MEFA Reviews: Student Loan Refinancing and Private Student Loans
Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
- 35+ student loans lenders reviewed and rated by our team of experts.
- 10+ years of combined experience covering higher education and student loans.
- Objective, comprehensive star-rating system assessing 43 categories and 40+ data points across student loan origination and student loan refinance.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Student loan ratings
4.0
The Massachusetts Educational Financing Authority, known as MEFA, offers student loan refinancing and private student loans for undergrads and graduate students across all 50 U.S. states. Its refinancing loan is best for borrowers with a stable income who don't have a degree. Its private student loan is best for students who expect stable income after graduation.
MEFA Student Loan Refinance review
Pros
-
No late fees.
-
You can see if you’ll qualify and what rate you’ll get without a hard credit check.
Cons
-
No formal deferment/forbearance options.
-
No co-signer release.
Best for borrowers with a stable income who don’t have a degree.
Full Review
Unlike most other private lenders, MEFA doesn’t have a formal program that lets borrowers pause payments temporarily through deferment or forbearance for economic hardships. That means refinancing with MEFA is best for those with stable income who don't foresee needing breathing room in the future.
You don't need to have graduated to refinance with MEFA. But you must have made one year's worth of on-time payments toward your loans. You're also ineligible if you've defaulted on student loans in the past.
MEFA student loan refinancing at a glance
Borrowers without a degree can refinance.
No late fees.
Offers personalized rate estimates via a soft credit check.
How MEFA could improve
MEFA could improve its student loan refinance product by offering:
Formal forbearance for borrowers facing an economic hardship.
A co-signer release program.
Biweekly student loan payments via autopay.
How much can refinancing save?
MEFA student loan refinancing details
- Interest rates, fees and terms
Soft credit check to qualify and see what rate you’ll get: Yes.
Loan terms: 7, 10 or 15 years.
Loan amounts: $10,000 up to your total outstanding debt.
Can transfer a parent loan to the child: No.
Application or origination fee: No.
Prepayment penalty: No.
Late fees: No.
Compare MEFA'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 MEFA will offer you, apply on its website.
- Requirements
Financial
Minimum credit score: 670.
Minimum income: Did not disclose.
Typical credit score of approved borrowers: 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 five years.
Other
Citizenship: Must be a U.S. citizen or Permanent Resident.
Location: Available to borrowers in all 50 U.S. states, and Washington, D.C.
Must have graduated: No.
Must have attended a school authorized to receive federal aid: Yes.
Percentage of borrowers who have a co-signer: Did not disclose.
You must have repaid loans for at least 12 months before you can refinance them with MEFA and have no history of student loan default.
- Repayment options
Academic deferment: No.
Military deferment: Yes.
Forbearance: No, but MEFA says it will work with borrowers on a case-by-case basis to offer various plans to help borrowers move back into full-repayment.
Co-signer release available: No.
Death or disability discharge available: Yes.
Loan discharge if co-signer dies or becomes disabled: No.
Repayment preferences
Allows greater-than-minimum payments via autopay: Did not disclose.
Allows bi-weekly payments via autopay: Did not disclose.
- Customer service
Loan servicer: American Education Services.
In-house customer service team: They have in-house and outside representatives.
Process for escalating concerns: No.
Borrowers get assigned a dedicated banker, advisor or representative: No.
Average time from approval to payoff: The application approval process can take up to two weeks. Upon approval, funds may be disbursed within five days.
Before refinancing with MEFA
You can apply for a MEFA 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 MEFA
If MEFA denies your refinance application, the lender will let you know why. Depending on the reason, you may want to consider other lenders or need 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 26 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.
Lender | Fixed APR | Min. credit score | Variable APR | |
|---|---|---|---|---|
| Sallie Mae Undergraduate Student Loan GO TO LENDER SITEon Sallie Mae's website on Sallie Mae's website COMPARE RATESon Credible’s website on Credible’s website | 3.49-
15.49% | Mid-600's | 5.04-
15.21% | GO TO LENDER SITEon Sallie Mae's website on Sallie Mae's website COMPARE RATESon Credible’s website on Credible’s website |
| College Ave Private Student Loan GO TO LENDER SITEon College Ave's website on College Ave's website COMPARE RATESon Credible’s website on Credible’s website | 3.59-
17.99% | Mid-600s | 5.34-
17.99% | GO TO LENDER SITEon College Ave's website on College Ave's website COMPARE RATESon Credible’s website on Credible’s website |
3.69-
14.56% | Low-Mid 600s | 5.66-
14.72% | COMPARE RATESon Credible’s website on Credible’s website | |
4.24-
14.02% | 600 | 4.97-
14.52% | COMPARE RATESon Credible’s website on Credible’s website | |
3.69-
14.22% | 680 | 5.00-
14.22% | COMPARE RATESon Credible’s website on Credible’s website |
MEFA Private Student Loan review
Pros
-
No late fees.
