Citizens Financial Group Student Loan Options: A Comprehensive Guide

Financing higher education is a significant undertaking, and exploring all available options is crucial. While scholarships, grants, and federal student loans should be the primary focus, private student loans can be a valuable supplement to cover remaining educational expenses. Citizens Financial Group (Citizens Bank) is a well-known lender in the private student loan market, offering a range of options for undergraduate and graduate students, as well as parents. This article provides an in-depth look at Citizens Bank student loan options, including their features, pros and cons, and how they compare to alternatives.

Introduction to Citizens Bank Student Loans

Citizens Bank is a financial institution with a physical presence, offering the advantage of face-to-face interactions with loan officers, unlike many online-only lenders. They are recognized as an industry leader due to competitive Annual Percentage Rates (APRs), fewer fees compared to some other lenders, and high refinancing limits. If you possess a strong credit score, Citizens Bank might be a suitable student loan lender, particularly if you seek optimal rates and the convenience of submitting a single application to secure funding for multiple academic years.

For those with less-than-ideal credit, Citizens Bank offers a Student Credit Builder program to help build credit while in school, potentially facilitating access to more affordable financing in the future.

Key Features of Citizens Bank Student Loans

Citizens Bank distinguishes itself with several notable features:

Multi-Year Approval: This unique feature allows borrowers to secure financing for multiple school years with a single application. Borrowers will be presented with the overall amount they qualify to borrow for all of their school years combined. Multi-Year Approval borrowers have a 99% approval rate on future requests for additional funds. After the initial loan, continued eligibility must be verified via a soft credit inquiry at the time of the next request. Terms and conditions are outlined in the promissory note.
Cosigner Release Option: Applying with a cosigner can improve approval odds and potentially lower interest rates. Citizens Bank offers a cosigner release option, allowing the cosigner to be removed from the loan after the borrower makes 36 consecutive on-time payments of principal and interest. For the purpose of the application for co-signer release, on-time payments are defined as payments received within 15 days of the due date. Interest only payments do not qualify. The borrower must meet certain credit and eligibility guidelines when applying for the co-signer release. Borrowers must complete an application for release and provide income verification documents as part of the review. Borrowers who use deferment or forbearance will need to make 36 consecutive on-time payments after reentering repayment to qualify for release. citizen or permanent resident. If an application for co-signer release is denied, the borrower may not reapply for co-signer release until at least one year from the date the application for co-signer release was received. Terms and conditions apply. Borrowers whose loans were funded prior to reaching the age of majority may not be eligible for co-signer release. Note: co-signer release is not available on the Student Loan for Parents or Education Refinance Loan for Parents. 98% of Citizens Undergrad Booked Loans from 6/1/24 through 9/30/24 were cosigned.
Brick-and-Mortar Lender: Unlike many online-only lenders, Citizens Bank has physical branches, offering the option of in-person assistance.

Citizens Bank Undergraduate Student Loans

Citizens Bank Undergraduate Student Loans are designed to help students cover the costs of their undergraduate education. Key features include:

Read also: Is Citizens Bank Right for You?

Competitive APR range.
Option for multi-year approval.

Citizens Bank Graduate Student Loans

Citizens Bank Graduate Student Loans are tailored to students pursuing advanced degrees. These loans are similar to the undergraduate options but typically come with slightly higher interest rates. The lender offers specialized graduate student loans for students pursuing an MBA, medical degree, law degree, or dental school. Graduate student loans from Citizens Bank also come with the option of applying with a cosigner to boost your likelihood of getting approved.

Citizens Bank Parent Loans

Parent student loans from Citizens Bank are presented as an alternative to federal PLUS loans. citizen or permanent resident and be enrolled at least half-time in an academic program at a Citizens-participating school.

Citizens Bank Student Loan Refinancing

Business Insider ranks Citizens Bank as one of the best student loan refinance companies. Citizens Bank has a very high maximum amount of up to $750,000 for refinancing student loans. If you have a substantial amount of student loan debt, it may be easier to refinance here than with other lenders. However, it has a minimum refinance amount of $10,000, which is higher than some other student loan companies. Social Security number to be eligible for student loan refinancing.

