3 Best Dental School Loan Refinance Lenders of December 2023
Dentists who have good credit and won't use federal loan benefits are prime candidates for student loan refinancing.
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Refinancing dental school loans can save you tens of thousands of dollars, get you out of debt faster, or both.
Dentists can refinance dental school loans during residency or wait until they're employed full-time. But don't do either if Public Service Loan Forgiveness — or PSLF — or income-driven repayment will make sense for your career. Refinanced loans aren't eligible for those programs.
Our picks for refinancing during or after residency are below, as well as information that can help you decide which option is right for you.
Best Dental School Loan Refinance Lenders
Lender | NerdWallet Rating | Min. credit score | Fixed APR | Variable APR | Learn more |
|---|---|---|---|---|---|
5.0 /5 | None | 5.24-9.99% | 6.24-9.99% | Check rateon SoFi's website on SoFi's website | |
5.0 /5 | 660 | 5.74-10.99% | 5.49-10.89% | Check rateon Laurel Road's website on Laurel Road's website | |
5.0 /5 | 660 | 6.81-11.83% | N/A | COMPARE RATESon Credible’s website on Credible’s website |
Our pick for
Refinancing during residency
Refinancing can save you money while you’re earning less as a resident, but your balance may increase by the time your residency ends.
SoFi Parent PLUS Refinancing
None
5.24-9.99%
6.24-9.99%
Minimum payment during residency: $100/month.
- You can refinance parent PLUS loans in your name.
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- Additional perks like career planning, job search assistance and entrepreneurship support available.
- No co-signer release available.
- Loan size minimum is higher than most lenders.
- Typical credit score of approved borrowers or co-signers: 700+.
- Loan amounts: $5,000, up to your total outstanding loan balance.
- Must have a degree: Yes, an associate degree or higher.
Laurel Road Student Loan Refinance
660
5.74-10.99%
5.49-10.89%
Minimum payment during residency: $100/month.
- You can refinance parent PLUS loans in your name.
- Refinancing available for medical and dental residents.
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- Payment postponement isn’t available if borrowers return to school.
- Typical credit score of approved borrowers or co-signers: Did not disclose.
- Loan amounts: $5,000 up to your total outstanding loan balance.
- Must have a bachelor's degree. For parent PLUS loans, the child does not need to have graduated to refinance.
Our pick for
Refinancing after residency
ISL Education Lending offers a $500 bonus to refinance dental school loans.
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- You can refinance without a degree.
- You can refinance while in school or during a medical residency.
- Interest rates vary by refi product.
- Typical credit score of approved borrowers or co-signers: Approximately 750.
- Loan amounts: $5,000 to $300,000. (Minimum for California residents is $10,000.)
- Must have a degree: No.
Laurel Road Student Loan Refinance
660
5.74-10.99%
5.49-10.89%
Laurel Road offers a 0.25 percentage point interest rate discount for American Dental Association members, on top of special pricing to dentists. The latter is not a set interest rate discount, but rates may be lower than what the lender advertises.
- You can refinance parent PLUS loans in your name.
- Refinancing available for medical and dental residents.
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- Payment postponement isn’t available if borrowers return to school.
- Typical credit score of approved borrowers or co-signers: Did not disclose.
- Loan amounts: $5,000 up to your total outstanding loan balance.
- Must have a bachelor's degree. For parent PLUS loans, the child does not need to have graduated to refinance.
Should you refinance dental school loans?
The best reason to refinance dental school loans is to save money. When you refinance, your loans are replaced with a new loan with new terms, which typically include a lower interest rate. There are no origination or hidden fees.
Say you refinance $304,824 — the average dental school debt for the class of 2020 — from a 7% APR to a 5% APR. You’d save about $306 a month and more than $36,736 over 10 years.
Saving that much interest probably sounds pretty good. But refinancing won't be the right dental school loan repayment option for everyone.
If you have federal loans, refinancing will cost you benefits like income-driven repayment plans and Public Service Loan Forgiveness. You may want or need these options, depending on your career goals. For example, if you plan to work for a nonprofit that provides dental care to those in need, you'll probably want to pursue PSLF.