Cons
-
You can’t see if you’ll qualify and what rate you’ll get without a hard credit check.
-
Only one repayment plan offers co-signer release.
Best for students who expect stable income after graduation.
Full Review
MEFA private student loans don't offer a formal deferment or forbearance program if you have trouble affording payments. That makes MEFA a good choice only for those who expect a stable income after graduation.
Despite being a state-based organization, MEFA private student loans are available to students no matter where they go to school. MEFA offers fixed interest rates only, which means they'll stay the same over the life of the loan.
MEFA private student loan at a glance
Offers fixed interest rates only.
Co-signer release is only available if you select the deferred repayment with co-signer release option when you apply.
No deferment or forbearance programs are available.
How MEFA could improve
MEFA could improve its student loan product by:
Offering formal forbearance for borrowers facing an economic hardship.
Offering co-signer release on all repayment options.
Allowing borrowers to make biweekly payments via autopay.
MEFA private student loan details
- Interest rates, fees and terms
Soft credit check to qualify and see what rate you’ll get: No.
Loan terms: 10 or 15 years.
Loan amounts: $1,500 minimum. Borrowers can take out up to the school's cost of attendance, minus other aid received.
Application or origination fee: No.
Prepayment penalty: No.
Late fees: No.
Compare MEFA's range of interest rates with other private student loan lenders. Your actual rate will depend on factors including your — or your co-signer’s — credit history and financial situation. To see what rate MEFA will offer you, apply on its website.
- Requirements
Financial
Minimum credit score: 670.
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 five years have passed.
Other
Citizenship: Must be a U.S. citizen or Permanent Resident.
DACA borrowers: Did not disclose.
Location: Available in all 50 U.S. states, and Washington D.C.
Must be enrolled half-time or more: Yes.
Loan can be used for past due tuition: Yes, for the previous semester, but not including summer.
Types of schools served: Any school authorized to receive federal aid.
Percentage of borrowers who have a co-signer: 98%.
- Repayment options
In-school repayment options
Immediate: Begin making full monthly payments while still in school. Choose between 10-year and 15-year terms.
Deferred: You won’t be required to make any payments until your six-month grace period ends, but you can choose to make payments if you’d like. Interest will accrue while you’re in school and will capitalize, or get added to your principal balance, at the end of your grace period. This option comes with a 15-year term.
Deferred with co-signer release: Similar to the option above, but this plan allows a co-signer to request release after 48 consecutive on-time payments have been made. This option comes with a 15-year term.
Interest-only: Pay only the interest while in school. Begin paying down the principal balance after you graduate or leave school. This option comes with a 15-year term.
Post-school repayment options
Grace period: Six months for the deferred repayment options.
Income-based repayment option: No.
In-school deferment: No.
Military deferment: Yes.
Forbearance: No, but MEFA says it can provide various options to help borrowers transition back into full-repayment.
Co-signer release available: Yes, after 48 consecutive on-time payments, but only with the deferred co-signer release repayment plan.
Death or disability discharge available: Yes.
Loan discharge if co-signer dies or becomes disabled: No.
Repayment preferences
Allows greater-than-minimum payments via autopay: Did not disclose.
Allows biweekly payments via autopay: Did not disclose.
- Customer service
Loan servicer: American Education Services.
In-house customer service team: They use in-house and outside representatives.
Process for escalating concerns: Did not disclose.
Borrowers get assigned a dedicated banker, advisor or representative: No.
Average time from application to approval: Approval can happen within minutes, but it can take about two weeks to disburse funds to the institution.
Before applying for a MEFA student loan
You can apply for a MEFA student loan on its website. Before taking out a MEFA student loan or any other private loan, exhaust your federal student loan options first. Submit the Free Application for Federal Student Aid, known as the FAFSA, to apply.
» MORE: NerdWallet’s FAFSA Guide
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 an MEFA student loan
If MEFA 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 specialize in bad 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.
Read more about our ratings methodologies for student loans and our editorial guidelines.
Frequently asked questions
- Is MEFA a good loan?
MEFA is a four-star lender based on NerdWallet's student loan rating system. Our ratings prioritize low interest rates and flexible repayment options that allow borrowers to repay loans faster and avoid default.
- Is MEFA a federal loan?
No. MEFA provides private undergraduate and graduate student loans. It also offers student loan refinancing.
- What type of loan is MEFA?
MEFA provides private student loans and student loan refinancing to qualified borrowers.
