Your new life in Dallas pays in dollars. Yet, every month you still wire INR 45,000+ to an Indian bank that charges 10% to 13% floating interest and keeps your parents’ flat as collateral.
The rupee slides, the RBI hikes its repo rate, and your EMI goes up again.
Refinancing that loan to a US-based lender is the obvious smart choice. But the real question is: which lender will actually touch an India-serviced loan and on what terms?
Advertised refi deals can look dazzling. SoFi teases 4.49% APR for top-tier profiles, whereas MPOWER lists 9.99% fixed with no cosigner.
Yet, most brands refuse to pay off a loan that lives in Mumbai or Chennai.
So the stakes are clear:
- Eligibility hoops: Will a lender accept your H-1B or STEM-OPT status and a loan originally booked in rupees?
- Direct payoff: Can they wire funds to SBI or Avanse and trigger a clean NOC so your collateral is released?
- Rate reality: Will the promised fixed APR really beat your current floating rate once fees and forex are done?
Finding the best lenders for refinancing student loans based in India isn’t quite as straightforward as we would like it to be. Thankfully, with the right guidance, the road can get much easier.
How student loan refinancing works in the US – the market reality
On the surface, refinancing feels like a simple trade. A new lender pays off your old education loan, and you start making one consolidated monthly payment in dollars.
Under the hood, though, U.S. regulations and each lender’s risk rules shape who can refinance and how fast the money actually moves.
So, what happens after you click “apply?” Here’s a quick snapshot of the process:
Payoff & replacement:
Once you sign the final disclosure papers, the refinance lender must wait three business days before wiring funds. This “right-to-cancel” period is required for every private education loan under regulation. No money changes hands until that window expires.
New repayment schedule:
The moment the payoff posts, your old loan closes. And a brand-new amortization clock starts with the refi lender.
Rate tweaks:
Most lenders shave 0.25 percentage points off the rate when you enroll in AutoPay. That may seem small on paper, but it can be worth hundreds of dollars over a 10-year term.
Two Tracks for Indian Borrowers
When it comes to refinancing a student loan, most Indian graduates fit into one of these paths:
| Track | Your current loan | Lenders willing to refinance | Typical obstacles |
| Cross-border refi | An Indian bank/NBFC (SBI, Avanse, Credila) | MPOWER Financing (active) and, when available, Prodigy Finance.
Both promise to wire funds directly to your Indian lender. |
|
| US-serviced refi | A lender that already reports to US credit bureaus (e.g., you borrowed with a US cosigner, or previously did a cross-border refi) | Mainstream brands such as Citizens, SoFi, Laurel Road, Earnest, and ELFI.
More options are available in this track. |
|
Why the Split Matters
Lenders price risk based on where the loan is serviced and by the borrower’s legal status. A loan booked in rupees under Indian law introduces currency swings, collateral questions, and legal complexity. So, only a handful of US lenders will touch it.
By contrast, once your debt is already dollar-denominated and reported to the US credit system, you can shop the broader market for lower rates or a cosigner release.
Pre-Filter before You Apply
Check three points up front to avoid wasted applications:
- Visa & residency: Confirm the lender’s latest policy on OPT, STEM-OPT, or H-1B.
- Loan location: Verify whether the lender will pay off an India-serviced balance.
- Soft credit pull: Use pre-qualification tools first; they show estimated rates without trimming points off your U.S. credit file.
With those filters in place, you can jump straight to finding the top student loan refinance lenders that fit your situation.
India to US refinancing: What options are available in 2025?
The last section showed that only certain lenders will even look at a loan still serviced in India. In 2025, that pool is tiny—but it isn’t zero.
Below is the complete, up-to-date landscape for turning a rupee-denominated education loan into a dollar-denominated one you can repay from your US paycheck.
MPOWER Financing – The Single Fully-Active Cross-Border Refi Program
As of today, MPOWER is the only mainstream lender that routinely wires payoff funds to Indian banks and books a new fixed-rate loan in the US.
