Best Student Loan rates have held steady over the last week. As of January 27, 2026, private student loan lenders are offering fixed rates as low as 2.69% APR and variable rates starting at as low as 3.28% APR, depending on the credit profile, degree program, and repayment term. Best Student Loan Rates for January 27
Ascent Student Loans took the lead this week with the lowest fixed rate loan available. At present, Student Choice is providing the most affordable variable rate student loan on the market.
Congress sets annual federal student loan rates, but private lenders continue to adjust their rates based on market conditions and Treasury yields. Staying current on these changes can save borrowers hundreds (or even thousands) over the life of a loan. Best Student Loan Rates for January 27
1. Abe℠ Student Loans – Abe offers private student loans to a undergraduate, graduate, and post-bachelor graduate certificate students, with flexible repayment options and no origination, late payment, or forbearance fees. Rates start as low as 2.75% APR. Read our full Abe Student Loans review. Best Student Loan Rates for January 27
2. Ascent – Ascent Student Loans is a solid choice as a private lender – as they offer both cosigner and non-cosigner loans for undergraduate and graduate students. Rates start as low as 2.69% APR. Read our full Ascent Student Loans Review.
3. College Ave – College Ave Student Loans offers some of the lowest fixed rates on student loans on the market today. They are one of the largest private student loan lenders, and have highly competitive rates on their loans. Rates start as low as 2.74% APR. Read our full College Ave Student Loans review.Best Student Loan Rates for January 27
4. Sallie Mae – Sallie Mae is probably one of the most well-known lenders on this list. They are the nation’s largest private student loan lender by loan volume. As a result, they also offer some of the most competitive private student loans and parent loans out there. Rates start as low as 2.89% APR. Read our full Sallie Mae review. Best Student Loan Rates for January 27
5. Student Choice – Student Choice is a service that works with a huge network of credit unions nationwide to match you with low cost student loans offered by credit unions. They currently have some of the lowest variable rate student loans on the market. Rates start as low as 2.99% APR for fixed rates and 3.28% APR for variable rate loans. Read our full Student Choice Student Loans review.
Federal Loans: Remember, the federal student loan interest rates are fixed. They won’t change again until the next academic year. Best Student Loan Rates for January 27
- Undergraduate Direct: 6.39%
- Graduate Direct: 7.94%
- Parent PLUS Loans: 8.94%
Fixed vs. Variable Rates: Which Should You Choose?
Borrowers often dislike the uncertainty of variable rates, which makes sense, but in a declining rate environment, it also opens the potential for future savings. Here’s what to know:
- Fixed rates stay the same for the life of the loan, offering predictable monthly payments. They’re better for borrowers who plan to repay over many years.
- Variable rates can change with market conditions, starting lower but carrying risk if the Fed raises rates again. They can make sense for borrowers who expect to pay off loans quickly. Best Student Loan Rates for January 27
Most private lenders allow you to check rates without affecting your credit score. Always compare both options before signing.
What To Know Before Borrowing
Before taking out a private student loan, make sure you understand exactly what you’re signing up for.
- Cosigner rules: Most undergraduates need a cosigner – which is someone (usually a parent) that is just as legally responsible for the loan. Check for early cosigner release after consistent on-time payments.
- Repayment flexibility: Look for lenders offering in-school deferment, interest-only options, or income-based repayment.
- Discounts: Many lenders provide 0.25% off for autopay.
- Fees: Compared to federal loans, private loans offer fewer ffees – includingno origination fees.
- Safety: Federal loans offer loan forgiveness and income-driven repayment plans. Exhaust federal options before turning to private loans. Best Student Loan Rates for January 27
For most families, borrowing federal student loans first makes the most sense. However, for parents looking at parent PLUS vs. private loans, private loans can make more sense.
How We Track And Verify Student Loan Rates
At The College Investor, our editorial team reviews student loan rates daily from more than a dozen major lenders. We verify data using official lender disclosures, regulatory filings, and real-time rate sheets.
We only include lenders offering loans to U.S. citizens and permanent residents. All rates are updated regularly and represent the lowest available APRs with autopay discounts applied. Best Student Loan Rates for January 27
Our coverage is independent and not influenced by compensation. While we may earn a referral fee when you open a loan through certain links, this never affects our editorial recommendations. Our goal is simple: to help you find the most affordable path to borrow responsibly. Best Student Loan Rates for January 27
FAQs
How often do private student loan rates change?
Lenders can adjust daily based on bond market movements and Federal Reserve actions, as well as their own competitive goals.
Are private student loans fixed or variable?
You can choose either. Fixed rates offer stability, while variable rates change with the market.
Do private student loans qualify for forgiveness?
No. Only federal student loans are eligible for forgiveness programs like PSLF or IBR.
Is a cosigner always required?
Not always, but most undergraduate borrowers will need one to qualify.
Can I refinance later if rates drop?
Yes. Refinancing can reduce your rate and monthly payment, though you’ll lose federal benefits if you refinance federal loans. Best Student Loan Rates for January 27