Best Medical School Loan Refinance Options

Doctors often earn high salaries, but they also graduate with hefty student loan debt. The Education Data Initiative reports that the average graduate school student leaves with $57,057 in debt, while doctors face an average of $234,597 in medical school loans—excluding undergrad debt. 

Fortunately, refinancing can help by lowering interest rates or reducing monthly payments. Here’s when it makes sense to refinance and the best lenders for medical school loan refinancing.

The best medical school refinance options

These lenders are our top recommendations based on competitive rates, flexible repayment options, and borrower benefits tailored for medical professionals. Whether you need lower payments during residency, personalized support, or the best overall savings, these options stand out for refinancing medical school loans.

Best Overall

5.0 _/5

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Why it’s one of the best

SoFi has established itself as a leader in the online lending space, including medical school loan refinance. With a strong focus on customer support and ease of use, it has earned our highest rating among online lenders.

Medical professionals can benefit from two specialized programs: refinancing for medical professionals or refinancing for medical residents. Medical and dental residents, for example, can pay just $100 per month during residency. 

The variety of term lengths, competitive rates, and valuable member benefits make SoFi a standout choice.

• Loyalty discounts
• No origination, application, or prepayment fees

Credible

Best Marketplace

4.8 _/5

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Why it’s one of the best

Credible is our top choice for those seeking a marketplace to refinance medical school loans. By providing access to a diverse range of lenders, Credible offers the flexibility and variety borrowers need to find the best possible terms for their individual situations.

Unlike other platforms, Credible allows you to compare offers from different lenders, including the loan terms and rates, all in one place.

Whether you’re looking for specific term lengths or unique benefits, you’ll likely find a lender that meets your needs through Credible’s platform.

• Compare several quotes at once
• Featured lenders: Brazos, Citizens Bank, ELFI, EDvestinU, INvestEd, ISL Education Lending, MEFA, Nelnet Bank, and RISLA

ELFI

Best Personalized Support

4.7 _/5

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Why it’s one of the best

If personalized support is a priority in your quest to refinance medical school loans, ELFI could be the right lender for you. With a designated Student Loan Advisor to assist throughout the application process, ELFI ensures tailored guidance and support for every borrower. 

Given the unique financial situation many medical school students find themselves in—with high debt loads and lower starting salaries as residents—this personalized support may be just what you need to manage your student loan debt. 

In addition to the Student Loan Advisor, ELFI offers a lucrative $400 referral program and the option for parents to transfer Parent PLUS loans to the student. 

• Check your rate without impacting your credit score
• Parents can transfer Parent PLUS loans to the student

Earnest

Best Skip-a-Payment Benefit

4.6 _/5

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Why it’s one of the best

Earnest distinguishes itself in the crowded field of lenders that refinance medical school loans with its skip-a-payment benefit. This may be especially useful for medical residents, whose average yearly stipend of $63,800 could make it challenging to afford hefty student loan payments every month. 

Additional standout features include the option to sign up for biweekly automatic payments and a rate-match guarantee with a $100 bonus. Earnest’s flexible approach allows borrowers to adjust their term length to the exact day to get the ideal monthly payment. 

• The only lender we reviewed that allows for one skipped payment each year
• Make extra or early payments with no fees

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Best Student Loan Refinance Companies 

Benefits of refinancing medical school loans

Refinancing medical school loans can offer several benefits, including:

Lower monthly payments

Medical school debt is usually significantly larger than traditional student loan debt. You’ll be paying off a much larger-than-average chunk of money, but still within the typical student loan repayment period, which means higher monthly payments.

Sure, you can expect a large jump in salary after you complete your residency, but student loan repayments will take a big bite out of that. Refinancing your medical school loans could allow you to choose a longer repayment period. And when you spread out what you owe over more monthly payments, that payment size shrinks—creating more wiggle room in your monthly budget.

Imagine you owe $200,000 in federal student loans at an average interest rate of 6.5% and a repayment period of 10 years. The table below shows how refinancing to a 12-, 15-, or 20-year private loan could impact your monthly payments, assuming interest stays the same.

Repayment term	Monthly payment
10 years	$2,271
12 years	$2,004
15 years	$1,742
20 years	$1,491

You can use our student loan refinance calculator to input your own numbers and see how much you can reduce your monthly payment.

