The Ultimate Guide to Parent Student Loans in 2025: Best Lenders, Rates and How to Qualify

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Student Loans

Updated Jun 12, 2025

7-min read

Written by Melody Stampley, CEPF®

Expertise: Writing, editing, budgeting, credit, loans, mortgages, auto insurance, giving, saving

Learn more about Melody Stampley, CEPF®

Reviewed by Crystal Rau, CFP®

Expertise: Equity compensation, oil & gas investments, education planning, investment planning, student loan planning, retirement

Crystal Rau, CFP®, CRPC®, AAMS®, is a certified financial planner based out of Midland, Texas. She is the founder of Beyond Balanced Financial Planning, a fee-only registered investment advisor that helps young professionals and families balance living their ideal lives and being good stewards of their finances.

Learn more about Crystal Rau, CFP®

Private parent student loans can be a smart way to help your child pay for college—especially if you have strong credit. The best options offer low rates, flexible repayment terms, and no fees. Below, we’ve ranked top private lenders based on cost, flexibility, and borrower perks.

Company	Best for…	Rating (0-5)
5.0 View Rates	Best Overall	5.0 View Rates
4.7 View Rates	Best for Multi-Year Approval	4.7 View Rates
4.7 View Rates	Best for Large Loans	4.7 View Rates
4.7 View Rates	Best Member Benefits	4.7 View Rates
4.5 View Rates	Best for Personalized Support	4.5 View Rates
4.4 View Rates	Best for Texas	4.4 View Rates

Best private parent student loans

We selected these lenders for their strong combination of low rates, borrower-friendly terms, and unique benefits for parents or supportive adults. While federal Parent PLUS Loans are still worth considering for their protections, private parent loans may offer better overall value depending on your situation.

College Ave

Best Overall

5.0 _/5

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Why it’s one of the best

College Ave offers student loans, including parent loans, and you don’t need to be a parent to qualify. You can take out a College Ave parent loan on behalf of your grandchildren, nieces or nephews, or a student for whom you have legal guardianship.

With three repayment options over five to 15 years, College Ave loans can work for almost every budget. But College Ave doesn’t provide a grace period. You must pay at least your monthly interest charges while your child is in school.

Flexible repayment plans and terms
No application, origination, or prepayment fees
3-minute application

Loan details

Rates (APR)	4.22% – 17.99%
Loan amounts	$1,000 – 100% of certified costs
Repayment terms	5 – 15 years

Eligibility requirements

Must be a U.S. citizen or permanent resident
Must pass credit history and income review
Student must attend an eligible institution
Student must meet the school’s satisfactory academic progress (SAP) guidelines

Citizens Bank

Best for Multi-Year Approval

4.7 _/5

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Why it’s one of the best

Citizens Bank makes it easier to plan ahead with its multi-year approval option. That means once you’re approved, you may not need to reapply each year, helping avoid surprises and delays in funding.

There are no application, origination, or disbursement fees. You can also score a loyalty discount if you or your child already bank with Citizens. Parents, guardians, and even other supportive adults can qualify as borrowers.

Multi-year approval simplifies future borrowing
Loyalty discount for existing customers
No fees

Loan details

Rates (APR)	5.99% – 10.61%
Loan amounts	$1,000 – $100,000
Repayment terms	5, 10, or 15 years

Eligibility requirements

Must be a U.S. citizen or permanent resident (international applicants eligible w/ cosigner)
Student must be enrolled at least half-time
Minimum income: $12,000/year
Minimim credit score: 640

Earnest

Best for Large Loans

4.7 _/5

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Why it’s one of the best

Earnest lets parent borrowers defer payments while their children are in college. Then when your child leaves school, you’ll enjoy a nine-month grace period before any payments are due. You can use that time to pay down your principal, but you’re not required to pay anything.

Earnest matches competitors’ rates and offers a 0.25% autopay discount, ensuring you get the best rate possible. To qualify for an Earnest parent loan, you’ll need a minimum 650 credit score, $35,000 or higher annual income, and no bankruptcies or accounts in collections.

Deferred payments while the student is in school
9-month grace period
Not available in Nevada

Loan details

Rates (APR)	As low as 4.17%
Loan amounts	$1,000 – 100% of certified costs
Repayment terms	5, 7, 10, 12, or 15 years

Eligibility requirements

Must be the age of majority in state of residence
U.S. citizen, permanent resident, DACA recipient, or asylee.
Minimum of three-year credit history
Student must enroll at least half-time
Only bachelor’s degree programs and higher
Student must attend a Title IV-qualified, not-for-profit, 4-year institution

SoFi

Best for Member Benefits

4.7 _/5

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Why it’s one of the best

SoFi parent loans are built for borrowers from the bottom up. You won’t pay origination or late fees when borrowing from SoFi. Plus, take advantage of exclusive members-only benefits, including financial planning and rate discounts if you take out another SoFi loan.

