Nelnet Bank Reviews: Private Student Loans and Student Loan Refinancing

Full Review

Refinancing student loans through Nelnet Bank is a good option for borrowers who have strong finances or a qualified co-signer and are confident they will be able to make payments.

Nelnet Bank at a glance

• No death or disability discharge.

• Co-signer release option available.

How Nelnet Bank could improve

Nelnet Bank could improve by:

• Assigning customers a dedicated student loan advisor.

• Allowing biweekly payments via autopay.

Nelnet Bank student loan refinancing details

• Interest rates, fees and termsInterest rates, fees and terms

  • Soft credit check to qualify and see what rate you’ll get: Yes.

  • Loan terms: Multiple loan terms available.

  • Loan amounts: Minimum loan amount: $5,000; Maximum student loan limits: $125,000 for borrowers with an undergraduate degree, $175,000 for borrowers with a graduate or doctorate degree, $175,000 for borrowers with an MBA or graduate law degree, $500,000 for borrowers with a graduate health professions degree.

  • Can transfer a parent loan to the child: Yes.

  • Application or origination fee: No.

  • Prepayment penalty: No.

  • Late fees: Yes; $25, applied when a payment is missed by more than 15 days.

  Compare Nelnet Bank's range of interest rates with other student loan refinance lenders. Your actual rate will depend on factors including your — or your co-signer’s — credit history and financial situation. To see what rate Nelnet Bank will offer you, apply on its website.

• RequirementsRequirements

  Financial

  • Minimum credit score: Mid to high 600s.

  • Minimum income: Did not disclose.

  • Typical credit score of approved borrowers or co-signers: Did not disclose.

  • Typical income of approved borrowers: Did not disclose.

  • Maximum debt-to-income ratio: Did not disclose.

  • Can qualify if you’ve filed for bankruptcy: Yes; after seven years.

  Other

  • Location: Available in all U.S. states, the District of Columbia and all U.S. territories.

  • Must have graduated: Yes.

  • Must have attended a school authorized to receive federal aid: Did not disclose.

  • Percentage of borrowers who have a co-signer: 40%.

• Repayment optionsRepayment options

  • Academic deferment: Yes, borrowers can postpone payments if they return to school.

  • Military deferment: Did not disclose.

  • Hardship forbearance: Yes, borrowers experiencing an economic hardship can postpone payments in increments of two months with a maximum of 12 months, in aggregate, over the life of the loan.

  • Interest-only payments: No.

  • Natural disaster forbearance: Did not disclose.

  • Co-signer release available: Yes, after 24 months of payments.

  • Death or disability discharge available: No.

  • Loan discharge if co-signer dies or becomes disabled: No.

  Repayment preferences:

  • Allows greater-than-minimum payments via autopay: Yes.

  • Allows biweekly payments via autopay: No.

• Customer serviceCustomer service

  • Loan servicer: Firstmark Services.

  • In-house customer service team: No.

  • Process for escalating concerns: No.

  • Borrowers get assigned a dedicated banker, advisor or representative: No.

  • Average time from approval to payoff: Within a week.

Before refinancing with Nelnet Bank

You can apply for a Nelnet Bank refinanced student loan on its website. Before deciding on a student loan refinance lender, compare multiple student loan refinance options to make sure you’re getting the best rate you qualify for. In addition to interest rates, compare lenders’ repayment options and the flexibility they offer borrowers who are struggling to make payments.

If you aren’t eligible to refinance with Nelnet Bank

If Nelnet Bank denies your refinance application, the lender will let you know why. Depending on the reason, you may want to consider other lenders or using a co-signer.

NerdWallet recommends prequalifying with multiple refinance lenders before you apply. This will let you know which lenders you may be eligible with, without affecting your credit.

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.

Full Review

Nelnet Bank started offering student loans for undergraduate and graduate students in 2022. It continues to offer student loan refinancing.

Nelnet Bank private student loans are available to borrowers in all 50 states, the District of Columbia and all U.S. territories. It is also one of the few lenders that offers loans to borrowers attending community colleges.

Nelnet Bank at a glance

• One of few lenders that offers loans to community college students.

• Allows applicants to see which rate they qualify for without affecting their credit.

