Laurel Road Student Loan Refinancing Review

4.2 _/5

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Student Loan Refinance

• Potential borrowers can prequalify before making a commitment.
• For refinanced parent loans, debt can be transferred to the child.
• Loan payments for medical residents can be as low as $100 per month during residency or fellowship.

• Rate discounts require relationship banking
• Associate degree refinancing is limited to $50,000

Rates (APR)	Starting at 5.49%
Loan amounts	Up to 100% of outstanding private and federal student loans for bachelor’s degree and higher
Repayment terms	5 – 20 years

Laurel Road, a division of KeyBank, was established in 2006 to assist borrowers in navigating the often complex world of student loans. It provides a suite of refinancing options for general undergraduate and graduate student loans, parent loans, medical school loans, and associate degree loans. 

Ideal borrowers for Laurel Road’s student loan refinancing are those with strong credit, stable income, and jobs within specific professional fields. Healthcare professionals, including physicians, dentists, and residents, can apply for personal loans and mortgages with Laurel Road.

How does student loan refinancing with Laurel Road work?

Laurel Road offers an effective way for borrowers to manage their student loan debt by refinancing federal and private student loans. This process consolidates multiple loans into one, simplifying repayment and potentially reducing the interest rate.

Laurel Road provides access to a complimentary 30-minute consultation with GradFin, another brand of KeyBank. This consultation helps you explore strategies to manage your student loan debt, particularly if you hold federal student loans.

These strategies include:

• Income-driven repayment (IDR) options: Federal loan borrowers can base their monthly payment on their income, making repayment more manageable.
• Public Service Loan Forgiveness (PSLF): If your employer is a government or not-for-profit organization, you may be eligible for federal loan forgiveness after 120 qualifying payments. As of 2024, GradFin members who met the requirement for PSLF qualified for an average of just over $117,000 in student loan forgiveness.

The consultation also covers refinancing options and helping students determine whether they’re already in an optimal repayment program. 

Through refinancing and the personalized plan derived from the GradFin consultation, Laurel Road aims to assist borrowers in managing their student loan debt more efficiently to achieve significant savings over the life of the loan.

Laurel Road student loan refinancing options

Laurel Road provides student loan refinancing designed for working professionals with undergraduate or graduate degrees. You’ll find specific refinancing options for parents, medical school graduates, and borrowers with an associate degree.

Laurel Road general student loan refinancing rates, terms, and fees

Feature	General student loan refinancing
Starting rate (APR)	5.49%
Checking account discount	0.25% for first 3 months
Autopay discount	0.25%
Direct deposit discount	0.25% – 0.55% (depending on direct deposit amount)
Maximum loan amount	Up to 100% of outstanding student loans for bachelor’s degree and higher
Repayment terms	5 – 20 years
Cosigner release	After 36 consecutive on-time payments
Fees	No origination fees or prepayment penalties
Unique features	Cash perks attached to Laurel Road banking products

Laurel Road general student loan refinancing eligibility requirements

Laurel Road offers refinancing options for student loans to a broad range of borrowers, but applicants must meet certain criteria. The lender accepts cosigners, which can be beneficial for borrowers without a strong credit history. A cosigner isn’t required, but one might increase the chances of approval and even help you secure a lower interest rate. 

The requirements to refinance student loans with Laurel Road are as follows:

Requirement	Details
Citizenship	Borrower and cosigner must be U.S. citizen or permanent resident
Min. age	18 in most states
State of residence	All 50 states, Washington, D.C., and Puerto Rico
Graduation status	Graduated or enrolled and in good standing in the final term before graduation; employed or have an eligible employment offer

Laurel Road’s parent refinance loan

Laurel Road’s parent refinance student loans are well-suited for parents with a solid credit history and steady income. Parents can refinance federal Parent PLUS and private parent loans. Laurel Road provides an option to transfer the refinanced debt to the child if its lending requirements are satisfied.

Laurel Road’s parent refinance student loans and standard refinance student loans share the same rates, terms, and fees. Parents can refinance $5,000 up to 100% of outstanding private and federal student loans, regardless of the degree earned.

