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Sallie Mae Student Loans Review


ConsumersAdvocate.org Rating: 4.5 / 5 (Excellent)
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Founded in 1973, Sallie Mae, formally known as the SLM Corporation, is a consumer banking company that specializes in the origination, service, and collection of private student loans.

The company initially functioned as a federally guaranteed student loan issuer but shifted towards private student loans in recent years, transferring its federal loan portfolio to Navient.

How is Sallie Mae Student Loan rated?

Breakdown

4.6/5
Loan Details
4.5/5
Eligibility Criteria
4.6/5
Customer Experience
4.6/5
Additional Benefits

Overall Rating: 4.5 / 5 (Excellent)

Founded as a government agency to fund education loans, Sallie Mae is now a private, publicly traded corporation that provides private student loans and other financial services.

The company offers private education loans, student loans, banking services, financial aid assistance, and college planning services, among others.

It handles over $180 billion of student debt from over 10 million borrowers, making it the largest student loan provider in the United States.

Sallie Mae ranks highly with us for their broad range of student loan options as well as their comprehensive services and reasonable rates for both undergraduate and graduate student loans.

Sallie Mae Student Loan Loan Specifics

Loan Details - 4.6 / 5

As the largest private student loan provider in the nation, Sallie Mae extends a host of student loan product for undergraduate, career training, and graduate students.

For a private company, their repayment options are quite flexible, allowing students to choose between deferred, fixed, and interest-only payments.

This lender also sets itself apart from similar companies by providing borrowers valuable information on the different repayment options they extend and the differences between fixed and variable interest rates, both of which they offer.

Sallie Mae offers loans that can cover from $1,000 up to 100% of the school's cost of attendance, yet they encourage consumers to borrow what they need and can pay back later.

They charge late-payment fees, yet there are no penalties for early student loan payoff.
Loan Types
Undergraduate
Graduate
Career Training
Minimum Loan Amount
1,000
Maximum Loan Amount
Up to 100% of the School's Cost of Attendance
Loan Term
Private student loan terms usually depend on the time it takes the student to complete his or her degree, which is typically four years.
Interest Rates
Fixed
Variable
Repayment Options
Interest
Deferred
Fixed
Fees
Late Payment
Grace Period
Deferment or Forbearance
Cosigner Release

Fixed APR Range

3.49% to 15.49%

Variable APR Range

5.04% to 15.21%

Disclaimer

Lowest fixed and variable rates include the auto debit discount.

Sallie Mae Student Loan Qualifications

Eligibility Criteria - 4.5 / 5

To qualify for a private student loan through Sallie Mae undergraduate students must be enrolled in an eligible institution and be U.S. citizens, permanent residents, or non-U.S. citizens enrolled in a school located in the U.S. who have a creditworthy cosigner.

Other requirements include being able to meet credit and other eligibitly criteria or having a cosigner who can provide proof of graduation, income, and citizenship.

Graduate students must meet the same eligibility requirements, yet they do not have the option of applying with a creditworthy cosigner.

Further credit requirements include not having been reported to a consumer reporting agency in over 90 days, not having been overdue in payments in the past 24 months, and not being in hardship forbearance or a modified repayment program or have previously defaulted loans.
Cosigner Required
Citizenship Requirement
U.S. Citizen
Permanent Legal Resident
Non-U.S. Citizen with a Cosigner

Sallie Mae Student Loan Customer Experience

Customer Experience - 4.6 / 5

Sallie Mae offers borrowers excellent additional services like college planning and savings plans.

The company doesn't offer 24/7 customer support, yet provides helpful resources such as FAQs and information on topics that span everything from how to find graduate scholarships to managing student debt.

Again, the company is very transparent about the cost of private student loans and encourages students to exhaust all other funding option before applying for a private loan, something not all lenders openly disclose.
Student Loan Calculator
Online Quotes
Reputation
Career Support

Discounts

With the auto-debit discount, borrowers can get a 0.25 percentage point interest rate reduction when enrolled in and making monthly payments by auto debit.

Sallie Mae Student Loan Company Reputation

Additional Benefits - 4.6 / 5

SLM Corporation, also known as Sallie Mae, has been offering consumer banking products and services since 1973.

The company is accredited by the Better Business Bureau and holds an A+ rating based on only 18 negative customer reviews. It has also received a 6.1 (Average) rating based on a single customer review.