• No origination fee.

How Nelnet Bank could improve

• Allow biweekly student loan payments via autopay.

Nelnet Bank private student loan details

• Interest rates, fees and termsInterest rates, fees and terms

  • Soft credit check to qualify and see what rate you’ll get: Yes.

  • Loan terms: Multiple.

  • Loan amounts: $1,000 - $500,000.

  • Application or origination fee: No.

  • Prepayment penalty: No.

  • Late fees: Yes. Late fees are applied if payment is missed by 15 days. Amount varies by product.

  Compare Nelnet Bank's range of interest rates with other student loan providers. Your actual rate will depend on factors including your — or your co-signer’s — credit history and financial situation. To see what rate Nelnet Bank will offer you, apply on its website.

• RequirementsRequirements

  Financial

  • Minimum credit score: Mid to high 600s.

  • Minimum income: Did not disclose.

  • Typical credit score of approved borrowers or co-signers: Did not disclose.

  • Typical income of approved borrowers: Did not disclose.

  • Maximum debt-to-income ratio: Did not disclose.

  • Can qualify if you’ve filed for bankruptcy: Yes, after seven years.

  Other

  • Citizenship: Must be a U.S. citizen or permanent resident.

  • DACA borrowers: No.

  • Location: Available to borrowers in all 50 states, the District of Columbia and all U.S. territories.

  • Must be enrolled half time or more: Yes.

  • Loan can be used for past-due tuition: No.

  • Types of schools served: Borrowers must attend a school that is a part of the federal Title IV program.

  • Percentage of borrowers who have a co-signer: 91%.

• Repayment optionsRepayment options

  In-school repayment options:

  • Immediate repayment: Make full payments as soon as the loan is disbursed, while you’re still in school.

  • Deferred repayment: Don’t make any payments while you’re in school.

  • Interest-only repayment: Pay interest every month that you’re in school and during the grace period.

  • Fixed payment: $25 monthly fixed payment amount while in school and monthly full principal and interest after you separate.

  Post-school repayment options:

  • Grace period: 6 months.

  • Income-based repayment option: No.

  • Academic deferment: Yes.

  • Military deferment: Did not disclose.

  • Hardship forbearance: Yes. Borrowers are eligible for 12 months of forbearance.

  • Permanent loan modification: Did not disclose.

  • Interest-only payments: Yes.

  • Graduated repayment: Did not disclose.

  • Temporary income-based payments: Did not disclose.

  • Internship deferment: Did not disclose.

  • Residency deferment: Did not disclose.

  • Administrative forbearance: Did not disclose.

  • Natural disaster forbearance: Did not disclose.

  • Paused and decreased payments for temporary disability: Did not disclose.

  • Fellowship deferment: Did not disclose.

  • Co-signer release available: Yes, after 24 months of on-time payments.

  • Death or disability discharge available: Yes.

  • Loan discharge if co-signer dies or becomes disabled: No.

  • Allows greater-than-minimum payments via autopay: Yes.

  • Allows biweekly payments via autopay: No.

• Customer serviceCustomer service

  • Loan servicer: Firstmark Services.

  • In-house customer service team: No.

  • Process for escalating concerns: No.

  • Borrowers get assigned a dedicated banker, advisor or representative: No.

  • Average time from approval to payout: As few as 4 days.

Before applying for a Nelnet Bank loan

Before taking out a Nelnet Bank student loan or any other private student loan, exhaust your federal loan options first. Submit the Free Application for Federal Student Aid, known as the FAFSA, to apply.

Compare your private student loan options to make sure you’re getting the best rate you qualify for. In addition to interest rates, look at lenders’ repayment alternatives and the flexibility they offer to borrowers who struggle to make payments.

If you aren’t eligible for a Nelnet Bank student loan

If Nelnet Bank denies your student loan application, the lender will let you know why. Depending on the reason, you may want to consider other lenders or, if you haven’t already, try applying with a co-signer.

If you don’t have access to a co-signer — or still aren’t eligible with one — consider lenders that don’t require co-signers or that specialize in bad-credit or no-credit student loans.

STUDENT LOAN 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 top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets.

We consider 40 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.