We evaluate lenders based on extensive criteria from various categories. Our review team specializes in topics relating to college financing topics. Each writer and editor follows TuitionHero’s strict guidelines for editorial integrity.
We determine the weight of each category based on how important the information is to users. We assign each lender a percentage score ranging from 0% to 100%, matching up with a star rating from one to five stars.
Specific considerations
To achieve a 5-Star rating, a lender must meet our 5-Star Must-Haves criteria. These criteria include: a soft credit check, current rates, 12+ months of forbearance, and no origination fees. Failure to meet these requirements will result in a decrease of 10% and a lower star rating.
Categories and weightings (totaling 100%)
The scores in each category are combined to create the final percentage score. This percentage is then mapped to the corresponding star rating as detailed below.
Categories and weightings (totaling 100%)
Total Value
100
| Categories | % | |
|---|---|---|
| Interest rates | 20% | |
| Fees | 15% | |
| Loan terms | 10% | |
| Eligibility | 10% | |
| Hardship options | 20% | |
| Added benefits and perks | 10% | |
| Application process | 5% | |
| Customer support | 5% | |
| Editorial discretion | 5% |
Scoring breakdown
- 100%: 5 stars (Excellent)
- 80% - 99%: 4.5 - 4.9 stars (Very Good)
- 60% - 79%: 4.0 - 4.4 stars (Good)
- 40% - 59%: 3.0 - 3.9 stars (Average)
- 20% - 39%: 2.0 - 2.9 stars (Below Average)
- 0% - 19%: 1.0 - 1.9 stars (Poor)
Process
- Evaluate Each Category: Each lender is evaluated on the characteristics and considerations within each category. Lenders receive a percentage score for each of these categories.
- Combine the Scores: The scores in each category are first weighted using the percentage assignments above. After that, the total score is calculated from combining the different scores.
- Apply 5-Star Must-Haves Penalty if Applicable: The lender is penalized if they fail to meet any of the 5-star must-haves.
- Determine Star Rating: The final percentage score is mapped to the corresponding star rating.
- Round to the Nearest Tenth: Star ratings are rounded to the nearest tenth decimal place to ensure precision.
This scoring system ensures a standardized, transparent, and comprehensible methodology. Our goal with this rating system is to make lender comparisons consistent and fair.
We hope that our ratings help students find the best private student loan for their needs.