Lower interest rates

Medical school is long. Often, you’ll have spent four years in undergrad, another four years in actual medical school, and then a three-year residency. A lot can change over those 11 years, including student loan interest rates. 

If refinance rates are lower than the rates for some of the loans you took out roughly a decade ago, you could save a lot of money by refinancing.

Here’s a look at how much you’ll save in interest on a 10-year, $200,000 student loan at a 7% interest rate if you refinance to a better rate with the same repayment period.

Interest rate	Total interest paid
7%	$78,660
6.5%	$72,515
6%	$66,449
5.5%	$60,463
5%	$54,557

You can use our student loan refinance calculator to input your own numbers and see how much you can save on interest.

Payment consolidation

Another issue with how long med school takes. You’ll have a lot of separate federal and private student loans by the end of it. If there are too many loans to juggle, you can refinance to consolidate them into a single private student loan with a single monthly payment.

Read More

Refinance Graduate Student Loans: A Comprehensive Guide

When does it make sense to refinance medical school loans?

As we’ve reviewed above, refinancing medical school loans can have several advantages—but there are definitely scenarios in which refinancing your student loans doesn’t make sense. Below, we’ll review times when it makes sense to refinance and when you should leave your debt as it is.

If…	Does refinancing make sense?
You’re still in med school	No
You’re a resident physician	Maybe
Monthly payments are too high	Yes
You’re eligible for public service loan forgiveness	No
Interest rates are lower	Yes
You have a high salary as a doctor	Yes

Still in med school

Rarely does it make sense for a student who is actively enrolled in school to refinance a federal loan to a private one simply because you’re not responsible for interest that accrues on your federal subsidized loans while you’re in school (or during grace periods and deferments). This applies to students in med school as well.

If you were to refinance to a private loan, however, you would be responsible for every cent in interest that accrues from the moment you refinance.

Resident physicians

During your residency, you have the option to postpone loan repayment of federal student loans via mandatory residency forbearance. However, like private loans and unsubsidized federal loans, subsidized federal student loans in forbearance still accrue interest—and you’ll be responsible for repaying it. 

That means your debt could be even larger and more unwieldy when you finish your residency if you don’t start making payments. Of course, you don’t need to refinance if you don’t want to, but the main reason to avoid refinancing—paying for interest that accrues during your education—no longer applies once you’re a resident.

To learn more, read our guide to the difference between subsidized and unsubsidized loans.

High monthly payments

If your monthly payments constrain your budget, it may be worth refinancing your medical school loans.

Sure, you can expect your salary to increase quickly: Primary care physicians make an average annual salary of $265,000, and specialists make $382,000 a year, according to the American Medical Student Association. But you may not make that right away, and you might have some major expenses upon completing your residency, such as moving costs and a down payment on a home.

Thus, refinancing to get lower monthly payments can be a game-changer.

PSLF

Some doctors are eligible for public service loan forgiveness (PSLF) if they work for qualifying government agencies or non-profits. If you refinance your eligible federal loan to a private loan, however, you’ll lose out on that eligibility.

Lower interest rates

Med school takes a lot of time. Chances are good the market looks very different today than when you first started your college career. If rates are lower now than when you entered undergrad or med school, refinancing is a great way to save money over your loan’s life.

Higher salary

It won’t take long to make good money as a doctor. If you can afford a higher monthly payment than what you currently have, consider refinancing your medical school loan debt.

Why? You’ll pay off the student loan faster, meaning you’ll spend less on interest over the life of the loan.

While doctors typically graduate with higher-than-average student loan debt, their income potential is also significantly higher.

When working with doctors, I like to use a rule of thumb to help clients determine whether paying back their student loans is realistic: If your anticipated annual salary is greater than or equal to your total student loan balance, you have a reasonable chance of paying off your student loans in 10 years or less.

I also advise clients to explore whether they are eligible for Public Service Loan Forgiveness (or could be in the future). This information can help us determine if it makes sense to keep the loans in the federal system or refinance to a private loan.

