costs frees up more room in your budget to tackle both federal and private student loans.

Current and future service members have a variety of resources to pay for college, even without USAA student loans. Always do thorough research before taking out any kind of loan.

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