The Best Credit Union Student Loans: Our 2025 Picks for the Best Service and Features

When I started comparing student loans, I was surprised by how often credit unions came out ahead. Lower rates, friendlier service, and flexible terms made a real difference—but finding the right one wasn’t always easy. That’s why I put together this roundup of the best credit union student loans for 2025.

Whether you’re looking for a fast application, generous repayment terms, or a loan tailored to career training, I’ve highlighted the standouts worth considering. These options can give you a more personal borrowing experience—and potentially save you money along the way.

Table of Contents

1. Reviews of the 7 best credit unions for student loans
   1. Service Credit Union
   2. Navy Federal Credit Union
   3. Thrivent Credit Union
   4. Suncoast Credit Union
   5. Wright-Patt Credit Union
   6. Summit Credit Union
   7. Apple Federal Credit Union
2. Pros and cons of credit union student loans
3. How to apply for a student loan through a credit union
4. FAQ

Reviews of the 7 best credit unions for student loans

Below, I’ve reviewed seven of the best credit unions for student loans, highlighting what makes each one stand out—whether it’s low rates, great customer service, or unique loan features. Let’s take a closer look.

Service Credit Union

Best Overall

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Why we picked it

Service Federal Credit Union is the best credit union for student loans.

It’s one of the easiest credit unions to join: Active duty military, veterans, and their families are eligible, as are people who work for the Department of Defense or one of the employers in Service CU’s network. But if you don’t fit the bill, you can always join the American Consumer Council—just use the code “Service” and you can join for free.

That makes Service Credit Union’s student loans among the most accessible student loans to borrowers. The credit union has physical locations in New Hampshire, North Dakota, Massachusetts, and Germany, but its top-tier customer service extends to digital interactions around the globe.

• Student borrowers can apply online for a line-of-credit student loan—one application for your entire college career.
• Service Credit Union offers flexible repayment options, including in-school deferment.
• Members can schedule an appointment with a college counselor for more assistance.

Variable rates (APR)	7.50% – 11.15%
Fixed rates (APR)	7.45% – 11.45%
Loan amounts	$75,000 for undergrad; $100,000 for grad school
Repayment terms	10 years (fixed) or 20 or 25 years (variable)

Navy Federal Credit Union

Best for Military Children

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Why we picked it

Navy Federal Credit Union is the best credit union for military families. Eligible students of such families can get some of the lowest interest rates for student loans of any credit union on this list. The online application is easy (you just need 5 minutes), and you can borrow up to the school-certified cost of attendance.

• Student borrowers can get a 0.25% interest rate reduction for enrolling in automatic payments.
• Students can get a cosigner to help them qualify, and Navy Federal offers the potential for cosigner release after just 24 consecutive, on-time payments.
• Loan repayment terms are short, notably: either 5 or 10 years.

Variable rates (APR)	Starting at 6.95% (with autopay)
Fixed rates (APR)	Starting at 4.75% (with autopay)
Loan amounts	Up to 100% of the cost of attendance
Repayment terms	5 or 10 years

Thrivent Credit Union

Best for Easy App

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Why we picked it

Thrivent Federal Credit Union has one of the easiest application processes of any credit union on our list. That’s because Thrivent has partnered with College Ave (one of the best student loan lenders we reviewed). Members can follow a link to apply through College Ave’s streamlined process, which takes only three minutes and gives you an instant credit decision.

Note: Membership with Thrivent requires affiliation with one of several Christian church bodies. Otherwise, you cannot join.

• Application via College Ave is fast, easy, and free.
• Thrivent Credit Union members can choose from several loan terms and multiple repayment options.
• Thrivent and College Ave offer one of the best starting fixed interest rates for undergrad loans.

Variable rates (APR)	4.44% – 17.99%
Fixed rates (APR)	3.47% – 17.99%
Loan amounts	Up to 100% of the cost of attendance
Repayment terms	5, 8, 10, or 15 years

Suncoast Credit Union

Best for Rate Discount

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Why we picked it

Suncoast Credit Union is one of the best credit unions for student loans because of the awesome rate discounts available. Members get a 0.25% rate discount on all in-school loans (of 0.50% of the loan amount paid back on student loan refinances).

Like Thrivent, Suncoast’s student loans are powered by College Ave, meaning a fast application and decision process.

Note: Suncoast Credit Union membership is available to people who live, work, go to school, or engage in religious activities in several Florida counties.

• College Ave makes it fast, easy, and free to apply.
• Suncoast Credit Union offers several loan terms and multiple repayment options.
• You’ll get one of the best starting fixed interest rates for undergrad loans through Suncoast and College Ave.

Variable rates (APR)	4.44% – 17.99%
Fixed rates (APR)	3.47% – 17.99%
Loan amounts	Up to 100% of the cost of attendance
Repayment terms	5, 8, 10, or 15 years

Wright-Patt Credit Union

Best for Customer Service

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Why we picked it

Wright-Patt Credit Union is known for its superior level of customer service, in person, online, and over the phone. As someone who was a member of Wright-Patt CU during college and in my early professional career, I can attest to how wonderful, helpful, and friendly everyone is, from the tellers to the loan advisors to the customer service specialists on the phone.

Wright-Patt Credit Union is based out of Dayton, Ohio, with a presence throughout southwestern Ohio. Eligibility requirements include living, working, attending school, or working in the surrounding area.

• Wright-Patt offers a line-of-credit student loan, so you only need to apply once for your entire college career.
• You can choose from flexible repayment options, including in-school deferment.
• If you need help, you can speak with with a college counselor for more assistance.

