SC Student Loan Student Refinance Review

Our Rating: C+ (Compare)

Founded in 1973, the South Carolina Student Loan Corporation is a 501(c)3 nonprofit classified as a public benefit corporation. SC Student Loan calls its student loan refinance program PAL ReFi. South Carolina residents and alumni of South Carolina institutions may be eligible for PAL ReFi even if they don’t have PAL loans to refinance.

Loan Limits $5,000 – $250,000
Fixed Rates 6.260% – 9.005%*
Variable Rates None
Terms 5, 10, 15, or 20 years
Min. Credit Score 670

*Lowest rates always include the 0.25% interest reduction for enrolling in auto-pay.

Skip to: Rates & Fees | Eligibility Requirements | Repayment Options | Consumer Reviews & Complaints | FAQ

Loan Refinancing Options
Private student loans
Private parent loans (in parent’s name†)
Federal student loans
Federal Parent PLUS loans (in parent’s name)

Parents may refinance loans in their own names and may not transfer debt to a child.

SC Student Loan Refinance Rates & Fees

SC Student Loan’s fixed rates are between 6.260% and 9.005%. Lowest rates always include the 0.25% interest reduction for enrolling in auto-pay.

Refinance Loan Rates
Term Fixed Rate
5, 10, 15, or 20 Year 6.260% – 9.005%

Additional information about SC Student Loan refinance rates:

  • Checking your rate with SC Student Loan will not affect your credit score. They will conduct a soft, not hard, credit inquiry (learn the difference).
  • SC Student Loan does offer a discount for setting up auto-pay: 0.025% interest rate reduction.
  • Variable rates are unavailable with SC Student Loan PAL ReFi.

Student Loan Refinancing Calculator

Based on advertised rates, use the calculator below to determine what your new monthly payment and potential savings may be if you refinance with SC Student Loan.

Additional Fees

Beyond interest rates, there are a number of fees a refinance lender may charge up-front or during the loan servicing period. Below is a list of these fees that SC Student Loan does or does not charge.

Fee Type Amount Charged
Application Fee None
Loan Origination Fee None
Disbursement Fee Undisclosed
Prepayment Penalty None
Late Payment Fee 5% of overdue payment‡
Returned Payment Fee Undisclosed§
Collection Fee Undisclosed

PAL ReFi loan payments are considered late after two (2) weeks.[1]
§SC Loan may or may not still charge a $25 returned payment fee that “may periodically increase without notice to you.”[2]

  1. Application fee – fee to apply for rates & approval.
  2. Loan origination fee – fee to create the new loan.
  3. Disbursement fee – fee for distributing funds to lenders to pay off loans that have been refinanced.
  4. Prepayment penalty – fee for making extra payments to reduce a refinance loan balance or pay it off early.
  5. Late payment fee – fee for making a late payment.
  6. Returned payment fee – fee for failed payments due to insufficient funds, also known as a “bounced check”.
  7. Collection fee – fee for collection activity on a defaulted debt.

Current Promotions & Offers

All borrowers are eligible for a 0.25% interest rate reduction when they set up automatic payments. While the rate reduction does not apply to loans in forbearance, borrowers may re-enroll in automatic debit payments with the 0.25% interest rate reduction after their period of forbearance has ended.

SC Student Loan Refinance Eligibility Requirements

To qualify for refinancing with SC Student Loan, all borrowers must meet the criteria below.

  • Citizenship Requirement: U.S. citizenship or permanent residence.
  • Income Requirement: borrower or co-signer may have a maximum 43% debt-to-income ratio.
  • Credit Score Requirement: borrower or co-signer must have a 670 minimum score; SC Loan has previously reported a two-year weighted average credit score of 751 among its PAL ReFi borrowers.[1]
  • Graduation Requirement: none.
  • Location Requirement: none specified.

Additional restrictions apply for specific individuals and loans.

  • Only residents of South Carolina and former students at approved South Carolina institutions may be eligible.
  • Borrowers must be employed, retired, or on disability.
  • Loans must be in a grace period or post-enrollment repayment.

SC Student Loan Student Loan Repayment Options

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. SC Student Loan offers some relief options.

Deferment & Forbearance

SC Student Loans may qualify for forbearance, during which time interest continues to accrue, under some circumstances.

Condition Coverage
Returning to grad school Undisclosed
Disability rehabilitation Undisclosed¤
Active military duty Forbearance, 12-month increments for the duration of active duty
Involuntary unemployment Undisclosed¤
Economic hardship Undisclosed¤
Natural disaster Forbearance, 3-month increments
Temporary hardship Forbearance, 3-month increments up to 36 months with a $50 minimum monthly payment

¤These conditions may fall under the umbrella of temporary hardship forbearance.

Additional Options

SC Student Loan may offer other opportunities for relief or contract modification.

  • Co-signer release is not available with PAL ReFi.
  • Death / disability discharge may be available in the unfortunate circumstance that a borrower passes away or suffers total permanent disability.

SC Student Loan Reviews, Complaints & Lawsuits

Beyond our own findings, our team also collected the most genuinely insightful customer experiences we could find, including any instances of legal action against the company in which the details became public.

SC Student Loan Online Reviews

Despite its long tenure, few SC Student Loan borrowers have shared their experience in public forums; web crawls return zero (0) customer reviews that address PAL ReFi.

SC Student Loan CFPB Complaints

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. These complaints are publicly available on the CFPB official website.

Since May 2012, consumers have submitted 61 complaints about South Carolina Student Loan Corp (SC Student Loan) student loan product to the CFPB for an average rate of one (1) complaint every 2½ months; this is 33% slower than the average daily complaint rate among reviewed lenders. Among the 17 complaints with narrative explanations, zero (0) specifically reference refinancing or the PAL ReFi program.

