Navient Student Loan Consolidation: All You Need to Know

Tired of juggling multiple Navient student loan payments? If all of your Navient student loans are federal loans, you can apply for federal Navient student loan consolidation. Virtually any state borrower can qualify for a state direct consolidation loan because no credit check is required.

Federal consolidation is not available if you want to consolidate private student loans (or a combination of federal and private loans). But if you have private loans, you can get a new private consolidation loan from Navient or another private lender.

Consolidating student loans with private lenders is commonly referred to as student loan refinancing. Unlike federal loan consolidation, refinancing allows you to receive a lower interest rate and/or monthly payment.

Navient’s refinancing product, called NaviRefi, is only available to its existing customers. Here’s everything you need to know about Navient student loan consolidation with NaviRefi.

Navient Student Loan Consolidation

NaviRefi: Refinance Student Loans from Navient

NaviRefi allows borrowers to refinance multiple Navient loans into a new loan. Below we cover the application process, eligibility criteria, and the terms for refinancing Navient loans.

What are the Loan Fees and Terms?

Borrowers can use NaviRefi to refinance anywhere from $5,001 to $500,000 in student loan debt. Navient student loan consolidation offers a wide range of credit terms. You can choose between 5 and 20 years (in annual installments), for a total of 16 options. This is an advantage as it gives each borrower a better chance of finding the right repayment terms (and monthly payments) that fit their budget.

In most states, NaviRefi can offer both fixed and adjustable rate loans. Unfortunately, Navient does not publicly disclose its interest rate margins. Therefore, after applying, you will have to wait until you see your rate. There are no setup fees.

Who is Eligible for Navient Student Loans Consolidation?

Even if you have student loans managed by Navient, you may not be eligible to consolidate them with NaviRefi. Navient student loan consolidation with NaviRefi is currently an invite-only program.

In addition, you must be:

  • At least the age of majority in your state
  • A U.S. citizen or non-citizen permanent resident
  • Have a job or have sufficient income from other sources
  • A former student of an eligible Title IV school
  • Finally, you cannot be a Nevada resident as it is the only state where Navient does not currently offer loans refinancing.
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How Do Eligible Borrowers Apply?

If you meet the above requirements and have received a credit invitation from NaviRefi, you can apply as follows.

  • Visit the NaviRefi website and click on “Get my rate”.
  • Enter your name, email address and the 16-digit invitation code (found on the email or letter you received).
  • Follow the instructions to complete your application.

Here is some information you will need to provide when applying:

  • Employer information
  • Social security number
  • Annual income

If you have any questions or need help completing your application, you can contact the Contact Navient customer support team at 844-381-6621 (Mon to Thurs, 8 AM to 9 PM ET and Fri, 8 AM to 8 PM ET. Their team can also help you if you want to add non-Navient student loans to your loan application.

How Long Does Navient Student Loan Consolidation take?

Applicants can receive a quote from Navient in just three minutes. But if you pursue your application and are approved, Navient does not provide an estimate of how quickly your loan funds will be disbursed. However, the process of refinancing with other lenders often takes one or two billing cycles.

Once the consolidation is complete, you will receive your first Navent account statement. Until then, continue to repay your existing loans on time to avoid accidentally late or missed payments.

How Do Borrowers Make Payments?

  • To make your first payment, go to the NaviRefi website, click “Login” and select “Register Now”.
  • After setting up your account profile, select “Make Payment” to add your bank account information. Credit card payments cannot be made. And you can only make debit card payments over the phone.
  • You can also sign up for automatic payments at any time. And if you choose to do so, you can save money by earning a 0.25% interest discount on your automatic payment.
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Benefits of Navient Student Loans Consolidation

One of the biggest advantages of refinancing with Navient is that it offers a high level of payment flexibility. In addition to the standard (or installment) payment, borrowers can take advantage of the following options:

  • Interest Rate Reduction Program: Offers a reduced interest rate for 6 months to borrowers experiencing financial difficulty.
  • Term and Rate Change Program: Combines the benefits of the Rate Reduction Program with an extended payment period.
  • Military, Apprenticeship, or School Deferment: If you are at least half enrolled in school, an educational program (residency, internship, or scholarship), or the military, you may qualify for a temporary payment deferment.
  • Forbearance: This temporarily suspends payments (but not accrued interest) for borrowers who qualify based on their financial situation.
  • Additionally, Navient provides debt relief in the event of the death or total and permanent disability of the borrower.

In addition to these Navient-specific benefits, some potential benefits apply to student loan refinancing in general. For example, you can lower your interest rate, choose a more favorable payment term, or release a co-signer.

Disadvantages of Consolidating Navient Student Loans

As mentioned above, NaviRefi consolidation loans are private loans. So when you consolidate federal loans with Navient, you are no longer eligible for a variety of benefits. When you refinance federal loans with Navient, you lose access to:

  • Income-Driven Repayment (IDR) plans (ICR, IBR, PAYE, and REPAYE)
  • Forgiveness programs (like the Public Service Loan Forgiveness program)
  • Deferment and forbearance
  • COVID-19 student loan relief

Aside from these general downsides to refinancing, it’s worth noting that Navient doesn’t have the best reputation. Loan officers, in general, don’t often get great ratings for customer service. But Navient in particular has been embroiled in a string of lawsuits over the past few years alleging misapplication of borrower payments, fraudulent practices, and more.

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Finally, like most private lenders, NaviRefi uses credit-based underwriting. This means that only borrowers with excellent credit ratings can enjoy the best interest rates.

Should You Consolidate Navient Student Loans?

In most cases, it makes sense to opt for Navient student loan consolidation in one way or another. The question is whether you should go for federal or private consolidation.

If you qualify for PSLF or need income-based repayment options, you should choose federal consolidation for your Navient loans. Please note that while only direct loans are eligible for PSLF, Federal Family Education Loans (FFELPs) and Perkins Loans may become eligible after consolidation into a Direct Consolidation Loan.

Just remember that if you have already made eligible PSLF payments, you will lose your balance and start over with zero eligible payments after consolidation. So if you have already made a significant number of qualifying payments, you are better off avoiding federal consolidation altogether.

If you don’t have payments on an income-driven repayment plan and you work in the private sector, it might be worth considering a student loan refinance. But if you decide that refinancing is right for you, that does not necessarily mean Navient should be your choice. Another lender may offer more attractive interest terms and rates, better customer service, or both.

Additionally, some lenders may be willing to pay you a cash refinance bonus ranging from $200 to $1,275. Before deciding on a refinance lender, it’s important to consider all of your options.

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