Sallie Mae's rate disclosure lists an application fee of $0.00, an origination fee of 0.000% and a loan guarantee fee of 0.000%. Its own wording is simple: there is no fee to process a loan and no fee if you pay it off early.
SoFi makes the same promise in its borrow disclosures. No origination fee, no application fee and no prepayment penalty.
The one difference is how each lender treats the credit check. SoFi uses a soft pull for the rate estimate, so checking your rate does not move your score, while a full application triggers a hard pull.
Federal borrowers should also weigh what a private loan adds on top. A federal Direct Loan carries an origination fee of 1.057% for subsidized and unsubsidized loans and 4.228% for Direct PLUS, based on the StudentAid.gov interest rate page in October 2026.
How do in-school repayment options differ between the two lenders?
Sallie Mae lets you choose between three in-school payment structures, and choosing well can cut 17% off the total cost of the loan. SoFi does not offer a comparable option on its private student loans, which are aimed at graduates rather than students in school.
Sallie Mae's three options are straightforward. Pay the interest every month during school and through the six-month grace period, pay a fixed $25 each month, or defer every payment until after you finish school.
The lender's own example says a freshman can save 17% of total loan cost by paying interest during school instead of deferring, and 7% by paying the $25 fixed option instead of deferring.
Sallie Mae in-school options and the true cost of a $10,000 loan
| Option | What you pay in school | Cost effect from the lender example |
|---|
| Interest only | Monthly interest plus the six-month grace period | Saves 17% of total loan cost against deferment |
| Fixed $25 each month | $25 a month | Saves 7% of total loan cost against deferment |
| Fully deferred | Nothing until you leave school | Costs the most because interest accrues and capitalizes |
| Shortest term, fixed rate | Example APR 12.77% | Total cost of $28,173.12 |
| Longest term, fixed rate | Example APR 12.93% | Total cost of $35,799.92 |
The example on Sallie Mae's page uses a $10,000 Smart Option loan over four years in school plus a six-month grace period. The interest rate you are offered depends on your credit profile, so treat these figures as a shape rather than a quote.
What credit score do SoFi and Sallie Mae need?
Neither lender publishes a minimum credit score, which means you cannot pre-qualify yourself from a rate table. If you compare SoFi and Sallie Mae on credit policy, you will find the same silence on both sides.
SoFi says only that not all applicants who meet its minimum credit score requirements are approved, and it points to its eligibility criteria page rather than naming a number.
Sallie Mae says only that applications are subject to credit approval and to a particular credit score range. It discloses that it uses a FICO Score 8 based on TransUnion data along with its own underwriting.
One old number still circulates and should be ignored. A 2015 investor presentation from Sallie Mae's parent described a 670 FICO floor for its asset-backed securities and 640 for a not-for-profit structure.
That described a legacy program, not today's retail policy, and Sallie Mae does not publish it as a current requirement.
For international borrowers, the rules are stricter. Non-citizen permanent residents must live in the United States, attend a school in the United States, and apply with a creditworthy cosigner who is a US citizen or permanent resident.
Our guide to student loans for international students covers how private lenders handle that requirement.
What happens to PSLF if you refinance with either lender?
Refinancing a federal loan with SoFi or Sallie Mae ends your eligibility for Public Service Loan Forgiveness, income-based repayment and every other federal benefit. No private lender offers a replacement program, and no lender restores those benefits later.
SoFi's borrow disclosure spells it out in capitals. You forfeit eligibility for all federal loan benefits, including PSLF, income-based repayment, income-contingent repayment, extended repayment plans, PAYE and SAVE. Federal deferment and forbearance also disappear, so a pause has to be negotiated with the private servicer instead.
Federal benchmark rates make the choice concrete. A federal undergraduate Direct Loan is 6.52% for 2026-27, a graduate unsubsidized loan is 8.07% and Direct PLUS is 9.07%, according to StudentAid.gov in October 2026. A private refinance can beat those rates for a borrower with strong credit and a high balance.
Private lenders against the 2026-27 federal benchmark
| Loan type | Rate | Origination fee |
|---|
| Federal Direct Loan, undergraduate | 6.52% fixed | 1.057% |
| Federal Direct Unsubsidized, graduate | 8.07% fixed | 1.057% |
| Federal Direct PLUS | 9.07% fixed | 4.228% |
| SoFi refinance | 4.49% to 10.99% fixed | None |
| SoFi private undergraduate | 2.99% to 15.99% fixed | None |
| Sallie Mae private undergraduate | 2.19% to 17.49% fixed | None |
Which lender should you pick, and what are the next steps?
Pick SoFi when you are refinancing a federal loan with strong credit, and pick Sallie Mae when you are still in school and want a payment structure you control. Before you compare SoFi and Sallie Mae one more time, run the numbers on the balance you actually have.
- List your balance, your current rate and your remaining term for each federal loan. If a federal rate is already low, a private refinance may not save money.
- Check whether any of your loans are worth keeping for forgiveness. A teacher or public sector worker with PSLF progress should not refinance.
- Get a rate estimate from both lenders, which does not affect your credit score at either one, then compare the APR you are offered rather than the advertised range.
- Model the in-school options at Sallie Mae if you are still a student, and check whether deferring costs more than paying interest early.
- Read the fee and disclosure pages, because both lenders update rates monthly and the range you saw last week may have moved.
Our debt consolidation loan calculator guide helps you test a refinance against the federal option, and our guide to online MBA programs covers the programs most SoFi MBA borrowers are paying for.
Verify current requirements. Interest rates and terms change often. Check the lender rate disclosure page for the figures that apply to your application on the day you apply.
Photo: JESHOOTS-com, Pixabay Content License, via Pixabay (https://pixabay.com/photos/laptop-woman-education-study-young-3087585/)
Fazlur Rahman