Variable rates (APR)	8.00% – 14.50%
Fixed rates (APR)	N/A
Loan amounts	Up to $60,000
Repayment terms	15 years

Summit Credit Union

Best for Multi-Year Funding

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Why we picked it

Summit Credit Union has a special mission: empowering women, and others, in building financial security and wealth. The credit union is open to everyone, which makes it much more accessible than many other credit unions on our list.

Like some of the other best credit unions for student loans we’ve reviewed, Summit has a line of credit offering that you can draw from throughout your entire college career—no need to keep applying.

• Repayment terms can stretch as long as 25 years for variable-rate loans.
• Summit Credit Union has flexible repayment options, including in-school deferment.
• College counselors are available if you need assistance.

Variable rates (APR)	7.24% – 12.24%
Fixed rates (APR)	8.25% – 13.25%
Loan amounts	Up to $75,000
Repayment terms	10 years (fixed) or 20 or 25 years (variable)

Apple Federal Credit Union

Best for Career Training Student Loans

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Why we picked it

Apple Federal Credit Union has 25 branches across Northern Virginia, but with more than 33,000 ATMs throughout the country, it’s accessible to anyone. The credit union’s inclusivity extends to its student loans; in addition to financing for undergrad and grad school, you can also take out a student loan for career training (including certificate courses).

The application process is handled through Sallie Mae, meaning you can take advantage of Sallie Mae’s industry-leading cosigner release program. Cosigners could be removed after just 12 months of on-time payments. Apple also has one of the lowest starting fixed interest rates available.

• Apple FCU offers several repayment options, including deferred repayment, interest repayment, and fixed repayment.
• Enrolling in autopay saves you 0.25% on your interest rate.
• You can borrow as little as $1,000 through an Apple Federal Credit Union student loan.

Variable rates (APR)	4.54% – 14.71%
Fixed rates (APR)	3.49% – 15.99%
Loan amounts	$1,000 minimum, up to 100% of the cost of attendance
Repayment terms	10 or 15 years

Pros and cons of credit union student loans

Getting a student loan through a credit union offers a few advantages, but there are also drawbacks to consider when you’re comparing them to other types of student loans.

Pros

• Lower interest rates than banks

  As not-for-profit institutions, many credit unions offer lower fixed and variable interest rates than traditional bank lenders.

• Membership perks

  As a member of a credit union, you will also get access to other accounts and loan options, which may be more attractive than those of big banks. You may also have an easier time getting approved for a student loan as a member.

• Top-notch customer service

  Credit unions are known for their stellar customer service. If you want personalized help managing a student loan, a credit union is your best bet.

Cons

• Membership requirements

  To take out a student loan through a credit union, you first need to become a member. Some credit union memberships are more restrictive than others.

• Loan limitations

  Some credit unions cap their borrowing limits much lower than those of online lenders. Others may only offer variable-rate options.

• Higher interest rates than online lenders

  While credit unions often beat out bank interest rates, their student loan rates may not be competitive with some online lenders.

Choosing a credit union for your student loans can come with some great perks. They often offer lower interest rates and more personalized service, and they can also become a one-stop shop for your other financial needs—like free or low-cost checking accounts, car loans, or even a mortgage.

Some credit unions even offer benefits similar to federal student loans, such as alternative repayment plans or deferment and forbearance options during financial hardship. Overall, it’s a relationship-based experience that can really support you as your financial life grows.  

How to apply for a student loan through a credit union

Here’s how to get a student loan through a credit union:

1. Research credit union student loans

To borrow from a credit union, you need to find one with an attractive loan option and one you can join. Some credit unions allow anyone to join, regardless of where you live, work, or go to school. You can limit your search to these, or research credit unions in your community (or in your school’s community). You can also use a student loan marketplace like LendKey to find ideal credit unions from which to borrow—then see if you’re eligible to join.

2. Compare your options

Once you’ve found a few loans from credit unions for which you’re eligible, compare the loans to determine the best one. Look at factors such as interest rate, borrowing amount, eligible schools, repayment terms and options, credit requirements, and features like cosigner release.

3. Join the credit union

Once you’ve selected the best credit union student loan, join the credit union, if you’re not already a member.

4. Apply online or in-person

Most credit unions let you apply online, but if there’s a branch in your community, you can also apply in person.

FAQ

Are credit unions good for student loans?

Credit unions can be a good option for student loans, but it depends on your specific needs and circumstances. They often offer lower interest rates compared to traditional banks, and since they are nonprofit organizations, they tend to have more flexible repayment terms and lower fees.

However, eligibility can be limited as you usually need to be a member of the credit union, which may require living in a certain area, working for a specific employer, or having a family member who is already a member. Additionally, credit unions may not always offer as wide a range of loan options or services as larger financial institutions.

Is it hard to get a student loan from a credit union?

Getting a student loan from a credit union can be somewhat more challenging than from a large national lender. Credit unions often have stricter eligibility requirements, including membership criteria and creditworthiness.

Some credit unions also require a co-signer, especially if you are a student without a strong credit history. However, if you meet the requirements, the process itself is usually straightforward, and you may benefit from personalized customer service and competitive interest rates.

Is it better to borrow from a bank or credit union?

Whether it’s better to borrow from a credit union or a bank depends on your priorities.

• Credit unions: Generally offer lower interest rates and more flexible terms, but may have limited availability or stricter membership requirements. They are often better if you prioritize saving on interest and fees.
• Banks: Typically have a wider range of financial products and easier accessibility, especially for online applications and customer support. However, interest rates may be higher compared to credit unions.

If you’re looking for a more personalized experience and lower rates, a credit union could be the better choice. On the other hand, if you prefer convenience and access to additional financial services, a bank might be more suitable.

Recap of the best credit union student loans