Parents refinancing a parent loan used to fund an associate degree are subject to the eligibility requirements of associate degree borrowers—meaning the degree must have been earned in certain programs.

Laurel Road’s medical student loan refinance

Laurel Road’s medical student loan refinancing is designed for healthcare professionals, offering competitive rates and tailored benefits. The starting rate is slightly higher compared to general refinancing, but borrowers can still benefit from a 0.25% discount for using autopay and another 0.55% discount for maintaining a $7,500 minimum monthly direct deposit into a Laurel Road account.

This program allows for refinancing up to 100% of private and federal student loans for bachelor’s or higher degrees, with flexible repayment terms.

Laurel Road’s associate student loan refinance 

Laurel Road provides a unique refinance option for graduates of associate degree programs working in their field of study. These programs include dental hygiene, nursing, and radiologic technology.

The associate degree refinance loan has the same rates, terms, and fees as Laurel Road’s general student loan refinance. The only difference is in the maximum loan amount of $50,000.

The associate degree refinance loan also has two unique eligibility requirements to ensure it serves professionals in associate degree fields. 

Do I need to be a customer of Laurel Road Bank to refinance my student loans?

You do not need to be a customer of Laurel Road Bank to refinance your student loans. However, Laurel Road offers substantial discounts to borrowers using its checking and savings accounts. 

Linked savings accounts can provide up to a 0.30% discount. While opening a bank account with Laurel Road is not mandatory, these discounts can make your overall interest rates more competitive, potentially saving you money over the life of your loan.

Laurel Road Student Loan Cashback® Card

Laurel Road also offers a Student Loan Cashback Card that benefits borrowers. The major benefit is double cashback as student loan credits. For every $1 spent on your credit card, you’ll earn 2% cashback in student loan credit, which can be used with 95% of student loan servicers.

The card also has a 0% introductory rate for balance transfers made within the first 60 days and no annual fee. 

How does repayment work on Laurel Road’s refinance loans?

When you refinance your loans with Laurel Road, you can choose a repayment plan that best fits your financial situation when you apply. 

Laurel Road offers term lengths from five to 20 years, so you can more effectively manage your monthly payments and overall budget. 

Tip

A longer loan term might result in a lower monthly payment, but it also means you’ll pay more in interest over the life of the loan.

Let’s look at an example using an 8% fixed rate for five, 10, and 20-year terms on a refinanced amount of $10,000:

	5 yrs.	10 yrs.	20 yrs.
Rate (APR)	8%	8%	8%
No. of payments	60	120	240
Monthly pmt.	$202	$121	$83
Total pmts.	$12,165	$14,559	$20,075

Pros and cons of Laurel Road student loan refinancing

Before you decide to refinance with Laurel Road, it’s wise to consider its benefits and drawbacks—as well as those of several other lenders. 

Pros

• Multiple rate discounts available

• Higher starting rates and interest accrual for resident refinance

• Several repayment term options

Cons

• Lower loan amounts and limited scope for associate degree refinance

• Rate discounts require relationship banking

How does Laurel Road student loan refinance compare to other lenders?

When deciding on a student loan refinance lender, it is critical to compare several companies to find the best fit for your financial situation and goals. 

We recommend considering our top-rated student loan refinance companies in addition to Laurel Road:

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Best Student Loan Refinance Companies; Laurel Road vs. SoFi for Student Loan Refinancing

Is Laurel Road a reputable lender?

Customer feedback offers a window into a lender’s reputation. Here are the ratings Laurel Road has earned from two trusted review platforms:

Source	Rating	Number of reviews
Trustpilot	3.1/5	587
Google	1.3/5	14

Several Laurel Road reviews mention an appreciation of the smooth all-digital refinancing process. However, some clients voiced concerns about frozen accounts when they attempted to open a checking or savings account.

As part of KeyBank, one of the nation’s largest bank-based financial services companies, Laurel Road carries FDIC membership. This association helps enhance its credibility as a reputable lender.

Does Laurel Road have a customer service team?

Laurel Road’s Member Services team is available from Monday to Friday, 8 a.m. to 9 p.m. Eastern. This team assists with all customer inquiries and helps facilitate a smooth borrowing experience. 