In 2023, SC Student Loan received one (1) complaint, which is equivalent to:

  • 19.7% of the average number of annual complaints.
  • one (1) complaint for every $58.1 million in revenue.
  • one (1) complaint for every 40 employees.
  • The allegations made in these complaints are unverified, are not necessarily representative of all consumers’ experiences with SC Student Loan, and may contain outdated information (about rates, bonus offers, etc.). Note that a lender with a large customer base is likely to also have a higher number of complaints when compared with smaller lenders.

    Line Graph: Consumer Complaints about SC Student Loan filed with the Consumer Financial Protection Bureau from 2012 (2), 2013 (3), 2014 (7), 2015 (10), 2016 (7), 2017 (9), 2018 (4), 2019 (2), 2020 (1), 2021 (3), 2022 (12), and 2023 (1)Below we’ve included the 3 most recent complaints (as of this writing) in which the consumer consented to sharing their details.

    Complaint 7163024
    South Carolina

    “Please see the attached letter regarding the account that is not mine due to identity theft. I have filed all of the necessary forms including the FTC online form and affidavit. This is all equivalent to a police report as well. This is my second request to you to remove these fraudulent accounts from all three of the credit bureaus before I take legal action. Send the validation of these accounts as well with your response back to this complaint. I want the account name, account balance, past due amount, and date of last activity verified and provided to me as well.”

    Complaint 5433704


    Complaint 5238761
    South Carolina

    “My name is XXXX XXXX, and I am sending this request myself to address the inaccuracies on my Credit Reports. I have a loan with SC STUDNTLN. I have always made my payments on time. For some reason, I realized that there was a late payment on my credit report. As you can see, I have always had a terrific payment record with this company. I tried contacting the XXXX Credit Bureau with no successful resolution. There was definitely an error on their part. Investigate and update the current status to reflect accurately. SC STUDNTLN XXXX Date Opened : XX/XX/XXXX Balance : {$0.00} ; SC STUDNTLN XXXX Date Opened : XX/XX/XXXX Balance : {$0.00} ; SC STUDNTLN XXXX Date Opened : XX/XX/XXXX Balance : {$0.00} ; SC STUDNTLN XXXX Date Opened : XX/XX/XXXX Balance : {$0.00} ; SC STUDNTLN XXXX Date Opened : XX/XX/XXXX Balance : {$0.00}”

    For a full list of the NUMBER complaints made against SC Student Loan in the CFPB’s Consumer Complaint Database, click here.

    SC Student Loan Lawsuits

    SC Student Loan has not been subject to any major legal or investigative action as of this writing. Note that while this information is updated regularly, ongoing legal action is subject to change.

    Frequently Asked Questions

    These are the most common questions consumers have about student loan refinancing with SC Student Loan.

    • Is SC Student Loan good for refinancing student loans?
      SC Student Loan may be the best option for borrowers who live in South Carolina or have Palmetto Assistance Loans to refinance.
    • Does SC Student Loan require a minimum credit score to qualify for student loan refinancing?
      SC Student Loan does require a minimum 670 FICO credit score. Higher credit scores may qualify for lower APRs.
    • Are SC Student Loan loans federal?
      SC Student Loan loans are not federal. SC Student Loan has no affiliation with the federal government or the U.S. Department of Education.
    • Does SC Student Loan charge a prepayment penalty?
      There are no penalties for early payments or repaying a loan in full before its term is over.
    • Does checking your rates with SC Student Loan hurt your credit score? For its prequalification process, SC Student Loan performs a soft credit check, which will not hurt your credit score. If you proceed with an application, however, SC Student Loan will perform a hard credit check that may affect your credit score.
    • Is SC Student Loan a bank?
      SC Student Loan is not a bank, it is a 501(c)3 public benefit corporation.
    • Can I refinance a SC Student Loan loan?
      You can refinance SC Student Loan student loans, student loans from another private lender, and federal loans. There is no limit to the number of times a borrower may refinance with SC Student Loan. Note, however, that every new line of credit requires a hard credit check that may affect your FICO score.
    • Can I refinance just some of my loans with SC Student Loan?
      Yes, you can refinance some, all, or just one of your qualifying student loans with SC Student Loan. You may choose to refinance your private loans only or refinance private and federal loans together.
    • Can I refinance loans that have already been refinanced?
      Yes, you can refinance loans as many times as you want with SC Student Loan. Note that each time you refinance, you will have to submit a new application; every application requires a hard credit check that may affect your credit score.
    • Can my spouse and I refinance our loans together with SC Student Loan?
      SC Student Loan does not allow co-borrowing although a spouse may act as a co-signer.
    • How long does it take to refinance with SC Student Loan?
      SC Student Loan does not specify a timeline for refinancing.
    • Who services SC Student Loan refinance loans?
      SC Student Loan PALs are serviced by Firstmark Services.
    • Does SC Student Loan offer a grace period?
      SC Student Loan does not offer a grace period but its servicer (Firstmark Services) may be willing to honor an existing grace period; contact Firstmark Services to inquire.
    • How often do variable rates change?
      SC Student Loan does not offer variable rates with the PAL program.
    • Can I get any special rates or discounts with SC Student Loan ?
      SC Student Loan offers a 0.25% interest rate reduction with automatic payments.
    • What happens if I file for bankruptcy?
      In the event that you file for bankruptcy, you may still be required to repay your SC Student Loan PAL.

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  1. SC Student Loan, 2020 Master Indenture
  2. SC Student Loan, PAL ReFi Application (09/2018)
  3. SC Student Loan, Refinance