While the exact requirements vary by lender, you typically need to have:

• A degree: You should be able to find a lender willing to refinance your student loans if you have a degree from an accredited university

• A good credit score: A strong credit score will likely allow you to get a lower interest rate, which will save you money over the life of your loan

• A steady income: You’ll probably qualify for a lower monthly payment with a stable income, which will make it easier to afford your loan payments

Most private student loans will offer you the choice between a fixed- or variable-rate loan. The difference between them is:

• A fixed-rate loan has an interest rate that remains the same over the entirety of the loan. This means that your monthly payments won’t change either, leading to predictable payments.

• A variable-rate loan has an interest rate that can go up or down with the market. As a result, your monthly payments could increase, but they also have the potential to decrease.

Your credit score is one of the key factors that lenders look at when considering your application for a refinance loan. A higher credit score indicates to lenders that you're a lower-risk borrower, which could lead to a lower interest rate on your loan. Generally, you'll need a credit score of at least 650 to qualify for student loan refinancing.

When you refinance, there will be a hard credit inquiry the moment you apply for the new loan. A hard inquiry is when a lender looks into your credit history to make a loan approval decision. The good news is that any hard inquiry will have only a small and temporary impact on your credit score. Typically your score will drop by five points or less, and it will affect your credit report for two years at most.

There are a few options available to those looking to refinance their student loans with bad credit. The fastest and simplest option is to apply with a cosigner who has good credit. This can increase your chances of getting approved for a lower interest rate. Another option is to work on building your own credit by setting reminders and budgeting so that you can consistently pay bills on time. Lenders also consider how much money you're borrowing relative to how much you're making. If you can find a way to earn more, then you'll be more likely to qualify.

Whether you should consolidate or refinance depends on the kind of loan that you have.

• When to consolidate: If you have one or more federal loans, you may want to consolidate those loans so that you can make a single payment and still maintain your federal loan benefits. There is no option to consolidate private student loans.

• When to refinance: If you have one or more private student loans, you'll want to refinance any time your financial situation improves or interest rates go down so that you save money. While you could refinance your federal loans to get a lower rate, it would mean losing your federal loan benefits, so there's a trade-off.