What they do:
Pay your Indian lender directly via SWIFT once the U.S.-mandated three-day rescission window expires. Maximum amount US $100,000; no prepayment penalty.
Who qualifies:
Those who live in the US, hold valid F-1 (OPT/STEM-OPT) or H-1B status, are in full-time employment for at least three months, and have citizenship from one of MPOWER’s 150+ supported countries. No cosigner and no collateral required.
Current pricing:
Fixed APRs start at 9.99 % with a 0.25 pt AutoPay discount; terms 7 or 10 years. (Your offer depends on credit, income, and program length.)
Paperwork to have ready:
Payoff letter dated within 15 business days, degree and employment proof, government ID, and your Indian bank’s SWIFT/IFSC details.
Good-to-know:
You can’t refinance an existing MPOWER loan with MPOWER itself. You’d need to shop other U.S. lenders for a second refi.
Naturally, MPOWER is one of the best lenders for refinancing student loans based in India.
Prodigy Finance – Check Availability before You Bank on It
Prodigy built its brand on no-cosigner in-study loans for international master’s students and briefly piloted a refi product.
As of mid-2025, the public site and FAQs focus on new study loans, and blog posts note that Fall-2025 funding rounds have closed.
So, what does this mean for you? Prodigy may reopen refinancing, but treat it as a “maybe.” Pre-qualify first and move on if the option isn’t live.
Bottom Line for India-serviced Loans in 2025
If your education loan still sits with SBI, Avanse, HDFC Credila, or any other Indian lender, MPOWER is the only fully operational cross-border refinance path right now. Keep an eye on Prodigy Finance for a potential comeback, but don’t stall your plans waiting.
With that single but important door mapped out, we can next look at refinancing options once your debt is already in the U.S. system and reported in dollars.
Refinancing a loan that’s already US-serviced
Many Indian students finish their degree with debt that is already in dollars. That happens in two main ways:
US in-study loans with a cosigner:
Private lenders such as Citizens or Sallie Mae will fund an international student if a US citizen or permanent resident cosigner signs on.
Once you graduate and land a job, that same debt shows up on your US credit report. That means you qualify for mainstream refinance offers.
A previous cross-border refi:
Some borrowers first used MPOWER (or Prodigy, when available) to pay off their rupee loan. A year or two later, after building a salary history and credit, they shop again for a lower rate or a longer/shorter term.
Multiple refinances are allowed. Lenders only care that the prior loan is in good standing.
If you’re in either camp, refinancing can still add value: drop the APR, switch from variable to fixed (or vice-versa), remove an old cosigner, or roll several smaller loans into one. Lenders may even release a cosigner automatically after 36 on-time payments.
When looking for private student loan refinance lenders, focus on three filters:
Residency rules:
Most brands want a US citizen or permanent resident as the primary borrower. The big outlier is SoFi, which, in a June 2025 explainer, says certain visa holders can refinance. Always check the live eligibility page.
Credit and income thresholds:
Expect hard minimums around a $35,000 salary and a mid-600s credit score.
Cosigner release language:
If you needed a cosigner during school, be sure the new lender offers a clear path to drop them later.
Below is a quick-reference table of the best lenders for refinancing student loans. Most Indian graduates turn to these once their debt is dollar-denominated.