Refinancing with Citizens Bank may benefit borrowers with a high debt balance and those who already have accounts with Citizens. Min. Citizens Bank’s refinances student loans and Parent PLUS loans at fixed and variable rates. Checking your rate with Citizens Bank will not affect your credit score. Variable rates are based on the 30-Day SOFR rate (4.35%as of this writing) as published by the Federal Reserve Bank of New York. Beyond interest rates, there are a number of fees a refinance lender may charge up-front or during the loan servicing period. Late payment fee - fee for making a late payment. Citizens Bank offers a 0.25% rate reduction for enrolling in automatic payments. An additional 0.25% reduction is available for linking a Citizens Bank account to autopay. Citizens occasionally partners with other companies for promotional offers available to certain customers. For example, one current promotion offers employees a $500 gift card when they refinance over $40,000 in student loans. Lenders vary greatly on the benefits and options provided to borrowers during the loan servicing period. Additionally, benefits may only be available on a case-by-case basis.

When you refinance your student loans with Citizens Bank, you have the option to consolidate them as well. This means you could turn multiple loan payments into one monthly payment. This helps simplify payments and could reduce your interest rates. Citizens Bank offers a 0.25% loyalty customer discount and a 0.25% automatic payment discount. Taking advantage of these discounts means you'll pay less in interest in the long haul.

Additionally, when you refinance your student loans with Citizens Bank, your repayment terms will range from five, seven, 10, 15, or 20 years. A check mark. A check mark. A check mark. A check mark. A check mark. A check mark. A check mark. Fixed rates range from 3.43% - 15.99% APR with all discounts. A check mark. A check mark. A check mark. A check mark. Loans are originated by SoFi Lending Corp. A check mark. A check mark. A check mark. A check mark. A check mark. Loans made through Firstrust Bank, member FDIC or M.Y. A check mark. *The minimum amount is $2,001 except for the state of Massachusetts. citizens or permanent residents are eligible for a student loan, and international students can apply with a creditworthy citizen or permanent resident cosigner. You'll also need to be enrolled at least half-time at a four-year Title IV institution and have no previous student loan defaults.

Required Documentation for Loan Application

When applying for a loan with Citizens Bank, you'll typically need to provide the following documents:

Valid passport/identification card
Letter of employment and three recent pay stubs
Income and expenditure statement if self-employed
TIN certificate
Proof of address (issued within the last three months)
Invoice/quotation for loan request (if applicable)

Citizens Bank Student Loan Interest Rates and Fees

Current Interest Rates

The rates on undergraduate student loans from Citizens Bank vary based on your loan amount, type, term, and repayment plan. APR ranges are 4.99% - 15.60% variable and 3.99% - 15.60% fixed. Variable rates are subject to change during repayment while fixed-rate student loans will remain the same during the life of the loan. SoFi rate ranges are current as of 9/3/2025 and are subject to change at any time. Your actual rate will be within the range of rates listed above and will depend on the term and type of repayment option you select, evaluation of your creditworthiness, income, presence of a co-signer (if applicable) and a variety of other factors. Lowest rates reserved for the most creditworthy borrowers. For the SoFi variable-rate product, the variable interest rate for a given month is derived by adding a margin to the 30-day average SOFR index, published two business days preceding such calendar month, rounded up to the nearest one hundredth of one percent (0.01% or 0.0001). APRs for variable-rate loans may increase after origination if the SOFR index increases.

Fee Structure and Additional Costs

Citizens Bank Undergraduate Student Loans won't charge origination fees, application fees, or prepayment penalties, but you may have to pay a late fee. You're eligible for a loyalty discount of up to 0.50% if you or your cosigner have a qualifying Citizens Bank account at the time you submit a complete application and sign up for automatic payments. account. This benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. The benefit lowers your interest rate but does not change the amount of your monthly payment. This benefit is suspended during periods of deferment and forbearance. Autopay is not required to receive a loan from SoFi. SoFi Private Stud… All rights reserved. Bank, N.A. is a wholly owned subsidiary of Citizens Bank, N.A.

Repayment Options

Citizens Bank offers three repayment options on your student loans: immediate, interest-only, and deferred. Depending on your financial situation, you may prefer one option over the other.

Immediate: Pay your loan balance plus interest each month while in school and during a six-month grace period. This option results in the lowest overall cost and allows you to build credit while in school with on-time payments.
Interest-only: Pay the loan's interest monthly while in school and during a six-month grace period. This leads to moderate in-school payments and helps build credit.
Deferred: Don't make payments until after the six-month grace period following graduation expires. Unpaid interest accrues and is capitalized at the end of the grace period.

Deferred payments will be more expensive than interest-only or immediate payments because interest will accrue while you're in school and during your grace period. This interest will then be capitalized, which means it will be added to your loan balance after periods of nonpayment, including forbearance, deferment, and your grace period. This will increase your overall loan principal, and you'll then pay interest on that higher amount, increasing the total cost of your loan.