SoFi doesn’t defer payments, so be prepared for immediate repayment. You’re only required to pay interest while your child is in school. Plus, you can use the points you earn through the SoFi Member Rewards Program to pay down your loan faster.

No fees
Multiple rate discount options
Earn points with SoFi Member Rewards

Loan details

Variable rates (APR)	5.82% – 16.85%
Fixed rates (APR)	6.07% – 15.86%
Loan amounts	$1,000 – 100% of certified costs
Repayment terms	5, 7, 10, or 15 years

Eligibility requirements

U.S. citizen, permanent resident, or non-permanent resident alien
Only bachelor’s degree programs and higher
Student must enroll at least half-time
Student must attend an eligible institution

ELFI

Best for Personalized Support

4.5 _/5

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Why it’s one of the best

ELFI is known for its standout customer service. Every borrower is matched with a personal loan advisor who provides one-on-one support from application to final payment. That’s especially helpful if you’re navigating student lending for the first time.

While ELFI doesn’t offer in-school deferment for parent loans, its low interest rates and lack of fees make it competitive. Strong credit is required, but the personalized service makes the process easier.

Personalized support from a dedicated advisor
No application or origination fees
Competitive fixed and variable rates

Loan details

Rates (APR)	From 3.69
Loan amounts	$1,000+
Repayment terms	5, 7, 10, or 15 years

Eligibility requirements

Must be a U.S. citizen or permanent resident
Student must be enrolled at least half time
Minimum credit score: 680
Minimum income: $35,000/year

Brazos

Best Overall

4.4 _/5

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Why it’s one of the best

Brazos offers parent student loans with some of the lowest fixed interest rates available—but only to Texas residents. If you live in Texas and have strong credit, you could save significantly compared to federal or national private lenders.

Brazos loans come with no application, origination, or prepayment fees. You can choose from several repayment terms, but there’s no option to defer payments while your child is in school—monthly payments begin immediately.

Low fixed rates for qualified Texas residents
No fees
Flexible repayment terms from 5 to 20 years

Loan details

Rates (APR)	2.71% – 7.38% (as of April 2025)
Loan amounts	$1,000 (TX residents) – 100% of costs $2,001 (non-res attending TX school) – 100% of costs
Repayment terms	5, 7, 10, 15 or 20 years

Eligibility requirements

U.S. citizen or National, permanent resident, or, if applying with an eligible cosigner, a non-citizen with a work or student visa or a DACA Recipient.
Student must be enrolled at least half time
Minimum credit score: 680
Minimum income: $35,000

Can you get parent student loans with bad credit?

Yes, you can still get a parent student loan with bad credit—but your options may be limited, and interest rates may be higher. Here are a few paths to consider:

Apply with a co-signer: Some lenders allow you to apply with a creditworthy co-signer, which can boost your chances of approval and help secure better rates.
Look for flexible underwriting: Some lenders may be more lenient if you meet their other criteria, such as income and education level, even with a lower credit score (minimum 650). Citizens Bank, for example, has a minimum credit score of 640 and minimum income of just $12,000.
Credit union options: Regional credit unions may have more flexible underwriting and personalized service. These aren’t always listed in national marketplaces but can be worth exploring locally.
Consider HELOCs or personal loans: If you own a home and have equity, a home equity line of credit (HELOC) might offer better terms than a bad-credit student loan. Personal loans are another alternative but typically come with shorter repayment periods.

Tip

If your credit score is below 600, you may struggle to qualify without a co-signer. In that case, explore federal Parent PLUS Loans, which only require that you don’t have an adverse credit history—not a high credit score.

How we picked the best private parent student loans for college

LendEDU evaluates student loan lenders to help readers find the best student loans. Our latest analysis reviewed 725 data points from 25 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.

How we chose the best parent student loans

Company	Best for…	Rating (0-5)
5.0 View Rates	Best Overall	5.0 View Rates
4.7 View Rates	Best for Multi-Year Approval	4.7 View Rates
4.7 View Rates	Best for Large Loans	4.7 View Rates
4.7 View Rates	Best Member Benefits	4.7 View Rates
4.5 View Rates	Best for Personalized Support	4.5 View Rates
4.4 View Rates	Best for Texas	4.4 View Rates