What to look for in a medical school loan refinance lender

If you’ve determined refinancing your medical school loans is the right move, you’ve now got to pick the best lender for the job. But how do you find the perfect lender? Here are some things to look for in your medical school loan refinance lender:

• Interest rates: The interest rate may be one of the most important factors to compare when searching for a medical school debt refinance company, particularly if your goal is to save money in the long run. Credible is a great option for this; as an online loan marketplace, Credible lets you compare multiple lenders in one spot, so you can see how their rates stack up.
• Repayment terms: If you’re hoping to extend your repayment term to lower your monthly payments—or shorten your repayment term to save money on interest—pay close attention to what repayment options each lender offers. ELFI, for instance, allows you to choose between five and 20 years for your student loan refinance repayment. Plus, ELFI connects you with a dedicated Student Loan Advisor who can help you determine which repayment term best meets your needs.
• Flexibility: Choosing a lender that can be flexible with your evolving needs is crucial, especially when you’re committing to repaying a loan as large as $200,000. Earnest, for example, lets you opt for biweekly payments instead of monthly—which can help you pay off your loan faster since it amounts to an extra loan payment once a year. But Earnest also allows you to skip one payment a year if needed. SoFi is another great lender for flexibility, particularly for residents; residents who refinance can keep their monthly payments down to $100 while finishing out their residencies.
• Customer service: Finally, don’t forget about customer reviews on sites like Better Business Bureau and Trustpilot. You might be working with this lender for more than a decade; you certainly want to choose one that won’t make life any harder for you.

How to refinance medical school loans in 5 steps

The path to refinancing medical school debt is identical to how you refinance any student loan debt. Follow these five steps to refinance:

1. Decide if it’s the right move: Use our guide above to determine if refinancing is the right option. Using a student loan refinance calculator can help you test out various scenarios.
2. Research and compare lenders: Do your homework. Spend time researching the best student loan refinancing companies and comparing rates, terms, fees, and customer reviews. If possible, get prequalified with multiple lenders, then narrow down your selection to the right option for you.
3. Complete the application: Most refinance companies let you apply online. You’ll need important documentation, including your most recent student loan statement, proof of identity, and proof of income (like pay stubs, a W-2, or a tax return).
4. Review and sign the offer: If you get approved for the refinance, the lender will send you all the loan details. Review this carefully and make sure it meets your needs for refinancing. If it looks good, you’re free to sign.
5. Wait for the payoff and transfer: The refinance lender will pay off your existing loan(s) over the next few days and then work with you to set up your monthly payment on your new loan. Watch your inbox closely, and log in to your new account (and your old loan accounts) regularly until you’ve ensured everything went smoothly. Then, set up automatic payments on the new loan so you never miss a payment because—let’s face it—doctors are busy, and things can fall through the cracks.

FAQ

Is it worth refinancing medical school loans?

Refinancing medical school loans can be worth it if you qualify for a lower interest rate or need more manageable monthly payments. By refinancing, you may save thousands in interest over the life of the loan, but it’s not always the best option if you rely on federal loan benefits, such as PSLF or IDR plans. Evaluate your financial goals and ensure you won’t lose access to benefits you might need before moving forward.

Can medical residents refinance their loans?

Yes, medical residents can refinance their loans with lenders offering resident-specific refinancing programs. 

These programs often provide reduced monthly payments, such as interest-only or $100-per-month options, during residency and fellowship periods. Once you complete your training and begin earning a full salary, your payments typically increase to match the loan’s repayment terms.

What credit score is needed to refinance medical school loans?

Most lenders require a credit score of at least 670 to refinance medical school loans, but a score of 700 or higher will improve your chances of qualifying for the lowest interest rates. If your credit score isn’t strong enough, consider applying with a creditworthy cosigner to access better terms.

How can I calculate my savings for refinancing?

To calculate your potential savings from refinancing, compare your current loan’s interest rate, remaining balance, and monthly payment with the rates and terms offered by a new lender. Our student loan refinance calculator can help you estimate how much you could save in monthly payments and total interest costs over the life of the loan.

How we rated the best medical school refinancing loans

LendEDU evaluates student loan companies to help readers find the best options for refinancing student loans. Our latest analysis reviewed 696 data points from 24 lenders and financial institutions, with 29 data points collected from each. This information is gathered from company websites, online applications, public disclosures, customer reviews, and direct communication with company representatives.

These star ratings help us determine which companies are best for different situations. We don’t believe two companies can be the best for the same purpose, so we only show each best-for designation once.

Recap of the best medical school refinancing loans