Citizens Bank Student Loans Pros & Cons

Pros:

No origination fee or prepayment penalty: The absence of these fees will save you money on the overall cost of your loan.
Low minimum loan amount: Citizens Bank has a loan minimum of just $1,000.
Payment discount for eligible borrowers: You'll receive a .50% rate discount if you or your cosigner have a qualifying Citizens Bank account at the time you submit a complete application and you sign up for automatic payments.
Multiple repayment term lengths: The company offers five-, 10-, 15-, and 20-year repayment term lengths - some lenders only offer one.
Option for multi-year approval: The benefit of multi-year approval is that it allows you to see how much you're eligible to borrow for all the years you are in school when you first apply for a loan.
Competitive APR range.
High maximum refinance amount allowed: A refinanced loan has a maximum loan amount of up to $750,000.

Cons:

Late payment fee: Citizens Bank has a late payment fee of 5% of the loan payment amount.
High minimum amount to refinance.

Citizens Bank Student Loan Alternatives

Citizens Bank vs. Sallie Mae

Citizens Bank and Sallie Mae both have five-, 10-, 15-, and 20-year repayment term lengths.

With Sallie Mae, you can be enrolled in school less than half-time, whereas with Citizens Bank, you must be enrolled at least half-time. Citizens Bank Undergraduate Student Loans allow multi-year approval, which is detailed above.

These loans are made by Sallie Mae Bank or a lender partner. Smart Option Student Loan and graduate loan products: These loans are for students at participating degree-granting schools. Smart Option Student Loan information is for undergraduates only. Graduate Certificate/Continuing Education coursework is not eligible for MBA, Medical, Dental, and Law School Loans. permanent resident) and provide an unexpired government-issued photo ID to verify their identity. Applications are subject to a requested minimum loan amount of $1,000. All rights reserved. Sallie Mae, the Sallie Mae logo, and other Sallie Mae names and logos are service marks or registered service marks of Sallie Mae Bank. All other names and logos used are the trademarks or service marks of their respective owners. All rights reserved. Bank, N.A.

Citizens Bank vs. Ascent Undergraduate Cosigned Credit-Based Loan

Ascent offers seven, 12, and 20-year repayment lengths. You may qualify for a 1% cash-back reward from Ascent that will be paid to you after graduation.

Of both lenders, only Citizens Bank offers student loan refinancing. Citizens Bank allows students to consolidate student loans when they refinance, which streamlines payments into one monthly bill.

Citizens Bank Student Loan Customer Experience

Citizens Bank customers report an overall poor experience with the lender. The lender received 1.2 stars out of five on Trustpilot, although not all reviews are based on experiences with student loan products from Citizens Bank. Citizens Bank isn't currently rated by the Better Business Bureau. However, its parent company received an A rating. In 2023, Citizens Bank was ordered to pay a $9 million penalty to the Consumer Financial Protection Bureau (CFPB) for a lawsuit over credit card disputes and fraud.

It's important to note that the lawsuit was not regarding student loans, so this doesn't necessarily mean you'll have a bad experience. Remember to read customer reviews and do your own research before taking out a student loan.

Below are 3 samples of Citizens Bank customer reviews we found on public forums, included here for their value as unedited, uncensored, and unsolicited user experiences.

“If you are still paying down your student loans, consider refinancing them now. [Another lender] was offering a competitive rate, so I called Citizens Bank and they were able to beat [the other lender]’s rate. Call up Hope at Citizens Bank and have her check interest rates for you. It’s a soft hit on your credit score, so it won’t affect it.
“I refinanced with [Citizens Bank] in December of 2016. Interest rate great. I will say, however, I had issues with them paying off my Perkins/ECSI and Mohela loans. There was a 30 day delay. They had to stop payment on the original checks and resubmit. I originally had 4 loan companies. The ones where they sent the money electronically (Great Lakes and AES) went through swimmingly. The ones where they cut the checks (MOHELA and ECSI) didn’t. In the end, I got a $500 bonus, lower rates (I took variable since I’ll be done by December), and their servicer (Firstmark) is fine.
“Citizen’s is a good company - I just refinanced my 2nd private student loan with them, because I could finally get an interest rate lower than the rate on that loan. I found too when I talked to them they use the same credit report for 90 days and since my existing loan with them is at a 1.2% higher rate than what they’re giving me now, I can also refinance that loan to the new rate with no additional credit hit - and lower that payment by $55/mo. They’re also a little more lenient with their lending - my federal loans on [an income based repayment plan (IBR)] keep me from qualifying with [other lenders] which do give better rates than Citizens. [Other lenders] fully amortize loans on IBR to determine what the full payment would be for calculating [my debt-to-income ratio (DTI)] - Citizens Bank uses your current and actual Fed Loan payment when calculating DTI.