Once your student loan is funded with Laurel Road, it assigns repayment management and communication to MOHELA, its student loan servicing partner.

Here’s how to get in touch with Laurel Road:

• Email: [email protected] 
• Phone: 1-833-427-2265
• TDD/TTY: 1-800-539-8336
• Live chat: Available on its website

For inquiries related to loan payments after funding your loan with Laurel Road, you can contact MOHELA at 877-292-6845. The contact number for TDD/TTY device users is 800-539-8336.

How to apply for a Laurel Road refinance student loan

Applying for a student loan with Laurel Road is super easy and hassle-free. You can get a preliminary rate in just five minutes, and everything is done online from start to finish. It’s a convenient digital process that saves time compared to some other lenders.

Here are the steps to apply for a student loan from Laurel Road:

1. Complete a short application: Provide basic information about your loan, education, and employment. Authorize a soft credit pull to view preliminary rates. These rates are conditional and depend on further underwriting review and a hard credit pull.
   
   
   
2. Upload supporting documents: Using Laurel Road’s secure dashboard, upload the necessary documents, and authorize a hard credit pull to finalize your online application. Once it receives your application, Laurel Road will underwrite your loan and provide final rates and loan terms if approved.   
3. Select your loan type and term: Once approved, choose the type and term of your loan. E-sign all necessary disclosures and your promissory note in the Laurel Road dashboard.
4. Loan disbursement: Laurel Road will pay off your student loans to your current lenders and provide you with instructions to set up servicing of your new loan. Your first payment to Laurel Road will be due one month from your disbursement date.

FAQ

Does Laurel Road offer private or federal student loans?

Laurel Road specializes in student loan refinancing, which is a private student loan. Laurel Road’s refinancing is designed to consolidate and reduce the cost of your student debt, whether it’s from private or federal loans.

Does applying with Laurel Road hurt my credit?

Applying for a student loan with Laurel Road involves an initial soft credit pull to provide you with preliminary rates. This soft inquiry won’t affect your credit score. However, once you proceed with a loan application, the lender will conduct a hard credit pull. This can have a small, temporary impact on your credit score.

Does Laurel Road require a cosigner?

A cosigner is not required when applying for a student loan with Laurel Road. However, a creditworthy cosigner could improve your chances of approval and help you secure better loan terms, particularly if you have a limited credit history or low credit score.

Does Laurel Road allow cosigners to be released?

Yes, Laurel Road provides the option to release a cosigner from a refinanced student loan. Borrowers can apply for a cosigner release after making 36 consecutive on-time payments and meeting other credit criteria demonstrating their ability to manage the loan independently.

How long does Laurel Road take to pay off my old student loans?

Once you’re approved for student loan refinancing by Laurel Road, paying off your old loans can take several weeks. This depends on the processing times of your current lenders. Laurel Road will pay off the balances on the loans you refinance, and you’ll then make payments to Laurel Road.

Is Laurel Road responsible for paying off my current student loans?

Yes, when you refinance with Laurel Road, it is responsible for paying off your student loans to your current lenders. Once the loan is approved and the promissory note signed, Laurel Road will pay the funds to the lenders, consolidating your student loans into one new loan.

Can Laurel Road student loans be forgiven?

Laurel Road student loans are private refinanced loans that do not qualify for federal loan forgiveness programs such as Public Service Loan Forgiveness (PSLF). 

However, Laurel Road partners with GradFin, a financial wellness firm, to provide student loan consultations that can help borrowers explore potential loan assistance and forgiveness opportunities available through their employer, state programs, or professional associations.

How we rated Laurel Road student loan refinancing

We designed LendEDU’s editorial rating system to help readers find companies that offer the best student loan refinancing. Our system awards higher ratings to companies with affordable solutions, positive customer reviews, and online transparency of benefits and terms.

We compared Laurel to several student loan refinancing lenders, using hundreds of data points from company websites, public disclosures, customer reviews, and direct communication with company representatives. We weighted, scored, and combined each factor to produce a final editorial rating. This rating is expressed on a scale from 1 to 5, with 5 being the highest possible score. Our take is represented in our rating, recapped below.

Product	Our rating
Laurel Road student loan refinance	4.2/5