Top US Refinance Lenders in 2025
| Lender | Visa / Residency Policy | Cosigner Requirement | Advertised Fixed APR* | AutoPay Discount | Stand-out Feature |
| SoFi | Select visa types considered
Verify during pre-qualification |
None if you meet income and credit
Cosigner optional |
From 4.49% for top-tier profiles | 0.25 pt | Career coaching and unemployment protection |
| Citizens Bank | Non-citizen OK with US citizen/PR cosigner
Loan must already be US-serviced |
Required for non-citizens | From 5.24% (site quote, 10-yr fixed) | 0.25 pt | Cosigner-release after 36 on-time payments |
| Earnest | Borrower must be a US citizen/PR | Cosigner not offered | From 5.44% | 0.25 pt | Custom term length to the exact month |
| Laurel Road | US citizen/PR only | Optional | From 4.80% | 0.25 pt + extra 0.25 pt with linked checking | MD/DDS discounts for healthcare grads |
| ELFI | US citizen/PR only | Optional | From 5.08% | 0.25 pt | Dedicated refi advisers |
*Lowest published fixed APRs are shown here. Your actual rate depends on credit, income, and term. Check each lender’s website on the day you pre-qualify.
A second refinance usually makes sense 12–24 months after your first one. That’s long enough to boost your credit score, lock in a stable US income, and watch the rate market.
If your original cosigner wants out or the Fed starts cutting, running a new set of quotes can pay off quickly.
Rupee vs dollar: what 2025 interest-rate numbers really show
Moving a loan from India to the United States makes sense only if the math works out. Below is a snapshot of today’s headline rates on each side of the ocean—one floating, the other mostly fixed—so you can see where the potential savings (or trade-offs) lie.
India’s Floating Rate Reality
State Bank of India, the country’s largest lender, now lists education-loan pricing that starts around 10% for a standard master’s borrower and climbs higher once the in-study moratorium ends.
Private NBFCs run even richer spreads: Avanse pegs its base rate at 14.55% (the final price is base + spread), then resets every time the RBI moves.
Because the rate floats, every repo-rate hike pushes your EMI up—and the rupee’s slide against the dollar only amplifies the hit.
US Refinance Benchmarks
Across the major private-refinance market, fixed APRs for strong profiles range from about 4% to 10%. Variable offers start a bit lower but carry SOFR-linked risk.
A recent survey puts fixed refinance quotes at 3.95% to 9.99% for top-tier applicants. And most lenders shave 0.25 percentage points if you turn on AutoPay.
Laurel Road, for example, advertises an extra discount when you open its linked checking account. That pushes the starting variable APRs near 4.8% for eligible borrowers.
| Loan location | Typical 2025 rate band | Rate type | Currency risk |
| India-serviced (SBI, Avanse, etc.) | ~10% to 15% | Floating (linked to RBI moves) | Rupee depreciation widens the true cost in USD |
| US refinance (private lenders) | ~4% to 10% | Mostly fixed (variable optional) | None—borrower earns & repays in dollars |
What the gap means in rupees and dollars
Take an INR 30-lakh loan at 11% floating interest.
Rolling that into a 7-year US refi at 7.5% fixed cuts about ₹6,000 (≈US $70) off each monthly payment and removes the collateral from your parents’ property file.
Even if your quote lands at the higher end of the US range, the shift to a fixed dollar rate eliminates two wild cards at once: RBI rate resets and INR-USD volatility.
How GradRight can help you refinance your student loan in the US
You’ve seen the gap between rupee-floating and dollar-fixed rates. Now comes the hard part: finding the best lenders for refinancing student loans in the US.
GradRight flips that search upside-down by letting lenders bid for your profile instead of the other way round.
GradRight is partnered with more than 15 domestic and international lenders. The list includes Indian banks (SBI, ICICI), NBFCs (HDFC Credila, Avanse), and global players that refinance in US dollars.
Once you submit a single profile, its matching engine screens your visa status, credit, income, and existing loan data, then surfaces only the lenders that can legally and competitively pay off your current loan.
GradRight’s built-in calculator shows the rupee-to-dollar math before you commit. Converting a ₹25-lakh, 10-year loan from 11% INR to 6% USD, for example, cuts roughly ₹4.1 lakh in total interest.
Because the platform is free to students (lenders pay a success fee), there’s little downside to running your numbers.
More importantly, it prevents the common misstep of applying to ten lenders only to learn—after hard credit pulls—that nine of them don’t refinance India-serviced loans.