Legal and Regulatory Considerations

As consumer finance companies, student loan refinancing lenders fall under the jurisdiction of the Consumer Financial Protection Bureau (CFPB), a federal agency. As part of their mission, the CFPB allows consumers to log official complaints. In 2024, consumers filed 1,869 complaints about Citizens Bank, up 68.0% compared to an average year. The allegations made in these complaints are unverified, are not necessarily representative of all consumers’ experiences with Citizens Bank, and may contain outdated information (about rates, bonus offers, etc.).

Citizens bank has been reversing my payments, and making me pay late fees on pretty much every payment I have ever made to them. Even if I make a manual payment they just reverse it and charge me a late fee. This has costed me hundreds of dollars, and lowered my credit by MORE THAN 60 POINTS. This has gone on so much that even my dad who is my cosigner had his credit affected. I have even tried deleting my bank information and inputting it again, but it still reverses my payments every single time. Neither my insurance or car payments have any trouble charging my bank.

This is not my debt. I did not sign any paperwork agreeing to this debt. There is a co-signer listed on the debt that is now deceased. In XX/XX/XXXX I received a court summons and called the company to find about the debt and requested more information. I was unable to even find out what the debt was for. They told me, via recorded phone call, they would stop all collections immediately. A week later they had a judgement against me. It was only after this date that they sent paperwork. This violates debt collection law. Additionally, this debt, that was not mine to begin with, originated in XXXX in Kansas. I live in Michigan. This is past the 6 year statue of limitations either way.

I was quoted a rate based on having the loan deferred. I was very clear that I wanted the ability to make payments during the deferred period. I was told that I could do this. I was then told that I could get a lower rate XXXX of if I had my daughter open an account. When I went to sign the promissory note I didnt see the discount of the rate and the lending officer said that I wouldnt see the rate reduced until I set up for automatic payments. I then said I would sign up for auto payments and make a small payment to get the XXXX off. He said auto payments were not an option with the deferred option. I asked why he said my daughter had to open the bank account then. He stated there is XXXX off for opening the account and XXXX for auto deduction. I have received neither discount. If I am eligible to make payment during the deferred period I should be allowed to to auto deduct and get the discount. This has been a horrible experience for my daughter first loan. is currently subject to at least three lawsuits: two civil actions and one class action.

Equal Employment Opportunity Commission v. Citizens Bank, N.A., Case No. The United States Equal Employment Opportunity Commission (EEOC) filed a civil action against Citizens Bank.
Bureau of Consumer Financial Protection v. Citizens Bank, N.A., Case No. The United States Bureau of Consumer Financial Protection or the Consumer Financial Protection Bureau (CFPB) filed a civil action against Citizens Bank on January 30, 2020.
Davis v. William Davis William Davis brought a class action complaint against Citizens on January 11, 2021.

Other Important Considerations

Credit Score Requirements: Citizens Bank says you need a "reasonably strong credit history" to get a loan. You can't apply for prequalification to see rates and terms before sending an official application.
Loan Disbursement: After you sign the loan agreement, you may get your new loan soon after with Citizens Bank. Remember, refinancing a loan means replacing your old loan with a new one. Work loan payments into your budget. Figure out how to adjust your budget to fit in your new loan payments. Make sure you have enough money to cover all of your financial responsibilities.
International Students: citizens or permanent residents are eligible for a student loan, and international students can apply with a creditworthy citizen or permanent resident cosigner.
Enrollment Requirements: You'll also need to be enrolled at least half-time at a four-year Title IV institution and have no previous student loan defaults.
Can I refinance a loan from Citizens Bank? You can refinance any kind of student loan. There is no limit to the number of times a borrower may refinance with Citizens Bank.
Does Citizens Bank offer a grace period? Citizens bank does not appear to offer a grace period with their refinance loans. Citizens does, however, advertise a 6-month grace period with their student loans.
Does Citizens Bank charge late fees? When a payment is 15 days late, Citizens Bank charges 5% of the overdue amount.
Does Citizens Bank have income-based repayment plans? Citizens Bank, like most lenders, does not offer income-based repayment.
Can I refinance loans that have already been refinanced? There is no limit to the number of times you can refinance loans with Citizens Bank.
Can I refinance just some of my loans with Citizens Bank? You can refinance some, all, or just one of your qualifying student loans with Citizens Bank.
Aside from the member auto-pay rate reduction, can I get any other special rates or discounts with Citizens Bank? Citizens Bank makes different arrangements among its partner organizations.
Is Citizens Bank part of any major refinance lender marketplaces? Yes, Citizens partners with Credible as part of its multilender lender marketplace.

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