For a corporation or its size and scope, Sallie Mae maintains an excellent reputation.
Lender Type
Bank
Year Founded
1973
BBB Rating
A+
Number of BBB Positive Reviews
0
Number of BBB Negative Reviews
18
Trust Pilot Rating
6.1 out of 5
Date Collected
2018-03-28

Company's Disclosure

Borrow Responsibly
We encourage students and families to start with savings, grants, scholarships, and federal student loans to pay for college. Students and families should evaluate all anticipated monthly loan payments, and how much the student expects to earn in the future, before considering a private student loan.
Loans for Undergraduate & Career Training Students are not intended for graduate students and are subject to credit approval, identity verification, signed loan documents, and school certification. Student must attend a participating school. Student or cosigner must meet the age of majority in their state of residence. Students who are not U.S. citizens or U.S. permanent residents must reside in the U.S., attend school in the U.S., apply with a creditworthy cosigner (who must be a U.S. citizen or U.S. permanent resident), and provide an unexpired government-issued photo ID. Requested loan amount must be at least $1,000.
1. Advertised APRs for undergraduate students assume a $10,000 loan to a student who attends school for 4 years and has no prior Sallie Mae-serviced loans. Interest rates for variable rate loans may increase or decrease over the life of the loan based on changes to the 30-day Average Secured Overnight Financing Rate (SOFR) rounded up to the nearest one-eighth of one percent. Advertised variable rates are the starting range of rates and may vary outside of that range over the life of the loan. Interest is charged starting when funds are sent to the school. With the Fixed and Deferred Repayment Options, the interest rate is higher than with the Interest Repayment Option and Unpaid Interest is added to the loan’s Current Principal at the end of the grace/separation period. To receive a 0.25 percentage point interest rate discount, the borrower or cosigner must enroll in auto debit through Sallie Mae. The discount applies only during active repayment for as long as the Current Amount Due or Designated Amount is successfully withdrawn from the authorized bank account each month. It may be suspended during forbearance or deferment.
2. In 2021, instant credit decisions were provided to 97% of applicants. Other applications typically received credit decisions in 3 to 5 business days.
3. Although we do not charge a penalty or fee if you prepay your loan, any prepayment will be applied as outlined in your promissory note—first to Unpaid Fees and costs, then to Unpaid Interest, and then to Current Principal.
4. Loan amount cannot exceed the cost of attendance less financial aid received, as certified by the school. Sallie Mae reserves the right to approve a lower loan amount than the school-certified amount. Miscellaneous personal expenses (such as a laptop) may be included in the cost of attendance for students enrolled at least half-time.
5. Based on a comparison of approval rates for Sallie Mae Smart Option Student Loans for undergraduate students who applied with a cosigner versus without a cosigner during a rolling 12-month period from October 1, 2020 through September 30, 2021.
6. Examples of typical costs for a $10,000 Smart Option Student Loan with the most common fixed rate, fixed repayment option, 6-month separation period, and two disbursements: For a borrower with no prior loans and a 4-year in-school period, it works out to a 10.28% fixed APR, 51 payments of $25.00, 119 payments of $182.67 and one payment of $121.71, for a Total Loan Cost of $23,134.44. For a borrower with $20,000 in prior loans and a 2-year in-school period, it works out to a 10.78% fixed APR, 27 payments of $25.00, 179 payments of $132.53 and one payment of $40.35 for a total loan cost of $24,438.22. Loans that are subject to a $50 minimum principal and interest payment amount may receive a loan term that is less than 10 years.
SALLIE MAE RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS, SERVICES, AND BENEFITS AT ANY TIME WITHOUT NOTICE.
Information valid as of 10/25/2024. Smart Option Student Loans® are made by Sallie Mae Bank. Sallie Mae, the Sallie Mae logo, and other Sallie Mae names and logos are service marks or registered service marks of Sallie Mae Bank. All other names and logos used are the trademarks or service marks of their respective owners.
©2024 Sallie Mae Bank. All rights reserved. SLM Corporation and its subsidiaries, including Sallie Mae Bank, are not sponsored by or agencies of the United States of America.

Company Profile

Full Name
Sallie Mae Student Loans
Company Website
Headquarters
300 Continental Drive, Newark, DE, 19713



Top Rated
Our Partner
  • Variable rates 5.04% - 15.21% 
  • Fixed rates 3.49% - 15.49% 
  • Lowest rates shown include 0.25 percentage point interest rate discount with auto debit payments.¹
  • Applying online is easy - you could receive a credit result in about 10 minutes.
  • Multiple repayment options from in-school payments to deferred.¹ No origination fee or prepayment penalty.²
  • Borrow up to 100% of school-certified expenses, whether you're online or on campus.³
  • Last year, students were 4x more likely to be approved with a cosigner.⁴