But federal benefits could also be important in less obvious situations. Say you want your own dental practice, for instance. An income-driven plan could cost you the least each month, giving you the financial flexibility needed to open or purchase a practice, as well as to manage start-up or operational expenses.
These aren't issues with private loans, as they lack similar repayment benefits. If you already have private dental school loans, refinancing makes sense whenever you can qualify for a better rate. Refinancing also makes sense if your primary repayment goal is to save on interest, pay off loans fast or both.
When to refinance dental school loans
If you’re doing a dental residency and want to refinance at some point, you generally have two choices: refinance during residency, or refinance after residency.
Refinancing during your residency
If your residency program offers a stipend: You can consider refinancing during residency. Two student loan refinance lenders — SoFi and Laurel Road — allow you to refinance as a resident and pay as little as $100 a month during your training. Alternatively, if you have federal student loans, enter an income-driven repayment plan during residency and refinance afterwards, when your income is higher.
If your residency program charges tuition: Refinancing during residency may not be an option. With SoFi, dentists must prove that they’re not taking on additional debt to cover residency tuition. You may be able to defer dental school loan payments during residency, but interest will still accrue. Revisit refinancing once you’re employed.
Keep in mind that your loan balance will likely increase during residency. Whether you’re on income-driven repayment or paying $100 per month after refinancing, your payments likely won’t cover the interest as it accrues.
Refinancing dental school loans after residency
Dental school loan refinancing once you're practicing is a smart move if you have:
Good credit. You need a score at least in the high 600s to qualify.
Strong income. Dentistry is one of the highest-paying professions.
Private dental school loans. If you refinanced during your residency, you can refinance again.
Clear career goals. Consider refinancing federal loans if you don’t plan on needing income-driven repayment or working in the public sector.
How to refinance dental school loans
Compare refinance lenders to find the one that’ll offer you the lowest rate, and look for special deals for dentists. For example, members of the American Dental Association get a 0.25% interest rate discount for refinancing through Laurel Road, while members of the American Association of Orthodontists can get the same amount off by refinancing with SoFi.
Also, pay attention to lenders’ loan limits. A few lenders will refinance as much student debt as you have, a couple refinance up to $500,000 and others will refinance up to $300,000. But some lenders have loan limits that may be too low for the average dentist.
STUDENT LOAN REFINANCE RATINGS METHODOLOGY
Our survey of more than 29 banks, credit unions and online lenders offering student loans and student loan refinancing includes the top 10 lenders by market share and the top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets.
We consider 41 features and data points for each financial institution. Depending on the category, these include the availability of biweekly payments through autopay, minimum credit score and income requirement disclosures, availability to borrowers in all states, extended grace periods and in-house customer service.
The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.
Read more about our ratings methodologies for student loan refinance and our editorial guidelines.
Last updated on August 21, 2023
NerdWallet's Best Dental School Loan Refinance Lenders of December 2023
- SoFi Parent PLUS Refinancing: Best for Refinancing during residency
- Laurel Road Student Loan Refinance: Best for Refinancing during residency + Refinancing after residency
- ISL Refinance Loan: Best for Refinancing after residency
Frequently asked questions
- When can I refinance dental school loans?
You can refinance dental school loans during residency, if you're doing one, or afterward. Only two lenders — SoFi and Laurel Road — offer student loan refinancing to residents.
- How much can refinancing dental school loans save?
Savings depend on your current loan terms. But refinancing $304,824 — the average dental school debt for the class of 2020 — from a 7% APR to a 5% APR, you’d save about $306 a month and more than $36,736 over 10 years.
- Can I refinance all my dental school loans?
Dentists should check a student loan refinance lender’s loan limits. While some will refinance all your debt, others may limit you to $300,000 or $500,000, which may not be enough for some dentists.
- How can I pay off dental school loans faster?
Refinancing dental school loans to a lower interest rate or shorter repayment term can help you pay them off faster. Don’t refinance if you need federal loan benefits, like income-driven repayment.
